Evercore Investment Banking Pitch Book slide image

Evercore Investment Banking Pitch Book

Confidential - Preliminary and Subject to Change Financial Projections and Preliminary Valuation Detail - Sensitivity Case #3 ($ in millions, except per unit amounts, Perpetuity Exit Multiple Growth 3 Discounted Cash Flow Analysis - Sensitivity Case #3 Sisecam Wyoming EBITDA Less: Tax Depreciation and Amortization² EBIT Less: Cash Taxes³ EBIAT Plus: Tax Depreciation and Amortization Less: Capital Expenditures Less: Changes in NWC Sisecam Wyoming Unlevered Free Cash Flow SIRE Interest in Sisecam Wyoming SIRE Share of Sisecam Wyoming Unlevered Free Cash Flow Less: SIRE G&A SIRE Unlevered Free Cash Flow EBITDA Multiple / Perpetuity Growth Rate Implied Terminal Value Present Value of Terminal Value @ 8.5% Discount Rate Plus: Present Value of Unlevered Free Cash Flow @ 8.5% Discount Rate Implied Enterprise Value Less: Net Debt as of December 31, 2022 (SIRE's 51% Share) Implied Equity Value SIRE LP Units Outstanding Implied SIRE LP Unit Value Unit Price Sensitivity Analysis WACC 7.5% 8.0% 8.5% 9.0% 9.5% 4.25x $21.87 21.25 20.67 20.12 19.60 Terminal Exit Multiple 5.50x 6.75x $24.83 $27.75 24.30 27.14 23.63 26.54 23.00 25.87 22.40 25.19 2023E $182.8 (630.3) ($447.5) 630.3 (25.6) 0.4 $157.5 51.0% $80.3 (4.0) $76.3 For the Years Ending December 31, 2025E 2026E (9.8) ($447.5) $155.2 8.00x $30.68 29.98 29.31 28.65 27.97 2024E $186.7 (21.7) $165.0 21.7 (26.1) 15.7 $166.5 51.0% $84.9 (4.0) $80.9 9.25x $33.60 32.82 32.07 31.34 30.63 $155.7 (39.8) $115.9 (6.9) $109.0 39.8 (26.7) 8.2 $130.3 51.0% $66.4 (4.0) $62.4 WACC $150.7 (53.8) $97.0 7.5% 8.0% 8.5% 9.0% 9.5% (7.2) $89.8 53.8 (27.3) 0.8 $117.0 51.0% $59.7 (4.0) $55.7 2027E $154.0 (63.2) $90.8 (6.7) $84.1 --% $27.05 25.54 24.12 22.80 21.63 63.2 (27.9) (9.8) $109.5 51.0% $55.9 (4.0) $51.9 2028E $150.8 (67.7) $83.1 (6.1) $76.9 67.7 (28.6) (1.0) $115.0 51.0% $58.7 (4.0) $54.7 1.0% $29.55 27.66 26.02 24.48 23.09 $72.9¹ 6.75x $492.0 301.6 $610.0 $536.1 Perpetuity Growth Rate 0.5% $28.21 26.53 25.03 23.59 22.32 $26.54 308.4 (73.9) 20.2 1.5% $31.10 28.97 27.13 25.49 23.96 $150.8 (28.6) $122.2 (45.2) $77.0 28.6 (28.6) $77.0 51.0% $39.3 (4.0) $35.3 1.0% $474.8 291.0 $599.5 $525.6 $26.02 2.0% $32.95 30.49 28.40 26.60 24.94 Source: SIRE Financial Projections, SIRE management 1. 51% of Sisecam Wyoming EBITDA less $4.0 million SIRE G&A 2. 2022E tax DD&A assumes 100.0% bonus depreciation calculated as the midpoint of the enterprise value range plus 2022E capital expenditures; 2023E and 2024E tax DD&A assumes 100.0% bonus depreciation on capital expenditures; bonus depreciation phase-down on growth capital expenditures in 2025E (80.0%) and 2026E (60.0%) 3. Assumes unitholder tax rate of 29.6% from 2023E to 2025E and 37.0% thereafter 4. Includes 2.0% general partner interest, economically equivalent to 399,000 LP Units at current quarterly distribution EVERCORE 42 ŞİŞECAM
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