Tudor, Pickering, Holt & Co Investment Banking slide image

Tudor, Pickering, Holt & Co Investment Banking

Management Projections: AMGP AR Downside Volumes Case (in millions, unless otherwise noted) IDR LLC, Series B Cash Flow, and Tax Observations IDR LLC owns the 100% of the IDRS in AM and has two share classes AMGP owns 100% of the Series A units Management owns 100% of the Series B units ■ ☐ ■ Series B unitholders are entitled to receive up to 6% of the distributions from AM in excess of $7.5MM per quarter Remaining profits pass through AMGP via Series A shares Series B units scheduled to vest at a value of 6% of equity value above $2 billion in the event of a liquidation of IDR LLC AMGP currently pays corporate taxes of 21% and 4% at the federal and state taxes, respectively IDR LLC Cash Flow Distributions to AMGP □ Taxes DGBA Series B Reserved CF $69 $17 $1 5316 $10 $48 2016A 2017A $2 $144 $101 $2 $225 $53 $157 2019E $2 $306 $73 $215 2020E $2 (3) (4) (5) Illustrative yield based on regression analysis as presented on page 91. $380 $90 $266 2021E $2 $464 $26 $111 $326 2022E AMGP Total Distributions SQ AM Distribution Policy 2018E Source: Management Projections, Company Filings. (1) Implied AMGP and Series B valuation from 2016A through 2020E based on 2018E yield. Implied AMGP and Series B valuation from 2021E forward based on yield vs growth regression analysis derived on slide 18. Excludes IPO related GEA. Series & Valuation calculated as 6% of the valuation of AMGP less $2 billion. $52 $10 GRADI 2016A Serie: B Take Taxes AM Distributions to IDR LLC Cash Distributions to AMGP $86 CAFD to AMGP Shareholders rathe Yeld AMGP Valuation 2017A Series B Valuation $48 $144 $101 AMGP & Series B Unit Valuation (1,2,5) 2018E $17 (7) $192 $10 $157 NUW 2019E 2016A 2017A 2018 (7) $59 $1,700 SQ AM Fully Distributed $273 N/A $215 2020E $137 CONFIDENTIAL DRAFT SUBJECT TO CHANGE $101 3.3% $213 (2) (53) $157 3.3% $3,049 54.769 $314 202 1E $166 $266 2019E 2020E 2021E 2022E $290 (2) (73) $215 $371 $270 $326 2022E (2) (90) $266 $5,512 TUDORPICKERING HOLT&COI: *18 - '22 CAGR EVERGY INVESTMENT & MERCHANT BANKING 34% 27%! $438 (2) $326 5.7% $224 79
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