https://www.avient.com/investor-center/investor-news/archives?page=28
PolyOne Expands Color Portfolio with Acquisition of Mesa
PolyOne Expands Specialty Color Portfolio with Rutland Acquisition
PolyOne Appoints Mark Crist to President of Color, Additives & Inks; Scott Horn to President of Distribution
https://www.avient.com/news/archives?page=60
PolyOne Launches Natural Fiber Reinforced Solutions in Brilliant Colors
FRIEDRICHSHAFEN, Germany – October 13, 2015 – PolyOne is unveiling new bold color and extrusion options within the reSound™ Natural Fiber Reinfo
Ranging from colorants and
https://www.avient.com/investor-center/news/avient-announces-record-fourth-quarter-and-full-year-2021-results
The company acquired Clariant's color ("Clariant Color") business on
Color, Additives and Inks
Color, Additives and Inks
https://www.avient.com/sites/default/files/2023-01/AVNT Dec 2022 Earnings Presentation.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
SUSTA INAB ILITY F OR A BETTER TOMOR ROW
Revenue From Sustainable Solutions* 2016-2021
$310
205
140
80
75
45
40
20
$915M2021 Sales
($ in millions)
*Avient Sustainable Solutions definitions aligned with FTC 2012 Guide for the Use of Environmental Marketing Claims (“Green Guides”)
**2020 is Pro Forma to include full year of the Clariant Color business
Future Growth Revenue Assumptions From Sustainable Solutions: 8 - 12%
5
Key Updates
• Provided progress on 2030 Sustainability Goals
• Emphasized commitment to U.N.
Global Compact &
fulfilled Communication of Progress (COP)
requirements
• New Sustainability Strategy overview page including
our 2022 AIP ESG metrics
• New ESG Performance page with ESG ratings,
awards, and certifications
• Increased disclosures on carbon emissions, including
disclosure of Climate Change Scenario Analysis
• Added new Product Stewardship and Chemical
Management policies
• Enhanced data reporting for Workforce
Demographics
• Improved social disclosures on human rights,
dependent care and special leave and strategic
training management
20 21 SUSTAI NA BILI TY REPORT
Launching integrated sustainability website in parallel with report
Aligned with leading reporting frameworks
6
Released July 2022
E S G R AT I N G S P E R F O R M AN C E
E S G AWA R D S AN D C E R T I F I C AT I O N S
ESG PER FORMANCE & A WAR DS
84th
3
1
2
7
T R A N S F O R M A T I O N A L
O V E R V I E W
Avient Protective
Materials
Dyneema
®
RECENT TRANSAC TIONS
Acquired Divested
$1.45 B $0.95 B
9
Distribution
UPDATED CA PI TAL STRUC TURE
& LI QUI DI TY
• 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
Cas
h
$544
Undr
awn
Rev
olve
r
$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)
(1) $250M reflects estimated undrawn revolver following the divestiture of Distribution
10
PREVI OUS TR ANSACTIONS
Performance
Solutions
Products &
$0.8 B
COLOR
$1.4 B
Acquired (2020)Divested (2019)
11
• 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
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
$2.3B Proceeds
TPE
PP&S
HISTORI C SPECI AL IZATION THROUGH M& A
13
Distribution
DSM Protective
Materials
BOLT-ON AC QUI SITI ON HISTORY
14
Commercial
Resources
Operating Income
($ 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
S P E C I A LT Y T R A N SF O R M ATI O N
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
e
d
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 MAR KET F OCUS ON LESS CYCL IC AL
I ND USTRI ES
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
SPEC IA LTY EBI TDA MA RGI N EX PANSION
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.
https://www.avient.com/sites/default/files/2025-01/AVNT Dec 2022 Earnings Presentation Updated.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
SUSTA INAB ILITY F OR A BETTER TOMOR ROW
Revenue From Sustainable Solutions* 2016-2021
$310
205
140
80
75
45
40
20
$915M2021 Sales
($ in millions)
*Avient Sustainable Solutions definitions aligned with FTC 2012 Guide for the Use of Environmental Marketing Claims (“Green Guides”)
**2020 is Pro Forma to include full year of the Clariant Color business
Future Growth Revenue Assumptions From Sustainable Solutions: 8 - 12%
5
Key Updates
• Provided progress on 2030 Sustainability Goals
• Emphasized commitment to U.N.
Global Compact &
fulfilled Communication of Progress (COP)
requirements
• New Sustainability Strategy overview page including
our 2022 AIP ESG metrics
• New ESG Performance page with ESG ratings,
awards, and certifications
• Increased disclosures on carbon emissions, including
disclosure of Climate Change Scenario Analysis
• Added new Product Stewardship and Chemical
Management policies
• Enhanced data reporting for Workforce
Demographics
• Improved social disclosures on human rights,
dependent care and special leave and strategic
training management
20 21 SUSTAI NA BILI TY REPORT
Launching integrated sustainability website in parallel with report
Aligned with leading reporting frameworks
6
Released July 2022
E S G R AT I N G S P E R F O R M AN C E
E S G AWA R D S AN D C E R T I F I C AT I O N S
ESG PER FORMANCE & A WAR DS
84th
3
1
2
7
T R A N S F O R M A T I O N A L
O V E R V I E W
Avient Protective
Materials
Dyneema
®
RECENT TRANSAC TIONS
Acquired Divested
$1.45 B $0.95 B
9
Distribution
UPDATED CA PI TAL STRUC TURE
& LI QUI DI TY
• 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)
(1) $250M reflects estimated undrawn revolver following the divestiture of Distribution
10
PREVI OUS TR ANSACTIONS
Performance
Solutions
Products &
$0.8 B
COLOR
$1.4 B
Acquired (2020)Divested (2019)
11
• 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
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
$2.3B Proceeds
TPE
PP&S
HISTORI C SPECI AL IZATION THROUGH M& A
13
Distribution
DSM Protective
Materials
BOLT-ON AC QUI SITI ON HISTORY
14
Commercial
Resources
Operating Income
($ 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
S P E C I A LT Y T R A N SF O R M ATI O N
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
e
d
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 MAR KET F OCUS ON LESS CYCL IC AL
I ND USTRI ES
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
SPEC IA LTY EBI TDA MA RGI N EX PANSION
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.
https://www.avient.com/sites/default/files/2021-12/AVNT 2021 Investor Day_0.pdf
Avient acquired the Clariant Color business on July 1, 2020 (the “Acquisition Date”).
To provide comparable financial results, the Company references “pro forma” financial metrics, which include the business results of
Clariant Color for periods prior to the Acquisition Date.
GDP Growth Avient Historic Growth Future Growth Assumptions
Global Avient:
2.7%
Asia / LATAM:
5.0%
Source: International Monetary Fund, World
Economic Outlook Database (April 2021)
12% organic CAGR
Figures above include relevant sustainable solutions, healthcare and composites sales
Avient Corporation 120
Net Sales ($ millions)
8-10%
CAGR
(5% CAGR excluding
Sustainable Solutions)
Summary: Long-term Revenue Growth Drivers
Avient Corporation 121
Growth Drivers
($ millions)
2021 Sales
Estimate
(Drivers)
Overlap
2021 Sales
Estimate
Annual
Growth
Rate
Sustainable Solutions 930 - 930 8–12%
Healthcare 685 (45) 640 8–10%
Composites 260 (80) 180 10%
Asia / LATAM 1,150 (310) 840 5%
Other (GDP growth) 2,160 2–3%
Avient $4,750 6.5%
EBITDA Margin Expansion Goals
CAI
SEM
• Continued portfolio transformation to high-
growth end markets and sustainable solutions
• Clariant Color synergy realization
• Investments in composites and outdoor high
performance applications drive growth and
mix improvements
Avient Corporation 122
17.0%
1.6%
1.0%
0.4%
2021E Synergies Sustainable
Solutions
Healthcare Goal
17.6% 0.9%
1.1%
0.4%
2021E Composites Sustainable
Solutions
Healthcare Goal
20%+
20%+
Sustainable Path to Double Digit Earnings Growth
Avient Corporation 123
Growth Drivers
Long-Term Sales
Growth Rate
Sustainable Solutions 8–12%
Healthcare 8–10%
Composites 10%
Asia / LATAM 5%
Other (GDP growth) 2–3%
Avient 6.5%
10%+
Adjusted EBITDA growth
15%+
Adjusted EPS growth
Investor Day 2021
An Investment in
Sustainable Growth
Bob Patterson
Avient Corporation 124
M&A Brings Avient New Technologies
Avient Corporation 125
Technology Acquisition Technology Acquisition
Thermoplastic
Elastomers
Liquid Color Concentrates
& Additives
Continuous Fiber
Composites
Thermoplastic Composites
Silicone Colorants &
Formulations
High-temperature Polymers
& Fluoropolymers
Long Fiber Reinforced (LFT)
Thermoplastic Composites
Fiber Solutions
Water-based Inks
Fiber & Healthcare Expertise,
Liquid Additive Processing Aids, FR Additives,
Recycling Innovations & More
$133
$205
2019PF 2021E
Clariant Color: Transformational Acquisition
126
Clariant Color EBITDA Growth
Purchase Price Multiple
10.8x
7.0x
6.0x
2019PF 2021E 2021E w/ Full
Synergies
• 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
• On-track to realize $52 million of expected synergies in 2021
• Acquisition completed on July 1, 2020 for $1.45 billion.
https://www.avient.com/sites/default/files/2021-04/avient-q4-earnings-and-2021-outlook-website.pdf
Factors that could cause actual results to differ materially from those implied by these forward-looking statements include, but are not limited to:
• The impact of the COVID-19 pandemic has on our business, results from operations, financial condition and liquidity;
• Our ability to achieve the strategic and other objectives relating to the acquisition of Clariant’s Masterbatch business, including any expected synergies;
• Disruptions, uncertainty or volatility in the credit markets that could adversely impact the availability of credit already arranged and the availability and cost of credit in the future;
• The effect on foreign operations of currency fluctuations, tariffs and other political, economic and regulatory risks;
• Changes in polymer consumption growth rates and laws and regulations regarding the disposal of plastic in jurisdictions where we conduct business;
• Changes in global industry capacity or in the rate at which anticipated changes in industry capacity come online;
• Fluctuations in raw material prices, quality and supply and in energy prices and supply;
• Production outages or material costs associated with scheduled or unscheduled maintenance programs;
• Unanticipated developments that could occur with respect to contingencies such as litigation and environmental matters;
• Our ability to continue to pay cash dividends including at the increased rate;
• Our ability to consummate and successfully integrate acquisitions;
• An inability to raise or sustain prices for products or services;
• An ability to achieve or delays in achieving or achievement of less than the anticipated financial benefit from initiatives related to acquisitions and integration, working capital reductions, cost reductions, and employee productivity goals;
• Information systems failures and cyber attacks; and
• Other factors affecting our business beyond our control, including, without limitation, changes in the general economy, changes in interest rates and changes in the rate of inflation.
Design times can be less than
three days for colorants.
Free cash flow should be considered in addition to, rather than as a
substitute for, consolidated net income as a measure of our performance and net cash provided by operating activities as a
measure of our liquidity.
https://www.avient.com/products/polymer-additives/visual-enhancement-effects/cesa-scratch-mar-resistance-additives
Color and Additives Solutions Overview
Colorant and additives overview and capabilities
Increase sustainability, optimize color usage and reduce weight with just one technology
https://www.avient.com/industries/industrial/agriculture-construction/agriculture-construction-interiors
Custom colors available
Solid masterbatch colorants
Color Cosmetics
https://www.avient.com/news/avient-launches-two-new-sustainable-polymer-solutions-medical-and-pharmaceutical-applications-during-pharmapack-europe-2021
New at Pharmapack are color and additive masterbatches based on a PE carrier that is manufactured using non-fossil feedstocks.
As drop-in replacements for fossil-based color concentrates, they can be processed the same way and recycled in the same recycling channels as conventional fossil-based polyolefins.
MEVOPUR pre-colored formulations based on bio-derived PE are also being introduced today for customers who prefer ready-to-use solutions.