Filed by Helix Technology Corporation
pursuant to Rule 425
under the Securities Act of 1933
and deemed filed pursuant to
Rule 14a-12 under the Securities Exchange Act of 1934
Subject Company: Helix Technology Corporation

(Commission File No.: 0-6866)

 

This filing relates to a planned business combination between Helix Technology Corporation (“Helix”) and Brooks Automation, Inc. (“Brooks”) pursuant to the terms of an Agreement and Plan of Merger, dated as of July 11, 2005 (the “Merger Agreement”), among Helix, Brooks and Mt. Hood Corporation.  The Merger Agreement has been filed with the Securities and Exchange Commission as an exhibit to the Report on Form 8-K filed by Helix on July 11, 2005.

 

On July 12, 2005, Helix made the following presentation available to investors:

 



 

 

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[GRAPHIC]

 

Investor Presentation
July 2005

 

Creating Manufacturing Efficiency

 



 

[LOGO]

Forward-Looking Statements/Risk Factors

[LOGO]

 

Cautionary Statement Concerning Forward-Looking Statements.  Statements in this presentation regarding the proposed transaction and the expected timetable for completing the transaction, constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995.  These include statements concerning the benefits of the proposed transaction, the combined company’s status as a premier provider of integrated subsystems solutions primarily for the semiconductor capital equipment market; trends in the semiconductor manufacturing industry, including the trend among semiconductor capital equipment manufacturers to outsource production of certain of their systems and growth trends within the market segments in which the combined company will compete; the strength, profitability and capabilities of the combined company; the ability of the combined company to achieve efficiencies, profitability and growth; the capabilities and market acceptance of the combined company’s products going forward; the impact of the acquisition and merger in mitigating the volatility of financial performance; and the importance of size and scale as a factor in competing in the market segments in which the combined company will operate.  Such statements are based upon the current beliefs and expectations of Brooks’ and Helix’s management and are subject to significant risks and uncertainties.  Actual results may differ from those set forth in the forward-looking statements.  Any statements that are not statements of historical fact (including statements containing the words “believes,” “plans,” “anticipates,” “expects,” “estimates” and similar expressions) should also be considered to be forward-looking statements.  There are a number of important factors that could cause actual results or events to differ materially from those indicated by such forward-looking statements, including: the ability to obtain governmental approvals of the transaction on the proposed terms and schedule; the failure of Brooks and Helix stockholders to approve the transaction; the ability of Brooks to successfully integrate Helix’s operations and employees; the risk that the cost savings and any other synergies from the transaction may not be fully realized or may take longer to realize than expected; disruption from the transaction making it more difficult to maintain relationships with customers and employees; and competition and its effect on pricing, spending, third-party relationships and revenues.  Additional factors that may affect future results are contained in Brooks’ and Helix’s filings with the SEC, including Brooks’ Annual Report on Form 10-K for the year ended September 30, 2004 and Helix’s Annual Report on Form 10-K for the year ended December 31, 2004, which are available at the SEC’s Internet site (http://www.sec.gov).  The information set forth herein speaks only as of the date hereof, and Brooks and Helix disclaim any intention or obligation to update any forward-looking statements as a result of developments occurring after the date of this presentation.

 

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Company Overviews

 

 

[LOGO]

 

                  A premier semiconductor automation solutions provider

 

                  Headquarters: Chelmsford, MA

 

                  Year Founded: 1978

 

                  Key Product Segments:

                  Equipment automation

                  Factory automation software

                  Factory automation hardware

 

                  Employees: 1,800

 

[LOGO]

 

                  A technology leader in creating, measuring and controlling critical vacuum process environments

 

                  Headquarters: Mansfield, MA

 

                  Year Founded: 1967

 

                  Key Product Families:

                  Cryogenic vacuum pumps

                  Measurement systems

                  Thermal management systems

                  Global customer service

 

                  Employees: 685

 

3



 

 

Transaction Overview

 

 

Overview

 

                  $454 million stock-for-stock exchange

                  Exchange ratio 1.11x

                  Pro forma fully diluted ownership: Brooks 61%, Helix 39%

 

Company Name

 

Brooks Automation, Inc.

 

Operations

 

                  Headquarters in Chelmsford, MA

                  More than 2,400 combined full-time employees

 

Board of Directors

 

                  7 Directors from Brooks, 3 from Helix and 1 non-voting emeritus director

 

Management

 

President & CEO: Ed Grady

President & COO, Semiconductor Products Group: Jim Gentilcore

President & COO, Enterprise Software Group: Joe Bellini

CFO: Bob Woodbury

 

Exchange

 

NASDAQ

 

Transaction Timing

 

Expected to close in calendar Q4 2005

 

4



 

 

Strategic Vision

 

 

                  Combination increases integrated content of vacuum automation systems, which is the fastest-growing segment in automation

 

                  Positions Company to be a leading provider of vacuum automation and process vacuum outsourcing to Tier 1 OEMs

 

                  Extends combined company’s world-class service organization and deepens relationships with semiconductor manufacturers to drive selection of integrated platform solutions with tool OEMs

 

                  Combined manufacturing expertise will drive operational improvement and efficiency throughout combined entity

 

                  Expands Brooks’ footprint beyond the automation system, increasing available market by $1.0 billion

 

                  Positions Company for accelerated earnings growth while reducing revenue cyclicality and enhancing profitability through downturns

 

5



 

 

Combines Brooks’ Leading Position in Automation...

 

 

Equipment Automation(1)
$332M

 

[GRAPHIC]

 

Factory
Automation Software
(1)

$124M

 

Collaborative Manufacturing

Closed Loop Automation

Supply Chain Execution

Business Performance

Management

Services and Support

 

Factory
Automation Hardware
(1)

$115M

 

[GRAPHIC]

 

 

 

Atmospheric

 

Vacuum

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Brooks Rank(2)

 

#1

 

#1

 

#1 / #2
(License / Overall)

 

#3

 

Brooks Share(2)

 

45%

 

91%

 

37% / 21%

 

12%

 

Brooks Revenues(2)

 

$227M

 

$121M

 

$124M

 

$79M

 

Served Market(2)

 

$502M

 

$134M

 

$606M

 

$650M

 

Total Market(3)

 

$1,542M

 

$1,170M

 

$755M

 

 

Total Automation Market: $3,467M(3)

 


(1) CY2004 data as per Brooks filings.

(2) CY2004 data as per Dataquest, April 2005.

(3) Brooks estimates.

 

6



 

 

...With Helix’s Excellence in Process Vacuum Solutions

 

 

Process Vacuum Solutions

$180M(1)

 

[GRAPHIC]

 

Helix Rank(1)

 

#1

 

Helix Share(1)

 

65%

 

Helix Revenues(1)

 

$180M

 

Served Market(1)

 

$275M

 

Total Market(2)

 

$987M

 

 

Total Vacuum Market: $987M(2)

 


(1) CY2004 data as per VLSI Research, May 2005 and Helix estimates (including service).

(2) CY2004 data as per VLSI Research, May 2005 and Helix estimates (including service), includes cryopumps, turbo-pumps and measurement systems.

 

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Combined Leadership in Vacuum Tool Systems…

 

 

[GRAPHIC]

 

[LOGO]

 

Vacuum Tool Automation

                  Robotics

                  Alignment modules

                  Load lock modules

                  Cluster tool platforms

 

Vacuum Tool Systems

                  Controls

                  Domain Expertise

                  Systems Engineering

                  Systems Integration

 

[LOGO]

 

Process Vacuum Technology

                  Vacuum systems

                  Measurement systems

                  Thermal management

 

Vacuum-Based Processes

                  Etch

                  CVD

                  PVD

                  Ion Implant

                  Metrology

                  RTP

                  Dry Strip

                  Other

 

8



 

 

…To Capture and Drive Outsourcing Opportunities

 

 

Merchant Tool Automation Market
Forecasted Growth

 

[CHART]

 

                  Vacuum tool automation is the fastest-growing segment in semiconductor equipment - over 36% CAGR from 2004-2008E

                  Tier 1 OEMs’ secular shift from modules to systems

                  Tool automation non-core R&D investment for OEMs

 

Tool Automation is $1.5B Total Market (2004)(2)
– Outsourcing Continues

 

[CHART]

 

Merchant Market is Expanding(2)

 

[CHART]

 


(1) Dataquest, April 2005.

(2) Brooks estimates.

(3) Based on Brooks estimated TAM.

 

9



 

 

Leader in Atmospheric Tool Automation

 

 

Atmospheric Tool
Automation Content

 

[GRAPHIC]

 

Atmospheric BOM

 

% Cost

 

BRKS

 

ATM Robot

 

30

%

30

%

Aligner

 

6

%

6

%

2-4 Load Port Modules

 

27

%

27

%

Fan Filter Unit

 

6

%

 

 

Enclosure

 

13

%

 

 

Electronics / Sensors

 

6

%

 

 

Integration & Test

 

11

%

11

%

Total

 

100

%

74

%

 

Brooks greater than 50% - winning business

 

Total Atmospheric Tool
Automation Market (2004)

 

[CHART]

 


(1) Dataquest, April 2005.

(2) Based on Brooks estimated TAM of $925M.

 

10



 

 

Increasing Value in Vacuum Tool Systems

 

 

Vacuum Tool Opportunity Increases

                  Ion Implant

                  Metrology

                  PVD (shown below)

 

[GRAPHIC]

 

PVD Vacuum BOM

 

%Cost

 

BRKS

 

HELX

 

Combined

 

1-Vacuum Robots

 

18

%

18

%

 

 

18

%

2-Chambers / Frame

 

28

%

 

 

 

 

 

 

3-Valves

 

19

%

3

%

1

%

4

%

4-Dry Pumps

 

7

%

 

 

 

 

 

 

5-Cryo / Turbo Pumps

 

20

%

 

 

20

%

20

%

6-Measurement

 

2

%

 

 

2

%

2

%

7-Electronics / Sensors

 

3

%

 

 

 

 

 

 

8-Integration & Test

 

7

%

7

%

 

 

7

%

Total

 

100

%

28

%

23

%

51

%

PVD Vacuum Process BOM

 

 

 

 

 

37

%

 

 

 

Combination positions Company to win greater share in wafer transport

 

Total Vacuum Tool
Automation Market (2004)

 

[CHART]

 


(1) Dataquest, April 2005.

(2) Based on Brooks estimated TAM of $616M.

 

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Goal: Driving System Sales to OEM Customers

 

 

2004
Rank by
Revenue(1)

 

OEM

 

Modules

 

[LOGO]
Atmospheric
Systems

 

Vacuum
Systems

 

CTI-
Cryogenics®

 

[LOGO]
Granville
Phillips®

 

Polycold Systems®

 

1

 

Applied Materials

 

Y

 

Z

 

 

 

X

 

Y

 

Z

 

2

 

Tokyo Electron

 

Z

 

 

 

 

 

Z

 

Z

 

 

 

3

 

ASML

 

Z

 

 

 

 

 

 

 

Y

 

Y

 

4

 

KLA-Tencor

 

Y

 

Z

 

Z

 

Y

 

Y

 

 

 

5

 

Nikon

 

Z

 

 

 

 

 

 

 

 

 

 

 

6

 

Novellus

 

X

 

 

 

 

 

X

 

X

 

X

 

7

 

Lam Research

 

X

 

X

 

 

 

 

 

 

 

 

 

8

 

Hitachi

 

Z

 

 

 

Z

 

 

 

 

 

 

 

9

 

Canon

 

 

 

 

 

 

 

 

 

 

 

 

 

10

 

Dainippon Screen

 

Z

 

 

 

 

 

 

 

 

 

 

 

11

 

Axcelis

 

Y

 

Z

 

 

 

X

 

X

 

 

 

12

 

ASM International

 

Z

 

 

 

 

 

 

 

 

 

 

 

13

 

Varian

 

X

 

X

 

 

 

X

 

X

 

 

 

 

Legend:   X  Significant Presence

Y  Presence

Z  Minimal Presence

 


(1) Dataquest, April 2005.

 

12



 

 

Top OEMs Represent Major Market Opportunity

 

 

                  Combination improves ability to capture module business from under-penetrated OEM customers

                  Increased content expected to accelerate vacuum systems sales to combined customer base

 

Tool Automation Opportunity -

Selected 5 FE Equipment Companies

 

Product

 

Revenue ($M)

 

Atmospheric Automation Modules

 

$

193

 

Atmospheric Automation Systems

 

173

 

Vacuum Automation Modules

 

62

 

Vacuum Automation Systems

 

302

 

Total

 

$

730

 

 

Total Tool Automation Market (2004)

 

[CHART]

 

Process Vacuum Opportunity -

Selected 5 FE Equipment Companies

 

Product

 

Revenue ($M)

 

Process Vacuum Subsystems

 

$

217

 

Total

 

$

217

 

 

Process Vacuum Market (2004)

 

[CHART]

 


(1)  Brooks estimates.

(2)  Dataquest, April 2005.

(3)  Based on Brooks estimated TAM.

(4)  Helix estimates.

(5)  VLSI Research, May 2005 and Helix estimates (including service).

(6)  Helix estimates based on VLSI Research TAM.

 

13



 

 

Enhanced Services and Support

 

 

Transactional
Management

 

           On-hand spares for self-service

           Exchange service

           GUTS® program

 

[LOGO]

 

Upgrade
Solutions

 

           Optimize tool performance

           RetroEase® system upgrades

 

Relationship
Management

 

           TrueBlue® Service Agreements

           e-JIT Predictive Maintenance

           Improved performance and tool availability

 

[LOGO]

 

Total Subsystems
Support

 

           Support Helix, Brooks and third-party products

 

 

Accelerates Movement from Component to Total Subsystems Support

 

                  Helix Service Platform enables predictive value instead of a transactional business

                  Increases service value for enhanced tool availability, throughput and total cost of ownership

                  Higher customer demand and retention through improved customer satisfaction

                  Push and pull based on technology and service

 

Greater
Value Proposition
for Customers

 

14



 

 

Strengthening End-user Relationships

 

 

2004
Rank by
CapEx
(1)

 

 

 

[LOGO]

 

[LOGO]

 

 

 

 

OEM(2) —
Service to the Fab

 

 

Fab

 

 

1

 

Samsung

 

Z

 

X

 

2

 

North American IDM

 

 

 

X

 

3

 

Taiwan Semiconductor

 

Z

 

X

 

4

 

Hynix

 

 

 

Y

 

5

 

Sony

 

 

 

Z

 

6

 

Infineon

 

 

 

X

 

7

 

STMicroelectronics

 

 

 

X

 

8

 

Toshiba

 

 

 

Z

 

9

 

AMD

 

 

 

X

 

10

 

Texas Instruments

 

Z

 

X

 

11

 

SMIC

 

 

 

X

 

12

 

PSC

 

 

 

X

 

13

 

NEC

 

 

 

Y

 

 

Legend:   X  Significant Presence

Y  Presence

Z  Minimal Presence

 


(1) Dataquest, April 2005.

(2) Brooks / Helix estimates.

 

                  Improve and deepen fab relationships through expanded service offerings

                  Enhance process knowledge to add value and improve economics

                  Create incremental service and spares revenue opportunity

                  Increase module / component selection of integrated platform solutions at manufacturer

 

15



 

 

Transaction Creates a Leading Subsystems Supplier

 

 

Tool Automation and Component Suppliers
LTM Revenue
($ in millions)

 

[CHART]

 


(1)          Pro forma for the announced merger of Brooks and Helix.

(2)          Pro forma for the announced merger of Entegris and Mykrolis.

(3)          Helix pro forma as if acquisition of Polycold had occurred on 3/31/04.

 

16



 

 

Manufacturing Excellence Leveraging Global Resources

 

 

[GRAPHIC]

 

Key Goals

 

                  Achieve economies of scale, particularly in materials procurement

 

                  Greater vertical integration, specifically machining capability in Mexico

 

                  Higher content to reduce stacked margins for systems

 

17



 

 

Key Financial Highlights

 

 

                  Stabilization of revenue streams – reduced volatility

 

                  Potential to accelerate top-line growth

 

                  Higher margins throughout business cycle

 

                  Improved cash flow generation and profitability

 

                  $10 million in identifiable, achievable cost synergies in Year 1; incremental synergies thereafter

 

                  Significant near-term tax synergies on P&L and ongoing cash flow

 

                  Accretive to earnings in FY2006

 

18



 

 

Financial Performance

 

 

Trailing Twelve Months Results (3/31/05)
($ in millions)

 

[LOGO]

 

[LOGO]

 

Pro Forma
Combined

 

Revenue

 

$

566.5

 

$

158.2

 

$

724.7

 

Gross Profit

 

$

208.9

(1)

$

63.8

(3)

$

272.7

 

Gross Margin

 

36.9

%(1)

40.3

%(3)

37.6

%

Adjusted Operating Income

 

$

52.5

(1)(2)

$

14.9

(4)

$

67.3

 

Adjusted Operating Margin

 

9.3

%(1)(2)

9.4

%(4)

9.3

%

Adjusted Net Income

 

$

40.9

(1)(2)

$

16.6

(4)(5)

$

57.4

 

 

 

 

 

 

 

 

 

 

 

 

Selected Balance Sheet Items (3/31/05)

 

 

 

 

 

 

 

Cash

 

$

351.2

 

$

28.2

 

$

379.4

 

Debt

 

$

175.0

 

$

0.0

 

$

175.0

 

Net Cash

 

$

176.2

 

$

28.2

 

$

204.4

 

 


(1)   Excludes $0.5M inventory write-off.

(2)   Excludes $3.4M in amortization of acquired intangibles, $14.6M in goodwill impairment charges, and $5.4M in restructuring and acquisition-related charges.

(3)   Excludes $0.2M in amortization of Polycold intangibles.

(4)   Excludes $0.3M in amortization of Polycold intangibles.

(5)   Excludes $8.2M tax benefit.

 

19



 

 

Integration Plan

 

 

Integration plan in place

                  Shared vision for execution

                  Minimal anticipated disruption

                  No product rationalization and limited required design fit

                  Leverage Helix service infrastructure

 

Key Integration Goals

                  Realize cost synergies

                  Minimize disruption to existing customers and business operations

                  Maintain employee motivation

                  Adopt best practices enterprise-wide

                  Enhance customer value proposition

                  Pursue revenue synergies

 

20



 

[LOGO]

 

[LOGO]

 

Important Additional Information to be Filed with the SEC

 

In connection with the proposed transaction, Brooks plans to file a Registration Statement on Form S-4 containing a Joint Proxy Statement/Prospectus with the Securities and Exchange Commission (“SEC”).  Security holders of each company and other investors are urged to read the Registration Statement and any other relevant documents filed with the SEC, including the Joint Proxy Statement/Prospectus that will be part of the Registration Statement, when they become available because they will contain important information about Brooks, Helix, the proposed transaction and related matters.  The final Joint Proxy Statement/Prospectus will be mailed to stockholders of Brooks and Helix.  Security holders and investors of Brooks and Helix will be able to obtain free copies of the Registration Statement and the Joint Proxy Statement/Prospectus, when they become available, as well as other filings with the SEC that will be incorporated by reference into such documents, containing information about Brooks and Helix, without charge, at the SEC’s Internet site (http://www.sec.gov).  These documents can also be obtained, without charge, by directing a request to Brooks Automation, 15 Elizabeth Drive, Chelmsford, MA 01824, Attention: Investor Relations Dept., telephone: 978-262-2602, or at mark.chung@brooks.com; or to Helix Technology Corporation, Nine Hampshire Street, Mansfield, MA 02048, Attention: Investor Relations Dept., telephone: (508) 337-5111, or at investors@helixtechnology.com.  In addition, investors and security holders may access copies of the documents filed with the SEC by Brooks or Helix on their respective Web sites at www.brooks.com or www.helixtechnology.com.

 

Participants in Solicitation

 

Brooks, Helix and their respective directors and executive officers and other members of management and employees may be deemed to be participants in the solicitation of proxies from Brooks and Helix stockholders in respect of the proposed transaction.  Information regarding Brooks’ participants is available in Brooks’ Annual Report on Form 10-K for the year ended September 30, 2004, and the proxy statement, dated January 10, 2005, for its 2005 annual meeting of stockholders, which are filed with the SEC.  Information regarding Helix’s participants is available in Helix’s Annual Report on Form 10-K for the year ended December 31, 2004, and the proxy statement, dated May 2, 2005, for its 2005 annual meeting of stockholders, which are filed with the SEC.  Additional information regarding interests of such participants will be included in the Registration Statement containing the Joint Proxy Statement/Prospectus to be filed with the SEC.

 

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