Slide 1: Entitlement Offer March 2017
For personal use only ENTITLEMENT OFFER MARCH 2017
Slide 2: Disclaimer
1986 2005 2008 2011 2013 2016 For personal use only Silver Chef established Silver Chef Launched Silver Chef Silver Chef Silver Chef by Non-Executive listed GoGetta in New Zealand Canada 30 Year Chairman Allan English on ASX Australia established established Anniversary DISCLAIMER Silver Chef Limite
Slide 3: Overview
OVERVIEW For personal use only • Silver Chef continues to experience growth to its net rental asset base positioning it well to deliver sustainable earnings momentum into future periods • Silver Chef is undertaking a fully underwritten 1 for 12 accelerated pro-rata non-renounceable entitlement offer
Slide 4: Overview (continued)
OVERVIEW (CONTINUED) For personal use only GoGetta • Executing management’s strategy for improving the return on assets across GoGetta channels remains a key focus • Average credit quality of the GoGetta customer base continues to improve • Growth in the GoGetta rental asset base will be moderated u
Slide 5: Key Terms of the Entitlement Offer
KEY TERMS OF THE ENTITLEMENT OFFER For personal use only • Fully underwritten 1 for 12 accelerated pro-rata non-renounceable entitlement offer to raise gross proceeds of approximately $21 million Offer size and • Approximately 3 million new Silver Chef ordinary shares (New Shares) to be issued (appr
Slide 6: Entitlement Offer Timetable
ENTITLEMENT OFFER TIMETABLE For personal use only Timetable * Trading halt (before market open) 21 March 2017 Announcement of Entitlement Offer and Appendix 3B and cleansing statement lodged 21 March 2017 Institutional Entitlement Offer opens 21 March 2017 Institutional Entitlement Offer closes (12.
Slide 7: 1H FY2017 Performance Summary
1H FY2017 PERFORMANCE SUMMARY For personal use only PERFORMANCE HIGHLIGHTS 1H FY17 1H FY16 Change Excellent growth in domestic hospitality rental base up 18%* on 30 June 2016 Revenue ($ millions) $137.8m $100.7m 37% GoGetta volume reduction in response to improved customer quality measures Rental as
Slide 8: Half Year Earnings Analysis
HALF YEAR EARNINGS ANALYSIS UNDERLYING EARNINGS BRIDGE 1H FY16 TO 1H FY17 ($M) UNDERLYING EARNINGS BRIDGE 1H FY17 TO 2H FY17 ($M) For personal use only • Strong margin on asset base growth, but at a lower yield due to • GoGetta average portfolio rental yield improving post rental rate rise in May we
Slide 9: Good Growth in Originations with Increased Focus on Quality Customers
GOOD GROWTH IN ORIGINATIONS WITH INCREASED FOCUS ON QUALITY CUSTOMERS For personal use only COST VALUE OF RENTAL ASSETS GROUP ORIGINATIONS (RENTAL ASSET AND WDV OF LEASE RECEIVABLES ACQUISITIONS AND ADVANTAGE)* Cost Value of Silver Chef rental assets Cost Value of GoGetta rental assets SilverChef Re
Slide 10: Hospitality Australia
HOSPITALITY AUSTRALIA For personal use only KEY DIVISIONAL STATISTICS 1H FY17 2H FY16 Rental asset numbers 67,113 62,599 Originations including Advantage (AUD) $77.4m $57.8m* Rental assets at cost (AUD) $239.6m $212.3m Rental asset WDV (AUD) $155.2m $133.5m • Focus on key dealers driving significant
Slide 11: Hospitality Canada
HOSPITALITY CANADA For personal use only KEY DIVISIONAL STATISTICS 1H FY17 2H FY16 Rental asset numbers 6,893 4,679 CALGARY Originations including Advantage (AUD) $10.4m $5.8m* MONTREAL VANCOUVER Rental asset costs (AUD) $22.3m $14.5m TORONTO Rental asset WDV (AUD) $18.1m $11.9m • Rental asset acqui
Slide 12: Hospitality New Zealand
HOSPITALITY NEW ZEALAND AUCKLAND For personal use only KEY DIVISIONAL STATISTICS 1H FY17 2H FY16 Rental asset numbers 6,086 5,359 CHRISTCHURCH Originations including Advantage (AUD) $8.3m $4.8m* Rental asset costs (AUD) $21.9m $18.1m Rental asset WDV (AUD) $14.9m $12.0m Finance lease receivable (AUD
Slide 13: GoGetta Growth
GOGETTA GOGETTA RENTAL ASSET BASE BY SECTOR GROWTH For personal use only 13% 11% 3% Construction 2% Fitness Hospitality KEY DIVISIONAL STATISTICS 1H FY17 2H FY16 Light Commercial 31% 40% Trucks and Trailers Other Rental asset numbers 17,530 18,040 Originations including Advantage (AUD) $76.9m $85.1m
Slide 14: Credit and Residual Asset Risk
CREDIT AND RESIDUAL ASSET RISK For personal use only HOSPITALITY BAD DEBTS AND IMPAIRMENT LOSS GOGETTA BAD DEBTS AND IMPAIRMENT LOSS 3.5% 8.0% 7.6% 2.9% 3.0% 3.0% 2.7% 7.0% 2.5% 2.5% 6.0% 4.9% 2.1% 5.0% 4.3% 2.0% 1.6% 3.7% 4.0% 3.5% 3.5% 1.3% 1.5% 1.2% 1.2% 2.9% 0.9% 3.0% 1.0% 0.6% 0.6% 1.2% 0.7% 2.
Slide 15: Arrears Improvement
ARREARS IMPROVEMENT Arrears versus Acquisition Volumes - GoGetta Portfolio For personal use only $1,800,000 $18 $1,600,000 Credit Sense implemented $16 and broker $1,400,000 dis-accreditation $14 $1,200,000 $12 $ millions $1,000,000 $10 dollars $800,000 $8 $600,000 $6 $400,000 $4 $200,000 $2 $- $- M
Slide 16: Capital Management
CAPITAL MANAGEMENT For personal use only EQUITY SECURITISATION WAREHOUSE STRATEGY INDICATIVE TERMS • Support from two major Australian banks • Reinvestment of first half cash operating • Deliver securitisation warehouse for profits of $83.7 million into rental asset • Improved financial leverage wit
Slide 17: Pro Forma Balance Sheet/Sources and Uses
PRO FORMA BALANCE SHEET/SOURCES AND USES For personal use only Pro forma Silver Chef Group $ millions Silver Chef Group adjustments Pro Forma Consolidated at 31 Entitlement Offer 1H FY2017 Consolidated at Dec 16 (1) Dividend (2) 31 Dec 16 ASSETS Cash 8.5 20.1 (4.6) 24.0 Sources of funds $ millions T
Slide 18: Risk Factors
RISK FACTORS For personal use only Risk Description Mitigation strategy Competition The non-bank finance space is highly competitive, • Rent Try Buy (RTB) and Rent Grow Own are unique products in the non-bank finance market and there is no evidence particularly in the transport sector where GoGetta
Slide 19: Risk Factors (continued)
RISK FACTORS (CONTINUED) For personal use only Risk Description Mitigation strategy Credit and collections risk Failure to appropriately evaluate the quality of • Comprehensive credit risk matrices applied in the evaluation of all deals counterparties prior to lending or failing to efficiently • Thi
Slide 20: Risk Factors (continued)
RISK FACTORS (CONTINUED) For personal use only Risk Description Mitigation strategy Interest rate Silver Chef has substantial variable interest rate • $100 million of base rate exposure of the senior syndicated debt facility hedged for 3 years at 2.22% fixed (hedge exposure linked to its senior debt
Slide 21: Selling Restrictions
SELLING RESTRICTIONS For personal use only International offer restrictions This Presentation does not constitute an offer or invitation in any place in which, or to any person to whom, it would not be lawful to make that offer or invitation. In particular, this Presentation may not be distributed t
Slide 22: Selling Restrictions (continued)
SELLING RESTRICTIONS (CONTINUED) For personal use only Switzerland The New Shares may not be publicly offered in Switzerland and will not be listed on the SIX Swiss Exchange (SIX) or on any other stock exchange or regulated trading facility in Switzerland. This document has been prepared without reg
Slide 23: Selling Restrictions (continued)
SELLING RESTRICTIONS (CONTINUED) For personal use only Canada (British Columbia, Ontario and Quebec provinces) (continued) The Company as well as its directors and officers may be located outside Canada and, as a result, it may not be possible for purchasers to effect service of process within Canad
Slide 24: Selling Restrictions (continued)
SELLING RESTRICTIONS (CONTINUED) For personal use only Canada (British Columbia, Ontario and Quebec provinces) (continued) Section 138 of the Securities Act (Ontario) provides that no action shall be commenced to enforce these rights more than (a) in the case of any action for rescission, 180 days a
Slide 25: Company Directory
COMPANY DIRECTORY Board Allan English Andrew Kemp Bede King Sophie Mitchell For personal use only Patrick Tapper Company Secretary Don Mackenzie CEO Damien Guivarra CFO Doug McAlpine Share Register Boardroom Pty Limited GPO Box 3993 Sydney NSW 2001 Phone: 1300 737 760 Fax: 1300 653 459 Website: www.