Celestica : PCI Overview

Celestica to Acquire PCI Limited

Advances Celestica's High-Growth,High-Margin Strategy by Expanding Capabilities in Key Markets and Strengthening Presence in Asia.

Building on Portfolio Transformation and Expanding in High-Growth Markets

Strengthens approach toward engineering-focused engagements, including full product development in the following areas:

• Radio Frequency: supports telematics solutions like fleet management
• Human Machine Interface (HMI): commercial control panels, display tablets for industrial machines, voice recognition and AI capabilities
• Internet of Things (IoT): including embedded radio modules and sensors used in asset tracking, data harvesting
• Embedded systems: including Single Board Computers, Computers on Modules (COMs)

Adds differentiated engineering and design capabilities, as well as IP, in electronics, radio frequency (RF) solutions and proprietary embedded products

Diversifies customer base with addition of 20+ customers

Enhances ATS business and expands portfolio to better support customers through product lifecycles

Adds Compelling, High-Growth Business

~$325M of annual revenue (2021E)	100% of revenue
with 10% 3-yr revenue CAGR	from diversified markets
2021 Projected Adj. EBITDA	Strong free cash flow
Margin of 13.9% 1	and ROIC

Enhances Capabilities in Attractive Growth Markets

Transaction Highlights

Acquiring PCI from

Platinum Equity for

$306M

in cash.

Attractive EV / EBITDA ratio

less than 7x

Accretive to non-IFRS adjusted EPS in the first year; ROI expected to exceed Celestica's cost of capital by the second year, or sooner

	Expected to close by
4Q	mid fourth quarter
2021, subject to
2021

applicable regulatory approvals and customary closing conditions.

Bluetooth

Strategically Located Facilities Strengthen Presence in Asia to Serve Diverse U.S. and European Customer Base.

Manufacturing Facilities

Design & Engineering Centers

Global Headquarters

GPS

Wifi

CHINA	KUNSHAN

MANILA

PHILIPPINES

SINGAPORE

BATAM

INDONESIA

BANDUNG

Updating 2022 Guidance to Reflect PCI Transaction

	Pre-PCI	Post-PCI		Pre-PCI	Post-PCI
2022 REVENUE	≥$6.0B	≥$6.3B	2022 ATS REVENUE	-	~$2.8B
MARGIN RANGE	3.75%-4.50%	4.0%-5.0%	2022 ATS MARGIN	5.0%-6.0%	~5.5%
DEBT / NON-IFRS			2022 EPS
		≥10%	≥20%
ADJUSTED EBITDA2	1.4x	1.8x
GROWTH RATE

(anticipated pro-forma basis)

Note: Refer to Celestica's September 22, 2021 investor presentation for definitions of Celestica's non-IFRS financial measures and PCI's non-SFRS(I) financial measures, and related assumptions.

1Please refer to Celestica's September 21, 2021 press release and September 22, 2021 investor presentation for definitions of PCI's non-SRFS(I) adjusted EBITDA and non-SFRS(I) adjusted EBITDA margin and underlying assumptions. 2Please refer to Celestica's press release on September 21, 2021 for a calculation of the Pre-PCI and Post-PCIpro-forma gross debt / non-IFRS adjusted EBITDA ratio.