One Company Speeding up the global growth strategy June 2019
ASTM & SIAS merger 1 ONE COMPANY ASTM & SIAS GROUP 1.1 Transaction overview Agenda 1.2 Strategic rationale ASTM Figures 2 2 3 Business Unit overview 3.1 Concessions 3.2 EPC 3.3 Technology Strategic Updates 4 5 Appendix 2
1 ASTM & SIAS merger
Transaction overview ONE COMPANY ASTM & SIAS GROUP ◼ ASTM to launch a VTO on up to 5% (c.20% of Free Float) of SIAS share capital at a price of €17.50/ sh Transaction ◼ SIAS to merge into ASTM conditionally to successful voluntary tender offer (“VTO”) execution (waivable) structure 1.1 Merger Transaction ◼ 0.55x ASTM newly-issued shares for each SIAS ordinary share exchange overview ratio Merger ◼ SIAS corporate purpose to be integrated in ASTM ◼ ASTM shareholders who do not approve transaction entitled to withdrawal rights (withdrawal right price of €21.76/ sh) withdrawal ◼ Withdrawal right cap of €50m rights Illustrative timeline Withdrawal rights period VTO period 16 Oct 2019 31 Dec 2019 Estimated by Summer 2019 ASTM / SIAS Merger is VTO by ASTM on SIAS EGMs effective June July August September October November December January 13 Jun 2019 Nov 2019 Transaction ASTM withdrawal announcement rights expire 4
Transaction Rationale and Main benefits Transaction rationale and main benefits ONE COMPANY ❶ ASTM & SIAS GROUP Creation of a global leader in the infrastructure space 1.2 ▪ Diversified and synergic portfolio with three business units covering the entire value chain under “ One Company” Strategic ▪ Increasing the ability of business development and risk control rationale ▪ Rationalisation of crossed shareholdings (e.g. Itinera, EcoRodovias) ❷ Simplified corporate governance ▪ Organisational structure in line with Group strategy ▪ Streamlining of decision-making processes ❸ Rationalised capital and cost structure ▪ Simplified capital structure and positive impact on access to capital markets ▪ A more efficient cost structure ❹ Increased stock liquidity and reduced holding discount ▪ Reduced holding discount ▪ Increased stock liquidity of the combined entity ▪ Elimination of share price asymmetries and consolidation of the shareholder base ▪ Improved quality of stock coverage 5
Creation of a global leader in the infrastructure space ONE COMPANY ASTM & SIAS GROUP FINANCING 1.2 Strategic A Global Player in rationale the infrastructure sector, with particolar skills in the origination, financing, ORIGINATION construction and CONSTRUCTIONS GREENFIELD management of YELLOWFIELD concession, with a CONCESSION pro-active approach in portfolio management MANAGEMENT Potential asset Potential asset rotation rotation 6
Simplified corporate governance ONE COMPANY Current illustrative Group structure ASTM & SIAS GROUP 1.2 ASTM Key entities Strategic Foreign activities rationale Italian activities Itinera SINA EPC EPC SIAS EcoRodovias Euroimpianti SINELEC Italian EPC Technology Toll-roads Post-merger illustrative Group structure ◼ Shorter control chain ASTM / SIAS ◼ Diversified, large conglomerate operating mainly in: ◼ Toll-roads operations ◼ EPC Itinera SINA Euroimpianti SINELEC Italian ◼ Technology EcoRodovias EPC EPC EPC Technology Toll-roads 7 EPC TOLL-ROADS
Rationalised capital and cost structure ONE COMPANY ASTM & SIAS GROUP ▪ More efficient bidding process (i.e. increased success rate) 1.2 Growth ▪ Proactive approach in portfolio management Strategic rationale ▪ Economies of scale focused on procurement and services ▪ Simplified organisational structure Efficiency ▪ Elimination of double listing costs Risk ▪ Reduced risk and volatility diversification Dividend ▪ 60% of the Combined Entity Consolidated Net Results policy ▪ Moody’s confirmed the Baa2 senior secured rating and upgraded the company's senior unsecured MTN rating to Baa2 from Baa3 Rating ▪ Fitch confirmed BBB+ for both secured and unsecured VTO and ▪ Very limited cost of funding withdrawal financing 8
ASTM & SIAS historical price performance 28.00 ONE COMPANY Period ASTM VWAP ASTM & SIAS GROUP 1 month 23.57 1.2 26.00 3 months 23.30 Strategic 6 months 21.84 24.00 rationale 12 months 20.16 24 months 20.58 22.00 €21.76 20.00 Withdrawal Right price 18.00 16.00 14.00 Period SIAS VWAP Offer premium (%) 1 1 month 15.53 12.651 12.00 3 months 15.14 15.562 6 months 13.97 25.299 10.00 31May17 – 12June19: +86% 12 months 13.31 31.480 SIAS Total Return 31May17 (2) 9.95 75.879 8.00 01/06/17 01/08/17 01/10/17 01/12/17 01/02/18 01/04/18 01/06/18 01/08/18 01/10/18 01/12/18 01/02/19 01/04/19 01/06/19 Source: Factset 1 Based on an offer price of €17.50/ sh 9 2 Convertible bond maturity with strike price of €10.50
Increased stock liquidity and reduced holding discount ASTM shareholder structure 1 SIAS shareholder structure ONE COMPANY ASTM & SIAS GROUP 1.2 Free Float Major 29,1% Strategic shareholders 64,1% rationale Free Float 35,9% Major shareholders 70,9% Combined entity with VTO 100% subscribed 1 Major shareholders 51,9% Free Float 48,1% 1 Excluding treasury shares 10
2 ASTM figures
2018 ONE COMPANY ASTM & SIAS GROUP 2. € 1,717m € 771m € 167m ASTM figures Revenues EBITDA Group Net Income +20% +7% +11% € 1.3bn € 4.4bn € 3.1bn Net Financial Net Capital Equity Position Employed (1,85x EBITDA) € 2,798m € 594m 4,577 Available sources Funds From Employees of funding Operations (FFO) 12
Net Debt and available source composition ONE COMPANY ASTM & SIAS GROUP 2. Net Debt Available source composition ASTM figures March 31 st 2019 Dec 31 st 2018 March 31 st 2019 € in millions € in millions Cash and Cash Equivalent* 1,650 Cash and cash 1,615 1,650 equivalent (*) Committed undrawn credit lines 535 (CDP, Pool Autovia + back up) Short-term debt (502) (500) Long-term debt (2,369) (2,403) Uncommitted undrawn credit lines 640 Other financial 120 121 receivables TOTAL UNDRAWN CREDIT LINES 1,175 Fondo Centrale di (133) (135) Garanzia TOTAL AVAILABLE SOURCES 2,825 OF FUNDING Net Debt (1,269) (1,267) * Excluding bank overdraft 13
3 Business units overview 3.1 Concessions 3.2 EPC 3.3 Technology
One Company: creation of a global leader in the infrastructure space ONE COMPANY ASTM & SIAS GROUP 3. Origination Financing Construction Management Business units overview Toll-roads operations One Company Value creation EPC for stakeholders Major shareholders’ commitment Technology Focus on core business with exposure to different geographies and expansion of current portfolio 15
Italian portfolio Direct Investments ONE COMPANY ASTM & SIAS GROUP Estimated TV at FY18 EBITDA (€m) 3.1 Company Concessions Stake Maturity vs 2017 the end of concession (€m) Concessions [ - ] 1 A4: Torino – Milano Dec-26 213 +9.8% SATAP 99.87% +1.7% A21: Torino – Piacenza Jun-17 128 118 A12: Sestri Levante-Livorno Jul-19 124 -1.5% 264 SALT 95.18% A15: La Spezia-Parma Dec-31 64 +2.0% - SAV A5: Quincinetto-Aosta 65.09% Dec-32 47 -2.8% - +0.4% A10: Savona-Ventimiglia Nov-21 99 160 ADF 73.00% A6: Torino-Savona Dec-38 37 +7.1% - +23.5y from the ASTI-CUNEO A33: Asti-Cuneo 60.00% 3 +9.7% - completion date AUTOVIA PADANA 2 n.a. A21: Piacenza-Brescia 51.00% Feb-43 23 - Equity Investments FY18 EBITDA (€m) TV (€m) Company Concessions Stake Maturity vs 2017 A32-T4: Traforo del Frejus SITAF 36.50% Dec-50 86 +13.0% - Torino-Bardonecchia ATIVA +0.9% A4-A5: Tangenziale di Torino 41.17% Aug-16 75 131 A58: Tangenziale esterna di TE 48.30% Apr-65 40 +25.0% - Milano T2: Traforo del Gran San SITRASB 36.50% Dec-34 4 >100% - Bernardo 1) Under Cross Financing Plan a significant Terminal Value will be recognized Effective from March 1 st 2018 16 2)
Italian concession figures 2018 ONE COMPANY ASTM & SIAS GROUP 3.1 CONCESSIONS KILOMETRES REVENUES EBITDA CAPEX Concessions 1,423 €1,135m €738m €149m 9 +112Km +1 +8.4% +6.5% 2018 TARIFF TRAFFIC +8.55% (*) +3.02% 1Q19 Highlights CAPEX REVENUES 2019 TARIFF TRAFFIC €259m €49m +0.42% +10.19% (*) +7.1% 17 (*) Including Autovia Padana entered in SIAS consolidated perimeter on March,1 st , 2018
Brazilian portfolio ONE COMPANY ASTM & SIAS GROUP FY18 EBITDA Company Concessions Stake % Km Maturity vs 2017 (R$m) 3.1 ECOVIAS DOS Jun – 26 Concessions San Paolo-Porto Santos 100% 177 769 (3%) IMIGRANTES San Paolo- Jun – 39 ECOPISTAS 100% 144 199 +10% Vale do Rio Paraiba ECOVIA CAMINHO Nov – 21 Curitiba-Porto Paranagua 100% 137 203 (6%) DO MAR Paranà- “ Tripolborder ” Nov – 21 ECOCATARATAS 100% 387 221 +0% Pelotas-Porto Alegre-Porto Rio Mar – 26 ECOSUL 100% 457 214 +11% Grande Macuri/Ba- May – 38 ECO101 100% 476 95 +5% Rio de Janeiro border Rio de Janeiro Noteroi-State of May – 45 ECOPONTE 100% 23 83 +9% Rio de Janeiro San Paolo Dec – 50 (*) ECORODOANEL 100% 48 - - Northern Ring Road Jan – 44 MGO (ECO 050) Minas Gerais Goias 100% 437 - - Jun – 48 ECO135 Montes Claros 100% 364 - - Total 2,649 (*) Expiry date subject to review, based on the date the asset will be assumed 18
Recommend
More recommend
