Sanlam Allianz Holdings (kenya) Plc · NSEKE:SLAM
Sanlam Allianz Holdings (kenya) — Sanlam — Merger or Acquisition (April 2024)
14 slides from Sanlam Allianz Holdings (kenya)'s merger presentation, Apr 5, 2024
Slide 1: Proposed Transaction in respect of Sanlam's insurance businesses in India
Proposed Transaction in respect of Sanlam’s insurance businesses in India 5 April 2024 Financial Planning | Retirement | Insurance | Health | Investments | Wealth | Credit
Slide 2: Summary
Summary Transaction significantly increases Sanlam’s exposure to Shriram insurance businesses (Shriram Life Insurance Company (SLIC) and Shriram General Insurance Company (SGIC)), while slightly reducing the groups exposure to Shriram Finance Limited (SFL) Sanlam has reallocated capital from a less
Slide 3: India's growth story and potential remains strong
India’s growth story and potential remains strong Real GDP (US$trillion) Total household spending per capita (US$) CAGR: 6.8% CAGR: 8.5% 5th largest economy with sizable young and growing 1 aspirational middle-class population 4.19 2,024 3.23 1,458 Fastest growing emerging economy led by 2 private c
Slide 4: SLIC and SGIC historical financial performance
SLIC and SGIC historical financial performance Sanlam share of SLIC and SGIC NRFFS (R million) SLIC and SGIC total premium income (R million)(1) 400 340 8,000 6,792 318 300 222 6,000 5,147 200 5,040 4,407 4,624 200 3,775 3,956 101 4,000 3,517 100 67 32 0 2,000 -100 -29 0 SLIC SGIC SLIC SGIC 2020 202
Slide 5: A natural next step to bolster and scale-up in India
A natural next step to bolster and scale-up in India Strategic Rationale Accelerates our Increases Develops our Maintains disciplined Builds upon expansion into India, investment in the innovative existing capital allocation, established further strengthening underpenetrated strategic with limited c
Slide 6: Transaction overview
Transaction overview Insurance business acquired SGIC effective economic shareholding increased from 40,25% to 50,99% SLIC effective economic shareholding increased from 42,38% to 54,40% Financed by SFL effective economic shareholding reduced from 10,19% to 9,54% Cash outlay of ZAR2,0 billion 6
Slide 7: Valuation considerations
Valuation considerations Transaction valuation implied for the increased insurance stakes is significantly above Sanlam’s implied valuation in the published GEV This is justified given that this transaction results in a strategic position for Sanlam within Indian insurance sector The implied valuati
Slide 8: Expected financial effects
Expected financial effects Marginal positive impact on NRFFS, marginal negative impact on dividends in initial years Slight reduction in RoGEV for current year, but group still expects to achieve its 2024 RoGEV target Group solvency improves slightly We expect that the Indian insurance operations wi
Slide 9: Q&A
Q&A 9
Slide 10: Annexure
Annexure 10
Slide 11: Pre-transaction SGIC and SLIC organogram
Pre-transaction SGIC and SLIC organogram SGIC Shriram Ownership Trust SEM Mauritius Sanlam Effective Direct Indirect Total 6.68% Shareholding 59.30% 40.70% TPG India Shriram Capital Private Limited SGIC 22.92% 17.33% 40.25% Investments II 63.88% 9.44% Shriram GI Holdings Private Limited 66.64% Shrir
Slide 12: Post-transaction SGIC and SLIC organogram
Post-transaction SGIC and SLIC organogram SGIC Shriram Ownership Trust SEM Mauritius Sanlam Effective Direct Indirect Total Shareholding 59.30% 40.70% Shriram Capital Private Limited SGIC 22.92% 28.07% 50.99% 63.88% 16.12% Shriram GI Holdings Private Limited Other 10.44% 66.64% Shriram General Insur
Slide 13: Disclaimer
Disclaimer In this document, Sanlam Ltd (SLM or Sanlam), its subsidiaries and, where applicable, its joint ventures and associates are referred to as “we”, “us”, “our”, “Sanlam” and the “group”. Forward-looking statements In this report, we make certain statements that are not historical facts and r
Slide 14: Live with confidence
© Sanlam Live with confidence