Townsquare Media, Inc. · NYSE:TSQ
Townsquare Media — Merger or Acquisition (August 2015)
12 slides from Townsquare Media's merger presentation, Aug 17, 2015
Slide 1: Acquisition of North America Midway Entertainment, LLC (NAME)
Acquisition of North America Midway Entertainment, LLC (NAME) August 17, 2015
Slide 2: Forward-Looking Statements
Forward-Looking Statements This presentation contains, and our other communications may contain, forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These statements can be identif
Slide 3: Transaction Overview
Transaction Overview The largest provider of rides, games and food concessions to fairs and festivals in North America Leading market share – operates at 10 of largest 50 North American fairs (next largest competitor serves 4) NAME Operates at ~150 fairs and festivals, which annually attract o
Slide 4: Strategic Rationale
Strategic Rationale The NAME acquisition represents a continuation of Townsquare’s investment thesis and fundamental strategy 1 Complementary Assets: Fits Squarely with Townsquare’s Core Strategy Delivers affordable, family friendly entertainment to more than 15 million people across the economic
Slide 5: Introduction to North American Midway Entertainment
Introduction to North American Midway Entertainment NAME is the largest provider of rides, games and food concessions to fairs and festivals in North America NAME operates amusement attractions in the midway at fairs and festivals The midway is typically the primary attraction of the fair, typic
Slide 6: TSQ + NAME National Footprint
TSQ + NAME National Footprint NAME acquisition expands Townsquare’s national footprint and offers opportunities to enter new markets ~50% within 100 miles of TSQ markets Leverage TSQ presence to drive attendance to NAME events Opportunity to create new NAME events in TSQ’s markets NAME Events NAME /
Slide 7: Continued Evolution of TSQ
Continued Evolution of TSQ TSQ Standalone TSQ + NAME Net Revenue Net Revenue 7.9% 6.3% 13.5% 30.3% 63.4% 78.7% 14.7% 1.4% Local Advertising Live Events OM&E Note: Pro forma for all material acquisitions. Represents net revenue for the year ended December 31, 2014. August 2015. Proprietary. 6 83.9%
Slide 8: Synergy Opportunity
Synergy Opportunity TSQ believes there are several actionable revenue synergies, which can result in higher margin incremental revenue of approximately $5-$10 million by year 3 Partner with Offer TSQ Services to Fair Organizers On Fair Organizers Other Events ~$5 - $10 million Incremental Leverage T
Slide 9: NAME Acquisition Meets Our Disciplined Acquisition Criteria
NAME Acquisition Meets Our Disciplined Acquisition Criteria M&A CRITERIA 1 Entertains 15 million people per year, many of which are in middle America Opportunities in small ~50% of events are within 100 miles of a TSQ market and mid-sized markets Opportunity to expand event footprint to TSQ ma
Slide 10: Operating Philosophies of Combined Company Unchanged
Operating Philosophies of Combined Company Unchanged Townsquare Everywhere – Integrated Media and Entertainment Platform Small and Mid-Sized Market Strategy National Scale, Hyper-Local Focus “Live & Local” Content Multiple Growth Drivers Transformational Management Team August 2015. Proprietary. 9
Slide 11: Appendix
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Slide 12: NAME Direct Profit and Adjusted EBITDA Reconciliation
NAME Direct Profit and Adjusted EBITDA Reconciliation The following table reconciles the net income of NAME on a GAAP basis, the most directly comparable financial measure calculated and presented in accordance with GAAP, to Direct Profit and Adjusted EBITDA for the year ended December 31, 2014 (dol
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