Navient Corporation · NASDAQ:NAVI
Navient — Merger or Acquisition (October 2017)
8 slides from Navient's merger presentation, Oct 4, 2017
Slide 1: Navient to Acquire Earnest
Navient to Acquire Earnest October 4, 2017
Slide 2: Forward-Looking Statements
Forward-Looking Statements The following information is current as of June 30, 2017 (unless otherwise noted) and should be read in connection with Navient Corporation’s (Navient) Annual Report on Form 10-K for the year ended December 31, 2016 (the “2016 Form 10-K”), filed by Navient with the Securit
Slide 3: Acquisition of Earnest: Leading technology enabled lender and education finance company
Acquisition of Earnest: Leading technology enabled lender and education finance company Combines Navient’s 40+ years of data, analytics, capital markets and industry operating experience with best-in-class technology and digital origination capabilities • Accelerates ability to capture significant s
Slide 4: Earnest overview
Earnest overview • Founded in 2013, Earnest is a leading, data-driven and digitally focused consumer finance business • Technology-first platform uses software and algorithms in origination to enable competitive underwriting and pricing • Expected to originate nearly $1 billion in education refinanc
Slide 5: Refinancing education loans is an attractive opportunity
Refinancing education loans is an attractive opportunity Overview Estimated Outstanding Education Loan Market1 • Large addressable market $1.4 Trillion as of FFYE 9/30/2016 - New student loan originations over next 10 ($ in billions) FFELP years projected to be significantly over $1 loans trillion²
Slide 6: Transaction summary
Transaction summary • Navient has entered into a definitive agreement to acquire Earnest for $155 million in cash, subject to certain closing adjustments • Financing for the transaction will be entirely through cash on hand • As a result of the recent acquisitions of Earnest, Duncan Solutions and $6
Slide 7: Continued focus on capital allocation priorities
Continued focus on capital allocation priorities Maintain discipline on balance sheet, invest in growth and return excess capital to shareholders Common Dividend • Annual dividend of $0.64 per share • Growth of Student Loan Refinance portfolio Growth Opportunities • Continue to pursue attractive por
Slide 8: NAVIENT.
NAVIENT.