Plus500 Ltd. · LSE:PLUS
Plus500 — Merger or Acquisition (April 2021)
12 slides from Plus500's merger presentation, Apr 21, 2021
Slide 1: Plus500 to acquire Cunningham Commodities LLC and Cunningham Trading Systems LLC
US Acquisitions Plus500 to acquire Cunningham Commodities LLC. (“Cunningham”) and Cunningham Trading Systems LLC. (“CTS”) 21 April 2021 * Illustrative figures
Slide 2: Plus500 Vision: Enabling simplified, universal access to financial markets
Plus500 Vision 2 Plus500 Vision: “Enabling simplified, universal access to financial markets” Vision and strategy supported by healthy balance sheet and track record of innovation Driven by continued investment to scale our technology Across devices Across countries Across financial instruments thro
Slide 3: Our long term revenue opportunities
Strategic opportunities 3 Our long term revenue opportunities CFD offering in new & existing markets New trading products, including futures Cunningham and CTS New financial products Deeper customer engagement
Slide 4: Plus500 as a multi-asset FINTECH GROUP
Future strategic positioning of Plus500 4 Plus500 as a multi-asset FINTECH GROUP Structure of Plus500 in 5 years “Evolving from a technology company solely focused on CFDs Fintech group to a multi-asset FINTECH GROUP” Futures trading CFD offering Share dealing New financial products Cunningham and C
Slide 5: Acquisition overview
Acquisition overview 5 Acquisition overview Companies to be acquired Cunningham Commodities LLC, Futures Commission Merchant - with a scarce and valuable licence Cunningham Trading Systems LLC - technology trading platform provider Acquisition details Consideration of approx. US$30m to be funded fro
Slide 6: Revolutionising access to futures markets through a simplified cutting-edge technology platform
Strategic positioning 6 Revolutionising access to futures markets through a simplified cutting-edge technology platform Acquisition fully aligned with Plus500 Vision Greater Technological Cashier High end accessibility marketing expertise solutions technology Omni-Channel enabling broader marketing
Slide 7: New trading products
Strategic positioning 7 New trading products Expansion into US futures and options on futures Major global market opportunity Retail investor audience relatively under-penetrated but growing in the US $2.1bn addressable market (estimated Global futures and options on futures retail revenue) Majority
Slide 8: US futures market: a history of innovation
Strategic positioning 8 US futures market: a history of innovation 1919: 1997: 2007 & 2008: 2020: Chicago Mercantile introduction of E-mini CME acquires CBOT and launch of Micro Exchange (CME) formed futures contracts NYMEX, becoming the E-mini futures world’s largest diversified options contracts d
Slide 9: US futures market
Strategic positioning 9 US futures market Growing US retail investor interest presents a major opportunity... A growing market, driven by flow of investment from equities …to further Strong reputation, with blue chip investment banks providing facilitating trading improve accessibility and simplicit
Slide 10: Acquisition rationale for Plus500
Acquisition rationale 10 Acquisition rationale for Plus500 Strategic alignment Acceleration Immediate Access Enrichment Diversification Enables acceleration of Delivers immediate Enables enrichment of Drives diversification Plus500’s growth strategy access to new market experience for customers of b
Slide 11: Application of Plus500's best-in-class technology to Cunningham's platform
Acquisition rationale 11 Application of Plus500’s best-in-class technology to Cunningham’s platform Technology leverage is the key value driver Market-leading technological expertise Robust system architecture Proprietary marketing technologies, ROI-driven to drive further growth Risk Management cap
Slide 12: Delivering long term value
Acquisition rationale 12 Revenue diversification Delivering Through an enhanced product portfolio long term value Technology leverage Benefits for shareholders Implementing Plus500 technology platform to enhance Acquisition’s customer offering Talent acquisition Highly skilled workforce – with exper