Brazil
Update FleetCor Acquires VB Servicos
Signs Definitive Agreement to Acquire DB Trans
Signs Fuel Card Marketing Agreement with Good Card
September 10, 2013
Free Writing Prospectus
Dated September 10, 2013
Filed Pursuant to Rule 433
Registration Statement No. 333-180069 |
Forward
Looking Statement 2
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about future events. Forward-looking statements are subject to many uncertainties and other
variable circumstances, such as delays or failures associated with the acquisitions and
marketing agreement and their implementation; actions of regulators; failure to maintain or
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10, 2013 and the prospectus dated March 13, 2012 (together the Prospectus) related
to the Registration Statement on Form S-3 (File No. 333-180069) (the Registration
Statement).
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30092. |
Agenda
3
Overview of the Transactions
Rationale for the Transactions
Financial and Strategic Impact |
Acquisitions
VB Servicos
Acquired August 9, 2013
A market leader in public transportation cards and marketer of Edenred food
cards
Approximately 35,000 business clients, 1 million employees, 800
transportation agencies
Significant field sales and telesales distribution channel
DB Trans
Signed definitive acquisition agreement August 26, 2013
Expected to conclude acquisition during the third quarter
Prepaid toll, fuel, and payroll card provider
Proprietary toll and fuel card merchant networks
Serves over-the-road transportation companies
Marketing
Agreement
Good Card
Signed long term fuel card marketing agreement September 5, 2013
A market leading Brazilian fuel card acceptance network
Cross sell opportunity to VB Brazilian employer clients
Transaction Overviews
4 |
The
Rationale 5
Macro
Large market, #5 in world
Formalizing
employees as required by Brazil legislation
Positive legislation
Recently implemented Carta Frete law requires a prepaid fuel / payroll card for
independent drivers
Expected adoption acceleration
Fuel card market is attractive
Under penetrated
Lack of commercial oil company cards, Lack of universal commercial fuel
cards Attractive merchant discounts, no working capital
Established relationships
FleetCors CTF subsidiary relationships with Petrobras and Ipiranga; and
Bradesco and Itau Brazil Continues to Offer a Significant Opportunity
|
The
Rationale (continued) 6
Transportation Companies
Local Employers
Fuel purchasing system
OTR fuel card
Toll
Carta Frete
(fuel / payroll card)
Local fuel card
Food card
Transportation card
Products
Distribution
field reps
field reps
field reps and
telesales
Transactions fill out product line and distribution capability.
Enables FleetCor to target both transportation companies and local
employers. |
7
Accretive transactions that are expected to create a long runway
for growth
Financial
Impact
Accretive transactions
Expect to Invest over $300 million in the two acquisitions
Funded by cash on hand and revolver
Estimate approximately $550 million of unused capacity in revolving credit
facility after giving effect to transactions
Strategic
Impact
FleetCor expects to become a more meaningful player in Brazil
With employers, banks, and oil companies
The
Company
has
assembled
a
full
suite
of
workforce
payment
products
and
has
the opportunity to potentially create a significant business in the Brazilian
market Financial and Strategic Impact
|