Cox ABG Group (COXG) investor relations material

Transaction overview and rationale

• Issuance of benchmark-sized hybrid notes to fully repay outstanding senior term loan, eliminating scheduled amortization and extending debt maturity profile.

• Transaction aims to strengthen capital structure, enhance financial flexibility, and accelerate the path to investment grade ratings.

• Hybrid notes replace amortizing senior secured debt with perpetual subordinated capital, classified as 100% equity under IFRS, reducing reported leverage.

• No scheduled senior principal amortization for at least 5 years, supporting cash accumulation and liquidity.

• Contemplated potential re-IPO may further optimize capital structure and provide additional growth capital.

Hybrid notes terms and investor proposition

• Notes are perpetual, subordinated, unsecured, and callable after 5 years, with step-up coupon features and optional interest deferral.

• Dividend stopper and deferred interest pusher mechanisms protect investors; redemption at issuer's option with economic incentives to call before step-ups.

• Designed for institutional participation, with robust investor protections and alignment with existing senior bond covenants.

• Use of proceeds is to redeem existing indebtedness and for general corporate purposes.

• Attractive yield potential as credit profile strengthens, with clear path to investment grade and value appreciation.

Business update and operating performance

• Vertically integrated platform with 2.6GW owned and 1.2GW contracted capacity, serving over 500 clients and holding >25% market share among qualified suppliers.

• 6M 2026 results show 8% growth in total energy supplied, 15% revenue growth, and 4% increase in adjusted EBITDA to $302M, with a 36% margin.

• High contract renewal rates (>99%), low delinquency (<0.2%), and >7-year average contract life support predictable cash flows.

• Strong operational performance with 94.1% fleet availability and resilient cash generation profile.

• Management team averages over 20 years of industry experience, supported by robust governance frameworks.