Banco Santander, S.a. · BME:SAN
Banco Santander — IPO Roadshow (January 2015)
16 slides from Banco Santander's IPO roadshow presentation, January 2015
Slide 1: Santander Presentation
Santander Presentation January 2015
Slide 2: Important Information
2 Important Information This document is of a merely informative nature. This document is not a registration document or a prospectus and must not be treated as an offer of any kind and only constitutes information. The information contained herein is not for release, publication or distribution, di
Slide 3: Transaction Terms, Rationale, Financial Impacts and Conclusions
3 I. Transaction Terms II. Transaction Rationale III. Financial Impacts and Conclusions
Slide 4: Transaction Terms
4 Transaction Terms Capital increase up to €7.5bn with waiving of pre-emption rights Amount Number of shares to be issued of up to 1,258 m. Representing up to. 9.9% of the share capital (pre-transaction) Executed through an Accelerated Bookbuilt Offering (“ABO”) to qualified investors. Terms and Sub
Slide 5: II. Transaction Rationale
5 I. Transaction Terms II. Transaction Rationale III. Financial Impacts and Conclusions
Slide 6: We are front loading organic capital generation; why?
6 We are front loading organic capital generation; why? Accelerating Allows Santander to take advantage of organic growth potential in its Core Organic markets, given the improving outlook A Growth Opportunities We are aiming to gain market share in our markets now that the cycle is turning New divi
Slide 7: Santander is well capitalised
7 Santander is well capitalised Santander’s current capital position is well-above capital requirements and in line with its peers Phased-in CET1 (September 2014) Leverage Ratio (September 2014) Stress Test Impact on CET1 Adverse Case² 11.8% 2016 8.9% 8.3% 11.2%3 CET1 PI 320 Lowest impact among peer
Slide 8: Front loading the capital required by 2019
8 Front loading the capital required by 2019 The Transaction will allow to anticipate c. 3 years in reaching FL CET1 target levels Prior New Capital Plan FL CT1 PI CT1 Capital Plan FL CT1 PI CT1 YE 2014 8.3% 2014 9.7% >11.0% 12.0-12.5% YE 2015 <9.0% 2015 c.10.0% By YE 2016 9.0-9.5% >11% By YE 2016 1
Slide 9: Accelerating Organic Growth Opportunity
9 A Accelerating Organic Growth Opportunity Santander will benefit from significant organic growth opportunities in all its core markets, given the improved outlook Portugal Coming out of the crisis Spain UK Recovering Average 2016 USA GDP growth in Santander core markets above Temporary slowdown be
Slide 10: New Dividend Policy (1/2)
10 B New Dividend Policy (1/2) New Dividend Policy EPS Impact of Current Transaction With the proposed modification of dividend policy Today 4 quarterly scrip dividends with c. 80-85% acceptance1 and upfront capitalisation, Santander expects to achieve EPS accretion by 20162. 1 quarterly scrip and 3
Slide 11: New Dividend Policy (2/2): Cash Pay out
11 B New Dividend Policy (2/2) Our new dividend policy will be mostly in cash Santander Historical and Current Cash Pay-out Pay out Policy Cash Dividend (€m) €881m 40% 30-40 % 35% 30% 20 % 20 % Cash Pay out 25% 20% 15% 10% 5% 0% FY 2013 FY 2014E Target
Slide 12: Best in class capital standards
12 C Best in class capital standards We are among the best standards vs. peers taking into account our low-risk business model Stress Test Adverse Case CET1 PI (2016E) Stress Test Adverse Case CET1 FL (2016E) 10.3% 8,3% 8.7% 7.5% Santander Pro-forma Peers Average² Santander Pro-forma Peers Average²
Slide 13: III. Financial Impacts and Conclusions
13 I. Transaction Terms II. Transaction Rationale III. Financial Impacts and Conclusions
Slide 14: Financial Impacts and Outlook
14 Financial Impacts and Outlook +140bps impact on FL CET1 Capital Impact FL CET1 to be c. 10% during 2015 and CET1 FL target between 10-11% Increase in cash dividend pay out: − From c. 20% related to 2014 and 4 scrip dividends policy Dividend Impact − To 2015, 3 cash 1 scrip dividends (5c each) − A
Slide 15: AS Santander
AS Santander on lones_ nability Indexes Member 2007/08
Slide 16: Full Year Results Guidance
16 Full Year Results Guidance1 Banco Santander expects an attributable net profit of approximately 5,800 million euros, representing an increase of slightly above 30% over the attributable net profit for 20132. Excluding the impact of exchange rate variations, this represents an increase of slightly