Glanbia acquisition Analyst call 11 October 2018 1 Cautionary - PowerPoint PPT Presentation

Glanbia acquisition Analyst call 11 October 2018 1

Cautionary Statement 2

Acquisition Highlights Well-established brand in a strategic adjacency to the GPN portfolio Strong brand position in an attractive & growing global category Enterprise value $350 million Earnings accretive from 2019 3 Acquisition of SlimFast

Attractive portfolio 98% brand Ready-to-drink Ready-to-mix Nutritional awareness (“RTD”) (“RTM”) Supplements Lifestyle consumers North America Strategic rationale and UK  Meets the #1 motivation for our lifestyle consumers  Incremental growth category to performance nutrition Primary  Provides scale in RTD and FDMC channel channel  Further opportunities for growth via innovation and distribution expansion FDMC 4 Acquisition of SlimFast

Core need of lifestyle consumers  Managing weight is #1 motivation  Nutrition with regular exercise aligns with GPN lifestyle consumer  RTD and snacks most popular formats to achieve this  Favoured channel FDMC  SlimFast has one of the highest levels of brand awareness in the category Source: Glanbia Capital markets day 23 May 2018 5 Acquisition of SlimFast

Large and growing Category Weight management nutrition products US 33% $8 bn in value Constant Currency Global market (RSV) growth rate 2018 MSD% RoW 67% Source: Euromonitor and Glanbia estimates 6 Acquisition of SlimFast

Financials  Purchase consideration $350m SlimFast Financials  Closing before the end of 2018 $’m 2017  Transaction will be financed by available banking facilities Net Sales 212  A growing business at c.11% Adj. EBITDA 24 EBITA margin Adj. EBITA 23  Earnings accretive from 2019 Adjusted EBITDA is before non recurring costs 7 Acquisition of SlimFast

Conclusion  Strategic adjacency addressing a core consumer need  Attractive growing market incremental to Performance Nutrition  Great capability and scale in FDMC  Earnings accretive from 2019 8 Acquisition of SlimFast