Alstom Sa · EURONEXT:ALO
Alstom Sa — Merger or Acquisition (April 2014)
14 slides from Alstom Sa's merger presentation, Apr 30, 2014
Slide 1: Alstom Considering the Proposed Acquisition of Alstom Energy Activities by GE
Alstom Considering the Proposed Acquisition of Alstom Energy Activities by GE Alstom to Create a Strong Standalone Market Leader in Rail 30 April 2014
Slide 2: Key Highlights
Key Highlights Binding offer from GE to acquire Alstom Energy activities ‒ Alstom Energy activities include Thermal Power, Renewable Power and Grid sectors, as well as corporate and shared services ‒ €12.35bn Equity Value, equivalent to €11.4bn Enterprise Value Board of Directors to set up a committ
Slide 3: Key Terms of Binding Offer Received from GE
Key Terms of Binding Offer Received from GE Binding offer to acquire Alstom Energy business in cash for €12.35bn (Equity Value) ‒ All assets and liabilities related to the Energy activities transferred to GE ‒ Consideration to include €1.9bn of net cash and €(0.9)bn of other net liabilities (of whic
Slide 4: Key Terms of the Proposed Transaction
Key Terms of the Proposed Transaction Price not subject to any adjustment at closing No representations & warranties on the Energy business Fixed Price Usual interim covenants (Energy business to be operated in the ordinary course of business) No shop obligation ‒ Non solicitation of third-party off
Slide 5: Proposed Transaction Perimeter
Proposed Transaction Perimeter Alstom Central and Shared Transport Thermal Power Renewable Power Grid Services 9% 19% Sales Mar-13: 27% Sales Mar-13: 45% Sales Mar-13: Sales Mar-13: Sales Mar-13: €5.5bn €9.2bn €1.8bn €3.8bn -- 10% 18% Employees: 29% Employees: 39% Employees: Employees: Employees: 27
Slide 6: A Strong Industrial Logic
A Strong Industrial Logic Integration of Alstom Energy activities within GE to strengthen its future development prospects ‒ Enhanced size ‒ Diversity of geographic exposure towards dynamic markets ‒ Ability to fund heavy investments in new technologies and market developments GE well placed to maxi
Slide 7: Rationale for All Stakeholders
Rationale for All Stakeholders Shareholders Implied Transaction Multiple ‒ Enterprise value of €11.4bn, implying an Equity Value (€bn) 12.4 EV / Mar-13 EBIT(1) multiple of 12.2x ‒ Limited execution risk Net Debt - 31-Mar-14 (1.9) Other Liabilities - 31-Mar-14 0.9 EqV to EV Bridge (€bn) (1.0) Employe
Slide 8: Planned Significant Cash Return to Shareholders
Planned Significant Cash Return to Shareholders Cash Return sizing to take into account Sizing Robust Transport capital structure to fund future development Considerations Existing Alstom debt Cash Return terms and conditions to be submitted to shareholders’ vote Process and simultaneously wit
Slide 9: Alstom to Refocus as a Leading Transport Group
Alstom to Refocus as a Leading Transport Group Analyst Presentation– 30-Apr-14– P 9
Slide 10: Alstom Transport: Ideally Positioned to Grow
Alstom Transport: Ideally Positioned to Grow Critical size and worldwide presence Strong underlying rail market trends Proven global / multi-local strategic agility Differentiation through Integrated Solutions, Services and Innovation & Technology Operational excellence supported by contin
Slide 11: Alstom Transport: a Full Offering with Leadership Positions
Alstom Transport: a Full Offering with Leadership Positions Key Financials Sales breakdown by region MEA NAM 7% 6% LAM 7% PAC 10% Western Europe Eastern 65% Europe 5% (1) Income from operations, before allocation of corporate costs Analyst Presentation– 30-Apr-14– P 11
Slide 12: Alstom Transport: Global / Multi-local Strategic Agility
Alstom Transport: Global / Multi-local Strategic Agility (KTZ) Main Business and Industrial locations Head office/Business office Trains Systems Major Brazilian Services civil engineering Signalling companies Global footprint Multi-Local approach • Capture the full potential of fast growing markets
Slide 13: Conclusion
Conclusion Analyst Presentation– 30-Apr-14– P 13
Slide 14: www.alstom.com
www.alstom.com ALSTOM Shaping the futiire