Sterlite Technologies Limited · NSE:STLTECH
Sterlite Technologies — Merger or Acquisition (September 2019)
13 slides from Sterlite Technologies's merger presentation, Sep 25, 2019
Slide 1: Acquisition of IDS Group
Acquisition of IDS Group 25th September 2019 Copyright © 2019 Sterlite Tech.
Slide 2: Safe Harbour
Safe Harbour Certain words and statements in this communication concerning Sterlite Technologies Limited (“the Company”) and its prospects, and other statements relating to the Company’s expected financial position, business strategy, the future development of the Company’s operations and the genera
Slide 3: STL at a Glance
STL at a Glance 1 Data Networks Innovator Core Business For the network creators 3 Innovation System Based Solutions including Connectivity, Network Services and Software Engines 4 Customer Segments Communication service providers Citizen networks Large enterprises Cloud & content providers 273 Pate
Slide 4: Impact Data Solutions
Headquarters: Fleet, UK Year Founded: 2009 Impact Data Solutions Employees: 21 Key customers: • Global Cloud Providers A Niche Data Centre • Colocation Providers Design & Deployment Company • Enterprises Geographies served: Europe and UK Financial Profile: • 2018 Revenue ~ £8Mn • 2019E Revenue ~ £10
Slide 5: Transaction Overview
Transaction Overview Financing • Mix of internal accruals and foreign currency debt instruments • All Cash deal at an Enterprise Value of ~ £12Mn (representing 100% of the share capital of the IDS Group); 80% stake acquired on closing of first tranche Consideration • Balance 20% to be acquired on an
Slide 6: Strategic Rationale
Strategic Rationale “Inside” data centre connectivity Services 2 of the top 4 global Cloud Providers Serves Europe and UK market With IDS, STL would have access to 3 of the top 4 global cloud providers; offer integrated data centre connectivity solutions and strengthen foothold in European markets C
Slide 7: Entry into "Inside" Data Centre Services
1 Entry into “Inside” Data Centre Services Niche Design and Deployment of Network Infrastructure Electrical Design and Installation Services Hot/Cold Aisle Containment Products Copyright © 2019 Sterlite Tech. 7
Slide 8: Marquee Customer Access: Top Global Cloud Providers
2 Marquee Customer Access: Top Global Cloud Providers • Cloud Provider not Revenue (%) by customer served by STL prior to acquisition. • 10 year long relationship with IDS Key Customer Segments 20% Colocation Cloud Providers Providers 15% Large Enterprises 65% Top global cloud providers Others STL w
Slide 9: Taking STL's Network Services Global
Taking STL’s Network Services Global Copyright © 2019 Sterlite Tech. 9
Slide 10: Expanding Addressable Market
Advancing on our Journey to a $75Bn Addressable Market OFFERINGS Global Data Network Solutions $75 Bn Design, Build & Manage Networks Expanding $20 Bn Addressable $5Bn Telecom Products Market 2012 2017 2023 TIMEFRAME Copyright © 2019 Sterlite Tech. 10
Slide 11: Integration Strategy
Integration Strategy Structure Realise Synergies Further Growth IDS to be completely integrated Expand services to new into network services BU geographies like India, US Cross leveraging customers Add new offerings for inside Ben Parker, IDS group CEO to Data centre solutions continue leading IDS g
Slide 12: E2E Solution
Integrating our Unique Capabilities Across the Layers of Data Network Bringing it all together as… E2E Solution Strengthening our End to End data network offerings with IDS. Copyright © 2019 Sterlite Tech. 12
Slide 13: beyond tomorrow
beyond tomorrow Copyright © 2019 Sterlite Tech. 13
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