https://www.avient.com/sites/default/files/2023-01/AVNT Dec 2022 Earnings Presentation.pdf
We partner with Brand Owners / OEMs, processors and assemblers to enable their goals in applications like packaging, healthcare, consumer goods, transportation, wire & cable, building & construction and textiles.
Purchase price multiple rapidly declining on strength of business and synergy capture 12 $133 $201 2019PF 2022E 12 Clariant Color EBITDA Growth Purchase Price Multiple 10.8x 7.0x 6.4x 2019PF 2021 2022E w/ Full Synergies (1) (1) 11.9% 16.3% 2019PF 2022E EBITDA Margins (1) CLARIANT COLOR: TRANSFORMATIONAL ACQUISITION ($ in millions) (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 $2.3B Proceeds TPE PP&S HISTORIC SPECIALIZATION THROUGH M&A 13 Distribution DSM Protective Materials BOLT-ON ACQUISITION HISTORY 14 Commercial Resources Operating Income ($ in millions) Operating Margins 259 363 At Acquisition 2022E $40 $139 At Acquisition 2022E 9% 22% At Acquisition 2022E 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 7% 46% 67% 86% 100% 0% 20% 40% 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) 15 Healthcare 4% Packaging 8% Consumer 10% Building & Construction 43% Industrial 15% Transportation 14% Energy 4% Telecom. 2% 2006 2022 Pro Forma Healthcare 8% Packaging 23% Consumer 21% Building & Construction 10% Industrial 15% Transportation 9% Energy 4% Telecom. 4% Defense 6% END MARKET FOCUS ON LESS CYCLICAL INDUSTRIES 16 14.8% 17.6% 21.0% 2018 2020 2022 PF 1.8% 2006 15.3% 16.2% 17.0% 2018PF 2020PF 2022E CAI 2.7% 2006 SEM SPECIALTY EBITDA MARGIN EXPANSION 17 • Portfolio transformation accelerates growth in less cyclical, higher margin end markets • Investments in our composites platform continue to drive margin expansion (1) (1) (1) 2018 and 2020 financial information is pro forma to include a full year of Clariant Color acquisition PORTFOLIO EVOLUTION OVER THE YEARS 18 Adj.
Sales EBITDA Specialty Engineered Materials Color Additives and Inks $585M$3,635M (1) Transportation 9% Healthcare 8% 29 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 35% EMEA 40% Asia 20% Latin America 5% END MARKET REGION 30 Packaging 33% Consumer 22% Healthcare 9% Industrial 15% Transportation 8% Building & Construction 11% Telecommunications 1% Energy 1% 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% EMEA 35% Asia 15% REGION 31 Figures represent 2022 full year estimates Packaging 5% Consumer 19% Healthcare 8%Industrial 16% Transportation 10% Telecommunications 10% Energy 9% Defense 15% Building & Construction 8% Packaging 31% Consumer 28% Healthcare 8% Industrial 13% Building & Construction 5% Telecommunications 3% Energy 2% Defense 1% Asia (20% of sales) Transportation 9% 2022 PROFORMA AVIENT REGIONAL SALES BY END MARKET Packaging 29% Consumer 13% Healthcare 5% Industrial 17% Building & Construction 11% Energy 5% Defense 7% EMEA (35% of sales) Transportation 10% Packaging 14% Consumer 23% Healthcare 11% Industrial 15% Building & Construction 12% Energy 5% Defense 7% US & Canada (40% of sales) Transportation 7% Packaging 49% Consumer 22% Healthcare 8% Industrial 9% Building & Construction 6% Telecommunications 1% LATAM (5% of sales) Transportation 5% Telecommunications 3%Telecommunications 6% Figures represent 2022 full year estimates32
https://www.avient.com/sites/default/files/2025-01/AVNT Dec 2022 Earnings Presentation Updated.pdf
We partner with Brand Owners / OEMs, processors and assemblers to enable their goals in applications like packaging, healthcare, consumer goods, transportation, wire & cable, building & construction and textiles.
Purchase price multiple rapidly declining on strength of business and synergy capture 12 $133 $201 2019PF 2022E 12 Clariant Color EBITDA Growth Purchase Price Multiple 10.8x 7.0x 6.4x 2019PF 2021 2022E w/ Full Synergies (1) (1) 11.9% 16.3% 2019PF 2022E EBITDA Margins (1) CLARIANT COLOR: TRANSFORMATIONAL ACQUISITION ($ in millions) (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 $2.3B Proceeds TPE PP&S HISTORIC SPECIALIZATION THROUGH M&A 13 Distribution DSM Protective Materials BOLT-ON ACQUISITION HISTORY 14 Commercial Resources Operating Income ($ in millions) Operating Margins 259 363 At Acquisition 2022E $40 $139 At Acquisition 2022E 9% 22% At Acquisition 2022E 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 7% 46% 67% 86% 100% 0% 20% 40% 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) 15 Healthcare 4% Packaging 8% Consumer 10% Building & Construction 43% Industrial 15% Transportation 14% Energy 4% Telecom. 2% 2006 2022 Pro Forma Healthcare 8% Packaging 23% Consumer 21% Building & Construction 10% Industrial 15% Transportation 9% Energy 4% Telecom. 4% Defense 6% END MARKET FOCUS ON LESS CYCLICAL INDUSTRIES 16 14.8% 17.6% 21.0% 2018 2020 2022 PF 1.8% 2006 15.3% 16.2% 17.0% 2018PF 2020PF 2022E CAI 2.7% 2006 SEM SPECIALTY EBITDA MARGIN EXPANSION 17 • Portfolio transformation accelerates growth in less cyclical, higher margin end markets • Investments in our composites platform continue to drive margin expansion (1) (1) (1) 2018 and 2020 financial information is pro forma to include a full year of Clariant Color acquisition PORTFOLIO EVOLUTION OVER THE YEARS 18 Adj.
Sales EBITDA Specialty Engineered Materials Color Additives and Inks $585M$3,635M (1) Transportation 9% Healthcare 8% 29 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 35% EMEA 40% Asia 20% Latin America 5% END MARKET REGION 30 Packaging 33% Consumer 22% Healthcare 9% Industrial 15% Transportation 8% Building & Construction 11% Telecommunications 1% Energy 1% 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% EMEA 35% Asia 15% REGION 31 Figures represent 2022 full year estimates Packaging 5% Consumer 19% Healthcare 8%Industrial 16% Transportation 10% Telecommunications 10% Energy 9% Defense 15% Building & Construction 8% Packaging 31% Consumer 28% Healthcare 8% Industrial 13% Building & Construction 5% Telecommunications 3% Energy 2% Defense 1% Asia (20% of sales) Transportation 9% 2022 PROFORMA AVIENT REGIONAL SALES BY END MARKET Packaging 29% Consumer 13% Healthcare 5% Industrial 17% Building & Construction 11% Energy 5% Defense 7% EMEA (35% of sales) Transportation 10% Packaging 14% Consumer 23% Healthcare 11% Industrial 15% Building & Construction 12% Energy 5% Defense 7% US & Canada (40% of sales) Transportation 7% Packaging 49% Consumer 22% Healthcare 8% Industrial 9% Building & Construction 6% Telecommunications 1% LATAM (5% of sales) Transportation 5% Telecommunications 3%Telecommunications 6% Figures represent 2022 full year estimates32
https://www.avient.com/sites/default/files/2024-11/Rejoin PCR Colorants Product Bulletin.pdf
Rejoin™ PCR Colorants Rejoin™ PCR Colorants use post-consumer recycled (PCR) material as a carrier resin to effectively enable 100% PCR packaging..
Using Rejoin PCR Colorants helps companies enhance brand reputation while meeting their customers’ demand for more sustainable packaging.
KEY CHARACTERISTICS • Enables 100% PCR packaging • Helps companies meet sustainability goals • Replaces virgin resin, reducing total energy consumption and limiting emissions* • Combines colorants and functional additives in one solution • Allows for full recyclability of the end product • Provides a lower carbon product footprint than traditional masterbatch • Suitable for use in polyethylene (PET) and polypropylene (PP) as well as in rPET and rPP applications MARKETS AND APPLICATIONS Rejoin PCR Colorants are designed for use in a broad range of applications, including household and personal care packaging, consumer goods, or food and beverage containers.
https://www.avient.com/sites/default/files/2021-09/olefins-brochure.pdf
They are chemically inert, making them extremely suitable and safe for many types of packaging.
CREATING A MORE SUSTAINABLE PACKAGE There are a number of ways to create packaging that is considered more sustainable.
You likely have specific goals identified that will result in more sustainable packaging.
https://www.avient.com/sites/default/files/2020-08/colormatrix-flexcart-overview-2020.pdf
What size of packaging is normally used?
The packaging is designed to effectively contain and transport Avient liquid colors and additives.
PlanetPak containers are available in a range of sizes either for use with the FlexCart or as standalone packaging for customers’ orders.
https://www.avient.com/sites/default/files/2020-03/case-study-colormatrix-impress-rpet-bottle.pdf
Case Study - ColorMatrix Impress rPET Bottle vF PDF © 2019, All Right Reserved PolyOne Corporation, 33587 Walker Road, Avon Lake, Ohio USA 44012 BOTICÁRIO C O S M E T I C P A C K A G I N G • Cosmetic bottle packaging colorant designed to help distinguish product on the shelf • Compatible with sustainable packaging material to enable use in rPET technology • Brand-specified color • Local material development support • Achieved brighter color and more brilliant metallic effect than alternative colorants • Developed for use in 10% recycled rPET bottle • Formulated custom liquid colorant on-site and matched to brand color standard ColorMatrix™ Impress™ High Gloss Metallic Effect Colorants liquid color for bottle packaging KEY REQUIREMENTS WHY POLYONE?
https://www.avient.com/sites/default/files/2022-02/ColorMatrix Triple A Brochure.pdf
Once bottles are blown and filled, AA can migrate from container walls into its contents, giving an undesirable taste and odor to the packaged product.
Triple A can help to ensure consistent and reliable control of AA levels and as a result is important in reducing brand risk for products packaged in PET.
Triple A™ offers a cost- effective and reliable solution for reducing and controlling AA levels which can cause off-taste in products packaged in PET.
https://www.avient.com/sites/default/files/2023-04/ColorMatrix UV Brochure.pdf
Both UV390 and UV390R technologies can be particularly effective in working towards lighter, more recyclable packaging, alongside potential productivity benefits and maintaining product protection.
In some situations the Ultimate UV range can vastly improve both the processing and mechanical properties of packaging incorporating recycled material.
UV light can cause reactions in UV sensitive food and beverages that result in changes in taste, odor and texture, as well as degrading colored dyes and pigments in plastic packaging.
https://www.avient.com/sites/default/files/2020-08/colormatrix-flexcart-nano-liquid-metering-system-flyer_0.pdf
VALUE BENEFITS OF USING THE FLEXCART NANO SYSTEM The FlexCart Nano metering system is market leading: • Robust and dependable system control • Reliable yield (typically above 90%) and sustainable packaging • Fully supported technology • Small footprint designed for very low throughputs FLEXCART™ NANO LIQUID METERING SYSTEM Combined with the PlanetPak™ delivery packaging ATTRIBUTE FLEXCART NANO Footprint (LxW cm) 55 x 30 Controller options 3000 Typical max. throughput (kg/hr) 50 Max. metering rate (cc/s) 1.8 Continuous use No Transfer pumps N/A Metering pumps Peri Interchangeable cassette No Note: Peri = Peristatic Pump PLANETPAK™ CONTAINERS The FlexCart range of metering systems is designed to work with the standardized Avient range of packaging, typically achieving 99% reliable yield on continuous operating systems, and at the same time achieving a sustainable packaging format in terms of full recyclability.
The PlanetPak container range is the standardized range of packaging used with the FlexCart systems.
https://www.avient.com/sites/default/files/2020-09/chemically-compatible-tpes-for-cosmetic-pkg-application-bulletin.pdf
IMPROVE FINISH AND PERFORMANCE CHEMICALLY COMPATIBLE TPES FOR COSMETIC PACKAGING Functionality and differentiation are key when designing cosmetic packaging.
Chemical compatibility of the packaging materials is equally important.
Without compatibility, your packaging can discolor, etch, crack or delaminate when in direct contact with cosmetic ingredients.