OC Register Owner Aaron Kushner's Confidential Pitch to Potential Investors to Save His Company
Presentation to Potential Investors 20170206
Transcript of Presentation to Potential Investors 20170206
Investor Update
Feb 2017
SAM Engineering & Equipment Update
Strictly Private & Confidential Feb 2017 SAM Engineering & Equipment
SAM Group
SAM Suzhou SAM Engrg & Equipment
Aviatron
China
Malaysia
Malaysia Singapore Thailand
Germany
Germany
Germany
Germany
Minority Shareholders
29.87% As at 3 Aug 2016
Europe Operations
Asia Operations
SAM Engineering & Equipment Update
Strictly Private & Confidential Feb 2017 SAM Engineering & Equipment Companies
SAM Engineering & Equipment manufacturing sites
SAM Aviatron manufacturing site
Bayan Lepas
Bukit Minyak
�
Singapore
Thailand–Ayu$aya
SAM Engineering & Equipment Update
Strictly Private & Confidential Feb 2017 Aerospace Product : Engine Case
Fan
Compressor&
Combustor Turbine
SAM Engineering & Equipment Update
Strictly Private & Confidential Feb 2017 Penang : Fan Cases
5
CFM56-7EnginefortheBoeing737Aircra8
v Highlyprecisemeasurements
v Hightolerancetotemperatureandpressurerequirements
v Cri:calfailurecomponentFanCasing
SAM Engineering & Equipment Update
Strictly Private & Confidential Feb 2017 Singapore : Compressor & Combustor Cases
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Aircraft Applications Airbus A320ceo, A320neo, A330, A340, A380
Boeing B737, B737Max, B747-8, B767, B777, B787
Embraer 170/175, 190/195
Bombardier CRJ 700/900, Learjet 60
Dassault Falcon 200EX
Cessna Citation Jet, Envoy
Gulfstream G200
AVIC ARJ21 Comac 919
ENGINE CASES
SAM Engineering & Equipment Update
Strictly Private & Confidential Feb 2017 Singapore : Engine Case (New)
FanCases
Compressor&CombustorCases
Today’sCapability
TurbineCases
HotSec:on
NewproductforA320neoAircraD
SAM Engineering & Equipment Update
Strictly Private & Confidential Feb 2017 Aerospace Product : Aerostructures
SAM Engineering & Equipment Update
Strictly Private & Confidential Feb 2017 Penang : Prismatic Parts (New)
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Airbus 350, Boeing 787 & Bombardier C-Series Aircraft
SAM Engineering & Equipment Update
Strictly Private & Confidential Feb 2017 Aerospace Product : Nacelle Beam (New)
NacelleBeam(Latch)
NacelleBeam(Hinge)
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Airbus 320neo
SAM Engineering & Equipment Update
Strictly Private & Confidential Feb 2017 Our Products on All Major Aircraft
Airbus Aircraft Family
Boeing Aircraft Family
SAM Engineering & Equipment Update
Strictly Private & Confidential Feb 2017 Global Aerospace Customers
SAM Engineering & Equipment Update
Strictly Private & Confidential Feb 2017 Huge Aerospace Business Order Book
Projected Contractual Backlogs > RM 3.5 billions
NeedanotherRM100milinvestmenttomeetcustomerdemand
SAM Engineering & Equipment Update
Strictly Private & Confidential Feb 2017 Characteristics of Aerospace Business
1. Highentrybarrier
• Longgesta:onperiod
• Heavycapitalinvestment
• Stringentqualityrequirements
• Needstrongcashflow
2. Longtermcontracts
3. Rela:velysmallpoolofcompe:torsfornicheproducts
4. Rela:velysteadydemand
SAM Engineering & Equipment Update
Strictly Private & Confidential Feb 2017 Resilient to external shocks
SAM Engineering & Equipment Update
Strictly Private & Confidential Feb 2017 Market Outlook for Aircraft Industry
Strong production rate driven by Airbus 320 and
Boeing 737 Aircraft Families
SAM Engineering & Equipment Update
Strictly Private & Confidential Feb 2017
Penang : Equipment Business
Focus on High Value Equipment Integration
SAM Engineering & Equipment Update
Strictly Private & Confidential Feb 2017
Penang : Equipment Business
Focus on Semicon Front End Products
• Large format precision machining experience
Wafer Fab Chamber Assembly
SAM Engineering & Equipment Update
Strictly Private & Confidential Feb 2017
Penang : Front End Equipment Business (New)
Wafer Processing Equipment
SAM Engineering & Equipment Update
Strictly Private & Confidential Feb 2017
Global Equipment Customers
SAM Engineering & Equipment Update
Strictly Private & Confidential Feb 2017 The Transformation
RM0mil
RM100mil
RM200mil
RM300mil
RM400mil
RM500mil
RM600mil
RM700mil
FY2008/09 FY2009/10 FY2010/11 FY2011/12 FY2012/13 FY2013/14 FY2014/15 FY2015/16
Equipment Aerospace
Injecting Aerospace Business to mitigate revenue volatility
54%
46%
SAM Engineering & Equipment Update
Strictly Private & Confidential Feb 2017 The Transformation
75%
25%
FY2009RM158m
Back-endSemiconDataStorageAerospaceFront-endSemicon
5%
25%
54%
9%
FY2016RM620m
More diversified products that are >90% export
SAM Engineering & Equipment Update
Strictly Private & Confidential Feb 2017 Historical Financial Data
0100200300400500600700RM’m
-10
0
10
20
30
40
50
60
70RM’m
-10
-5
0
5
10
15
20%
ROE
PAT Revenue
RM’m
Capex
0
5
10
15
20
25
30
SAM Engineering & Equipment Update
Strictly Private & Confidential Feb 2017 Our Vision – The Crossover Project
FY2008/09 FY2009/10 FY2010/11 FY2011/12 FY2012/13 FY2013/14 FY2014/15 FY2015/16 FY2019/20
RM383 mil RM453 mil RM452 mil
RM1 billion
RM531 mil
RM308 mil RM303 mil
RM158 mil
Non-Aerospace Business Aerospace Business
20%
80%
Organic
Acquisi:onRM620 mil
Growth through expansion and opportunistic Acquisition with
Aerospace business as the key driver
SAM Engineering & Equipment Update
Strictly Private & Confidential Feb 2017 Disclaimer
25
ThisPresenta:onisbeingpresentedtotherecipientsonaprivateandconfiden:albasisfortheirinforma:on.No part of this document may be reproduced or copied in any form or by any means without prior wri_enpermission/consentofSAMEngineering&Equipment(M)BerhadorSingaporeAerospaceManufacturingPteLtd.All the informa:on inallpubliclyavailablesourcesareassumedtobeaccurateandreasonable.Accordingly, theinforma:on has not been independently verified. Furthermore, certain forward looking statements such asearningsguidanceandprospec:vevalua:ons,amongstothers,areindica:veandforpurposesofillustra:oninthisdiscussion. Nowarrantyorrepresenta:on,expressorimplied,ismadewithrespecttotheinforma:onsetoutinthisPresenta:on,norwillSAMEngineering&Equipment(M)BerhadorSingaporeAerospaceManufacturingPteLtdberesponsiblefortheconsequenceofrelianceonanyinforma:on,opinionorstatementsetoutherein.