Baird Investment Banking Pitch Book
($ in millions, unless otherwise noted)
TRANSACTION MECHANICS INCLUDING A CASH COMPONENT
(1)
Current
AMGP
Price
$18.61
18.61
18.61
18.61
18.61
AMGP / AM
Share
Exchange
Ratio
1.6x
1.7x
1.8x
1.9x
2.0x
B
Takeout
Price
$29.78
31.64
33.50
35.36
37.22
AM Units
O/S
(mm)
187
187
187
187
187
Benefits: May be a source of capital to initiate a
buyback program at AR
Considerations: AR would lose out on potential
longer-term upside of holding new AMGP shares
Equity
Value
(before cash)
$5,569 +
5,917
6,265
6,613
6,961
Confidende Preliminary Praft
Results in proforma leverage at AMGP of 3.0x NTM EBITDA.
Equal the total implied exchange ratio if the transaction were done with 100% equity, including the $750 million cash component.
Plus:
Cash
Equity
Exchange
Ratio
1.60x
1.70x
1.80x
1.90x
2.00x
(1)
$750
750
750
750
750
$0
1.60x
=
1.70x
1.80x
1.90x
2.00x
Total
Equity
Value
$6,319
6,667
7,015
7,363
7,711
INV
Implied All-in Exchange Ratio (2)
Implied All-in
Exchange
Ratio
(incl.cash)
1.77x
1.87x
1.97x
2.07x
Cash Component
$250
1.67x
$500
1.74x
1.84x
1.94x
2.04x
2.14x
1.8x
1.915x
(2)
2.0x
2.1x
2.2x
$750
1.82x
1.92x
2.02x
2.12x
2.22x
BAIRD
Project Bronco | Page 13.View entire presentation