Evercore Investment Banking Pitch Book
Preliminary Valuation of SIRE Common Units
1,2 Valuation Summary - Sensitivity Cases #1, #2 and #3 - Common Units
3
$50.00
$45.00
$40.00
$35.00
$30.00
$25.00
$20.00
$15.00
$10.00
$5.00
$--
1.
EBITDA Exit Multiple Perpetuity Growth
$31.96
Discounted Cash Flow Analysis
$24.54
$33.82
$16.97
$28.54
$21.82
1
I
Proposed
Consideration: I
$19.00
I
EBITDA Exit Multiple:
5.5x - 8.0x
$30.52
$24.99
$32.38
$17.42
Discount Rate:
WACC or 8.25% - 9.25%
$26.81 $27.17
$21.95
Perpetuity Growth Rate:
0.5% -1.5%
2022E EBITDA
$17.55
$29.03
$9.98
Peer Group Trading Analysis
$24.72
$15.84
2022E EBITDA Multiple:
5.5x - 8.0x
2023E EBITDA
$30.77
$19.31
$32.63
$11.74
$28.49
2023E EBITDA Multiple:
5.0x - 7.5x
Confidential - Preliminary and Subject to Change
2024E EBITDA
$29.56
$17.76 $17.72
$31.42
$10.15
Valuation ranges represent Case 1 ranges plus / minus the upper / lower implied unit value of the Unit 8 Expansion assuming $504.2 million /
$835.0 million of Unit 8 growth capital expenditures and a discount rate for incremental Unit 8 unlevered free cash flows of 10.0% / 15.0%, respectively
EVERCORE
18
$27.08
$16.09
2024E EBITDA Multiple:
4.5x - 7.0x
Precedent M&A
Transactions Analysis
2023E EBITDA
$35.35
$23.90
$37.22
$16.33
2023E EBITDA Multiple:
6.0x - 8.5x
Discounted
$33.56
$32.78
I
$24.84
$22.05
Sensitivity Case #1
Sensitivity Case #3
Distributions Analysis
$35.42
$17.27
$30.61
$22.64
Terminal Yield of:
8.0% - 12.0%
Equity Cost or Capital or
9.0% - 11.0%
Sensitivity Case #2¹
ŞİŞECAMView entire presentation