Slide 1: APi to Acquire Chubb Fire Security Business
APi TO ACQUIRE CHUBB FIRE SECURITY BUSINESS J u l y 2 7 , 2 0 2 1
Slide 2: Forward-Looking Statements and Disclaimers
Forward-Looking Statements and Disclaimers This presentation does not constitute or form part of any offer or invitation to purchase, otherwise acquire, issue, subscribe for, sell or otherwise dispose of any securities, nor any solicitation of any offer to purchase, otherwise acquire, issue, subscri
Slide 3: Non-GAAP Financial Measures
Non-GAAP Financial Measures Some of the financial information and data contained in this presentation, such as EBITDA, Adjusted EBITDA and Adjusted EPS have not been prepared in accordance with United States generally accepted accounting principles (“GAAP”). The Company’s management believes that th
Slide 4: Today's Speakers
Today’s Speakers Russ Sir Martin E. James E. Becker Franklin Lillie
Slide 5: Executive Summary
Executive Summary 1 APi Group to acquire Chubb Fire & Security from Carrier Global Corporation • Creates world’s leading life safety services provider • Expands APi’s protective moat through greater statutorily required service offerings • High free cash flow conversion business with meaningful orga
Slide 6: Transaction Overview & Strategic Rationale
Transaction Overview & Strategic Rationale
Slide 7: Transaction Details
Transaction Details APi to acquire Chubb for total enterprise value of $3.1 billion, which includes ~$2.9 billion cash & Overview $200 million of assumed liabilities and other adjustments Combination creates leading global, asset light, safety services provider Transaction will be funded by a combin
Slide 8: Strategic Rationale
Strategic Rationale 1 Transforms APi into the world’s leading life safety business 2 Expands on asset light, low capex, high free cash flow conversion services platform 3 Amplifies APi’s service mix to +50% with meaningful recurring revenue 4 Enhances services platform with complementary offerings &
Slide 9: Chubb Meets Our Stated Investment Criteria
Chubb Meets Our Stated Investment Criteria KEY INVESTMENT CRITERIA ✓ ✓ ✓ ✓ ✓ Rec Market Leaders History of Strong Experienced Profile with Divers Value Accretive Niche Markets Cash Flow Gener Management Te End Market Expo 1 Combination forms wo Low capital intensity Incentivized and align Recurring
Slide 10: Chubb Business Overview
Chubb Business Overview cae)
Slide 11: Chubb is an Iconic, Market-Leading Safety Brand Globally
Chubb is an Iconic, Market-Leading Safety Brand Globally Company Snapshot 2020A Revenue Breakdown Full-service provider of fire and electronic security services, including integrated system sales, design, installation, service and monitoring 9% Product-agnostic platform with best-in-class technology
Slide 12: Safety Services Overview
Safety Services Overview Security Services Life Safety Integrated Detection and Security Alarm Systems Solutions Monitoring, Video Fire Protection Verification and Equipment Remote Guarding Intruder Fire Suppression Detection Systems Access Water Mist Control Systems Consultancy, Installation, Maint
Slide 13: End-to-End Business Model Delivering Predictable Revenue
End-to-End Business Model Delivering Predictable Revenue 1 2 technicians • Multi-year service contracts to • Experienced engage directly with customers • Customer maintain and update systems to develop and install a Engagement acquired through Chubb bespoke integrated system • Technical Expertise in
Slide 14: APi + Chubb Stronger Together
APi + Chubb Stronger Together
Slide 15: Chubb Geography Overview
Chubb Geography Overview Norway UK Denmark Canada #1 #2 Netherlands #2 #2 #1 #1 Belgium Germany Ireland United Hong Kong / Macau & China(1) States France #1 #1 Austria #1 #3 India Switzerland Thailand Singapore Spain Australia #1 #1 New Zealand Chubb Presence APi Presence APi + Chubb Presence # Chub
Slide 16: 2020 Revenue Split – APi vs. APi + Chubb
2020 Revenue Split – APi vs. APi + Chubb APi Standalone (2020A) – ~$3.6B 7% 16% Geography Segment 45% 39% 93% Safety Services United States Specialty Services ~13k Employees Canada & Europe Industrial Services APi + Chubb (2020A) – ~$5.6B Diversified, global business Increases safety services ~10% 1
Slide 17: Chubb Organic Growth Potential
Chubb Organic Growth Potential Underlying Growth Levers Addressable Market Growth EBITDA 4% – 5% Revenue 3% – 4% Fire Safety Electronic Cross-Selling Investment in Route Remote Service Volume and Full Organic Security Opportunities Salesforce Optimization Delivery Pricing Growth Potential Opportunit
Slide 18: Consistent with Our Previously Communicated Long-Term Growth Strategy
Consistent with Our Previously Communicated Long-Term Growth Strategy at our 2021 Investor Day O R G A N I C E X P A N S I O N M & A G R O W C A P I T A L I Z E S C A L E SEEK Recurring service revenue Improved project and Expand core business and Disciplined, opportunistic customer selection servic
Slide 19: Summary Investment Highlights
Summary Investment Highlights 1 Transforms APi into a leading global safety services company Meaningful organic growth & margin expansion potential through APi operating 2 platform 3 Increases APi’s service business mix and expands recurring revenue-based model Complementary platform with multiple i
Slide 20: Highly Strategic Acquisition With Significant Upside Potential for Shareholders
Highly Strategic Acquisition With Significant Upside Potential for Shareholders ✓ Integrate and enhance combined corporate culture and values to bring out the best of both organizations ✓ Greater investment and increased support to the Chubb team to drive improvements e organization and realize fina
Slide 21: APi Group
API Group Z