Baird Investment Banking Pitch Book
POTENTIAL AMGP PERSPECTIVES ON EXCHANGE RATIO
Hypothetical analysis assuming AMGP's maximum all-in exchange ratio is 1.7x
Current
AMGP Price
$19.22 X
$19.22 X
$19.22
2019E
ISQ
$2.21 $2.21
X
AM Distributions / LP Unit
$2.85 $2.85
2020E
All-in
Exchange
1.70x
1.70x
1.70x
PF (1.7x exchange)
$3.42 $3.41
2021E
=
=
Total Takeout
Price
$32.67
$32.67
$4.10 $4.13
2022E
$32.67
1.31x
Cash per
AM Unit
Required Coverage Ratio
Adjustment to Hold AM Flat
2019E
$3.84 =
$3.00 =
$2.50
Source: Antero management projections.
Total cash from midstream investments, including any upfront cash from a potential transaction.
ISQ PF (1.7x exchange)
1.17x 1.16x 1.11x 1.11x 1.10x 1.05x 1.06x
Confidenes Preliminary, Graft
Equity
Exchange
$28.83
$29.67 ÷
$30.17 +
2020E
2021E
2022E
Current
AMGP Price
$19.22
$19.22
$19.22
=
=
$1,244
=
1.7x / $3.00
(un-adj. coverage)
$1,506
$297
Implied Equity
Exchange
$1,210
1.50x
Total Cash to AR (2019-22) (¹)
(S in millions)
SQ
1.54x
1.57x
BAIRD
1.7x / $3.00
(adj. coverage)
$1,540
$297
$1,244
Cash from
transaction
Project Bronco I
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