Renewable Diesel Market Value Proposition slide image

Renewable Diesel Market Value Proposition

✓ POTENTIAL VALUE PROPOSITION V MRL will become the only pure-play Renewable Diesel producer 16.0x Other RD producers are weighted with lower-multiple food, fossil, and biodiesel businesses 12.0x CVX is acquiring REGI in an all-cash offer at $3.1 Bn (plus ~$1B remaining capex costs for 2024 Geismar expansion) 8.0x EV/EBITDA Multiples Establishes 13x multiple for a predominantly-biodiesel operator 13.4x 11.9x Pure RD multiples likely to be higher based on better quality of earnings 4.0x 7.7x Implied MRL EV ranges from $2.6 to $4.2 Billion assuming 10-12x multiple and $260- 350MM EBITDA 0.0x RD plus Food (DAR) RD plus Fossil RD plus Biodiesel (Neste) (REGI) Source: Factset, Current Market Enterprise Value, 2023E Consensus EBITDA Projection (April 23, 2022). 27
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