On Semiconductor Corporation · NASDAQ:ON
On Semiconductor — Merger or Acquisition (August 2021)
8 slides from On Semiconductor's merger presentation, Aug 25, 2021
Slide 1: onsemi to Acquire GT Advanced Technologies ("GTAT")
onsemi to Acquire GT Advanced Technologies (“GTAT”) August 25, 2021 Exhibit 99.2
Slide 2: Safe Harbor Statement
Certain statements in this presentation, including, among others, the expected closing of the transactions and the potential effects thereof, are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are often characterized
Slide 3: GTAT Overview
GTAT Overview Outstanding Silicon Carbide (SiC) crystal growth technology Key material for next-generation semiconductors that significantly improve efficiency in electric vehicles (EVs), EV charging and energy infrastructure Business model based on supplying SiC crystal to downstream partners speci
Slide 4: Strategic Rationale
Strategic Rationale A building block to fuel growth and accelerate innovation in disruptive intelligent power technologies, consistent with the strategy and mission announced at the 2021 Analyst Day 1 Accelerates SiC development by combining the capabilities of the two companies Secure and grow supp
Slide 5: onsemi's Platform Provides a Launchpad for Growth
onsemi’s Platform Provides a Launchpad for Growth GTAT Capabilities Leading crystal development R&D capabilities Outstanding SiC technology that is scalable with substantial investment and manufacturing expertise Relationships with key customers in SiC ecosystem onsemi Platform Benefits Complementar
Slide 6: EV Penetration Will Accelerate SiC Adoption
EV Penetration Will Accelerate SiC Adoption 6 Electric vehicles estimated to increase to 62% of vehicle sales by 2030 and 63 million vehicles globally EV penetration to drive SiC adoption as higher efficiency of SiC provides longer range and battery life EV adoption will drive growth in the sustaina
Slide 7: Accelerated Investment Drives Value Creation
Accelerated Investment Drives Value Creation R&D Investment Capex Investments Shareholder Value Creation Invest in R&D to accelerate development of 200mm substrates Aggressively improve yields of 150mm substrates Increase boule height to reduce production costs Substantial capital investment to furt
Slide 8: Transaction Summary
Transaction Summary $415 million in cash Purchase Price No impact expected to onsemi’s target financial model for 2025 Accretive to non-GAAP EPS within a year after close, marginally dilutive in immediate term Financial Impact Cash on hand and revolving line of credit Financing Expected to close in
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