https://www.avient.com/sites/default/files/2021-11/avnt-november-investor-meetings.pdf
W H AT W E D O : M AT E R I A L S C I E N C E 4 CUSTOM FORMULATION We sell solutions not commodities. D is t. ) K W R P P G A V Y F U L R P M G C P F M C H X L H U N E C L A S H E M N C E S C L Source: Peer data per Bloomberg market data as of 2021年11月8日 Avient reflects 2021 estimated revenue of $4,750M and estimated CAPEX of $80M (excludes one-time synergy capture CAPEX of $20M) Avient Specialty Formulators Other Chemical/Specialty Companies Free Cash Flow Conversion (1) 2021E (%) Being asset light helps us to generate strong free cash flow that is in line with specialty formulators. Free cash flow conversion calculated as (EBITDA – Capex) / EBITDA H I G H F R E E C A S H F L OW C O N V E R S I O N Avient reflects 2021 estimated EBITDA of $580M and estimated CAPEX of $80M (excludes one-time synergy capture CAPEX of $20M) Source: Peer data per Bloomberg market data as of 2021年11月8日 86 93 85 83 79 77 75 89 85 83 81 79 79 78 77 74 25 A vi e n t K W R P P G A V Y F U L R P M G C P F M C U N V R C E B N R H X L A S H E C L E M N H U N S C L A L B (10) Source: Peer data per Bloomberg market data as of 2021年11月8日 Total Enterprise Value / 2021E EBITDA Our current valuation with updated guidance implies an EBITDA multiple that is below many of our specialty formulator peers.
https://www.avient.com/sites/default/files/resources/Polyolefins%2520Product%2520Selection%2520Guide.pdf
Chemically coupled • Impact modified • Natural or black • High flow grades • Recycled content Product Code - - - PP5920 B10 PP5935 B1 PP5940 B131 PP5950 B10 Reinforcement Type - - - Glass/Mica Glass/Mica Glass/Mica Glass/Mica Reinforcement % - % - 20 35 40 50 Specific Gravity 73°F (23°C) - ASTM D792 1.05 1.17 1.25 1.34 ISO 1183 Tensile Strength Yield psi ASTM D638 7000 9000 10,000 12,800 MPa ISO 527 Tensile Elongation Break % ASTM D638 6 5 5 2 ISO 527 Flexural Modulus 73°F (23°C) psi ASTM D790 550,000 780,000 870,000 1,300,000 MPa ISO 178 3900 5500 5800 9000 Notched Izod Impact 73°F (23°C) ft-lb/in ASTM D256 0.7 0.9 1.3 1.5 kJ/m2 ISO 180 4.0 5.0 7.0 8.0 Heat Deflection 66 psi °F ASTM D648 304 315 310 315 °C ISO 75 151 157 154 157 264 psi °F ASTM D648 225 298 290 310 °C ISO 75 107 148 143 154 Maxxam™ XST Thermoplastic Olefins (TPO) Offers exceptional stiffness to impact balance including excellent cold temperature impact resistance Scratch & mar resistant • Natural, black or colors • High flow grades • UV stabilized Product Code - - - TP9000 A3 TP9110 A701-SM TP9120 B397 TP9120 A525-SM TP9130 A954 Reinforcement Type - - - Talc Talc Talc Talc Talc Reinforcement % - % - 5 11 18 20 30 Specific Gravity 73°F (23°C) - ASTM D792 0.94 0.97 1.01 1.04 1.12 ISO 1183 Tensile Strength Yield psi ASTM D638 2400 3000 2750 3600 3450 MPa ISO 527 18 22 19 25 24 Tensile Elongation Yield % ASTM D638 12 6 5 4 8 ISO 527 Break % ASTM D638 >400 100 170 30 250 ISO 527 Flexural Modulus 73°F (23°C) psi ASTM D790 140,000 260,000 235,000 300,000 325,000 MPa ISO 178 1100 1800 1620 2000 2250 Notched Izod Impact 73°F (23°C) ft-lb/in ASTM D256 No Break 6 10 2 2.2 kJ/m2 ISO 180 68.0 36.0 53.0 11.0 12.0 -30°C ft-lb/in ASTM D256 1.5 1.2 1.3 0.7 0.8 kJ/m2 ISO 180 8.5 6.0 7.0 3.9 4.0 Heat Deflection 66 psi °F ASTM D648 160 208 205 220 218 °C ISO 75 83 98 96 110 105 264 psi °F ASTM D648 100 143 140 160 160 °C ISO 75 50 62 57 70 71 Multiaxial Impact @ 6.6 m/s 0°C ASTM D3763 100% Ductile 100% Ductile 100% Ductile -30°C ASTM D3763 100% Ductile 100% Ductile PROPERTY CONDITION UNITS METHOD PRODUCT EXAMPLES INJECTION MOLDING POLYPROPYLENE 8 91.866.POLYONE www.polyone.com Maxxam™ HST Filled Polypropylene with High Strength and Stiffness Maxxam™ LO Low Odor Talc-Filled Polypropylene Reinforced grades that provide exceptional levels of strength and stiffness. FDA certifiable • Natural, black or colors • UV stabilized Product Code - - - PE4125 B1 Reinforcement Type - - - Talc Reinforcement % - % - 25 Specific Gravity 73°F (23°C) - ASTM D792 1.15 ISO 1183 Tensile Strength Yield psi ASTM D638 4050 MPa ISO 527 28 Tensile Elongation Yield % ASTM D638 10 ISO 527 Break % ASTM D638 40 ISO 527 Flexural Modulus 73°F (23°C) psi ASTM D790 270,000 MPa ISO 178 1850 Notched Izod Impact 73°F (23°C) ft-lb/in ASTM D256 3.5 kJ/m2 ISO 180 20.0 Heat Deflection 66 psi °F ASTM D648 190 °C ISO 75 88 264 psi °F ASTM D648 115 °C ISO 75 46 PROPERTY CONDITION UNITS METHOD PRODUCT EXAMPLES 12 www.polyone.com Copyright © 2019, PolyOne Corporation.
https://www.avient.com/sites/default/files/2020-07/case-study-one-pager-therma-tech-led-light-heat-exchanger.pdf
© 2019, All Right Reserved Avient Corporation, 33587 Walker Road, Avon Lake, Ohio USA 44012 LED LIGHT MANUFACTURER H E A T E X C H A N G E R F O R A N E L E C T R O N I C C I R C U I T B O A R D • Looking to replace aluminum • Reduce corrosion • Light weighting • Eliminated the effects of corrosion • Provided a lightweight alternative to aluminium • Redesigned the part for easier processing and further weight reduction • Enabled the customer to take a new, innovative product in to the market Therma-Tech™ Thermally Conductive Formulation KEY REQUIREMENTS WHY AVIENT?
https://www.avient.com/sites/default/files/2023-03/Onflex-Cell Pack Cooling Tube-Application Snapshot.pdf
AVIENT SOLUTION V E H I C L E B AT T E RY M A N U FA C T U R E R C E L L P A C K C O O L I N G T U B E • Comply with ISO 3384-1:2011 for TPE compression set • Comply with ISO 11359-2:1999 standard for linear thermal expansion • Good ethanediol resistance • Good sealing performance • Customized a Shore 60A hardness TPE formulation with good physical property retention • Achieved good compression set and bonding performance with PA12 • Qualified thermal expansion by customer • Provided excellent ethanediol resistance under both low and high temperature conditions KEY REQUIREMENTS CHEMICAL RESISTANCE + SEALING LEARN MORE OnFlex™ TPE Custom Formulation Copyright © 2023, Avient Corporation.
https://www.avient.com/sites/default/files/2022-06/2021_Climate Change Score Report_Avient.pdf
This is higher than the North America regional average of C, and higher than the Trading, wholesale, distribution, rental & leasing sector average of C. Leadership (A/A-): Implementing current best practices Management (B/B-): Taking coordinated action on climate issues Awareness (C/C-): Knowledge of impacts on, and of, climate issues Disclosure (D/D-): Transparent about climate issues UNDERSTANDING YOUR SCORE REPORT Avient Region North America Country United States of America Questionnaire Chemicals Activity Group Trading, wholesale, distribution, rental & leasing The CDP Score Report allows companies to understand their score and indicate which categories require attention to reach higher scoring levels. CDP SCORE REPORT - CLIMATE CHANGE 2021 Your CDP score Average performance B C C B- Trading, wholesale, distribution, rental & leasing North America Global Average CDP SCORE REPORT - CLIMATE CHANGE 2021 CATEGORY SCORES If a company scored C or below, they will not have been scored for management or leadership points (the dark purple line represents this).
https://www.avient.com/sites/default/files/2021-12/2021-climate-change-score-report.pdf
This is higher than the North America regional average of C, and higher than the Trading, wholesale, distribution, rental & leasing sector average of C. Leadership (A/A-): Implementing current best practices Management (B/B-): Taking coordinated action on climate issues Awareness (C/C-): Knowledge of impacts on, and of, climate issues Disclosure (D/D-): Transparent about climate issues UNDERSTANDING YOUR SCORE REPORT Avient Region North America Country United States of America Questionnaire Chemicals Activity Group Trading, wholesale, distribution, rental & leasing The CDP Score Report allows companies to understand their score and indicate which categories require attention to reach higher scoring levels. CDP SCORE REPORT - CLIMATE CHANGE 2021 Your CDP score Average performance B C C B- Trading, wholesale, distribution, rental & leasing North America Global Average CDP SCORE REPORT - CLIMATE CHANGE 2021 CATEGORY SCORES If a company scored C or below, they will not have been scored for management or leadership points (the dark purple line represents this).
https://www.avient.com/sites/default/files/2021-12/AVNT 2021 Investor Day_0.pdf
C O - C R E A T I O N D is t. ) K W R P P G A V Y F U L R P M G C P F M C H X L H U N E C L E M N C E A S H S C L Source: Peer data per Bloomberg market data as of 2021年12月2日 Avient reflects 2021 estimated revenue of $4,750M and estimated CAPEX of $80M (excludes one-time synergy capture CAPEX of $20M) 129Avient Corporation 474 644 1,002 107 147 216 467 616 872 2014 2018 2021E R&D / Technical Marketing Sales Commercial Resources Headcount figures all Pro Forma for sale of Designed Structures and Solutions (DSS) and Performance Products and Solutions (PP&S) segments. 2021E data as of 2021年10月31日. Avient is High Touch Avient Corporation 130 86 93 85 82 79 77 74 89 85 82 81 79 78 77 74 72 25 A vi e n t K W R P P G A V Y F U L R P M G C P F M C U N V R C E B N R H X L E C L E M N H U N A S H S C L 2021E (%) 1.
https://www.avient.com/sites/default/files/2020-11/eccoh-processing-guide.pdf
EXTRUDER Screw 3/4" to 6" Polyethylene type—Single flight, no mixing section, 1.5–2:1 compression ratio Tooling Semi-Pressure type: 30°–40° angle Die On size with 1/8" or less land L/D 24:1 recommended Screen Pack No screen pack (Optional depending on pressure) Cooling Trough 120–150°F (50–65°C) recommended Feeder Gravimetric type preferred—3 compartment for cross-linked Dryer Desiccant type, 4 hours at 160°F (70°C) For ECCOH™ compound only; never put Dry Silane in Dryers PROCESSING Temperature ECCOH 5000 Series ECCOH 6000 Series Wire Preheat 180–250°F (80–120°C) 180–250°F (80–120°C) Feed Zones 200°F (93°C) 275°F (135°C) Transition 275°F (135°C) 325°F (163°C) Metering 300°F (150°C) 375°F (190°C) Head/Die 330°F (165°C) 420°F (215°C) Target Melt 330–340°F (165–170°C) 420–440°F (215–225°C) Flame at Die Tip Yes—as needed Line Speed Shear sensitive: Observe Melt Temperature, Motor Amperage, and Pressure Purge Compound HDPE Copyright © 2020, Avient Corporation.
https://www.avient.com/sites/default/files/2020-08/avient-investor-presentation-jefferies-industrials-conference.pdf
Avient Corporation 1 J E F F E R I E S V I R T U A L I N D U S T R I A L S C O N F E R E N C E A U G U S T 2 0 2 0 Avient Corporation 2 FORWARD LOOKING STATEMENTS • • • • • • • • • • • • • • • • • • • • Avient Corporation 3 U S E O F N O N - G A A P M E A S U R E S • • • Avient Corporation 4 U P D A T E O N T H E C O V I D - 1 9 P A N D E M I C • • • • Avient Corporation 5 2019 Transportation Consumer Discretionary Healthcare Packaging All Other Industries Cost Containment FX 2020 $64.3 18% 18% 9% 6% 16% 2% $46.9 20% • • • • • • S E C O N D Q U A R T E R 2 0 2 0 I N R E V I E W Consumer Discretionary Avient Corporation 6 CLARIANT MASTERBATCH STRATEGIC RATIONALE Avient Corporation 7 F I T W I T H F O U R P I L L A R S T R A T E G Y Specialization • • • Globalization • • Operational Excellence • • • Commercial Excellence • • People Avient Corporation 8 5% 2006 2019E PF* 4% 12% 10% 18% 8% 20% 2006 2019E PF* Healthcare Consumer Packaging 38% * 2019E Pro Forma for PP&S Divestiture and Clariant Masterbatch business Percentage of Total Revenue E N D M A R K E T T R A N S F O R M A T I O N Building & Construction High Growth End Markets 50% 22% Avient Corporation 9 Wire & Cable 11% Industrial 10% Electrical & Electronic 7% Healthcare 4% Packaging 8% Consumer 10% Transportation 12% Building & Construction 38% Healthcare 12% Packaging 20% Consumer 18%Transportation 12% Building & Constrution 5% Wire & Cable 9% Industrial 11% Electrial & Electronic 4% Appliance 2% Textiles 7% 2006 Pro Forma(1) Net Sales by End Market E N D M A R K E T T R A N S F O R M A T I O N Avient Corporation 10 U N I F I E D F O C U S O N S U S T A I N A B I L I T Y 2006 - 2013 2013 – 2019 P E O P L E P R O D U C T S P L A N E T P E R F O R M A N C E •• •• •• Avient Corporation 11 O V E R 8 5 % O F A D J U S T E D E B I T D A F R O M S P E C I A L T Y 46% 66% 0% 20% 40% 60% 80% 100% 2005 2010 2015 Pro Forma % o f A d ju s t e d E B IT D A ( 1 ) JVs Performance Products & Solutions Distribution Specialty 7% 87% (2) Avient Corporation 12 T H E N E W A V I E N T : A S P E C I A L T Y G R O W T H C O M P A N Y Transaction expected to add $0.85 to pro forma adjusted EPS Avient Corporation 13 SUSTAINABILITY AT AVIENT P E O P L E , P R O D U C T S , P L A N E T , P E R F O R M A N C E Avient Corporation 13 Avient Corporation 14 V I S I O N To be the world’s premier provider of specialized polymer materials, services and solutions C O R E V A L U E S P E R S O N A L V A L U E S Honesty IntegrityRespect Operational Excellence Commercial Excellence Specialization Globalization Collaboration ExcellenceInnovation To be the world’s premier provider of specialized polymer materials, services and sustainable solutions Avient Corporation 15 1.3 1.1 1.1 0.85 0.65 0.57 0.54 0.97 0.84 0.74 0.74 0.69 0.51 0.56 0.14 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 YTD S A F E T Y F I R S T Injuries per 100 Workers Spartech Acquisition Avient Corporation 16 G R E A T P L A C E T O W O R K Avient Corporation 17 C O M M O D I T Y T O S P E C I A L T Y T R A N S F O R M A T I O N • • • • • • • • • • • • 2006 - 2013 2013 – 20192000-2005 2006 - 2013 • • 2020 and Beyond Avient Corporation 18 A V I E N T 2 0 1 9 R E V E N U E | $ 2 . 9 B I L L I O N Segment End Market Geography Healthcare 15% Industrial 14% Consumer 14% Packaging 13% Transportation 13% Wire & Cable 11% Building & Construction 6% Electrical & Electronics 6% Textiles 5% Appliance 3% Color Additives & Inks 34% Distribution 41% Specialty Engineered Materials 25% United States 54% Europe 19% Asia 11% Latin America 11% Canada 5% Avient Corporation 19 Operating Income % of Sales 2006 2019 Color, Additives & Inks 1.7% 14.7% Specialty Engineered Materials 1.1% 11.6% Distribution 2.6% 6.3% 2009 2010 2011 2012 2013 2014 2015 2016* 2017* 2018 $2.43 P R O O F O F P E R F O R M A N C E C O N S E C U T I V E Y E A R S 1 0 $0.13 $0.68 $0.82 $1.00 $1.31 $1.80 $1.96 $2.06 $2.21 A D J U S T E D E P S E X P A N S I O N 2018 2019 $1.69 $1.51 Avient Corporation 20 531 710 1,032 130 164 207 504 663 871 2014 2018 Pro Forma R&D / Technical Marketing Sales + 34% + 26% + 32% E X P A N S I O N O F C O M M E R C I A L R E S O U R C E S D R I V I N G G R O W T H Revenue in Billions Total + 10% Organic + 7%+ 45% + 26% + 31% $4.0 $3.2 (2) (1) (1) $2.9 $2.9 $3.5 2015 2016 2017 2018 Pro Forma Total + 9% Organic + 5% Pro Forma(2) Avient Corporation 21 P R I O R A C Q U I S I T I O N S H I S T O R Y Commercial Resources(1) Operating Income ($ in millions) Operating Margins 256 350 At Acquisition 2019 $36 $100 At Acquisition 2019 9% 19% At Acquisition 2019 Established Acquisitions (> 7 years) + 37% + 176% + 1000 bps Avient Corporation 22 A L I G N I N G W I T H T R E N D S F O R G R O W T H T R A N S P O R T A T I O N P A C K A G I N G H E A L T H C A R E C O N S U M E R Facilitate alternative energy solutions Light- weighting Reduce packaging materials Improve recyclability Reduce spread of infection Avient Corporation 23 I N N O V A T I O N Customization 55% M&A 30% Innovation Pipeline 15% Innovation comes from Research & Development Spend Vitality Index 12% 37% 2006 2019 $20 $51 2006 2019 Avient Corporation 24 R E V E N U E F R O M S U S T A I N A B L E S O L U T I O N S $275M $325M $355M $410M 14% Total Annual Growth 9% Organic Annual Growth Avient Corporation 25 SEGMENT HIGHLIGHTS I N N O V A T I N G W I T H A V I E N T Avient Corporation 25 Avient Corporation 26 C O L O R , A D D I T I V E S & I N K S E N D M A R K E T S & S O L U T I O N S Solid Colorants Performance Additives Screen Printing Inks Liquid Colorants Packaging 31% Industrial 14% Textiles 13% Wire & Cable 10% Building & Construction 9% Consumer 8% Transportation 7% Healthcare 5% Appliances 2% Electrical & Electronics 1% Avient Corporation 26 Avient Corporation 27 Operating Income & MarginRevenue by Region C O L O R , A D D I T I V E S & I N K S 2 0 1 9 R E V E N U E | O V E R $ 1 B I L L I O N Europe 34% United States 44% Asia 15% Canada 1% Mexico 3% South America 3% $4 $25 $104 $147 2005 2009 2013 2019 0.9% 5.5% 12.2% 14.7% Avient Corporation 27 Avient Corporation 28 S P E C I A L T Y E N G I N E E R E D M A T E R I A L S E N D M A R K E T S & S O L U T I O N S Engineered Formulations Advanced Composites Thermoplastic Elastomers Wire & Cable* 28% Consumer 19% Electrical & Electronics 12% Healthcare 9% Industrial 8% Packaging 6% Appliance 2% Building & Construction 2% Transportation 14% Avient Corporation 28 Avient Corporation 29 S P E C I A L T Y E N G I N E E R E D M A T E R I A L S Revenue by Region Operating Income & Margin 2 0 1 9 R E V E N U E | $ 7 5 0 M I L L I O N Europe 27% United States 54% Asia 17% Canada 2% $21 $57 $87 2005 2009 2013 2019 0.1% 5.1% 9.3% 11.6% Avient Corporation 29 Avient Corporation 30 D I S T R I B U T I O N E N D M A R K E T S & S U P P L I E R S Healthcare 28% Industrial 19% Transportation 18% Consumer 17% Appliance 6% Electrical & Electronics 5% Building & Construction 4% Packaging 2% Wire & Cable 1% Operating Income & Margin2019 Revenue | $1.2 Billion $25 $63 $75 2005 2009 2013 2019 $20 2.9% 4.0% 5.9% 6.3% Avient Corporation 30 http://www.avient.com/Pages/VariationRoot.aspx Avient Corporation 31 O V E R V I E W O F R A W M A T E R I A L P U R C H A S E S Avient Corporation 31 Avient Corporation 32 Avient Corporation 33 Adjusted EPS attributable to PolyOne common shareholders is calculated as follows: 2009* 2010* 2011* 2012* 2013* 2014* 2015* 2016** 2017** 2018 2018*** Q1 2019*** 2019 Q1 2020 Net income from continuing operations attributable to PolyOne common shareholders Joint venture equity earnings, after tax Special items, before tax (1) Special items, tax adjustments (1) Adjusted net income from continuing operations attributable to PolyOne common shareholders $ 106.7 $ 152.5 $ 153.4 $ 53.3 $ 94.0 $ 78.0 $ 144.6 $ 166.4 $ 173.5 $ 161.1 $ 87.7 $ 22.4 $ 75.5 $ 33.1 (19.0) (14.7) (3.7) — — — — — — — — — — — (48.7) 24.2 (48.1) 55.1 46.3 164.2 87.6 23.8 32.9 59.5 58.7 12.2 61.7 9.6 (27.2) (96.7) (24.7) (18.9) (13.7) (73.7) (58.7) (15.9) (24.8) (25.3) (25.1) (1.2) (5.9) (1.0) $ 11.8 $ 65.3 $ 76.9 $ 89.5 $ 126.6 $ 168.5 $ 173.5 $ 174.3 $ 181.6 $ 195.3 $ 121.3 $ 33.4 $ 131.3 $ 41.7 Diluted shares 93.4 96.0 94.3 89.8 96.5 93.5 88.7 84.6 82.1 80.4 80.4 78.2 77.7 86.7 Adjusted EPS attributable to PolyOne common shareholders $ 0.13 $ 0.68 $ 0.82 $ 1.00 $ 1.31 $ 1.80 $ 1.96 $ 2.06 $ 2.21 $ 2.43 $ 1.51 $ 0.43 $ 1.69 $ 0.48 * Historical results are shown as presented in prior filings and have not been updated to reflect subsequent changes in accounting principle, discontinued operations or the related resegmentation. ** Pro forma for sale of Designed Structures and Solutions segment (DSS). *** Pro forma for sale of Performance Products and Solutions segment (PP&S).
https://www.avient.com/sites/default/files/2021-01/case-study-one-pager-gravi-tech-luxury-closures-english-and-spanish_0.pdf
L E A D I N G P R O D U C E R O F C L O S U R E S F O R S P I R I T S L U X U R Y C L O S U R E S • Replace metal while providing metallic look and feel • Customization of density and color • Easy processing • FDA compliance • Replaced metal with a weighted polymer solution to maintain high-quality perception • Minimized the appearance of chips from everyday wear better than metal by matching closure interior and metalized coating colors • Enabled the customer to introduce their luxury closures to a new market segment Gravi-Tech™ Density Modified Formulation KEY REQUIREMENTS WHY AVIENT? https://www.avient.com/products/engineered-polymer-formulations/eco-conscious-formulations/gravi-tech-density-modified P R O D U C T O R L Í D E R D E TA P O N E S PA R A B E B I DA S A L C O H Ó L I C A S T A P O N E S D E L U J O • Se sustituye el metal al mismo tiempo que se ofrece aspecto y sensación metálicos • Personalización de densidad y color • Procesamiento sencillo • Cumplimiento con las normas de la FDA • El metal se sustituye con un compuesto plástico de densidad modificada para mantener una percepción de alta calidad • Se redujo al mínimo la aparición de desportilladuras por el desgaste cotidiano, que supera al metal porque permite hacer coincidir el interior de la tapa con los colores de revestimiento metalizado • Permitió al cliente introducir sus tapones de lujo en un nuevo segmento del mercado Formulación de densidad modificada Gravi- Tech™ REQUERIMIENTOS CLAVE ¿POR QUÉ AVIENT?