Macquarie Group, Ltd. · ASX:MQG
Macquarie — Macquarie Bank — Shareholder Meeting (October 2007)
24 slides from Macquarie's shareholder meeting presentation, Oct 25, 2007
Slide 1: Meetings of securityholders and optionholders
Macquarie Bank Limited Meetings of securityholders and optionholders 25 October 2007
Slide 2: Meeting format
Meeting format ― 1. 3pm: Share Scheme Meeting Ô Share Scheme Resolution Ô To approve transfer of shares in Macquarie Bank Limited to Macquarie Group Limited in consideration for the issue of shares in Macquarie Group Limited on a one-for-one basis Ô Must be approved by majority in number of sharehol
Slide 3: Share Scheme Meeting
Macquarie Bank Limited Share Scheme Meeting 25 October 2007
Slide 4: Agenda
AGENDA 1. Restructure proposal David Clarke – Chairman 2. Restructure detail Richard Sheppard – Deputy Managing Director 3. Formal Business David Clarke – Chairman Q
Slide 5: Why we are restructuring
Why we are restructuring ― Restructure is intended to: Ô Position Macquarie to continue to pursue the strategies responsible for our strong growth Ô Assist us in meeting our obligations to the Australian Prudential Regulation Authority (APRA) ― Specifically: Ô Macquarie’s growth has been largely dri
Slide 6: Implications for shareholders
Implications for shareholders ― If approved, shareholders will receive MGL shares in exchange for MBL shares on a one- for-one basis ― All necessary approvals in place aside from shareholder/optionholder approval and court ratification ― Will not result in a taxable event for most shareholders j_i j
Slide 7: Implications for Macquarie Group structure
Implications for Macquarie Group structure ― Proposal to restructure the Macquarie Group into a non-operating holding company (NOHC) structure containing two separate groups: Ô Banking Group Ô Non-Banking Group ― The new NOHC and ultimate parent of the Macquarie Group will be named Macquarie Group L
Slide 8: Effect of restructure on Macquarie
Effect of restructure on Macquarie ― If the restructure is approved, Macquarie will have a similar structure to many financial institutions globally, including peers and competitors ― The key factors that have led to the success of Macquarie will be largely unchanged Ô No change to business model Ô
Slide 9: Independent Expert's conclusion and Board's recommendation
Independent Expert’s conclusion and Board’s recommendation ― Independent Expert, KPMG, concluded that the proposed transaction is in the best interests of shareholders and in the best interests of optionholders ― MBL Board concluded that the proposed transaction is in the best interests of sharehold
Slide 10: 2. Restructure detail
2. Restructure detail Richard Sheppard - Deputy Managing Director NM
Slide 11: Proposed corporate structure
Proposed corporate structure j~Åèì~êáÉ=dêçìé=iáãáíÉÇ dêçìéJïáÇÉ=pÉêîáÅÉë dêçìéJ ïáÇÉ=ëÉêîáÅÉë oáëâ=j~å~ÖÉãÉåí q~ñ~íáçå cáå~åÅá~ä=léÉê~íáçåë _ìëáåÉëë=pÉêîáÅÉë `çãé~åó=pÉÅêÉí~êá~ä qêÉ~ëìêó `çêéçê~íÉ=`çããìåáÅ~íáçåë= _ìëáåÉëë=fãéêçîÉãÉåí=C=píê~íÉÖó eìã~å=oÉëçìêÅÉë= pÉííäÉãÉåíë fåÑçêã~íáçå=qÉÅÜåçäçÖó fåî
Slide 12: Post restructure regulatory and management framework
Post restructure regulatory and management framework ― Regulation Ô Macquarie Group Limited will be regulated by the Australian Prudential Regulation Authority (‘APRA’) as a non-operating holding company (NOHC) Ô The Banking Group will continue to be subject to the full range of APRA banking regulat
Slide 13: Strong ratings maintained
Strong ratings maintained ― MBL existing ratings maintained ― Positive long-term rating outlook for MBL (Moody’s) ― MGL rated one notch below MBL NP
Slide 14: Minimal impact on shareholders
Minimal impact on shareholders ― There will not be a taxable event for most shareholders and optionholders ― There is not expected to be any return of capital to shareholders ― There is not expected to be any change to dividend policy or franking ― To provide shareholders a greater opportunity to sa
Slide 15: MBL capital reduction
MBL capital reduction ― Restructure involves MBL making a capital reduction Ô Will reduce MBL’s capital by $A3 billion Ô Funds will be received by MGL and will be used to: Ô Establish its capital base Ô Finance acquisition of assets and businesses from MBL by the Non-Banking Group Ô No change in ove
Slide 16: Financing strategy
Financing strategy ― MGL and MBL will each have dedicated and independent funding, capital management and liquidity management arrangements ― Restructure financing plan to meet initial and expected ongoing funding requirements of overall group ― MGL required to finance the initial transfer of non-ba
Slide 17: What you are being asked to vote on
What you are being asked to vote on MBL shareholders: íê~åëÑÉê=çÑ=ëÜ~êÉë=áå=j_i=íç=jdi=áå=ÅçåëáÇÉê~íáçå=Ñçê=íÜÉ=áëëìÉ=çÑ= ëÜ~êÉë=áå=jdi=çå=~=çåÉJÑçêJçåÉ=Ä~ëáë= MBL shareholders and MIS holders: Å~éáí~ä=çÑ=j_i=íç=ÄÉ=êÉÇìÅÉÇ=Äó=é~óáåÖ=$A3 billion íç=jdi= Option holders: cancellation of MBL optio
Slide 18: Key dates
Key dates Event Date Share Scheme Meeting, General Meeting, Option Scheme Meeting 25 October 2007 Second Court Hearing 29 October 2007 Last day for trading MBL Shares 2 November 2007 Commencement of trading MGL Shares (on a deferred settlement basis) 5 November 2007 Record Date 7.00pm, 12 November 2
Slide 19: 3. Formal Business
3. Formal Business David Clarke - Chairman NV
Slide 20: Resolution
Resolution pÜ~êÉ=pÅÜÉãÉ=oÉëçäìíáçå qç=ÅçåëáÇÉê=~åÇI=áÑ=íÜçìÖÜí=ÑáíI=íç=é~ëë=~=êÉëçäìíáçå=áå=íÜÉ=ÑçääçïáåÖ=íÉêãëW qÜ~í=éìêëì~åí=íç=ëÉÅíáçå=QNN=çÑ=íÜÉ=`çêéçê~íáçåë=^Åí=OMMN=E`ïäíÜFI=íÜÉ=ëÅÜÉãÉ=çÑ= ~êê~åÖÉãÉåí=éêçéçëÉÇ=íç=ÄÉ=ã~ÇÉ=ÄÉíïÉÉå=j~Åèì~êáÉ=_~åâ=iáãáíÉÇ=~åÇ=É~ÅÜ=çÑ=áíë= pÅÜÉãÉ=pÜ~êÉÜçäÇÉêë=íç=
Slide 21: General Meeting October 2007
Macquarie Bank Limited General Meeting 25 October 2007
Slide 22: Resolution
Resolution `~éáí~ä=oÉÇìÅíáçå=oÉëçäìíáçå qç=ÅçåëáÇÉê=~åÇI=áÑ=íÜçìÖÜí=ÑáíI=íç=é~ëë=~=êÉëçäìíáçå=áå=íÜÉ=ÑçääçïáåÖ=íÉêãëW qÜ~í=ëìÄàÉÅí=íç=~åÇ=ÅçåÇáíáçå~ä=çå=íÜÉ=pÅÜÉãÉë=ÄÉáåÖ=áãéäÉãÉåíÉÇ áå=~ÅÅçêÇ~åÅÉ=ïáíÜ= íÜÉáê=íÉêãëI=íÜÉ=Å~éáí~ä=çÑ=j_i=ÄÉ=êÉÇìÅÉÇ=Äó=é~óáåÖ=íÜÉ=oÉÇìÅíáçå=^ãçìåí=éÉê=j_i= pÜ~êÉ=íç=Üçä
Slide 23: Option Scheme Meeting October 2007
Macquarie Bank Limited Option Scheme Meeting 25 October 2007
Slide 24: Resolution
Resolution léíáçå=pÅÜÉãÉ=oÉëçäìíáçå qç=ÅçåëáÇÉê=~åÇI=áÑ=íÜçìÖÜí=ÑáíI=íç=é~ëë=~=êÉëçäìíáçå=áå=íÜÉ=ÑçääçïáåÖ=íÉêãëW qÜ~í=éìêëì~åí=íç=ëÉÅíáçå=QNN=çÑ=íÜÉ=`çêéçê~íáçåë=^Åí=OMMN=E`ïäíÜFI=íÜÉ=ëÅÜÉãÉ=çÑ= ~êê~åÖÉãÉåí=éêçéçëÉÇ=íç=ÄÉ=ã~ÇÉ=ÄÉíïÉÉå=j~Åèì~êáÉ=_~åâ=iáãáíÉÇ=~åÇ=É~ÅÜ=çÑ=áíë= léíáçåÜçäÇÉêë=íç=ÉÑÑÉÅ