Duell Oyj · OMXHEX:DUELL
Duell Oyj — Merger or Acquisition (February 2023)
15 slides from Duell Oyj's merger presentation, Feb 27, 2023
Slide 1: Duell strengthens its foothold in the UK by acquiring TranAm
Duell strengthens its foothold in the UK by acquiring TranAm Jarkko Ämmälä, CEO Pellervo Hämäläinen, IR February 27, 2023
Slide 2: Disclaimer
Disclaimer • This presentation contains forward-looking statements, including, without limitation, statements regarding Duell‘s strategy, business plans and focus. The words “may,” “will,” “could,” “would,” “should,” “expect,” “plan,” “anticipate,” “intend,” believe,” “estimate,” “predict,” “project
Slide 3: Duell announces contemplated acquisition of TranAm
Duell announces contemplated acquisition of TranAm Duell has agreed to acquire TranAm Ltd a leading UK based distributor and wholesaler of premium clothing and accessories for motorcycling Acquisition is part of Duell’s growth strategy supporting geographical expansion and brand portfolio developmen
Slide 4: Duell in brief
Duell in brief Due
Slide 5: A leading Nordic and European powersports aftermarket distributor
A leading Nordic and European powersports aftermarket distributor Key figures 9/2021–8/2022 Tampere Duell’s established markets Duell’s growth markets 124 M€ (77 M€) 7.0% (10.5%) Frölunda Net sales Adjusted EBITA Key facts • 150,000 SKUs • 4,500 dealers in Nordics Veghel, Deventer • 500 brands • 4,0
Slide 6: All powersports accessories from motorbikes to marine
All powersports accessories from motorbikes to marine TECHNICAL AND SPARE PARTS 2/3 PERSONAL EQUIPMENT 1/3 6
Slide 7: Strong presence in all dealer channels
Strong presence in all dealer channels Sales split by customer type E-commerce Retailers Specialty shops % 26% of net 74% Repair and spare parts shops sales Powersports equipment manufacturers 7
Slide 8: Acquisition of TranAm
Acquisition of TranAm Due
Slide 9: A leading motorcycle clothing & accessories distributor in the UK
A leading motorcycle clothing & accessories distributor in the UK Company background Brand portfolio overview • TranAm, founded in 1976, is a UK based distributor and wholesaler of premium clothing and accessories for motorcycling, as well as for ski, snowboarding and pets ‒ Motorcycle category >90%
Slide 10: Attractive financial profile
Attractive financial profile Key figures Preliminary financial impact 19.8% 16.0% EUR 12 million EUR 2 million 14.6% 14.2% Increase in Increase 11.0% net sales in EBITA 9.0% 8,8 9,4 9,6 8,7 6,7 10,7 EUR 2 million EUR 200 thousand Increase Estimated cost synergies 03/17 03/18 03/19 03/20 03/21 03/22
Slide 11: Strategic rationale for Duell
Strategic rationale for Duell • TranAm acquisition supports Duell’s geographical expansion and brand portfolio development strategy The acquisition enables new growth opportunities • Provides strong and establish platform for growth in the large UK market compared to Duell’s current presence • Duell
Slide 12: Transaction structure in brief
Transaction structure in brief Key terms Financing Timeline • Duell is acquiring the company with • The acquisition is planned to be • Initial closing of the transaction and GBP 11.875 million equity value financed with a combination of payment of approximately 60% of • Attractive valuation multiple
Slide 13: The financial outlook for 2023 and medium-term financial targets remains unchanged
The financial outlook for 2023 and medium-term financial targets remains unchanged “Duell expects to have net sales growth organically and inorganically. Adjusted EBITA is expected to grow both in absolute and relative terms for the current financial year ending August 31, 2023. Organic net sales gr
Slide 14: Acquisition is part of Duell's growth strategy
Acquisition is part of Duell’s growth strategy • To become the best partner Duell’s key for dealers and brand owners in Europe Strategic fit of TranAm acquisitioDn strategic objectives • Strengthen the leading market ü To become the best partner for position in the Nordics dealers and brand owners i
Slide 15: Due
Due