Avantor Results Presentation Deck
Capital allocation update
Long-term
target:
2X-4X
7.0X
524
YE 2018
Navantor™
Adjusted net leverage
4.6X
440
YE 2019
4.0X
308
YE 2020
Adjusted net leverage
Annual net interest expense ($M)
4.2X
217
YE 2021
-3.5X
~260
YE 2022E¹
-
Outlook
Primary near-term focus is
deleveraging
~70% of current debt insulated from
rate increases, including hedges²
2023 interest expense to reflect
continued benefits of deleveraging,
offset by rising variable rates
M&A remains a key component of
long-term playbook, but bar is high
in current environment
1. Assuming 100% of free cash flow used to pay down debt.
2. Swapped the floating rate portion, exclusive of the spread, of $750M USD LIBOR debt to a EUR fixed rate of 1.091% on EUR 732.1M notional.
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