Banco Santander-chile · BCS:BSANTANDER

Banco Santander-chile — Merger or Acquisition (August 2019)

16 slides from Banco Santander-chile's merger presentation, Aug 28, 2019

  1. Slide 1: Santander Consumer Chile Transaction

    Banco Santander Chile Santander Consumer Chile Transaction » RN RNNZ eee | August 27, 2019 «> Santander

  2. Slide 2: Agenda

    Agenda Points of the agenda Proposed transaction Santander Consumer Chile background Transaction rationale «> Santander

  3. Slide 3: Points of the agenda

    3 Points of the agenda Submit the operation of the acquisition of 51% of the shares issued by Santander Consumer Chile S.A. for the consideration of the shareholders. Report the operations referred to in Title XVI of Law 18.046. Adopt other agreements and grant powers of authority that are necessary

  4. Slide 4: Agenda

    Agenda Points of the agenda Proposed transaction Santander Consumer Chile background Transaction rationale «> Santander

  5. Slide 5: Ambition to enter the high growth business of financing the purchase of vehicles

    Ambition to enter the high growth business of financing the purchase of vehicles Se ¢ «> Santander BERGE 51%| SK ‘SIGDO KOPPERS S.A. 40% @SKBERGE 49% — 60% -2% «> Santander Consumer Finance -49% ~9 ‘Proposed purchase: «> Santander «> Santander 2%+49% 51% | «> Santander & Consumer Finance The transac

  6. Slide 6: The purchase price is according to the market price

    The purchase price is according to the market price - @SKBERGE Price of the acquisition of 49% of SCF: Ch$59,063 million 1. Prior to the acquisition, the pending dividend will be distributed to the current shareholders for approximately Ch$18,060 million 2. Agreed multiple: 9.55x of income after tax

  7. Slide 7: The transaction has been evaluated by Deloitte

    The transaction has been evaluated by Deloitte Deloitte, in the capacity of independent evaluator, was contracted to review the transaction. The report analyzed the effects and potential impacts of the acquisition, including the synergies and costs involved, as well as the valuation of Santander Con

  8. Slide 8: The potential benefits of the proposed transactions

    The potential benefits of the proposed transactions * Consistently positive financial results. * Highly competitive in its sector, which is experiencing strong growth in recent years. Portfolio size: Ch$ 407 billion with a growth rate (CAGR) of 26.8% between 2010 and 2018. * Return on Equity~20%. Th

  9. Slide 9: Automobile market in Chile

    1. 2. Automobile market in Chile Sale of new cars! CAGR=13,9%. 417.038 399.030 505.540 360.900 94.654 | 2015 2016 2017 2018 1719 Sale of used cars? CAGR=4.4% v 1.003.040 974.513 996.833 877.044 2015 2016 2017 2018 «> Santander Source: ANAC and Santander Consumer Chile. Source: CAVEM and Santander Co

  10. Slide 10: Automobile industry in Chile

    Automobile industry in Chile The six main automobile groups account for 67% of the sales of new cars Share of sold cars First option in financing new vehicles by Brand /Automobile Group () Citroén Others Mundo Crédito . . Amicar: Distribution by financer &) A. Gildemeister 9% @ Forum Portal Amicar ™

  11. Slide 11: Santander Consumer Chile: leader in automobile financing

    Santander Consumer Chile 2nd 9% +30.000 oa Of financing of new small car New cars financed in Largest portfolio in the . . ies A sales in the country, being one of 2018 automobile financing market th . t bile fi Leader in e main automobite financers Automobile Financing Part of the Santander Group,

  12. Slide 12: Financial summary

    Santander Consumer Chile: Financial summary Total loans Total loans- Number of operations Ch billion and YoY growth CAGR=17.8% 13% 08% aay 32% 28% 19% 15% O89 as 207 202 218 228 a 2014 2015 2016 2017 2018 43525 Loans ——Var.% Non-performing loans and coverage ratios % CAGR=15.0% 40.794 +16.7% 32.707

  13. Slide 13: Financial summary

    Santander Consumer Chile: Financial summary Gross income Expenses & Efficiency Ch$ billion | CAGR=14.1% 41,6 31,0 32,4 34,6 2014 2015 2016 2017 Income after tax 52,8 +22.4% 11,9 145 2018 , Mar-18 Mar-19 37,9% 36,2% 38,3% 34.7% 351% 390% 33% 13,5 10,8 ’ 2,9 3,5 = 2017. 2018 Mar-18 Mar-19 Expenses ——E

  14. Slide 14: An attractive acquisition for Banco Santander Chile

    An attractive acquisition for Banco Santander Chile Banco Santander Chile seeks to buy 51% of Santander Consumer Chile For Ch$62,136 million » SKBergé: 49% for Ch$59,063 million » Santander Group: 2% for Ch$3,073 million The transaction has been evaluated by an independent third party, Deloitte, tha

  15. Slide 15: Points of the agenda

    3 Points of the agenda Submit the operation of the acquisition of 51% of the shares issued by Santander Consumer Chile S.A. for the consideration of the shareholders. Report the operations referred to in Title XVI of Law 18.046. Adopt other agreements and grant powers of authority that are necessary

  16. Slide 16: Thank you.

    Thank you. Our purpose is to help people and business prosper. Our culture is based on believing that everything we do should be: Simple Personal Fair Relaciones con Inversionistas Chile Bandera 140, Piso 19 Santiago, Chile Tel: (662) 23208284 email: irelations@santander.cl www.santander.cl «> Santa

Banco Santander Chile — Merger or Acquisition (August 2019) on 6ix