Ctf Services Limited · HKEX:659
Ctf Services — NWS Holdings — Merger or Acquisition (January 2019)
11 slides from Ctf Services's merger presentation, January 2019
Slide 1: NWS' Acquisition of FTLife
NWS’ Acquisition of FTLife Compelling Entry into the Attractive Hong Kong Life Insurance Sector January 2019
Slide 2: Disclaimer
Disclaimer NWS Holdings Limited (“NWS”) makes no representation or warranty of any kind, express, implied or statutory regarding the accuracy or completeness of the information contained. It is not the intention to provide, and you may not rely on this presentation as providing, all material informa
Slide 3: Transaction Overview
Transaction Overview • All cash agreement to acquire entire issued share capital of FTLife Insurance Company Limited (“FTLife”) from Tongchuangjiuding Investment Management Group Co., Ltd. Price and (“Jiuding”) Considerations • Acquisition price of HK$21.5Bn (subject to adjustments(1)) – Represents
Slide 4: Compelling Strategic Transaction
Compelling Strategic Transaction Robust Long-term Outlook for the Hong Kong Life Insurance Industry • Favorable industry trends e.g. high savings rate, growing high net worth and aging population • Demand from PRC and overseas visitors looking to access world-class financial products • Potential lau
Slide 5: Attractive Valuation Compared to Precedent Insurance Deals
Attractive Valuation Compared to Precedent Insurance Deals Price to Book Multiple (x) 6.9x 5.9x 3.2x Precedent Average: 3.5x 1.9x 1.9x 1.6x 1.4x Tahoe / Jeneration / RL360 / Yunfeng Pacific Century Jiuding / NWS / Dah Sing AXA Wealth Friends Provident Financial / Group / Ageas HK (6) FTLife (7) (5)
Slide 6: FTLife – High Quality HK Life Insurer
FTLife – High Quality HK Life Insurer Gross Written Premiums (“GWP”) Company Overview HK$MM • Premier HK life insurer with 30+ years of history CAGR: • Comprehensive product offerings including whole life, term life, 16% endowment, investment-linked, accident and health 4,808 3,576 Network of 2,500+
Slide 7: Robust Long-term Outlook for HK Life Insurance
Robust Long-term Outlook for HK Life Insurance Supported by Strong Growth Fundamentals & Structural Factors High Savings Rate Fast HNW Population Growth Robust Premium Growth Gross Savings Rate (% Gross National Income)(1) 2014-17 CAGR (%) HK Life Sector Total Premiums (HK$Bn) 47.1 PRC customers(3)
Slide 8: Compelling Synergy Opportunities within the New World Group
Compelling Synergy Opportunities within the New World Group • Leverage the New World Group’s extensive and • Collaboration with expanding footprint the New World in the Greater Bay Group’s healthcare Area for greater • Connectivity and wellness regional integration, between FTLife’s portfolio, e.g.
Slide 9: Greater Bay Area "Insurance Connect" Growth Upside
Greater Bay Area “Insurance Connect” Growth Upside Potential GBA(1) Insurance Connect Represents Substantial Market Demand from GBA Integration Significant Upside to HK-based Insurers Population of GBA and HK, 2017 (MM) 69 70 35 Zhaoqing Guangzhou Huizhou 7 Foshan Dongguan Zhongshan Shenzhen 0 Jiang
Slide 10: Complementing NWS' Diversified Business Portfolio
Complementing NWS’ Diversified Business Portfolio Roads Aviation Construction Transport Insurance …with added element of long- Stable, long-term yielding portfolio of assets… …complemented by value-added services… term growth and recurring income …expanding the New World Group’s dynamic Facilities a
Slide 11: NWS Holdings Limited
For further information, please contact: NWS Holdings Limited 28/F New World Tower, 18 Queen's Road Central, Hong Kong Investor Relations Tel: (852) 2131 0600 Fax: (852) 2131 0611 E-mail: ir@nws.com.hk 11