Harvia Oyj · OMXHEX:HARVIA

Harvia Oyj — Merger or Acquisition (May 2021)

17 slides from Harvia Oyj's merger presentation, May 28, 2021

Slide 1: Harvia strengthens its position in the sauna and spa market by acquiring Kirami
Harvia strengthens its position in the sauna and spa market by acquiring still water hot tub manufacturer Kirami 28 May 2021 | Tapio Pajuharju, CEO | Ari Vesterinen, CFO Copyright © 2021 Harvia Oyj
Slide 3: Transaction overview
Transaction overview • Harvia acquires Kirami Oy, a leading Finnish still water hot tub manufacturer and pioneer in wood-heated hot tubs globally. • The acquisition complements Harvia’s sauna and spa offering well and strengthens Harvia’s leading position as a global sauna and spa experience brand.
Slide 4: Transaction overview
Transaction overview • The purchase price is EUR 7 million at closing and on top of this, a delayed purchase price of EUR 0–4 million after three years’ period based on Kirami’s EBITDA development. • Harvia will finance the acquisition with cash funds. • After the transaction, Harvia owns 100% of Ki
Slide 7: One of the largest manufacturers of still water hot tubs globally
One of the largest manufacturers of still water hot tubs globally • Family business established in 2001 • Leading Finnish still water hot tub manufacturer and pioneer in wood-heated hot tubs globally • Revenue EUR 16 million in fiscal year ended September 2020 • 42% of revenue from export; Central E
Slide 9: Versatile offering for modern backyard living
Versatile offering for modern backyard living Main product wood-heated still-water hot tubs Offering complemented by hot tub accessories, outdoor saunas and other products for outdoor living Copyright © 2021 Harvia Oyj
Slide 11: Transaction rationale
Transaction rationale Supports our aim of increasing the Supports our ‘Healing with Heat’ Complements our offering for value of average purchase, mission and enables new wellness modern backyard living with a new geographical expansion, and innovations in the future product category improving our pr
Slide 12: Transaction objectives
Transaction objectives Increasing sales and market share Developing and expanding offering • Growing Harvia’s market share especially in residential • Expanding the hot tub offering to electrically heated sauna and spa solutions or hybrid still water hot tubs • Cross-selling saunas and hot tubs, off
Slide 14: Key financials of Kirami
Key financials of Kirami EUR million 10/2018–9/2019 10/2019–9/2020 Last 12 months (5/2020–4/2021*) Net sales 8.6 16.0 22.1 Net sales growth +4.6% +85.3% +38.4% Adjusted EBITDA 0.5 2.3 3.3 Adjusted EBITDA margin 5.7% 14.5% 15.0% Adjusted EBIT 0.2 2.1 3.1 Adjusted EBIT margin 2.9% 13.4% 14.1% * Indica
Slide 15: Effect on Harvia's financials
Effect on Harvia’s financials • Illustrative combined revenue of Harvia for the financial year 2020, after the Kirami acquisition, amounts to EUR 128.6 million and adjusted EBITDA to EUR 31.7 million. • Harvia’s net debt will increase to EUR 38.3 million and long-term liabilities to EUR 56.6 million

Harvia — Merger or Acquisition (May 2021) on 6ix

Harvia Oyj — Merger or Acquisition (May 2021)

Slide 1: Harvia strengthens its position in the sauna and spa market by acquiring Kirami

Slide 2: Today's agenda

Slide 3: Transaction overview

Slide 4: Transaction overview

Slide 5: Transaction supports well Harvia's mission

Slide 6: Kirami in brief

Slide 7: One of the largest manufacturers of still water hot tubs globally

Slide 8: Family business Kirami established in Sastamala in 2001

Slide 9: Versatile offering for modern backyard living

Slide 10: Transaction rationale

Slide 11: Transaction rationale

Slide 12: Transaction objectives

Slide 13: Financials

Slide 14: Key financials of Kirami

Slide 15: Effect on Harvia's financials

Slide 16: Q&A

Slide 17: Copyright © 2021 Harvia Oyj