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
$31.17
Discounted Cash Flow Analysis
$23.95
$32.74
$16.14
$29.98 $30.31
$23
1
I
Proposed
Consideration: I
$19.00
I
EBITDA Exit Multiple:
5.5x - 8.0x
$24.70
$31.87
Discount Rate:
WACC or 8.0% - 9.0%
$16.89
$28.97
$23.59
Perpetuity Growth Rate:
0.5% -1.5%
2022E EBITDA
$27.30
$17.65
$28.87
$9.83
Peer Group Trading Analysis
$25.71
$16.53
2022E EBITDA Multiple:
5.5x - 8.0x
2023E EBITDA
$31.92
$20.08
$33.48
$12.27
$29.46 $29.01
$18.42
2023E EBITDA Multiple:
5.0x - 7.5x
Confidential - Preliminary and Subject to Change
2024E EBITDA
$17.36
$30.57
$9.55
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
17
EVERCORE
$27.94
$16.66
2024E EBITDA Multiple:
4.5x - 7.0x
Precedent M&A
Transactions Analysis
2023E EBITDA
$36.66
$24.82
$38.22
$17.00
$33.88
$22.84
2023E EBITDA Multiple:
6.0x - 8.5x
Sensitivity Case #1
Sensitivity Case #3
Discounted
Distributions Analysis
$32.59
$24.06
$34.15
$16.25
$31.59
$23.35
Terminal Yield of:
8.0% - 12.0%
Equity Cost or Capital or
9.0% - 11.0%
Sensitivity Case #21
ŞİŞECAMView entire presentation