AMCIL Limited · ASX:AMH
AMCIL — Investor Presentation (December 2003)
14 slides from AMCIL's investor presentation, Dec 3, 2003
Slide 1: AMCIL Investment Opportunity
AMCIL Investment Opportunity December 2003
Slide 2: Market used to either go up or down — now up and down at same time
“Market used to either go up or down — now the market can go up and down at the same time!” Bruce Teele
Slide 3: Rotations between market sectors can cause imbalances in valuations
Rotations between market sectors can cause imbalances in valuations Investment themes/rotations frequently over shoot institutions tend to focus on the short term and stay close to the “index” — momentum/bandwagon effect Hedge funds, index funds and arbitrageurs can be relatively price insensitive w
Slide 4: Recent sector movements: banks, resources, building materials
/ AMCIL From February 2003 through to late June 2003 the bank accumulation index increased nearly 24%. Since then the same index has fallen 7.1%: —~ rotation to “growth stocks” ~ concerns about interest rate rises. The resource sector from early June 2003 to October 2003 increased 36%. Recent A$ con
Slide 5: We will buy at attractive valuations and not be influenced by index weightings
* We will buy at attractive valuations and not be influenced by index weightings * Conversely, we are prepared to sell stocks that we believe are overvalued * The portfolio will be diversified to the extent necessary to spread risk
Slide 6: Identify the Market Imbalances
Identify the Market Imbalances i Detailed Research t Which Companies Provide Value? t t New Opportunities Review Existing 9 Is company undervalued? Does the theme remain relevant? How is it positioned within the sector? . are . Does the company continue to What will drive revaluation? represent good
Slide 7: Lines of credit to gear the balance sheet; options written against portfolio
¢ Would look to establish lines of credit to gear the balance sheet when appropriate * Use of options written against the portfolio to generate additional income
Slide 8: Offer terms: shares and options
* Up to 200 million shares at 50 cents each * 1 option for each share to be issued (i.e. up to 200 million options) exercisable at 50 cents each on or before 28 February * Conditional on: — minimum subscription requirement of 80 million shares or $40 million — Shareholder approval of the proposal on
Slide 9: Broadening the mandate provides greater investment opportunities
¢ Broadening the mandate provides greater investment opportunities * Leverage existing listed investment company structure and shareholder base
Slide 10: AMCIL Board
AmMCIL Bruce Teele (Proposed Chair) — 44 years experience in the securities industry. Chairman of AFIC and Djerriwarrh Investments Limited Ross Barker (MD) ~ 23 years experience in the securities industry. Managing Director of AFIC, Djerriwarrh investments Limited and Mirrabooka Investments Limited
Slide 11: Investment objectives: total return, risk parameters, capital preservation
¢ Attractive total return over the medium to long term ¢ Operate within acceptable risk parameters * Preserve and grow the capital of the Company
Slide 12: Expected MER and no performance fees
¢ The initial MER is expected to be between 0.8% to 2.0% depending on the amount of capital raised e The Board’s view is to keep the MER as low as possible as the Company grows. ¢ AMCIL has no performance fees and does not intend to introduce such a fee
Slide 13: AMCIL offer and prospectus information
AMC IL ¢ The Offer of the Shares and Options will be made in, or accompanied by, a copy of the Prospectus dated 28 November 2003. e Anyone wishing to acquire the Shares and Options will need to complete the application form that is in or accompanies the Prospectus. « |finvestors have any queries abo
Slide 14: Questions
Questions December 2003