Pacific Current Group Ltd · ASX:PAC
Pacific Current — Merger or Acquisition (July 2018)
14 slides from Pacific Current's merger presentation, July 2018
Slide 1: Investor Presentation: Investment in Victory Park Capital Advisors, LLC
Investor Presentation Investment in Victory Park Capital Advisors, LLC PRESENTERS : A SX : PA C Paul Greenwood, CEO and CIO Joseph Ferragina, CFO and COO Tony Robinson, Executive Director Firm Overview
Slide 2: Disclaimer
Disclaimer The information in this presentation is general information about Pacific Current Group (‘Pacific Current’ or ‘PAC’) and is current only at the date of this presentation. In particular, this presentation: ❯ is not an offer or recommendation to purchase or subscribe for securities in Pacif
Slide 3: Agenda
Agenda 1. Overview 2. Strategic Rationale 3. Victory Park Capital Advisors, LLC 4. VPC Investment Strategies 5. Key Highlights about VPC 6. PAC Investment Strategy 7. Summary // 3
Slide 4: Overview
Overview ❯ Pacific Current Group Limited (‘Pacific Current’ or ‘PAC’) has acquired a 24.9% equity interest in Victory Park Capital (‘Victory Park’ or ‘VPC’), a Chicago-based alternative investment firm focused on providing flexible private debt, credit and equity solutions. ❯ PAC made a capital inve
Slide 5: Strategic Rationale
Strategic Rationale ❯ The investment is immediately accretive. ❯ VPC is a profitable, growing business that has carved out a leadership position in fintech/non-bank lending investing. ❯ VPC has a globally diversified client base and the ability to expand into new markets. ❯ It provides substantial d
Slide 6: Victory Park Capital
Victory Park Capital • Victory Park Capital Advisors, LLC is a privately held, SEC-registered, global alternative investm ent firm that m anages the VPC investm ents. • VPC’s m ulti-dim ensional approach provides flexible and opportunistic financing solutions through its three com plem entary invest
Slide 7: VPC Investment Strategies
VPC Investment Strategies VPC STRATEGIES S p e c ia l O p p o rtu n itie s F in a n c ia l S e rv ic e s P riv a te D e b t § P ro vid e fin a n c in g s o lu tio n s to § P ro vid e fin a n c in g to g ro w in g a n d § P ro vid e fin a n c in g s o lu tio n s to b u s in e s s e s w ith a u n iq u
Slide 8: Key Highlights about VPC
Key Highlights about VPC § VPC’s funds have committed and invested over $7.0 billion across over 100 investments and built a unique deal-sourcing network in the U.S., Europe and other key international markets. Leading § VPC’s investment strategies target double-digit net returns with strong cashflo
Slide 9: Key Deal Terms
Key Deal Terms ❯ Investment of A$94.6m (US$70.0m)^, divided between acquired interests in the management entity (Victory Park Capital Advisors, LLC) and a special purpose vehicle created to hold carried interest in certain existing and future VPC funds. ❯ Funds are immediately payable in simultaneou
Slide 10: Key Deal Terms
Key Deal Terms ❯ Victory Park interests have a right of first refusal (“ROFR”) to buy back PAC’s interest in Victory Park if there is a change in control of PAC. In such circumstances, the purchase price is determined by reference to the amount ascribed to the PAC interest in Victory Park as part of
Slide 11: Key Deal Terms
Key Deal Terms ❯ The interests held by PAC are subject to restrictions on transfer; however, PAC is entitled to tag along in any transfers by Victory Park interest holders and PAC may be required to participate in certain sales of Victory Park if the consideration to PAC is above certain thresholds.
Slide 12: PAC Investment Strategy
PAC Investment Strategy ❯ PAC seeks new investments that • Provide enhanced portfolio diversification across multiple dimensions (asset class, investment geographies, client geographies, etc.) and • Are in “sunrise” (or strong secular growth) segments of the market. ❯ We seek two broad types of inve
Slide 13: Summary
Summary ❯ PAC has acquired a 24.9% equity interest in VPC because we believe they are outstanding fund managers. ❯ The investment will make an immediate contribution to earnings and is EPS accretive. ❯ The investment in VPC demonstrates that PAC continues to see attractive investments across the siz
Slide 14: Q&A
Q&A
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