Navios Maritime Acquisition Corporation
Navios Maritime Acquisition — Merger or Acquisition (August 2021)
20 slides from Navios Maritime Acquisition's merger presentation, Aug 27, 2021
Slide 1: Merger of Navios Partners with Navios Acquisition
Navios Maritime Partners L.P. (NYSE:NMM) Merger of Navios Partners with Navios Acquisition Investor Presentation August 2021
Slide 2: Forward-Looking Statements
Forward-Looking Statements This presentation contains forward-looking statements relating to the proposed transaction involving Navios Maritime Partners L.P. (“NMM”, “Navios Partners”) and Navios Maritime Acquisition Corporation (“NNA”, “Navios Acquisition”), including statements as to the expected
Slide 3: Important Information
Important Information This presentation does not constitute an offer to sell or the solicitation of an offer to buy any securities. In connection with the proposed Transaction, NMM will file a registration statement and a related prospectus with the SEC pursuant to which the issuance of the common u
Slide 4: Strategic Combination Overview
Strategic Combination Overview NMM NNAPro Forma NMM Vessel Count (fully delivered9845143 fleet) Weighted Average Fleet Age9.9 yrs 9.5 yrs 9.8 yrs (DWT) Total Fleet Size6.7 million dwt;12.1 million dwt; 5.4 million dwt (DWT;TEU)215,222 TEU215,222 TEU Fleet Mix (Dry Bulk / Containerships /55 / 43 / 00
Slide 5: Transaction Summary
Transaction Summary Navios Maritime Partners L.P. (“NMM”) + Navios Maritime Acquisition Corp. (“NNA”) Combining in a unit-for-stock merger creating a diversified marine transportation company exceeding $4.0 billion in asset value â–ª NNA will merge with a subsidiary of NMM in a tax-free unit-for-sto
Slide 6: Compelling Rationale for Consolidation
Compelling Rationale for Consolidation NMM’s approach for NNA is well-timed, value-enhancing for all equity holders Diversification mitigates segment volatility â–ª Largest US-listed fleet of 140+ vessels – ~ One-third of the fleet in each of the three segments: 55 dry bulk / 43 containerships / 45
Slide 7: Diversification Across Sectors Mitigates Industry Cyclicality
Diversification Across Sectors Mitigates Industry Cyclicality Pro forma NMM platform will deliver broad exposure to the global economy “New” NMM will be differentiated by industry leading scale, diversified sector exposure and optimized chartering strategy â–ª NMM will become #1 largest US-listed sh
Slide 8: #1 US Publicly-Listed Shipping Company
#1 US Publicly-Listed Shipping Company(1) #6 Global Publicly-listed Shipping Company(1) tra-Handymax Vessels 0.3 million dwt Vessels4 Vessels 50 TEU2,000-3,400 TEU 50 TEU10,851 TEU 2 Chemical Tankers Chemical Tankers 25,000 dwt 88 8
Slide 9: Potential Tanker Market Recovery Offers Value Upside
Potential Tanker Market Recovery Offers Value Upside â–ª Economic recovery expected in travel – segments with high oil demand – Q4 2021 oil demand expected to return to 2019 demand – Oil demand is expected to grow 5.9% (5.4 mb/d) in 2021 over 2020 â–ª Historically low VLCC orderbook + aging fleet –
Slide 10: Strong Pro Forma Balance Sheet
Strong Pro Forma Balance Sheet 35% Pro Forma Combined LTVLender Support with Global Reach (in $ million)$4,220 $920 NNA NMM $1,472$3,300 $670 $802 Debt Balance (1)Vessel Values (2) Staggered Debt Maturity Profile (in $ million) $225 $167$95 NNA NMM$69 $105 $84$84$82 $61 $41$130$42$34 $98 $20 $43$44$
Slide 11: Significant Revenue Upside from Larger More Diverse Fleet
Significant Revenue Upside from Larger More Diverse Fleet Fleet Assumptions 2022 Illustrative Combined Revenue – Current Rates ($ billions) AvailableOpen / Index Vessel TypeCurrent Rates DaysDays Capesize 7,2086,470$50,662 Kamsarmax / Panamax9,2178,930$33,633 Ultramax / Handymax 1,4601,430$37,249 10
Slide 12: Pro Forma NMM Fleet Renewal and Expansion
Pro Forma NMM Fleet Renewal and Expansion YTD Fleet UpdateNumber of Vessels â–ª83 vessels on the water acquiredDry Bulk Vessels – 45 tankers, 32 containerships; six dry bulk vesselsContainerships143 â–ª13 newbuilding vessels to be delivered Tankers – Six containerships; seven dry bulk vessels â–ª7 v
Slide 13: Market Update: Dry Bulk Demand Up; Minimal Supply Growth
Market Update: Dry Bulk Demand Up; Minimal Supply Growth Higher Trade Growth in 2H21 vs 1H21Minimal Dry Bulk Fleet Growth (M DWT) (MT) +69 MT +9.0%21.9 843 +33 MT774 +5.4% 63515.5 602 13.4 +12 MT10.4 +4.5% 272284 GrainCoalIron Ore1H212H211H222H22 1H212H21Actual DeliveriesProjected Deliveries â–ªDema
Slide 14: Market Update: Dry Bulk Orderbook for 2021 and Beyond
Market Update: Dry Bulk Orderbook for 2021 and Beyond M DWT# Vessels ActualProjectedNon-Delivery % ActualProjectedNon-Delivery % 2021 Jun YTD21.924.09%2462564% 202048.955.612%48956714% 201941.642.42%4434430% 201828.534.317%30137319% 201738.558.134%46373738% 201647.392.749%5671,13650% 201549.285.142%
Slide 15: Market Update: Favorable Supply and Demand Fundamentals Drive Containership Rates Higher
Market Update: Favorable Supply and Demand Fundamentals Drive Containership Rates Higher â–ª Containership demand growth of 6.3% in 2021 and 3.8% in 2022 expected to exceed supply as pent up demand, restocking and increases in consumer demand for goods support increasing traded containerized cargo v
Slide 16: Market Update: Strong GDP Growth & Global Oil Demand in 2021
Market Update: Strong GDP Growth & Global Oil Demand in 2021 â–ª Stronger GDP Growth in 50 years projected for 2021; – World GDP to grow by 6.0% â–ªEconomic recovery propelled by vaccines support a rebound in oil demand – World oil demand is expected to rebound by 5.4 mb/d (5.9%) in 2021 â–ªOECD oil
Slide 17: Market Update: China Growing Crude Consumption
Market Update: China Growing Crude Consumption China: World’s Largest Crude ImporterChinese Crude Oil Imports (2009 – 2021) 1414 10% CAGR Jan ‘09 to Jun ‘21 1212 MBPDmbpd 1010 8 8 6 6 4 4 US gross crude oil imports (mbpd) 2 2 China gross crude oil imports (mbpd) 0 0 2010 2011 2012 20132014 2015 2016
Slide 18: Market Update: Atlantic Production to Serve Refinery Additions in the East
Market Update: Atlantic Production to Serve Refinery Additions in the East â–ªBetween 2013 and 2020 total US and Brazilian crude oil exports increased by 4.0 mb/d. In spite of the pandemic, total crude exports from these two countries averaged 4.5 mb/d for 2020 and are averaging 4.1 mb/d through May
Slide 19: Closing Remarks
Closing Remarks Transaction creates the largest US publicly-listed shipping platform with over 140 vessels diversified across 3 core segments, servicing more than 10 end markets Scaled and diversified operations with trades across several vessel sizes and end markets mitigate idiosyncratic segment v
Slide 20: www.navios-mlp.com
www.navios-mlp.com 20
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