Gogo Inc. · NASDAQ:GOGO

Gogo — Merger or Acquisition (October 2024)

11 slides from Gogo's merger presentation, Oct 9, 2024

  1. Slide 1: Sources & Uses and Pro Forma Capitalization

    Exhibit 99.1 Sources & Uses and Pro Forma Capitalization Sources Uses $ in millions $ x $ in millions $ x Upfront Purchase Price $ 375 1.3x New Term Loan B due 2031 $ 275 1.0x Estimated Fees 22 0.1x Gogo Balance Sheet Cash 122 0.4x Total Sources $ 397 1.4x Total Uses $ 397 1.4x LTM Q2 ‘24 PF Syn. Ad

  2. Slide 2: Gogo offers Best-In-Class Business Aviation In-flight Connectivity through its Proprietary ATG Network

    Gogo offers Best-In-Class Business Aviation In-flight Connectivity through its Proprietary ATG Network Business Description Operating Highlights § Gogo is a leading provider of in-flight internet and connectivity services and equipment to the business aviation (3) Gross Profit is Driven by the Highl

  3. Slide 3: Satcom Direct offers Satellite-based Connectivity and World-Class Support to BA and Military / Government Customers

    Satcom Direct offers Satellite-based Connectivity and World-Class Support to BA and Military / Government Customers Business Description Operating Highlights § Satcom Direct is a leading provider of satellite-based connectivity and hardware solutions for the Business Aviation and Military / Governme

  4. Slide 4: Overview of Satcom Direct's Recurring and Contracted Service Lines and Hardware Products

    Overview of Satcom Direct’s Recurring and Contracted Service Lines and Hardware Products Segment Description Revenue Model COGS Model Contract Length Services Broadband Connectivity Satellite-based cabin connectivity Largely subscription Revenue share & 1-5 years (~50% of Total Revenue) Subscription

  5. Slide 5: Satcom's Military and Government Segment is Scaling Rapidly and Driving Strong Recurring Growth

    Satcom’s Military and Government Segment is Scaling Rapidly and Driving Strong Recurring Growth through Long-term Contracts MIL / GOV Vertical Overview Sample Customers § Today, many government departments have no connectivity or very dated connectivity solutions on their mobility aviation fleets –

  6. Slide 6: Gogo Plans to Launch and Scale LEO in Two Attractive and Underpenetrated Markets

    Gogo Plans to Launch and Scale LEO in Two Attractive and 1 Underpenetrated Markets Positive Trends Driving Adoption Combined LEO Strategy (1) Total Global BA Jets§ Galileo FDX to target ~7K heavy jets, including add-ons in ~1,300 Strong demand growth driven by cloud Satcom heavy jets computing, stre

  7. Slide 7: Acquiring Satcom Direct Accelerates Gogo's "Now and Next" Strategy

    1 Acquiring Satcom Direct Accelerates Gogo’s “Now and Next” Strategy 1 2 3 Serve All Segments of the BA Market Expand TAM Drive AVANCE Penetration § Brings together shared focus on the complex § Global expansion enables Gogo to grow § Gogo’s flexible AVANCE platform allows total addressable market b

  8. Slide 8: Historical Standalone Financials

    Historical Standalone Financials Gogo Satcom Direct $MM 2021A 2022A 2023A $MM 2021A 2022A 2023A (1) Total Revenue 335 375 437 Total Revenue 336 404 398 % Growth 20.4% (1.6%) % Growth 12.2% 16.5% (1) Reported Adj. EBITDA 151 174 162 Adjusted EBITDA 39 57 78 % Margin 45.0% 43.0% 40.8% % Margin 11.7% 1

  9. Slide 9: Capital Allocation Priorities

    Capital Allocation Priorities 2 1 Current forecast assumes $122M Maintaining an Target net leverage ratio of 2.5x-3.5x revolver remains undrawn Appropriate Level Maintaining of Leverage for the Adequate Liquidity Economic Environment 3 No additional share repurchases will be 4 Investing in Strategic

  10. Slide 10: Illustrative Pro Forma Q2 '24 LTM EBITDA Financial Adjustments

    Illustrative Pro Forma Q2 ’24 LTM EBITDA Financial Adjustments $ in M LTM Q2 24 Gogo Adjusted EBITDA 152 Satcom Direct EBITDA 86 Pro Forma adjustments 5G 2 Galileo 10 Synergies 30 Subtotal Pro Forma Adjustments 42 Pro Forma EBITDA 281 $ in M 2023A Gogo Adjusted EBITDA 162 Pro Forma adjustments 5G 2

  11. Slide 11: Reconciliation of GAAP to Non-GAAP Measure Adjusted EBITDA

    Reconciliation of GAAP to Non-GAAP Measure Adjusted EBITDA 2023 2023 2024 2024 Q2 2024 $ in M Q3 Q4 Q1 Q2 Last 12M Net income attributable to common stock (GAAP) 21 14 30 1 67 Interest expense 8 8 8 8 33 Interest income (2) (2) (2) (2) (8) Income tax provision (benefit) 7 5 11 0 22 Depreciation and

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