https://www.avient.com/sites/default/files/2023-03/AVNT Q2 2022 Earnings Presentation - Website Version.pdf
For the same reasons, Avient is unable to address the probable significance of the unavailable information.
D I S T R I B U T I O N )
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END-MARKET F OCUS F OR
NEW I NNOVATION
Semiconductors Robotics Healthcare
Interconnected disruptive markets with massive innovation needs
19
APPENDIX
Performance
Additives
15%
Pigments
13%
TiO2
11%
Dyestuffs
3%Polyethylene
12%
Nylon
6%
Polypropylene
5%
Other Raw
Materials
30%
Styrenic Block
Copolymer
5%
~40% hydrocarbon based
(Grey shaded materials are hydrocarbon based,
includes portion of “Other Raw Materials”)
Non-hydrocarbon
based materials
22
• Significant raw material price inflation and
tight inventory continued in Q2 2022,
although at a slightly lesser rate compared
to the prior quarter
o For Q2 2022, the average cost of key
hydrocarbon based materials was up 15%,
roughly the same as the average cost of non-
hydrocarbon based materials
https://www.avient.com/sites/default/files/2022-03/AVNT Mar 2022 Presentation.pdf
For the same reasons, the Company is unable to address the probable significance of the
unavailable information.
Leading in Sustainability — PolyOne and Clariant are both founding members of the
Alliance to End Plastic Waste, and we are committed to meeting the needs of the
present without compromising the ability of future generations to do the same.
https://www.avient.com/sites/default/files/2024-03/Global Supplier Quality Manual_2024.pdf
Therefore, we expect our suppliers to have the same level of
commitment to quality and the customer-first mindset we place as one of our top priorities at
Avient.
1.2 Scope
Avient requires all suppliers to adopt this SQM and maintain a QMS which meets the minimum
requirements defined in this manual.
https://www.avient.com/sites/default/files/2023-01/Hydrocerol Chemical Foaming Agents for Injection Molding Technical Bulletin.pdf
PFAs which are injected into the polymer melt
may be the same as CFAs (i.e.
https://www.avient.com/sites/default/files/2020-10/tpe-injection-molding-guide.pdf
If both internal and external undercuts are present on the
same part, slides or core splits may be necessary.
To allow the best incorporation of the regrind into the virgin material, the screen size
should be chosen to yield particles that are roughly the same size as virgin pellets.
If good parts are being produced, the temperature
settings should be reset to be the same as the actual temperatures.
https://www.avient.com/sites/default/files/2024-03/Terms and Conditions of Sale for South Africa.pdf
Buyer assumes all risk of infringement of
third-party intellectual property rights by reason of any use Buyer
makes of the Product in combination with other substances or in the
operation of any process, and all infringement arising out of Seller’s
compliance with Buyer’s designs, specifications or instructions, and
Buyer shall defend, indemnify and hold Seller harmless from and
against the same.
Seller reserves to
itself all applicable duty drawback allowances, and Buyer shall
provide assistance in connection with Seller’s application for the
same.
https://www.avient.com/sites/default/files/2020-03/PolyOne_Website-12.19.pdf
For the same reasons,
the Company is unable to address the probable significance of the unavailable information.
Sources
Cash from Balance Sheet $465
New Senior Unsecured Notes 650
New Equity 450
Total Sources $1,565
Uses
Clariant Masterbatch $1,500
Clariant India Masterbatch 60
Less: Lease Adjustment (113)
Net Purchase Price $1,447
Net Cash Acquired 57
Fees, Expenses & OID 61
Total Uses $1,565
($ Millions)
Cash and Cash Equivalents $370
$450M Senior Secured ABL Revolver -
Senior Secured Term Loan B due 2026 624
Other Debt 25
Total Senior Secured Debt $649
5.25% Senior Unsecured Notes due 2023 $600
New Senior Unsecured Notes 650
Total Senior Debt $1,899
Net Debt $1,529
New Equity $450
Pro Forma Capitalization
(1)
PF 12/31/2019
$450
$600 $624
$743
2019 2020 2021 2022 2023 2024 2025 2026
A T T R A C T I V E F I N A N C I N G S T R U C T U R E
Attractive Debt
Maturity Profile
Existing Revolver Existing Senior Notes Existing Term Loan B
New Debt
Financing
Financing
Summary
Terms on
New Debt
$465 million of cash from the balance sheet expected to fund a portion of the purchase price
Bridge financing for remainder fully committed from Citi, Morgan Stanley and Wells Fargo
Permanent financing expected to include a combination of long-term debt and new equity
The timing of the permanent financing is subject to a number of factors, including, but not limited
to, market conditions
PolyOne is committed to preserving a strong balance sheet
– Target net leverage at close below 3.5x, excluding synergies
Pro forma capital structure positions PolyOne with flexibility to pursue continued growth strategy
New financing expected to have same or better covenant package than existing capital structure
Capital structure would be “covenant lite”
Capital
Policy
Transaction in line with PolyOne’s disciplined capital allocation policy
Existing PolyOne dividend policy to be maintained
Focus on deleveraging in the near term
2028+
PolyOne Corporation 26
PolyOne Corporation 27
T H E N E W P O L Y O N E : A S P E C I A L T Y G R O W T H C O M P A N Y
Landmark portfolio transformation: > 85% of Adjusted EBITDA
from specialty solutions
World-class innovation, technology and service are differentiators
Sustainability initiatives and alignment with megatrends drive
above market growth in key end markets and applications:
Capital management is a strength - proven track record of
expanding ROIC while increasing invested capital
Transaction expected to add $0.85 to pro forma adjusted EPS
PolyOne Corporation 28
PolyOne Corporation 29
https://www.avient.com/sites/default/files/resources/Overmolding_of_Thermoplastic_Elastomers_Engineered_solutions_for_consumer_product_differentiation.pdf
Same holds true for
designing parts.
A lower hardness product has a softer feel on the
surface for the same thickness product.
https://www.avient.com/sites/default/files/2024-12/Terms and Conditions of Sale for Indonesia %28English translation%29.pdf
Buyer assumes all risk of infringement of
third-party intellectual property rights by reason of any use Buyer
makes of the Product in combination with other substances or in the
operation of any process, and all infringement arising out of Seller’s
compliance with Buyer’s designs, specifications or instructions, and
Buyer shall defend, indemnify and hold Seller harmless from and
against the same.
Seller reserves to itself all
applicable duty drawback allowances, and Buyer shall provide
assistance in connection with Seller’s application for the same.
11.
https://www.avient.com/sites/default/files/2020-10/tpe-overmold-design-guide.pdf
Multiple Material Molding
Multiple material, also known as two-shot (or multi-shot), molding requires a special injection
molding machine that is equipped with two or more barrels, allowing two (or more) materials to
be shot into the same mold during the same molding cycle.
Even if an excellent bond is achieved with two-shot
molding, the same material may have poor bond strength when insert molded.
Multiple Material Molding
Multiple material, also known as two-shot (or multi-shot), molding requires a special injection
molding machine that is equipped with two or more barrels, allowing two (or more) materials to
be shot into the same mold during the same molding cycle.