Investor Presentaiton
Content
BORAL®
1. Overview of the transaction / strategic rationale
2. USG's IP / Technology and adjacent products
3. JV's combined footprint and markets
4. Synergies
5. Key transaction terms
6. Company specific factors
7. Summary
Appendix
USG
Estimated transaction value1
"
Estimated asset value of the joint venture is US$1.6bn¹
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BORAL®
USG
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US$1.35bn for assets contributed by Boral; US$0.25bn for assets contributed by USG
USG's contributed assets include a perpetual licence in the JV's Territory to USG's current
plasterboard technology, and the ceilings, joint compound and grid technologies currently
used in the Territory (including improvements to current technologies)
Up to US$575m total payment from USG to Boral:
US$500m cash upfront
Earn out payments totalling up to US$75m² (net present value of ~US$50m)
USD
Assets
Cash
NPV of earn out
Net contribution to JV
BORAL
USG
$1,350m¹
$250m¹
($500m)
Balancing cash
payment
$500m
($50m)²
From JV earnings
$50m²
$800m
$800m
1. Subject to finalisation of fair valuation, completion adjustments and final foreign exchange rates at the date of completion
Including USG's and Boral's respective shares in non-controlling and controlled interests
2. Subject to achieving three- and five-year earnings targets
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