Croda International Plc · LSE:CRDA
Croda International — Merger or Acquisition (December 2021)
9 slides from Croda International's merger presentation, Dec 22, 2021
Slide 1: Agreement to sell majority of PTIC
Croda International Plc Agreement to sell majority of PTIC 22 December 2021
Slide 2: Disclaimer
Disclaimer Disclaimer Notes Cautionary statement This review is intended to focus on matters which are relevant to the interests of shareholders in • 2020 reported numbers have been restated for the earlier change in the Company. The purpose of the review is to assist shareholders in assessing the s
Slide 3: Overview
Overview • Signed agreement to sell majority of PTIC to Cargill • Divested business represented 77% PTIC’s 2020 sales • Retained parts of PTIC will become Industrial Specialties • €915m (c£778m) consideration; attractive multiple • Follows comprehensive strategic review • Cargill well placed to ensu
Slide 4: Divested business income statement
Divested business income statement Croda income statement Divested business income statement Full year LTM Full year LTM £m 2020 Jun-21 £m 2020 Jun-21 Performance Technologies (PT) sales 374 403 Industrial Chemicals (IC) sales 96 102 Total PTIC sales 470 505 Total sales 361 382 As % PTIC sales 77% 7
Slide 5: Divested business balance sheet
Divested business balance sheet Croda balance sheet at 31 December 2020 Divested business balance sheet at 31 December 2020 £m £m Total assets Performance Technologies (PT) 505 Industrial Chemicals (IC) 110 Total PTIC 614 Pro-rata adjustment for Home Care (50) Total PTIC assets excluding Home Care 5
Slide 6: Expected divestment impact on Industrial Specialties sales
Expected divestment impact on Industrial Specialties sales Full year LTM £m 2020 Jun- 21 PTIC actual sales 470 505 Impact of divested business (361) (382) Impact of supply agreements 63 60 Net Impact (298) (322) Industrial Specialties post-divestment proforma sales 172 182 2020 reported numbers have
Slide 7: Expected divestment impact on Croda income statement
Expected divestment impact on Croda income statement Full year 2020 LTM Jun- 21 Divestment Divestment £m Actual impact Proforma Actual impact Proforma Sales 1,390 (298) 1,092 1,651 (322) 1,329 Adjusted operating profit 320 (36) 283 400 (45) 355 Return on sales 23.0% +2.9% pts 25.9% 24.2% +2.5% pts 2
Slide 8: Transition to pure-play Life Sciences and Consumer Care company
Transition to pure-play Life Sciences and Consumer Care company Use of proceeds Transaction Summary • Priority is organic capital expenditure taking advantage of • Creates a stronger platform for divested business’ future growth significant growth opportunities: • Retained parts of PTIC provide inte
Slide 9: Smart science to improve lives™
9 Smart science to improve lives™
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