Acquisition of Novero. Investor presentation 18th December 2015

Transcription

1 Acquisition of Novero Investor presentation 18th December 2015

2 What Novero brings to Laird The acquisition of Novero and LSR rebalances our business, Wireless Systems will now be of a similar scale to Performance Materials Currently we own the leading technology for connectivity INTO the vehicle Novero gives us telematics control WITHIN the vehicle This means we possess the technology to manage everything between the external system and the infotainment front-end in the vehicle 2

3 Novero and Laird s Combined Technologies Service Centre GPS and Sat Radio Cellular Infotainment Includes WiFi, BT and BLE radios Telematics Control Smart Antenna Integrated Radios and Antennas Ethernet and/or CAN Data Bus Wireless Charging Connection for Hands Free Calling and Internet Connectivity 3 USB Charging Antenna Coupling Laird Novero

4 4 ecall Hardware Immediate alert of rescue services about the accident (number of vehicles, vehicle types, etc.) Precise knowledge of the location of the accident, significantly reduced travel time Faster clearance of the accident site, less secondary accidents, shorter traffic jams, lower fuel consumption and lower CO2 emissions Reduced costs for the insurance companies, the health care system and drivers Wi-Fi Hotspot Up to 8 Wi-Fi devices in the car can go online at the same time with up to 100 MBit/s downstream Remote Diagnostics Data such as mileage, oil level and tyre pressure can be queried via a smartphone app Owners of electric cars can determine when the battery needs to be recharged in order to cover a certain distance Telematics Control Software updates over the air Safety-related errors Comfort and infotainmentrelated errors Additions, updates, new features Track & Trace The position of a vehicle can be displayed on a map so drivers can be guided to the location Carriers and logistics operators can deliver more efficiently and provide information about the delivery automatically to their customers Remote Control Turning the smartphone into a smart and convenient remote control for the car to control temperature, lights and parking

5 Seamless connection between mobile phone and car antenna Calls can be received in high quality and position detection is optimized Reduces transmission power to conserve battery life and reduces radiation load Antenna Coupling NO MORE DEAD SPOTS 5

6 Functions as well as on a PC Ensures permanent optimal charging capacity, no matter which position the phone is placed in the tray Data transfer and charging operate perfectly in parallel USB Charging Wireless Charging Quick charging of mobile devices in cars without cables Device-specific cable works just like at home 6

7 Managing the Connectivity Space in Automotive Enhanced signal quality Over the air software updates Full telematics control USB charging Integrated DSRC shark fin antenna Smart antennas provide optimal RF performance DSRC (V2V / V2I) antenna + receiver Ability to integrate consumer electronics Cellular, GNSS Antenna + transceiver Data pipe Wireless charging Emergency responders Connected devices optimize fleet productivity WiFi Bluetooth LTE / MiMoantennas enable in vehicle data streaming Laird Novero Both 7

8 Technologies Manufacturing in Europe that complements our Telematics global footprint Advanced automotive reliability testing and certified in-house electro-magnetic compatibility (EMC) testing Integration of consumer electronic devices within the vehicle via: Wireless charging modules USB hubs Wireless signal enhancement 8

9 Customers & Markets Global automotive infotainment and connectivity market - 20bn New customers -Mercedes-Benz, DAF and MAN (our first heavy truck OEM) Increase our fully contented wireless system solutions in a typical family car from below $30 to more than $125 A key supplier to the largest auto manufacturers in Europe 9

10 10 Customers Companies and brands, trusting in our abilities

11 Integration & synergies REVENUE Bringing Novero s products to a much wider audience with Tier 1 accreditation Gives Laird greater access to European OEMs including in heavy vehicle Owning the technology INTO and WITHIN the car gives us a unique offering Financial strength to support revenue growth in the business SUPPLY CHAIN We bring a manufacturing footprint with accredited facilities in Mexico, Brazil and China - essential to sell into North America, Latin America and Asia General cost savings through shared systems, governance and rationalisation 11

12 Connectivity Three High Potential Future Scenarios BUILT IN SOLUTIONS Embedded TCUs Vehicle-Centric Services: Safety / Security Diagnosis Vehicle Tracking Efficient Driving Autonomous Driving Updates over the Air V2V & V2I BEAMED IN SOLUTIONS Automotive HMI Solutions Driver-Centric Services: Transform brought in apps to driver specific user interfaces on the head unit BROUGHT IN SOLUTIONS Smart Device Integration User-Centric Services: Social Networking Personal Data Services Messaging Internet Access 12

13 Financial information Total cost 65m Cash 51m Shares 14m 31/12/14 m Revenue 83.7 EBITDA 8.4 PBT 1.3 No net debt impact at year end due to timing of completion 7m ( 5m) benefit on Group underlying PBT in 2016 and industry standard margins from 2017 We are confident this will deliver good value for our shareholders 13

14 Summary LSR and Novero acquisitions strengthen our capabilities in Wireless Systems, creating a better balance with Performance Materials Acquired technologies make us a leading player in management of end-to-end vehicle connectivity;a strong position to be in as the number of vehicle processors reduces from the current level of to 6 7 in the future LSR added new technologies and a range of new EIoT markets, Novero takes us to a leadership position in automotive connectivity, a key market for the EIoT Gives us access to new customers and deeper penetration with some of our existing customers 14

15 Additional information

16 Technology Favourites Global sales forecast of OEM connectivity solutions for passenger cars Embedded solutions Device Integration Tethered Connectivity Source: SBD/GSMA Units in Million Embedded Solutions Both the connectivity and the intelligence arebuilt directly into the vehicle. Smart Device Integration The bring-your-own-device (BYOD) option: driver hassmartphone, smartphone has apps,apps show up onconnectedcar s dashboard monitor. Tethering Solutions The intelligence and applications reside in the car, but connectivity is delivered through an externalsourcesuch as a smartphone. 16

17 Units 000 s The Future of Built in Solutions Strong Market Growth: Embedded Telematics Control Unit Shipments North America Europe Japan China India Russia Brazil Source: Strategy Analytics China Europe North America Drivers for Market Growth Regulatory requirements (e.g. Europe: e-call) OEM strategies for Safety / Security (Vehicle centric services) OEM strategies for new customer services (Driver based Services) Strong Growth Rates TCU Shipments in 2020: 42 Million units TCU Revenues in 2020: $ 3.8 Billion 17

18 Transforming Cellular Technology Embedded Telematics Control Unit Shipments 2G 2,5G 3G 4G Source: Strategy Analytics Units 000 s Demanding scalable data rates Transforming cellular technology to 4G (LTE) for high end services Cost-driven solutions continue using 2.5G/ 3G Modules vs. chipset developments 18

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