LionTree Investment Banking Pitch Book
Value of Luna Offer - Sensitivity on Luna Stock Price
Luna Stock Price
% Premium/ (Discount) to Current Price:
Exchange Ratio
Value of Stock Portion Per Share (post 3% discount)
Value of Cash Portion Per Share
Value of Offer Pre-Synergies
PV of Cost Synergies ($mm)¹
PV of Tax Synergies ($mm)¹
PV of Synergies ($mm)¹
Saturn PF Ownership (incl. Equity Raise)²
PV of Synergies to Saturn Shareholders ($mm)
Saturn Shares Outstanding @Offer (mm)³
Synergies per Saturn Share
Value of Offer (Incl. Synergies)
% Premium to Current Class A Satum Price:
% Premium to Satum Midpoint DCF Value Per Share:
Satum Management Case DCF
Satum Sensitivity Case DCF
Satum Research Case DCF
$15.00 $16.00 $17.00 $18.00 $19.00 $20.00 $21.25 $22.00 $23.00 $24.00 $25.00
(29.4%) (24.7%) (20.0%) (15.3%) (10.6%) (5.9%) 0.0% 3.5% 8.2% 12.9% 17.6%
0.566x 0.566x 0.566x 0.566x 0.566x 0.566x 0.566x 0.566x 0.566x 0.566x 0.566x
$8.24 $8.78 $9.33 $9.88 $10.43 $10.98 $11.67 $12.08 $12.63 $13.18 $13.73
$20.00 $20.00 $20.00 $20.00 $20.00 $20.00 $20.00 $20.00 $20.00 $20.00 $20.00
$28.24 $28.78 $29.33 $29.88 $30.43 $30.98 $31.67 $32.08 $32.63 $33.18 $33.73
295
586
881
24.4%
Draft Working Materials - Subject to Change
215
100
16.8%
295
295 295
586
586
586
586
881
881
881
24.4% 24.4% 24.4% 24.4%
215
100
295
215
100
215
100
881
215
100
295
586
881
24.4%
215
100
$2.15
295 295 295
295
586
586
586
586
881
881
881
881
24.4% 24.4% 24.4% 24.4%
215
100
215
100
215
100
215
100
295
586
881
18.9% 21.0% 23.2% 25.3% 27.4% 30.0% 31.6% 33.7% 35.8%
24.4%
$2.15 $2.15 $2.15 $2.15
$2.15 $2.15 $2.15 $2.15 $2.15 $2.15
$30.39 $30.94 $31.49 $32.03 $32.58 $33.13 $33.82 $34.23 $34.78 $35.33 $35.88
37.9%
215
100
(5.7%) (4.0%) (2.3%) (0.6%) 1.1% 2.8% 5.0% 6,2% 7.9% 9.6% 11.4%
2.4% 4.2% 6.1% 7.9% 9.8% 11.6% 13.9% 15.3% 17.2% 19.0% 20.9%
11.5% 13.5% 15.5% 17.5% 19.5% 21.5% 24.1% 25.6% 27.6% 29.6% 31.6%
Note:
1) Synergies are preliminary and subject to diligence; assumes $40mm in run rate cost synergies phased in 50% in 2017 and 100% in 2018 and beyond, net of $30mm
LionTree of integration costs; -$57mm in annual tax savings
2) Assumes equity raised at current Luna price of $21.25
3) Excludes Saturn shares held by Luna
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