Capri Holdings Limited · NYSE:CPRI
Capri — Merger or Acquisition (September 2018)
12 slides from Capri's merger presentation, Sep 25, 2018
Slide 1: Expanding Our Global Fashion Luxury Group
EXPANDING OUR GLOBAL FASHION LUXURY GROUP CAPRI HOLDINGS LIMITED
Slide 2: Forward-Looking Statements
FORWARD-LOOKING STATEMENTS This presentation contains statements which are, or may be deemed to be, “forward-looking statements.” Forward-looking statements are prospective in nature and are not based on historical facts, but rather on current expectations and projections of the management of Michae
Slide 3: The World of Versace
THE WORLD OF VERSACE a Zz 2 4 ie) a w
Slide 4: The Fame of Jimmy Choo
THE FAME OF JIMMY CHOO JENNIFER ANGELINA BELLA JENNIFER LUPITA BEYONCE LADY NICOLE LAWRENCE JOLIE HADID LOPEZ NYONG’O GAGA KIDMAN 4
Slide 5: The Power of the Brand
THE POWER OF THE BRAND ITALIAN HERITAGE FASHION LEADERSHIP FOUNDER LED STRONG BRAND AWARENESS SIGNATURE BAROQUE INNOVATIVE MARKETING LOYALTY & DEVOTION CELEBRITY ATTRACTION ICONIC STYLE LUXURY FOUNDATION RUNWAY GLAMOUR HAUTE COUTURE ROCK & ROLL SPIRIT ARTISAN SKILL DARING & UNEXPECTED UNCOMPROMISING
Slide 6: Versace Social Media Strength
VERS SOCIAL MEDIA STRENGTH 29.9 27.9 26.9 21.2 18.1 16.7 14.1 12.5 12.2 11.3 11.2 10.9 10.1 8.7 Millions of Instagram followers Source: ListenFirst “Luxury Fashion Universe” 6
Slide 7: The Versace Growth Opportunity
THE JIMMY GROWTH OPPORTUNITY OPPORTUNITY TO GROW VERSACE TO $2 B IN SALES 1. BUILD ON VERSACE’S LUXURY RUNWAY MOMENTUM 2. ENHANCE VERSACE’S POWERFUL AND ICONIC MARKETING 3. INCREASE GLOBAL RETAIL FOOTPRINT FROM APPROXIMATELY 200 TO 300 STORES $2 B 4. ACCELERATE E-COMMERCE & OMNI-CHANNEL ~2.5x DEVELO
Slide 8: Our Global Fashion Luxury Group
OUR GLOBAL FASHION LUXURY GROUP MICHAEL KORS MICHAEL KORS VERSACE IS A LEADING ITALIAN FASHION LUXURY JIMMY CHOO IS A BRITISH LUXURY ACCESSORIES MICHAEL KORS IS A LEADING FASHION LUXURY BRAND HOUSE. ITS ICONIC DESIGNS EVOKES BOTH A BRAND WITH SHOES AT ITS HEART, OFFERING AN AMERICAN DESIGNER. THE BR
Slide 9: Enhancing Our Leadership Position in the Global Luxury Market
ENHANCING OUR LEADERSHIP POSITION IN THE GLOBAL LUXURY MARKET PRO FORMA ANNUAL SALES $850 MILLION $585 MILLION $4.5 BILLION $6.0 BILLION STORE COUNT 200 191 847 1,238 Europe Americas Americas 18% Europe 18% Europe 25% 24% Europe 36% 45% Asia SALES BY 13% Americas GEOGRAPHY Americas 57% Asia 69% Asia
Slide 10: Financial Performance
FINANCIAL PERFORMANCE REVENUE, EBITDA & STORES $2,000 $1,200 $850 $775 HIGH TEENS MID RANGE EBITDA TEENS HIGH RANGE MID SINGLE SINGLE DIGITS EBITDA DIGITS EBITDA EBITDA F2018 F2019 F2022 GOAL STORES: 220 190 250 300 10
Slide 11: Strategic Acquisition of Versace
STRATEGIC ACQUISITION OFFY CHOO TRANSACTION OVERVIEW • ENTERPRISE VALUE OF €1.83 BILLION OR APPROXIMATELY US$2.12 BILLION • REVENUE MULTIPLE OF 2.5x AND EBITDA MULTIPLE OF 22x • PRIMARILY CASH, WITH €150 MILLION CONSIDERATION IN SHARES, INDICATING STRONG VERSACE FAMILY SUPPORT • RAPIDLY ACCRETIVE TO
Slide 12: An $8 Billion Opportunity
AN $8 BILLION OPPORTUNITY MICHAEL KORS • $2B REVENUE GOAL • $1B REVENUE GOAL • $5B REVENUE GOAL • BUILD ON VERSACE’S LUXURY • EXPAND GLOBAL RETAIL • BUILD ON RUNWAY 2020 RUNWAY MOMENTUM FOOTPRINT MOMENTUM • PRODUCT INNOVATION • ENHANCE VERSACE’S • ACCELERATE FOOTWEAR • BRAND ENGAGEMENT POWERFUL AND
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