Investor and Analyst Day Presentation
North America Route Based Services
Ability to Execute Accretive M&A to Fuel Growth and Build Scale
Small Tuck-In Value Enhancing Opportunities
Acquisitions are highly accretive to DS Services
•
Proven ability to identify and execute both tuck-ins and transformational transactions
Cott
•
4.0
3.5
Historical average post synergy EBITDA multiple of 3.0x for smaller customer list acquisitions in areas of high /
complementary geographic and service overlap (larger transactions where a greater proportion of infrastructure is retained
approx. 5.0x post synergy EBITDA multiple)
With a highly fragmented market in the water delivery services category, DS Services has an extensive M&A pipeline with
many opportunities
Post Synergy EBITDA Multiples of ~3.0x
For Smaller Customer List Acquisitions in Areas of High
Geographic Overlap
3.3
Proven Acquisition Track Record
•
3.3
3.2
3.2 3.2
•
3.0
2.8
2.8
2.8-
●
2.4
2.4
•
2.5
2.0
2.0
1.5
10
1.0
0.5
0.0
2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017
Source: Cott Management.
Alhambra® BELMONT® Crystal DEEP ROCK Hinckley. NAVARAMA Kentwod Mouflympus
WATER
Springs
SPRINGS
$10 to $20M per year in tuck-in acquisitions
Average annualized revenues of $2.0M
Post Synergy Multiple of ~3.0x
Cost per new customer through M&A compares
favorably to traditional, organic channels
Realized significant cost synergies in prior
acquisitions by rationalizing assets, customer
service, IT and other overhead and back-office
functions
•
Synergies realized by combining delivery routes to
increase route density
.
Customer stickiness is also higher due to the
acquisition of "seasoned" customers
NURSERY
SPRINGS
relyant* Sierra Sparkletts Sparkletts ice STANDARDTM
8%
coffee
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