Management Resource Solutions Strategic Acquisition of SubZero Group August 2016
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Executive Summary Management Resource Solutions (“MRS”) has entered into an Asset Sale Agreement to acquire selected assets of the SubZero Group Limited (“SubZero”) for $6.1m (the “Transaction), comprising; $1.0m in cash upfront, • • $0.5m in cash 12 months after transaction completion, • $1.8m in MRS shares; and • the assumption of certain liabilities. SubZero offers on and off-site structural, mechanical and support services to top tier coal mining companies in the Hunter Valley region The transaction is an opportunity for MRS to acquire a well established, profitable business at a low point in the resource cycle Underlying profitable business with strong gross margins The Transaction is value accretive, with an EV / EBITDA multiple of 2.0x - 3.0x Pro forma 2016FY revenues of the combined MRS and Subzero businesses in the order of $80m Acquiring SubZero adds significant value to MRS 3
Contents 1. MRS Overview 2. Transaction Summary 3. SubZero Group Overview 4. Acquisition Funding MRS Transaction SubZero Acquisition Overview Summary Overview Funding 4
Management Resource Solutions MRS Overview MRS Transaction SubZero Acquisition Overview Summary Overview Funding
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