Moonpig Group Plc · LSE:MOON
Moonpig — Merger or Acquisition (May 2022)
19 slides from Moonpig's merger presentation, May 23, 2022
Slide 1: Becoming the ultimate gifting companion
Becoming the ultimate gifting companion Proposed Acquisition of Buyagift 23 May 2022
Slide 2: Disclaimer
2 Disclaimer This document does not constitute or form part of, and should not be construed as, any offer, invitation or recommendation to purchase or sell or subscribe for any securities in any jurisdiction and neither the issue of the information nor anything contained herein shall form the basis
Slide 3: Acquisition of Buyagift: Becoming the ultimate gifting companion
Acquisition of Buyagift: 3 Becoming the ultimate gifting companion ✔ The UK’s leading gift experiences platform ✔ Step-change in Moonpig’s gifting proposition Accelerate Buyagift’s growth through leveraging Moonpig’s ✔ technology, data and marketing capabilities ✔ Capitalise on the long-term secular
Slide 4: Highlights
4 Highlights ● Attractive valuation: cash consideration of £124 million compared to FY22 Adjusted EBITDA of £14m(1) Transaction ● Funded through cash on balance sheet and extension of existing debt facilities overview ● Completion expected before the end of July 2022, conditional on UK regulatory cl
Slide 5: Our strategy: Becoming the ultimate gifting companion
5 Our strategy: Becoming the ultimate gifting companion Ensuring the perfect range of ✔ cards and gifts for every occasion Creating better, more personal, Building our brands so connections between people that ✔ receiving our product always means more care about each other ✔ Leveraging data and tech
Slide 6: Our data-led strategy delivers the UK's most powerful gifting recommendation engine
Our data-led strategy delivers the UK’s most powerful gifting 6 recommendation engine Card-first Gift Attach 13 million loyal customers(1) 35+ million opportunities to cross-sell • Card purchase journey captures multiple unique datapoints • Extensive data from card journey powers proprietary cross-
Slide 7: Acquisition of Buyagift unlocks the £6bn UK gift experiences segment of a £57bn TAM
Acquisition of Buyagift unlocks the £6bn UK gift experiences 7 segment of a £57bn TAM We benefit from … … within a large and underpenetrated addressable market(1) Data-driven insight into Customers’ Cards: intent £2bn The addition of Buyagift to the Group will: ✔• Step-change the gifting proposition
Slide 8: Long-term secular trend from physical towards experiential gifting
Long-term secular trend from physical towards experiential 8 gifting Millennials value connections and memories over traditional ownership Post-war generations like to send Post-millennial generations feel differently: extravagant gifts: an inherent need to show an inherent need to share and give So
Slide 9: We believe Buyagift will be the long-term winner in the large and fragmented gift experiences market
We believe Buyagift will be the long-term winner in the large 9 and fragmented gift experiences market Highly fragmented £6bn(1) UK experience gifting market Direct Suppliers Platforms Category Specialists Platforms are best positioned to continue increasing overall market share, given superior cust
Slide 10: A superior gifting proposition to drive revenue synergies
10 A superior gifting proposition to drive revenue synergies + 1 2 3 4 5 The leading and most Leveraging Moonpig Unlocks digital delivery Enhanced network effect Platform for relevant range of Group’s proprietary and same day gifting on by conversion of personalising range for physical and experienc
Slide 11: Leveraging our capabilities to accelerate Buyagift's growth
11 Leveraging our capabilities to accelerate Buyagift’s growth Creating a technology and Leveraging our marketing Range optimisation data led business best practices and insight • Transform from transactional online • Leverage Moonpig Group’s marketing best • Strengthen the proposition across price
Slide 12: Buyagift has two long-established brands with a leading market position
Buyagift has two long-established brands with a leading 12 market position and high levels of customer satisfaction • Long-established brands, well known by customers Trustpilot Trustpilot • High levels of customer satisfaction drive repeat 4.1 4.0 purchases • Generates 1.7x(1) website visits versus
Slide 13: Broadest and deepest range of gift experiences in the UK
Broadest and deepest range of gift experiences in the UK, 13 offering a proposition that is difficult to replicate Longstanding relationships with 4,400+ experience partners, built up over 20 years Widest range of experiences across Broadest and deepest geographical Best-in-class range of expe
Slide 14: Buyagift has a strong standalone financial model
14 Buyagift has a strong standalone financial model •✔ Historical track record of revenue growth through the economic cycle Strong Top Line Growth •✔ FY22 revenue of £44m(1), low double-digit revenue CAGR over last ten years(2) •✔ B2C marketing spend is first purchase profitable Profitable Unit Econ
Slide 15: In addition to strong strategic fit, the acquisition is financially attractive
In addition to strong strategic fit, the acquisition is 15 financially attractive Attractive • Cash consideration of £124 million, compared to unaudited FY22 Adjusted EBITDA of £14m(1) valuation • FY22 revenue of £44m(2), low double digit revenue CAGR over last ten years(3) which we plan to accelera
Slide 16: Delivering digital gifting through Moonpig Group's technology platform
Delivering digital gifting through Moonpig Group’s 16 technology platform is key to our plans for growth Note: images show planned future integration
Slide 17: Acquisition of Buyagift: Becoming the ultimate gifting companion
Acquisition of Buyagift: 17 Becoming the ultimate gifting companion ✔ The UK’s leading gift experiences platform ✔ Step-change in Moonpig’s gifting proposition Accelerate Buyagift’s growth through leveraging Moonpig’s ✔ technology, data and marketing capabilities ✔ Capitalise on the long-term secula
Slide 18: Please click here to watch our future vision video
18 Please click here to watch our future vision video
Slide 19: Moonpig Group plc
MOONDPIG group ple