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INDUSTRIAL
MACHINERY
Mergers & Acquisitions Analysis
September 2015
Alps Venture Partners
TRANSACTION MULTIPLES | HISTORICAL TRENDS | GEOGRAPHIC HEAT MAP
1pageA L P S V E N T U RE P A R T N E R S
Merger & Acquisition Summary – Industrial Machinery
Valuation Summary
Total Deal Value ($mm) 100,575
Average Deal Value ($mm) 139
Average TEV/Revenue 1.5x
Average TEV/EBITDA 14.3x
Average Day Prior Premium (%) 29%
Average Week Prior Premium (%) 32%
Average Month Prior Premium (%) 21%
*Source – CapitalIQ, AlpsVP Analysis
Date Range: Jain 1, 2010 – August 15, 2015
info@alpsvp.com
Transaction Ranges
Greater than $1 billion 18
$500 - $999.9 mm 29
$100 - $499.9 mm 121
Less than $100 mm 557
INDUSTRIAL MACHINERY – HISTORICAL TREND ANALYSIS
2pageA L P S V E N T U RE P A R T N E R S
Transaction Multiples - Trends
*Source – CapitalIQ, AlpsVP Analysis;
1.2x
1.9x 1.4x 1.2x 1.6x 1.9x
17.1x
16.5x
10.3x
11.4x
12.5x
18.9x
0.0x
2.0x
4.0x
6.0x
8.0x
10.0x
12.0x
14.0x
16.0x
18.0x
20.0x
2010 2011 2012 2013 2014 2015
Multiples
Average TEV/Revenue
Average TEV/EBITDA
Historical Multiples 2010 2011 2012 2013 2014 2015 5 Year
Average TEV/Revenue 1.2x 1.9x 1.4x 1.2x 1.6x 1.9x 1.4x
Average TEV/EBITDA 17.1x 16.5x 10.3x 11.4x 12.5x 18.9x 13.6x
info@alpsvp.com
3pageA L P S V E N T U RE P A R T N E R S
Transaction Numbers - Trends
*Source – CapitalIQ, AlpsVP Analysis;
1 3 2 4 5 3
2
9 5 4 7
2
14
32
26
18 16 15
102
127
90
80
101
57
-
20
40
60
80
100
120
140
2010 2011 2012 2013 2014 2015
NumberofTransactions
> $1 billion
$500 - $999.9mm
$100 - $499.9mm
Less than $100mm
(in $ Million) 2010 2011 2012 2013 2014 2015 5 Year
Average Deal Value 63 122 162 165 173 162 137
info@alpsvp.com
4pageA L P S V E N T U RE P A R T N E R S
Geographic Heat Map
*Source – CapitalIQ, AlpsVP Analysis; Number of transactions in Major Regions;
Asia Pacific – 36%Americas – 23% Europe/MENA/Africa – 41%
info@alpsvp.com
Region / Transactions Number Total Value Average Size
Asia Pacific 261 11,119 43
Europe/MENA/Africa 299 56,364 189
Americas 165 33,092 201
5pageA L P S V E N T U RE P A R T N E R S
Biggest Transactions
Target Deal Value ($mm)
Tyco Flow Control International Ltd. 5,508
Invensys Limited 5,019
SIG Combibloc Group AG 4,666
Gardner Denver, Inc. 4,140
Charter International Limited 2,891
Robbins & Myers Inc. 2,586
Frank Mohn AS 2,167
Husky International Ltd. 2,100
HX Holding GmbH 1,796
Edwards Group Limited 1,746
*Source – CapitalIQ, AlpsVP Analysis
info@alpsvp.com
Alps Venture Partners has established a team of experts that have experience in valuing businesses
across diverse industry sectors and all developmental stages; ranging from clients with seed funding to
pre-IPO stage. With the team having experience of both valuations and audits, our detailed and
insightful valuation appraisal reports, along with our responsive support, help our clients easily pass
through any stringent audit review process in a smooth, efficient and time-bound manner.
Tax Compliance Financial Reporting Strategic Valuation
Financial Reporting and Tax Compliance Services
IRC 409a
We have experience of handling
more than 2000+ 409a valuations
across Industries. With the team
having experience of both valuations
and audits, our detailed and
insightful Section 409A appraisal
reports, along with our responsive
support, help our clients easily pass
through any stringent audit review
process in a smooth, efficient and
time-bound manner.
Fair Value Measurement
We help PE and VC clients to
comply with ASC 820 and IFRS 13
standard’s complex provisions and
avoid any audit issues in their
quarterly and annual reporting.
Relative TSR Programs
We value the awards with Relative
TSR metrics, using sophisticated
modeling techniques which allow
clients to quickly and accurately
value new grants.
Our business valuation experienced
team along with the team of veteran
Patent lawyers position us uniquely
to assist clients in completing annual
Goodwill and Investment
Impairment testing.
ASC 350 / IAS 38
ASC 718 (FAS 123R)/IFRS 2
Our experienced team at Alps
Venture Partners has performed
hundreds of stock options valuations
for ASC 718 for privately held
companies and publicly listed
companies across diverse industry
sectors and enterprise development
stages.
ASC 805 / IFRS 3
We have unmatched proficiency in
delivering Business Combinations
Accounting solutions to clients in
varied industries. Our
comprehensive USPAP compliant
appraisal reports are auditable and
cost-effective, and help our clients
stay focused on the deal.
IRC 83 B Election
Alps Venture Partners has extensive
experience in assisting companies
seeking to comply with IRC 83 B
election. Failing to make a timely
83(b) election may lead to disastrous
tax consequences for a start-up
company founder or employee.
6pageA L P S V E N T U RE P A R T N E R S
info@alpsvp.com
Corporate Finance Services
We provide clients with high quality
research, analytical and advisory
support for transactions. We offer a
range of services such as initial
opportunity assessment, market
analysis, financial modeling,
commercial and financial due
diligence, valuation, capital structure
planning, and deal structuring.
 Investment Opportunity
Assessment
 Target Identification
 Preparation of Pitch Books
 Buyer & Seller Services
 Fairness Opinions
 Financial Modeling
 Business and Financial Due
Diligence etc.
Transaction advisory
7pageA L P S V E N T U RE P A R T N E R S
Financial Modeling
Whether it is evaluating new
business ventures, proposed
transactions or financial and
operational strategies, a robust and
dynamic financial model is an
integral component to the decision-
making process.
Transaction Identification
We can help by global target
identification considering the
requirements with maximum
synergy.
The financial due diligence process
is a necessity to any transaction. Our
aim is to enable owners and
managers to make such investments
with confidence by supporting and
advising at every stage. We will help
reduce the risk – and stress – of
investing at home or in another
country.
Due Diligence
Custom Research
We provide clients with customized
research report, model, decks with
client specific requirements such as:
 Business plan development,
 Diagnostic review of operations
 Competitor benchmark analysis
 Intellectual Property
info@alpsvp.com
Disclaimer
The contents of this presentation are protected by copyright. You may read the contents and make copies for your own personal use. You
may also give copies of reasonable extracts, on an occasional basis, free of charge to your contacts for their personal use provided that
Alps Venture Partners is acknowledged as the source, the text is not altered in any way, and this warning is brought to their attention. Any
other use or copying of the contents of this presentation is prohibited, unless Alps Venture Partners gives its prior written consent.
For further information please contact us at info@alpsvp.com
Pursuant to Title 17, United States Code, Section 512(c)(2), notifications of claimed copyright infringement under United States copyright
law should be sent to Service Provider’s Designated Agent. ALL INQUIRIES NOT RELEVANT TO THE ABOVE PROCEDURE WILL
RECEIVE NO RESPONSE.
This Agreement (and any further rules, policies, or guidelines incorporated by reference) shall be governed and construed in accordance
with the laws of the United States (USA), United Kingdom, Canada, Brazil, France, and India without giving effect to any principles of
conflicts of law.
Alps Venture Partners welcomes your questions or comments regarding this Statement of Privacy. If you believe that Alps Venture
Partners has not adhered to this Statement, please contact Alps Venture Partners at our given toll free contact numbers.
Copyright © 2015 ALPS VENTURE PARTNERS. All Rights Reserved
pageA L P S V E N T U RE P A R T N E R S 8

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Industrial Machinery - Transactions Summary

  • 1. INDUSTRIAL MACHINERY Mergers & Acquisitions Analysis September 2015 Alps Venture Partners TRANSACTION MULTIPLES | HISTORICAL TRENDS | GEOGRAPHIC HEAT MAP
  • 2. 1pageA L P S V E N T U RE P A R T N E R S Merger & Acquisition Summary – Industrial Machinery Valuation Summary Total Deal Value ($mm) 100,575 Average Deal Value ($mm) 139 Average TEV/Revenue 1.5x Average TEV/EBITDA 14.3x Average Day Prior Premium (%) 29% Average Week Prior Premium (%) 32% Average Month Prior Premium (%) 21% *Source – CapitalIQ, AlpsVP Analysis Date Range: Jain 1, 2010 – August 15, 2015 info@alpsvp.com Transaction Ranges Greater than $1 billion 18 $500 - $999.9 mm 29 $100 - $499.9 mm 121 Less than $100 mm 557
  • 3. INDUSTRIAL MACHINERY – HISTORICAL TREND ANALYSIS
  • 4. 2pageA L P S V E N T U RE P A R T N E R S Transaction Multiples - Trends *Source – CapitalIQ, AlpsVP Analysis; 1.2x 1.9x 1.4x 1.2x 1.6x 1.9x 17.1x 16.5x 10.3x 11.4x 12.5x 18.9x 0.0x 2.0x 4.0x 6.0x 8.0x 10.0x 12.0x 14.0x 16.0x 18.0x 20.0x 2010 2011 2012 2013 2014 2015 Multiples Average TEV/Revenue Average TEV/EBITDA Historical Multiples 2010 2011 2012 2013 2014 2015 5 Year Average TEV/Revenue 1.2x 1.9x 1.4x 1.2x 1.6x 1.9x 1.4x Average TEV/EBITDA 17.1x 16.5x 10.3x 11.4x 12.5x 18.9x 13.6x info@alpsvp.com
  • 5. 3pageA L P S V E N T U RE P A R T N E R S Transaction Numbers - Trends *Source – CapitalIQ, AlpsVP Analysis; 1 3 2 4 5 3 2 9 5 4 7 2 14 32 26 18 16 15 102 127 90 80 101 57 - 20 40 60 80 100 120 140 2010 2011 2012 2013 2014 2015 NumberofTransactions > $1 billion $500 - $999.9mm $100 - $499.9mm Less than $100mm (in $ Million) 2010 2011 2012 2013 2014 2015 5 Year Average Deal Value 63 122 162 165 173 162 137 info@alpsvp.com
  • 6. 4pageA L P S V E N T U RE P A R T N E R S Geographic Heat Map *Source – CapitalIQ, AlpsVP Analysis; Number of transactions in Major Regions; Asia Pacific – 36%Americas – 23% Europe/MENA/Africa – 41% info@alpsvp.com Region / Transactions Number Total Value Average Size Asia Pacific 261 11,119 43 Europe/MENA/Africa 299 56,364 189 Americas 165 33,092 201
  • 7. 5pageA L P S V E N T U RE P A R T N E R S Biggest Transactions Target Deal Value ($mm) Tyco Flow Control International Ltd. 5,508 Invensys Limited 5,019 SIG Combibloc Group AG 4,666 Gardner Denver, Inc. 4,140 Charter International Limited 2,891 Robbins & Myers Inc. 2,586 Frank Mohn AS 2,167 Husky International Ltd. 2,100 HX Holding GmbH 1,796 Edwards Group Limited 1,746 *Source – CapitalIQ, AlpsVP Analysis info@alpsvp.com
  • 8. Alps Venture Partners has established a team of experts that have experience in valuing businesses across diverse industry sectors and all developmental stages; ranging from clients with seed funding to pre-IPO stage. With the team having experience of both valuations and audits, our detailed and insightful valuation appraisal reports, along with our responsive support, help our clients easily pass through any stringent audit review process in a smooth, efficient and time-bound manner. Tax Compliance Financial Reporting Strategic Valuation
  • 9. Financial Reporting and Tax Compliance Services IRC 409a We have experience of handling more than 2000+ 409a valuations across Industries. With the team having experience of both valuations and audits, our detailed and insightful Section 409A appraisal reports, along with our responsive support, help our clients easily pass through any stringent audit review process in a smooth, efficient and time-bound manner. Fair Value Measurement We help PE and VC clients to comply with ASC 820 and IFRS 13 standard’s complex provisions and avoid any audit issues in their quarterly and annual reporting. Relative TSR Programs We value the awards with Relative TSR metrics, using sophisticated modeling techniques which allow clients to quickly and accurately value new grants. Our business valuation experienced team along with the team of veteran Patent lawyers position us uniquely to assist clients in completing annual Goodwill and Investment Impairment testing. ASC 350 / IAS 38 ASC 718 (FAS 123R)/IFRS 2 Our experienced team at Alps Venture Partners has performed hundreds of stock options valuations for ASC 718 for privately held companies and publicly listed companies across diverse industry sectors and enterprise development stages. ASC 805 / IFRS 3 We have unmatched proficiency in delivering Business Combinations Accounting solutions to clients in varied industries. Our comprehensive USPAP compliant appraisal reports are auditable and cost-effective, and help our clients stay focused on the deal. IRC 83 B Election Alps Venture Partners has extensive experience in assisting companies seeking to comply with IRC 83 B election. Failing to make a timely 83(b) election may lead to disastrous tax consequences for a start-up company founder or employee. 6pageA L P S V E N T U RE P A R T N E R S info@alpsvp.com
  • 10. Corporate Finance Services We provide clients with high quality research, analytical and advisory support for transactions. We offer a range of services such as initial opportunity assessment, market analysis, financial modeling, commercial and financial due diligence, valuation, capital structure planning, and deal structuring.  Investment Opportunity Assessment  Target Identification  Preparation of Pitch Books  Buyer & Seller Services  Fairness Opinions  Financial Modeling  Business and Financial Due Diligence etc. Transaction advisory 7pageA L P S V E N T U RE P A R T N E R S Financial Modeling Whether it is evaluating new business ventures, proposed transactions or financial and operational strategies, a robust and dynamic financial model is an integral component to the decision- making process. Transaction Identification We can help by global target identification considering the requirements with maximum synergy. The financial due diligence process is a necessity to any transaction. Our aim is to enable owners and managers to make such investments with confidence by supporting and advising at every stage. We will help reduce the risk – and stress – of investing at home or in another country. Due Diligence Custom Research We provide clients with customized research report, model, decks with client specific requirements such as:  Business plan development,  Diagnostic review of operations  Competitor benchmark analysis  Intellectual Property info@alpsvp.com
  • 11. Disclaimer The contents of this presentation are protected by copyright. You may read the contents and make copies for your own personal use. You may also give copies of reasonable extracts, on an occasional basis, free of charge to your contacts for their personal use provided that Alps Venture Partners is acknowledged as the source, the text is not altered in any way, and this warning is brought to their attention. Any other use or copying of the contents of this presentation is prohibited, unless Alps Venture Partners gives its prior written consent. For further information please contact us at info@alpsvp.com Pursuant to Title 17, United States Code, Section 512(c)(2), notifications of claimed copyright infringement under United States copyright law should be sent to Service Provider’s Designated Agent. ALL INQUIRIES NOT RELEVANT TO THE ABOVE PROCEDURE WILL RECEIVE NO RESPONSE. This Agreement (and any further rules, policies, or guidelines incorporated by reference) shall be governed and construed in accordance with the laws of the United States (USA), United Kingdom, Canada, Brazil, France, and India without giving effect to any principles of conflicts of law. Alps Venture Partners welcomes your questions or comments regarding this Statement of Privacy. If you believe that Alps Venture Partners has not adhered to this Statement, please contact Alps Venture Partners at our given toll free contact numbers. Copyright © 2015 ALPS VENTURE PARTNERS. All Rights Reserved pageA L P S V E N T U RE P A R T N E R S 8