Standard Bank Oil ETN · JSE:SBOIL
Standard Bank Oil ETN — Standard Bank — Merger or Acquisition (August 2003)
18 slides from Standard Bank Oil ETN's merger presentation, Aug 11, 2003
Slide 1: The launch of Barclaycard in South Africa
The launch of Barclaycard in South Africa 11th August 2003, Sandton Convention Centre Presented by Barclays Bank and Standard Bank
Slide 2: Overview of Barclays
Overview of Barclays • Barclays is a familiar name to South Africans • Barclays Africa head office has relocated from UK to JHB • This move supports the key elements of Barclays Africa strategy for expansion • This move is not a pre-cursor to Barclays re-entering retail banking in South Africa
Slide 3: Overview of Barclaycard
Overview of Barclaycard • Barclaycard has wanted to re-enter the credit card market for some time • RSA credit card market is dominated by 4 major players • Barclaycard believed that the only way to successfully re- enter the card market is to partner with one of the big 4 players
Slide 4: Overview of Barclaycard
Overview of Barclaycard • After formal evaluation and due diligence Standard Bank is Barclaycard’s preferred partner for cards in South Africa • The co-operation will help Standard Bank with its card growth in other African markets. • The co-operation is limited to cards
Slide 5: The Deal
The Deal • Barclaycard and Standard Bank have entered into a Collaborative Agreement to sell Barclaycards through a new Division • Both parties have different strengths but combine to provide established infrastructure, brand presence, risk management and customers acquisition skills • This combinat
Slide 6: The Deal
The Deal • We start today with the launch of the Manchester United Barclaycard to be followed by a suite of card products • The joint business will have exclusive rights to the Manchester United and Barclaycard brands for a minimum of five years
Slide 7: Barclaycard's contribution
Barclaycard’s contribution • Over 30 years of credit card market expertise: – Predictive risk skills – Sales and marketing – Customer optimisation • Recruitment of new card holders • Access to Manchester United and Barclaycard brands • Expertise in football sponsorship • Access for Standard Bank to
Slide 8: Standard Bank's Contribution
Standard Bank’s Contribution • Extensive distribution network and ATM infrastructure • Processing and customer service capability • Arms length selling of other Standard Bank retail products • Collections and fraud competence • Regulatory support • Existing soccer credit card sponsorship of properti
Slide 9: Benefits of collaboration
Benefits of collaboration • Barclays recruitment and risk skills and brand with Standard Banks transactional engine and operational infrastructure • Grow the size of the credit card market introducing new products & credit skills • Create incremental cross sell opportunities for Standard Bank into a
Slide 10: Funding and Income Streams
Funding and Income Streams • The Barclaycard division will be equally funded in terms of Regulatory Capital, book capital, and working capital • Risks and rewards will be shared equally by both parties
Slide 11: Barclaycard
Barclaycard • Barclaycard is an International Card Business operating in 63 countries, with 10.4 million customers, 12 million cards and 100,000 merchants • Developed the Global Card Strategy which is based on: – Risk management – Direct to customer marketing – Account optimisation – Remote customer
Slide 12: Governance and management structure
Governance and management structure • The Barclaycard collaborative agreement creates a completely new division which will operate independently of its parents through an 8 person Executive Committee (Exco) • This Exco will appoint Credit, Audit and Risk Committees • Risk, compliance and finance pol
Slide 13: Barclaycard South Africa Organogram
Barclaycard South Africa Organogram EXCO MANCO Mike Quinn General Mgr John Lawrence Altu Sadie Chris Corbett Piet du Preez Risk Financial Manager Marketing Relationship Manager
Slide 14: Cardholder Recruitment
Cardholder Recruitment • Initial sales driven by Barclaycard’s direct-to-customer recruitment capabilities • Call centres, customer service centre and application processing provided by Standard Bank, but run separately from existing Standard Bank Card business • Cardholder recruitment will not be d
Slide 15: Operations
Operations • Access to National and International payments systems will be provided by Standard Bank • Cardholder payments will be made through Standard Bank’s ATM network, branches, electronic payment and APO • Collections and fraud control will be undertaken by Standard Bank
Slide 16: Regulatory Policy
Regulatory Policy • Cards issued in local currency only • Cards issued to RSA residents only • Governed by normal Association and Exchange Control rules • Compliance with South African and English non- financial regulatory requirements • Financial compliance with South African requirements
Slide 17: Targets
Targets • By February 2004 the division will have 7 products in the market with targets of: – 150,000 accounts, R0.3 billion by the end of 2003 – 220,000 accounts, R1.3 billion and the end of 2004
Slide 18: The Manchester United Barclaycard
The Manchester United Barclaycard • Today we launch the first of the 7 products, The Manchester United Barclaycard targeted at a base of 3.8 million Manchester United supporters • Our PR, Advertising and Cardholder recruitment campaign starts now