Krispy Kreme Doughnuts to JAB Holding Company

RestaurantsLimited-Service/May 2016/Wells Fargo Securities

Deal Information

Target

Krispy Kreme Doughnuts

Acquiror

JAB Holding Company

Sector

Target Type

Public

Acquiror Type

Strategic

Advisors

Wells Fargo Securities

Enterprise Value

$1.4B

EV / LTM Sales

2.6x

EV / LTM EBITDA

18.3x

EV / Fwd EBITDA

Comparable transactions cited by the advisor, excluding the subject transaction.

EV / LTM Adj. EBITDA selected range: 11.5x - 15.5x

11 comps


-	Del Taco Restaurants, Inc. Date printed is the closing date ('Closed Date' column).	Levy Acquisition Corp	-	-	8.5x	-
-	Tim Hortons Inc. Date printed is the closing date ('Closed Date' column).	Burger King Worldwide, Inc.	-	-	15.7x	-
-	Einstein Noah Restaurant Group, Inc. Date printed is the closing date ('Closed Date' column).	JAB Holding Company	-	-	10.1x	-
-	Caribou Coffee Company, Inc. Date printed is the closing date ('Closed Date' column).	JAB Holding Company	-	-	11.3x	-
-	Teavana Holdings, Inc. Date printed is the closing date ('Closed Date' column).	Starbucks Corporation	-	-	17.4x	-
-	Peet’s Coffee & Tea, Inc. Date printed is the closing date ('Closed Date' column).	JAB Holding Company	-	-	21.3x	-
-	PF Chang’s China Bistro, Inc. Date printed is the closing date ('Closed Date' column).	Centerbridge Partners	-	-	8.4x	-
-	California Pizza Kitchen, Inc. Date printed is the closing date ('Closed Date' column).	Golden Gate Capital	-	-	7.6x	-
-	Arby’s Restaurant Group, Inc. Date printed is the closing date ('Closed Date' column).	Roark Capital	-	-	6.6x	-
-	Burger King Worldwide, Inc. Date printed is the closing date ('Closed Date' column).	3G Capital	-	-	8.9x	-
-	CKE Restaurants Inc. Date printed is the closing date ('Closed Date' column).	Apollo Global Management	-	-	6.5x	-
	Mean			-	11.1x	-
	Median			-	8.9x	-

Discount rate and terminal value assumptions the advisor selected for its discounted cash flow analysis.

WACC: 9.0% – 10.0%
Terminal method: Perpetuity growth
Terminal assumption: 2.0% – 4.0%
Forecast basis: -
Forecast period: nine months ending 2017-01-31 and fiscal 2018-2023 (management projections)

Advisor	WACC	Terminal method	Terminal assumption	Forecast basis	Forecast period	Filing
Wells Fargo Securities	9.0% – 10.0%	Perpetuity growth	2.0% – 4.0%	-	nine months ending 2017-01-31 and fiscal 2018-2023 (management projections)	Open