Baird Investment Banking Pitch Book slide image

Baird Investment Banking Pitch Book

1 AM SELECTED PUBLIC COMPARABLES ($ in millions, except per unit data) High Growth Mature MLPs Partnership CNX Midstream Partners LP Hess Midstream Partners LP Noble Midstream Partners LP Oasis Midstream Partners LP Low Median High EnLink Midstream Partners, LP EQT Midstream Partners, LP Western Gas Partners, LP Low Median High Antero Midstream Partners LP (6) Antero Midstream Partners LP (7) Market Stats 10/05/18 Unit Price $19.92 22.88 40.36 22.62 $18.68 52.67 45.80 $29.74 $29.74 Implied Firm Value (1) $1,766 1,218 2,769 1,129 $1,129 1,492 2,769 $12,422 9,476 12,065 $9,476 12,065 12,422 $6,963 $6,963 Current Yield 6.7% 6.0% 5.3% 7.3% 5.3% 6.4% 7.3% 8.4% 8.3% 8.3% 8.3% 8.3% 8.4% 5.6% 5.6% 2018E 6.8% 7.9% 6.2% 7.1% 5.4% 5.4% 6.5% 7.4% Yield 2019€ 7.4% 8.9% 8.4% 8.3% 8.3% 6.5% Valuation Statistics Price / CAFD per LP (2) 2019E 2020E 2020E 9.0% 8.9% 8.1% 11.0% 6.5% 7.8% 7.5% 8.6% 8.9% 11.0% 7.8% 10.1x 8.4% 8.5% 9.5% 10.8% 8.3% 8.4% 8.5% 8.3% 8.9% 9.3% 8.4% 9.5% 10.8% 9.7x 5.7% 7.5% 9.4% 5.8% 7.4% 9.6% 12.8x 11.4x 8.5x 7.8x 8.2x 9.5x 8.1x 8.2x 7.8x 8.2x 9.9x 8.3x 10.1x 12.8x 11.4x 11.0x 10.8x 8.2x 12.0x 10.3x Source: Antero management, Company Fillings and Wall Street Research as of October 5, 2018. Note: Market data are pro forma for any capital markets and M&A transactions announced or completed since the most recent filings. (1) Implied Firm Value excludes the value of the general partner's IDRS. (2) Defined as Price per LP unit divided by cash available for distribution to the LP unit holders under a full payout scenario. (3) Wall Street consensus estimates. (4) EBITDA less IDR distributions to sponsor. Enterprise Value / Ad. EBITDA (3)(4) 2019E 2020E 9.3% 10.4x 10.1x 11.1x (5) Represents the percentage of total distributions paid out to the IDRS. (6) Implied Firm Value based on June 30, 2018 10-Q. Cash flow and distribution metrics based on Wall Street consensus estimates. (7) Implied Firm Value based on June 30, 2018 10-Q, Cash flow and distribution metrics based on Antero management forecast. 8.2x 11.0x 10.2x 9.2x 10.0x 10.7x 10.1x 12.0x 11.2x 9.3x 6.9x 9.9x 8.6x 7.7x 9.5x 8.2x 10.4x 10.1x 9.3x 11.1x 9.8x 10.7x 10.1x 12.0x 11.2x 9.2x 7.8x 8.0x 6.9x 7.9x 8.6x 7.7x 9.8x 8.4x 8.0x Telliminary Graft Distribution CAGR (3) 2018E-2021E 15.1% 14.3% 20.0% 18.6% 14.3% 16.9% 20.0% 0.7% 10.6% 5.3% 0.7% 5.3% 10.6% 23.1% 25.9% Growth and Financial Health % of Total 2019E Dist. to IDRS (5) Dist. Cash Flow/ Total Distributions (3) 2019E 2020E 18.2% 3.2% 16.5% 3.6% 3.2% 10.0% 18.2% 9.8% 36.1% 35.2% 9.8% 35.2% 36.1% 36.5% 36.3% 1.50x 1.13x 1.89x 1.63x 1.21x 1.13x 1.13x 1.14x 1.57x 1.41x 1.89x 1.76x 1.10x 1.13x 1.21x 1.53x 1.14x 1.14x 1.31x 1.76x 1.30x 1.10k 1.08 1.29x 1.16x 1.08x 1.16x 1.29x 1.04x BAIRD 1.16x Net Debt / 2018E EBITDA (3) 2.5x NM 2.3x 2.4x 2.3x 2.4x 2.5x 3.8x 3.0x 3.4x 3.0x 3,4x 3.8x 2.0x 2.3x Project Bronco | Page 39
View entire presentation