To: Anna

From: Subhav
Subject: Potential M&A targets for WorldWide Brewing

Hi Anna

Below are my description and recommendations for potential M&A targets for WorldWide Brewing.

Company Description Relevance to WorldWide Recommendation

Brewing

HappyHour HappyHour Co. is the largest It has similar operations to Recommend.

Co. player in Singapore and WorldWide Brewing across the
Malaysia, in the segments of same segments and is the
beer, spirits and non- leading player in Singapore and
alcoholic beverages. Its Malaysia, suggesting the
operations include potential for strategic benefits
manufacturing facilities, and synergies. It has solid
distribution and direct sales financial results and an
and it has demonstrated ownership structure that is
strong growth in EBITDA in owned by 3 families, rendering a
FY2020 which was up 20% potential acquisition relatively
pcp and amounted to simple and feasible. HappyHour
US$300mm. Co. would be appropriate to
share.
Spirit Bay Largest player in Indonesia Brewing across same segments. Recommend.
and number 2 player in Leading player in Indonesia, and
Singapore and Malaysia in #2 in Malaysia and Singapore
the segments of Beer spirits suggest strategic benefits and
and non-alcoholic beverages. synergies over several different
Their operations include countries. Has strong financial
manufacturing in Indonesia, results with very strong growth.
distribution, and direct sales. The company is owned by Global
Very strong EBITDA growth, sponsor and employees with a
up 40% PCP amounted to 60/40 split. This acquisition
US$400mm. would be relatively simple. Spirit
Bay would be appropriate to
share.

Operate in Malaysia (HQ), Hipsters Ale operates in only 2 Recommend.

Hypsters’ Singapore, Indonesia, Japan, segments of beer and spirits.
Ale Korea, Cambodia in the However, it covers several
segments of beer and spirits. different countries that could
Manufacture from have a potential strategic
microbreweries in each benefit and synergies. This is in
region, cover distribution, line with the aims of WorldWide
and direct sales. Solid EBITDA Brewing. Hipsters' Ale also have
of US$200mm up 20% PCP. solid financials. The ownership is
more complicated with 30
independent breweries that may
make the acquisition more
complex. However, given the
strategic aim this opportunity
would be appropriate to share.
 Operate in Malaysia (HQ) in Limited reach geographically Do not Recommend.
Brew Co. the segments of beer and (only Malaysia) and operations
spirits operations only are only manufacturing
consisting of manufacturing (although #1 alcohol
facilities in Malaysia. Large manufacturer in Malaysia).
EBITDA of US$800mm down Owned largely by institutional
5% PCP. investors and is listed on the
Malaysian stock exchange - due
the dispersed ownership the
acquisition would be more
complex. Hence, due to limited
strategic and operational benefit
it would not be appropriate to
share
Operate in Singapore (HQ) Operates in similar segments to Recommend.
Malaysia, China, Indonesia, WorldWide Brewing but only in
Bevy’s Japan, Korea, Cambodia, wholesale distribution. Operates
Direct Australia, New Zealand in the in a range of APAC countries
segments of beer spirits and which can provide a strong
non-alcoholic beverages in geographical reach, strategical
wholesale distribution only. benefit, and synergies. It has
Strong EBITDA US$250mm up strong financials, and the
20% PCP. ownership is one family which
will make the acquisition
simpler. Bevy's Direct would be
appropriate to share.

Kindly do let me know if you have any further questions.

Warm Regards,
Subhav Goyal