Neogen Corporation · NASDAQ:NEOG
Neogen — Merger or Acquisition (April 2022)
23 slides from Neogen's merger presentation, Apr 21, 2022
Slide 1: Neogen Overview
Neogen Overview April 2022 KNEOGEN
Slide 2: Disclaimer: Cautionary Notes on Forward Looking Statements
Disclaimer Cautionary Notes on Forward Looking StatementsThis communication includes “forward-looking statements” as that term is defined in Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended by the Private Securities Litigation
Slide 3: Today's Presenters
Today’s Presenters John AdentChief Executive Officer CEO of Neogen since 2017Previously CEO of Patterson Animal Health and CEO of Animal Health International Steve QuinlanChief Financial Officer CFO of Neogen since 2011Previously CFO of Detrex Corporation
Slide 4: Neogen's Mission and Vision for the Future
Neogen’s Mission and Vision for the Future We will continue to play a key role in enhancing the safety, quality and quantity of the global food supply for our rapidly growing population The mission of Neogen Corporation is to be the leading company in the development and marketing of solutions for f
Slide 5: A Unified Food Security Solution
A Unified Food Security Solution Genomic Improvement Regulatory Focus Biosecurity & Hygiene Diagnostic Screening Processing Testing and Compliance Consumer Agriculture andFarm Production Feed Production Food Security
Slide 6: Neogen At a Glance
Neogen At a Glance Strong Growth Profile ~9%FY 2021 Organic Growth Across the Portfolio 50+ Acquisitions Historically ~15%22-Year Revenue CAGR(1) Source: Company filings and FactSet.Note: U.S. dollars in millions. Financials reflect LTM period as of November 30, 2021 and represent the Neogen standal
Slide 7: Neogen's Solutions
Neogen’s Solutions Food SafetyProtecting the Food Supply Animal SafetyEnsuring Wellbeing of Livestock & Pets GenomicsImproving Food Security Product offerings across Neogen's food safety, animal safety and genomics platforms help solve our customers’ global food security challenges Corporate and Foo
Slide 8: Neogen's Product Offerings Detail
Neogen’s Product Offerings Detail Drug detection immunoassay test kits Natural Toxins, Allergens & Drug Residues Rodenticides, Insecticides & Disinfectants Test kits for food allergens, mycotoxins, and foodborne pathogens Cleaners, disinfectants and insecticides for food safety customers $79 $37 +6%
Slide 9: Neogen's Market Opportunity
Market Size LT Growth Rate Neogen’s Market Opportunity Serving Large and Growing Markets… …with Attractive Long-Term Fundamentals Significant opportunity to achieve long-term success in this attractive and rapidly growing category Food Safety Animal Safety Genomics $18 – 25 billion 6 – 8% $50 – 60 b
Slide 10: Neogen's Digital Technologies
Neogen’s Digital Technologies Neogen’s digital ecosystem combines leading diagnostics and analytical digital solutions to achieve: plant mapping and aggregated data services, enhanced customer value associated with the digital platform and compelling SaaS business models in food production plants Fo
Slide 11: How Neogen Wins in the Marketplace
How Neogen Wins in the Marketplace Neogen’s comprehensive offering is well-positioned to offer value across a broad range of industries, technology platforms and markets Brand Product Offering Product Innovation Customer Intimacy Global Footprint Reputation of dependability, trust and care at every
Slide 12: Neogen and 3M Food Safety – A Compelling Combination
Neogen and 3M Food Safety – A Compelling Combination Creating a Global Leader in Food Security (1) Estimated revenue for the pro forma company in first 12 months post-close. Neogen 3M Food Safety A leading pure play food security company, spanning food safety, animal safety and genomics Comprehensiv
Slide 13: Combination Highlights
Neogen and 3M Food Safety Combination Highlights Combination of complementary food safety businesses creates a leading globalpure play food security company with an expected ~$1 billion revenue trajectory(1) 1 Opportunity to accelerate growth and enhance margins due to thesynergistic nature of the c
Slide 14: Expansive Product Offerings
Expansive Product Offerings Combination improves weighting towards stable growth food safety business with strong positions in attractive product categories Neogen 3M Food Safety Combined Company Toxins, Allergens & Residues Bacterial & Sanitation Culture Media Other Food Safety Genomics Animal Safe
Slide 15: Complementary, Diverse, Blue Chip Customer Base
Complementary, Diverse, Blue Chip Customer Base Food & Beverage Contract Labs Other Deep relationships and enhanced capabilities add value to food processors, contract labs and other end markets, including non-food adjacencies
Slide 16: Robust Innovation Engine
Robust Innovation Engine Neogen 3M Food Safety Long-Standing History of Innovation 35+ years 35+ years Combined 70+ years of industry-defining innovation Combined Company ~60 successful products developed over last 2 years Category defining innovation (e.g., Petrifilm™) New product innovations contr
Slide 17: Proven Track Record of New Product Innovation
Proven Track Record of New Product Innovation Neogen’s and 3M Food Safety’s successful histories of product innovation (~60 product launches over last 2 years) highlight robust innovation pipeline underlying their respective growth stories New Product Description Strategy Value Proposition 3M Enviro
Slide 18: Global Infrastructure to Capture Growth Opportunity
Bridgend Canada UnitedStates Mexico Chile Argentina Brazil Uruguay Scotland Ireland England Italy India China Australia CentralAmerica LansingExpansion NEOGEN OfficeGenomics Lab New FacilityNew Sales & Marketing Combined company will cover the globe designing, manufacturing and delivering food secur
Slide 19: Preliminary Integration Planning Update
Preliminary Integration Planning Update Neogen Integration Management office has been established to drive process & value creation IT Supply Chain Manufacturing Facility Footprint Personnel / Human Resources Go-forward ERP and CRM solutions selectedERP footprint draftedDiscovery sessions and integr
Slide 20: Strong Pro Forma Financial Profile
Strong Pro Forma Financial Profile Revenue Adjusted EBITDA Adjusted EBITDA Margin Net Leverage(at closing) Neogen 3M Food Safety Combined Company Mid $500 million Mid $400 million ~$1 billion ~$125 million ~$175 million ~$300 million >20% ~40% ~30% <2.5x Combination is expected to enhance Neogen’s f
Slide 21: Well-Positioned to Extend Track Record of Growth
Well-Positioned to Extend Track Record of Growth 22-Year CAGR: ~15% (organic + M&A) 22-Year CAGR:~10% (largely organic) Neogen 3M Food Safety 22-Year Combined CAGR: ~13% Both Neogen and 3M Food Safety have a long track record of double-digit revenue growth Neogen and 3M Food Safety Revenue Growth (F
Slide 22: Compelling Value Creation Expected Via Synergies
Compelling Value Creation Expected Via Synergies Manufacturing efficienciesSupply chain initiatives Organization optimization Leverage best practices from Neogen and 3M Food Safety commercial groupsDeploy resources on targeted basis to high potential / high priority opportunities Comprehensive combi
Slide 23: Key Takeaways
Key Takeaways Compelling opportunity for investment exposure in attractive, high-growth food security arena Expansive product solutions enable Neogen to provide solutions for a global customer base Robust innovation pipeline creating breakthrough products and capitalizing on genomics and analytics o