Royal KPN NV · EURONEXT:KPN
Royal KPN NV — KPN — Investor Presentation (September 2013)
15 slides from Royal KPN NV's investor presentation, September 2013
Slide 1: Investor presentation
Investor presentation September 2013
Slide 2: Safe harbor
Safe harbor Non-GAAP measures and management estimates This financial report contains a number of non-GAAP figures, such as EBITDA and free cash flow. These non-GAAP figures should not be viewed as a substitute for KPN’s GAAP figures. KPN defines EBITDA as operating result before depreciation and im
Slide 3: Contents
Contents 1 Overview of key events 2 Sale of E-Plus unlocking significant value 3 KPN post E-Plus transaction 4 Conclusion and next steps 3
Slide 4: Overview of key events
Overview of key events • Sale of E-Plus to Telefónica Deutschland Intended sale of E-Plus to Telefónica Deutschland announced for a total consideration of € 5bn in cash and a 20.5% stake1 in Telefónica Deutschland EGM related to the sale of E-Plus convened for 2 October 2013 Irrevocable commit
Slide 5: Sale of E-Plus and AMX public offer timeline
Overview of key events (cont’d) Timeline 23 July 21 August 26 August 4 September 26 September 2 October Mid 2014 • Improved Sale of E-Plus • Sale of terms sale of • KPN EGM to • Expected E-Plus to • KPN calls E-Plus • Voting approve sale regulatory Telefónica EGM for 2 announced • Record date regist
Slide 6: Contents
Contents 1 Overview of key events 2 Sale of E-Plus unlocking significant value 3 KPN post E-Plus transaction 4 Conclusion and next steps 6
Slide 7: Sale of E-Plus unlocking significant value
Sale of E-Plus unlocking significant value • E-Plus to be sold to Telefónica Deutschland • Unlocking estimated German mobile synergies of € 5.0-5.5bn • KPN’s proceeds consist of € 5.0bn in cash and 20.5% stake in Telefónica Deutschland • Telefónica will receive a call option to acquire all or part o
Slide 8: Transaction structure
Transaction structure Unlocking estimated German mobile synergies of € 5.0-5.5bn Transaction structure German mobile synergies estimated at € 5.0-5.5bn Free float Implied valuation for E-Plus of € 8.55bn2 20.5% 17.4% 62.1%1 € 5.0bn in cash 20.5% stake in combined entity valued at € 3.61bn
Slide 9: Contents
Contents 1 Overview of key events 2 Sale of E-Plus unlocking significant value 3 KPN post E-Plus transaction 4 Conclusion and next steps 9
Slide 10: KPN post E-Plus transaction
KPN post E-Plus transaction • Majority of € 5.0bn cash proceeds used to increase financial flexibility Supports execution of strategy in The Netherlands and Belgium Intention to recommence dividend payments for financial year 2014, subject to closing Strong credit profile and committed to main
Slide 11: Strategy yielding results
Strategy yielding results The Netherlands Belgium • Best-in-class fixed & mobile networks • Continued market outperformance Uniquely positioned for quad play • Focus on postpaid and data • Cost structure improvements Structural decline personnel costs • Leading network position Further efficie
Slide 12: Contents
Contents 1 Overview of key events 2 Sale of E-Plus unlocking significant value 3 KPN post E-Plus transaction 4 Conclusion and next steps 12
Slide 13: Conclusion
Conclusion Sale of E-Plus • KPN to sell E-Plus to Telefónica Deutschland for implied valuation of € 8.55bn Unlocking estimated German mobile synergies of € 5.0-5.5bn • 20.5% stake in combined entity, a leading German mobile operator with attractive synergy and growth potential • EGM convened for 2
Slide 14: Conclusion (cont'd)
Conclusion (cont’d) KPN post E-Plus transaction • Attractive equity story KPN post E-Plus transaction Clear focus on core geographies with market leading positions in The Netherlands and a mobile Challenger focused on continued growth in Belgium The Netherlands expected to stabilize towards 2014
Slide 15: Annex Q&A
Annex Q&A For further information please contact KPN Investor Relations Tel: +31 70 44 60986 [email protected] www.kpn.com/ir