Baird Investment Banking Pitch Book slide image

Baird Investment Banking Pitch Book

1 AM SELECTED PUBLIC COMPARABLES ANALYSIS ($ in millions, except per unit data) ā˜ Baird applied the range of valuation multiples derived from the high growth MLPs in its Selected Public Comparables Analysis in recognition of AM's current growth rate Yield (5) (6) Price / CAFD (4) EV/ EBITDA Metric 2019E Yield 2020E Yield Price / 2019E CAFD Price / 2020E CAFD EV/2019E Adj. EBITDA EV/ 2020E Adj. EBITDA AM Metric (1) $2.21 $2.85 Source: Antero management. (1) IDR cash flow excluded from AM metric. (2) Based on range of high growth midstream MLP peers (see previous page). Median of 2019E and 2020E values. (3) (4) $2.75 $3.24 $753 $867 Selected Metrics Range (2) Low High 6.5% 7.8% 8.9% 11.0% Implied AM Price Per Common Unit (3) 8.2x 7.8x Implied AM Price Per Common Unit (3) 8.2x 6.9x 12.8x 11.4x Implied AM Firm Value (3) Less: Net Debt (5) Implied AM Equity Value AM Total Common Units Outstanding Implied AM Price Per Common Unit Overall Implied AM Common Unit Price - AM Management Case (6) 11.0x 8.6x Defined as Price per LP unit divided by cash available for distribution to the LP unit holders under a full payout scenario. Represents estimated net debt and fully diluted common units outstanding as of September 30, 2018. Applies equal weighting to each respective summary range. Overall Implied AM Common Unit Price - AM Modified Coverage Case (6) (5) Tellminan. Draft Implied AM Valuation Range Low High $24.71 $25.98 $25.35 $22.52 $25.24 $23.88 $6,189 $6,011 $6,100 ($1,522) $4,578 188.1 $24.34 $24.52 BAIRD $24.45 $34.12 $36.43 $35.28 $35.24 $36.93 $36.09 $8,321 $7,488 $7,904 ($1,522) $6,382 188.1 $33.93 $35.10 $34.97 Project Bronco | Page 40
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