LSL Property Services plc · LSE:LSL

LSL Property Services — Merger or Acquisition (October 2009)

8 slides from LSL Property Services's merger presentation, October 2009

  1. Slide 1: Proposed Acquisition of Halifax Estate Agencies Limited

    Proposed Acquisition of Halifax Estate Agencies Limited Simon Embley, Group Chief Executive Officer Dean Fielding, Group Chief Finance Officer October 2009

  2. Slide 2: LSL is well placed to take advantage of consolidation opportunities

    LSL is well placed to take advantage of consolidation opportunities and has a successful track record on integration A track record of profitable growth EBITA Full Year * Acquisitions 40 20% 16.4% 16.9% 35 18% 13.9% 16% 30 14% EBITA margin 11.3% EBITA (£m) 25 10.1% 12% 20 37.2 10% 15 32.3 8% 6% 10 1

  3. Slide 3: Profile and historical financial information: Halifax Estate Agencies Limited

    Profile and historical financial information : Halifax Estate Agencies Limited Halifax Estate Agency Profile Financial Information  Historically loss-making at the operating level  Business run primarily for FS product distribution  4th largest estate agency network in the UK  Profitability adve

  4. Slide 4: LSL strategic rationale

    LSL strategic rationale  An opportunity to acquire a high quality branch network, register of clients and pipeline of sales on favourable commercial terms.  Includes an established asset management business with existing clients and a new three-year contract with Bank of Scotland, which includes:

  5. Slide 5: Principal terms of the acquisition

    Principal terms of the acquisition  Acquisition of the entire share capital of HEAL from Bank of Scotland (BoS) for £1.  A pro forma balance sheet which includes circa £38.4m of net current assets. This will include minimum cash of £22.2m which will cover restructuring costs, rebranding and additi

  6. Slide 6: Financial bridge - the rationale

    Financial bridge - the rationale ExchangeUnits Per Office Other Income Per Office ExpenditurePer Office 35 120 400 30 350 100 300 25 80 250 £'000s £'000s Units 20 LSL Core LSL Core 60 LSL Core 200 15 150 HEAL HEAL HEAL 40 10 100 5 20 50 0 0 0 H1 2009 H1 2009 H1 2009 Ave Per Branch Ave Per Branch Ave

  7. Slide 7: Current trading, trends and prospects

    Current trading, trends and prospects House Purchase Approvals House Purchase  Since 1 July 2009 the group has performed ahead of management’s expectations against a backdrop of a slightly improving housing market 0.8  H1 2009 housing transaction were slightly up on H2 2008, running at an annualis

  8. Slide 8: Summary

    Summary  Purchase of 218 estate agency branches for £1, making LSL the second largest estate agent in the UK  A three year asset management contract with the largest lender in the UK  Pro forma net assets of £38.4m and minimum cash of £22.2m to cover restructuring costs  Management track record

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