https://www.avient.com/sites/default/files/2022-11/AVNT Q3 2022 Earnings Presentation - Website Final.pdf
Additionally, Adjusted EPS excludes the impact of special items and amortization expense
associated with intangible assets.2
T RAN S FO R MAT IO NAL
OVE RV IE W
Avient Protective
Materials
Dyneema
®
RECENT TRANSACTIONS
Acquired Divested
$1.45 B $0.95 B
4
Distribution
UPDATED CAPITAL STRUCTURE
& LIQUIDITY
• Proceeds from completed
sale of Distribution used to
pay near-term maturing debt
to strengthen balance sheet
• Fixed/floating debt ratio of
~55/45
• Proven track record of
deleveraging following major
acquisitions through strong
free cash flow generation
• 2022 pro forma net
debt/adjusted EBITDA
expected to be 3.1x
$725 $725
$575 $500
$600
$525
$650
$650
$600
Capital Structure
Cash
$544
Undrawn
Revolver
$250
Liquidity
$3.15B
$2.40B
2030 Notes
2029 Term Loan
2026 Term Loan
2025 Notes
2023 Notes
After Dyneema
Acquisition
After Distribution
Divestiture
$794M
(1) $250M reflects estimated undrawn revolver following the divestiture of Distribution
5
PREVIOUS TRANSACTIONS
Performance
Solutions
Products &
$0.8 B
COLOR
$1.4 B
Acquired (2020)Divested (2019)
6
• Acquisition of Clariant Color business significantly expanded
presence in healthcare, packaging and consumer end markets
• Strength of portfolio – double-digit annual EBITDA growth
since acquisition
• $75 million of realized synergies anticipated in 2022
• Acquisition completed on July 1, 2020 for $1.45 billion.
Purchase price multiple rapidly declining on strength of
business and synergy capture
7
$133
$201
2019PF 2022E
7
Clariant Color EBITDA Growth
Purchase Price Multiple
10.8x
7.0x
6.4x
2019PF 2021 2022E w/ Full
Synergies
11.9%
16.3%
2019PF 2022E
EBITDA Margins
CLARIANT COLOR:
TRANSFORMATIONAL ACQUISITION
(1) Financial information is pro forma to include a full year of Clariant Color business
SUNBELT PVC Resins DSS
20 Acquisitions
$4.8B Investment
$2.7B of Annual
Revenue
5 Divestments
$2.3B Proceeds
TPE
PP&S
HISTORIC SPECIALIZATION THROUGH M&A
8
Distribution
DSM Protective
Materials
BOLT-ON ACQUISITION HISTORY
9
Commercial
Resources
Operating Income
Operating Margins
259
363
$40
$139
Established Acquisitions
(> 7 years)
+ 40% + 248% + 1300 bps
I N V E S T T O G R O W
SPECIALTY TRANSFORMATION
T O D A Y
46%
67%
86%
100%
0%
60%
80%
100%
2005 2010 2019 2021 2022 PF
%
o
f A
d
ju
st
ed
E
B
IT
D
A
• Commodity JVs
• Distribution
• Performance Products & Solutions
• Specialty Businesses
(1) Adjusted EBITDA is EBITDA excluding corporate costs and special items
(2) Pro forma for the acquisition of Dyneema® and divestiture of Distribution
(1
)
(2)
10
Building &
43%
14%
Telecom.
2%
2006 2022 Pro Forma
21%
Building &
Telecom.
Sales EBITDA
Specialty Engineered Materials
Color Additives and Inks
$585M$3,635M
23
C O L O R , A D D I T I V E S & I N K S
2022 REVENUE | $2 .3 B ILL ION
US & Canada
Latin America
END MARKET REGION
24
33%
Building &
1% Energy
Figures represent 2022 full year estimates
S P E C I A LT Y E N G I N E E R E D M AT E R I A L S
2022 PRO FORMA REVENUE | $1 .3 B ILL ION
END MARKET
US & Canada
50%
REGION
25 Figures represent 2022 full year estimates
19%
8%Industrial
16%
Building &
31%
28%
13%
Building &
3%
2% Defense
(20% of sales)
2022 PROFORMA AVIENT REGIONAL SALES
BY END MARKET
29%
13%
17%
Building &
(35% of sales)
14%
Building &
12%
US &
Canada
(40% of sales)
49%
Building &
LATAM
(5% of sales)
3%Telecommunications
Figures represent 2022 full year estimates
Reconciliation of Non-GAAP Financial Measures
(Unaudited)
(Dollars in millions, except for per share data)
Senior management uses comparisons of adjusted net income from continuing operations attributable to Avient shareholders
and diluted adjusted earnings per share (EPS) from continuing operations attributable to Avient shareholders, excluding special
items, to assess performance and facilitate comparability of results.
https://www.avient.com/sites/default/files/2021-05/avnt-tpe-beginner-guide-fin.pdf
TPE Quick Facts
• How are TPEs made?
Diving Deeper into
TPEs
• Are TPEs eco-friendly?
TPEs:
The Basics
What are TPEs?
https://www.avient.com/knowledge-base/article/processing-styrenic-block-copolymer-tpes-gls
TPE Knowledge Base
TPE Technical Bulletins
TPE Technical Bulletin
https://www.avient.com/knowledge-base/article/processing-styrenic-block-copolymer-tpes-gls?rtype[]=1164
TPE Knowledge Base
TPE Technical Bulletins
TPE Technical Bulletin
https://www.avient.com/sites/default/files/2022-04/Sustainable Material Answers_ Recycled PET 2022.pdf
TPEs: The Basics
PET Water Bottles can be
recycled in a closed loop
The goal of a circular economy is to minimize waste and
make the most of available resources to create a world
that is restorative and regenerative by design.
Sheet & Film—Sheets and films made
of PET are another major use case.
PET
sheets can be used to make a variety of
plastic products and film is often used
for tape backing, plastic wrap, medical
packaging, and protective coating on
windows.
https://www.avient.com/news/avient-introduces-versaflex-tf-adhesive-tpes-textile-fabrics
Homepage
//
News Center
//
Avient Introduces Versaflex™ TF Adhesive TPEs for Textile Fabrics
Avient Introduces Versaflex™ TF Adhesive TPE Solutions for Athletic Textile Fabrics
Versaflex TF Adhesive TPEs offer easy processing and shaping, resulting in a strong adhesion between the TPE adhesive film and high-elastic fabrics.
https://www.avient.com/knowledge-base/case-study/automotive-windshields-post-consumer-recycled-content-tpes
Home //
Automotive Windshields to Post-Consumer Recycled Content TPEs
These injection moldable TPEs can be overmolded to polypropylene (PP) and come in a natural grade that can be easily colored.
These new TPEs contain 25 percent post-consumer recycled (PCR) content from PVB reclaimed from broken automotive windshields and laminated architectural glass.
https://www.avient.com/knowledge-base/case-study/automotive-windshields-post-consumer-recycled-content-tpes?rtype[]=1124
Home //
Automotive Windshields to Post-Consumer Recycled Content TPEs
These injection moldable TPEs can be overmolded to polypropylene (PP) and come in a natural grade that can be easily colored.
These new TPEs contain 25 percent post-consumer recycled (PCR) content from PVB reclaimed from broken automotive windshields and laminated architectural glass.
https://www.avient.com/knowledge-base/case-study/automotive-windshields-post-consumer-recycled-content-tpes?ind[]=21537
Home //
Automotive Windshields to Post-Consumer Recycled Content TPEs
These injection moldable TPEs can be overmolded to polypropylene (PP) and come in a natural grade that can be easily colored.
These new TPEs contain 25 percent post-consumer recycled (PCR) content from PVB reclaimed from broken automotive windshields and laminated architectural glass.
https://www.avient.com/knowledge-base/case-study/automotive-windshields-post-consumer-recycled-content-tpes?ind[]=6601
Home //
Automotive Windshields to Post-Consumer Recycled Content TPEs
These injection moldable TPEs can be overmolded to polypropylene (PP) and come in a natural grade that can be easily colored.
These new TPEs contain 25 percent post-consumer recycled (PCR) content from PVB reclaimed from broken automotive windshields and laminated architectural glass.