Ambertech Limited · ASX:AMO
Ambertech — Merger or Acquisition (November 2019)
21 slides from Ambertech's merger presentation, Nov 13, 2019
Slide 1: Acquisition of HAV and Equity Raising
For personal use only Acquisition of HAV and Equity Raising Investor Presentation – November 2019 SOURCE SUPPLY SUPPORT
Slide 2: Introduction
Introduction For personal use only • Ambertech is an leading distributor of innovative audio and video brands and professional services to industry and government customers across the Australia and New Zealand • Headquartered in Sydney, with offices and representatives in Perth, Brisbane, Melbourne
Slide 3: Ambertech Overview
Ambertech Overview For personal use only Customers Partners Market Traction • More than 800 customers across • Over 200 dealers in custom audio video • Multi award winner Australia and New Zealand install/ integration • Leading supplier of AV technology • Approximately 520 shop fronts • 105 dealers
Slide 4: Ambertech Strategic Pillars
Ambertech Strategic Pillars For personal use only Leading Australian distributor of technology equipment solutions operating through six key strategic pillars Commercial Audio Visual Custom Installation Products Professional Products A range of exclusive brands focusing on A range of exclusive brand
Slide 5: FY19 Results Summary
For personal use only FY19 Results Summary SOURCE SUPPLY SUPPORT 5
Slide 6: FY19 Results Summary
FY19 Results Summary For personal use only Summary Income Statement Commentary A$’000 FY19 FY18 • Significant revenue growth of 35.9% in the Professional segment • Growth in recurring revenues of 14.5% from maintenance contracts Total Revenue 57,178 51,839 • Expansion in the dealer-based business as
Slide 7: Acquisition of HAV
For personal use only Acquisition of HAV SOURCE SUPPLY SUPPORT 7
Slide 8: HAV Overview
HAV Overview For personal use only HAV is a leading Australian distributor of technology products and services in the commercial AV market • Hills Limited (ASX: HIL) is a value-added distributor of products and Product Offering services to the Security & Surveillance and Audio-Visual markets, and su
Slide 9: Combined Business
Combined Business For personal use only Strategic Rationale Combined Brands • Acquiring a leading provider of commercial AV brands and services to 1 customers across Australia and New Zealand • Complements Ambertech’s existing AV offering and adds core 2 technology for commercial solutions • Strong
Slide 10: Equity Raising
For personal use only Equity Raising SOURCE SUPPLY SUPPORT 10
Slide 11: Acquisition and equity raising terms
Equity Raising For personal use only Acquisition and equity raising terms Acquisition Price • Ambertech will acquire HAV for A$4.5m reflecting an acquisition multiple of approximately 2.5x FY19 EBIT • Ambertech is seeking to raise a total of approximately A$5.0m through: • Two tranche Placement to r
Slide 12: Transaction sources and uses of funds
Equity Raising For personal use only Transaction sources and uses of funds • Post completion of the acquisition, Ambertech expects to have Net Debt of approximately A$3.9 • Any additional funds raised will be applied to working capital Sources of funds (A$m) Uses of funds (A$m) Equity Raising 5.0 Ac
Slide 13: Pro Forma Balance Sheet
Pro Forma Balance Sheet For personal use only Simplified pro-forma balance sheet as at 30 September 2019 (for illustrative purposes) Acquisition Acquisition of Consideration A$m Ambertech Capital Raising Pro Forma HAV and Transaction Costs Cash and cash equivalents 1.5 5.0 -4.8 1.7 Trade and other r
Slide 14: Indicative Timetable
Indicative Timetable For personal use only Milestone Date Trading halt lifted Friday, 8 November 2019 Settlement of new shares issued under tranche 1 Wednesday, 13 November 2019 Allotment and normal trading of new shares issued under tranche 1 Thursday, 14 November 2019 Extraordinary Shareholder Mee
Slide 15: Outlook & Guidance
For personal use only Outlook & Guidance SOURCE SUPPLY SUPPORT 15
Slide 16: Guidance & Outlook
Guidance & Outlook For personal use only The acquisition of HAV provides Ambertech with the right people, products and customer partnerships to drive growth into FY20 and beyond • Ambertech expects revenue and EBIT of approximately A$71.6m and A$2.8m respectively in FY20, which includes 7 months con
Slide 17: Roadmap for FY20
Roadmap for FY20 For personal use only Key pillars of future growth: 1 Sustain strong momentum into FY20 • Focus on opportunities from within existing agencies, as well as the potential for new agency or business acquisition • Pipeline for project business with our media systems partners is substant
Slide 18: Appendix
For personal use only Appendix SOURCE SUPPLY SUPPORT 18
Slide 19: Professional AV Market Size & Growth
Professional AV Market Size & Growth For personal use only • The worldwide professional AV industry is forecast to grow from US$186bn in 2018 to US$230bn by 2023 (4.3% CAGR) with the top five technology drivers being audio advances, future displays, IoT for smart buildings, IT and the cloud, and art
Slide 20: Important Notice and Disclaimer
Important Notice and Disclaimer For personal use only Overview This investor presentation (“Presentation”) has been prepared by Ambertech Limited (ACN 079 080 158 ) (“Ambertech” or “Company”) and is dated 6 November 2019. This Presentation has been prepared in relation to a placement of new Ambertec
Slide 21: Important Notice and Disclaimer
Important Notice and Disclaimer For personal use only Future performance This Presentation contains certain “forward looking statements”. Forward looking statements can generally be identified by the use of forward looking words such as, “expect”, “anticipate”, “likely”, “intend”, “should”, “could”,