Ladder Capital Corp · NYSE:LADR
Ladder Capital — Investor Presentation (December 2014)
10 slides from Ladder Capital's investor presentation, Dec 15, 2014
Slide 1: Investor Presentation December 15, 2014
INVESTOR PRESENTATION DECEMBER 15, 2014
Slide 2: Forward-looking statements disclaimer
This presentation contains forward-looking statements regarding possible or assumed future results of the business, financial condition, plans and objectives of Ladder Capital Corp and its subsidiaries and affiliates (collectively, “Ladder Capital,” “Ladder,” “LADR,” or the “Company”). Any statement
Slide 3: Announcement Highlights
Announcement Highlights 1 LADR’s Board of Directors has unanimously approved a plan to pursue REIT election with a target effective date of January 1, 2015 Estimated to be approximately 50% + accretive to earnings Qualified earnings distributed to shareholders not taxed at corporate level LADR will
Slide 4: Announcement Highlights (cont.)
Announcement Highlights (cont.) 2 Following potential REIT election, Ladder would be an internally-managed commercial real estate finance company with the potential for industry-leading levels of ROE and capital retention Ladder will continue to invest in both CRE debt and equity, seeking to deliver
Slide 5: Pro Forma Ladder REIT
Pro Forma Ladder REIT 3 More efficient flow of earnings directly to shareholders with introduction of dividend No change to business lines or asset mix required Estimated 50% + earnings accretion Potential for industry-leading ROE Potential for industry-leading retention of capital Reinvestment of r
Slide 6: Core EPS Impact & Dividend per Share
4 Core EPS Impact & Dividend per Share + 55% + $1.00 Note: Per share figures shown based on estimated 99.7 million 2015 weighted average diluted shares outstanding (1) Assumes $100 million initial regular annual cash distribution Accretive transaction with meaningful cash dividends to shareholders $
Slide 7: Illustrative Impact on ROE
Illustrative Impact on ROE Accretive transaction with potential for meaningful increase in ROE 5 (1) As calculated to derive Core EPS (1) Hypothetical $220 Million Core Earnings Scenario ($ in millions, except per share amounts) Status Quo Pro Forma REIT (C-Corp) REIT TRS Total Taxable Income $184 $
Slide 8: Ladder REIT versus Industry Peers
6 Ladder REIT versus Industry Peers Note: All Ladder metrics exclude impact of one-time E&P distribution to shareholders (1) Source: Company filings, FactSet and SNL Financial. Represents average of BXMT, CLNY, NRF, RWT and STWD (2) For Ladder, represents portion of Core Earnings (pre-tax), on a ful
Slide 9: Illustrative Stock Price Trading
Illustrative Stock Price Trading 7 Hypothetical $220 Million Core Earnings Scenario: Core EPS Hypothetical P/E Ratio Implied LADR Stock Price $2.00 16.0x $32.00 15.0x $30.00 14.0x $28.00 13.0x $26.00 12.0x $24.00 LADR shareholders to own Internally-Managed REIT plus TRS Finance Company with strong o
Slide 10: Estimated Transaction Timeline
Estimated Transaction Timeline 8 Announcement: December 15, 2014 REIT Effective Date: January 1, 2015 First Regular Dividend Date: April / May 2015 One-Time E&P Payout Date: January 2016
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