Nutun Limited · JSE:NTU

Nutun — Transaction Capital — IPO Roadshow (May 2012)

30 slides from Nutun's IPO roadshow presentation, May 2012

  1. Slide 1: Accessing the growth in South Africa's emerging financial sector

    Accessing the growth in South Africa’s emerging financial sector May 2012

  2. Slide 2: Disclaimer

    Disclaimer NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, DIRECTLY OR INDIRECTLY, IN OR INTO THE UNITED STATES, CANADA, AUSTRALIA OR JAPAN 1. This document has been prepared by Transaction Capital Proprietary Limited (“Transaction Capital” or the “Company”) and comprises the slides for a presentation

  3. Slide 3: Disclaimer (continued)

    Disclaimer (continued) 7. This document may contain certain “forward‐looking statements” regarding beliefs or expectations of the TC Group, its directors and other members of its senior management about the TC Group’s financial condition, results of operations, cash flow, strategy and business and t

  4. Slide 4: Agenda

    Agenda Description Page 1. Transaction Capital overview 5 2. Investor value proposition 8 3. Conclusion 27

  5. Slide 5: Transaction Capital – providing focused financial services to the growing Southern African market

    Transaction Capital – providing focused financial services to the growing Southern African market Financial information as at 30 September 2011(a) Transaction Capital (Pty) Limited Loan book R6,720m Income R3,606m(a) Profit Before Tax (“PBT”) R454m(a) Employees: 4,305 Group; 43 Head Office Lending S

  6. Slide 6: Evolution of Transaction Capital

    Evolution of Transaction Capital Phase I Phase II Phase III 1990 – 2006 2007 – 2010 2011 + Entrepreneurial roots Consolidation for scale Performance for value Core competencies & Capabilities  Entrepreneurial shareholders  Transaction Capital was formed in  From the start of the 2011  Entreprene

  7. Slide 7: Agenda

    Agenda Description Page 1. Transaction Capital overview 5 2. Investor value proposition 8 3. Conclusion 27

  8. Slide 8: Supportive backdrop indicates growth potential in TC's businesses

    Supportive backdrop indicates growth potential in TC’s businesses Ongoing migration through the LSMs Positive trends in household indebtedness (81.0)% (32.1)% (17.2)% 46.9% 75.0% 122.6% 24.1% 100.0% 90.0 20 75.0 16 6.9 60.0 6.0 (%) 12 5.7 5.6 45.0 (R'00) 4.7 4.5 4.5 4.2 8 4.0 30.0 3.7 3.6 3.6 3.5 3.

  9. Slide 9: A specialised portfolio

    A specialised portfolio Business model centering on control & value accretive collaboration without diluting divisional focus Board of directors – Direction & Governance Group executive office – Growth, sustainability and management Executive calibre, Strategy & Financial structure & Risk criteria &

  10. Slide 10: Asset-backed lending: SA Taxi / Rand Trust

    Asset‐backed lending: SA Taxi / Contribution Analysis, 30 September 2011 Rand Trust Income 30% PBT 30% Assets 47% R 1,092m R 137m R 4,683m  Taxis account for 80% of all public transport trips, with c. 19m minibus taxi commuters Market*  c. 220,000 vehicles on the road, c. 65,000 thereof are financ

  11. Slide 11: Asset-backed lending

    Asset‐backed lending Asset Quality & Key metrics Loan book – SA Taxi Origination – SA Taxi 2009 2010 2011 1H11 1H12 2009 2010 2011 1H11 1H12 Value of vehicle loans originated 1,102 1,325 1,415 862 784 (R’m) Total number of loans (vehicles) 18,222 20,914 21,673 21,896 21,896 New/existing client (vehi

  12. Slide 12: Unsecured lending: Bayport

    Contribution Analysis, 30 September 2011 Unsecured lending: Bayport Income PBT Assets 39% 43% 35% R 1,407m R 195m R 3,523m  SA’s unsecured lending market amounted to R113 billion as at December 2011 Market*  Bayport is estimated to have a 3% market share (Q4 2011)(a)  Major competitors are Africa

  13. Slide 13: Unsecured lending

    Unsecured lending Asset Quality & Key metrics Loan book Origination 2009 2010 2011 1H11 1H12 2009 2010 2011 1H11 1H12 Number of loans originated (units) 98,471 126,763 155,887 76,570 99,196 Number of loans 136,957 202,943 257,879 229,988 288,021 Disbursements (R’m) 836 1,325 1,850 895 1,356 Growth %

  14. Slide 14: Credit services: MBDCS / PIC Solutions

    Credit services: MBDCS / PIC Solutions Contribution Analysis, 30 September 2011 Income PBT EBITDA(a) 18% 20% 50% R 635m R 91m R109m  Accounts receivable collections management is a fragmented market in SA Market*  Majority of competitors are smaller than MBDCS  One of SA’s leading providers of ou

  15. Slide 15: Credit services

    Credit services Key metrics and financial information Operational 2009 2010 2011 1H11 1H12 Number of agency clients 40 47 45 46 49 Number of employees 2,926 2,814 2,518 2,456 2,410 Financial 2009 2010 2011 1H11 1H12 AUM (R’bn) 20.3 23.5 22.4 22.2 21.8 Agency (R’bn) 13.4 15.4 13.4 13.5 12.0 Principal

  16. Slide 16: Payment services: Paycorp

    Contribution Analysis, 30 September 2011 Payment services: Paycorp Income PBT EBITDA(a) 12% 11% 50% R 437m R 50m R108m Market*  c. 26,728 ATMs in SA, c. 8,000 located in bank branches & remainder situated offsite  POS terminals are ubiquitous throughout the retail industry Paycorp  One of SA’s la

  17. Slide 17: Payment services

    Payment services Key metrics and financial information Operational 2009 2010 2011 1H11 1H12 Number of active ATMs 3,812 4,024 4,072 3,957 4,178 Financial 2009 2010 2011 1H11 1H12 Cost‐to‐income 85% 86% 88% 88% 83% Non‐interest revenue 365 404 428 216 230 PBT (R’m) 54 55 50 26 37 EBITDA (R’m) 99 109

  18. Slide 18: Access to capital

    Access to capital Capital structure A proven wholesale funding model  Equity allocated per asset class according to capital market appetite, credit rating and risk based business requirement  No exposure to short‐term  Ring‐fenced funding structures allow investor diversification, no co‐mingling

  19. Slide 19: Diversified funding base

    Diversified funding base Committed funds as at 31 March 2012 Credit rating Funder Structure Aa2.za Traditional Specialised Structured Development asset Rated Moody's, asset finance, 17% finance managers, unlisted 28% managers institutions, 5% securitisation Not and debt 9% , 31% rated, funds, 25% 42

  20. Slide 20: Pre-IPO transactions

    Pre‐IPO transactions Futuregrowth Ethos Sanlam Pre‐IPO investment Convertible bond converted Convertible Pre‐IPO cash investment pre‐IPO Date of investment 30‐Mar‐12 30‐Mar‐12 24‐Apr‐12* Expected at IPO Size R100 million R143 million R197 million R35 million – Subscribed for – Subscribed for R12,048

  21. Slide 21: Delivering strong financial performance with a growth track record

    Delivering strong financial performance with a growth track record Year ended 30 September Six month ended 31 March (R’m unless specified otherwise) 2009 2010 % movement 2011 % movement 1H11 1H12 % movement Performance Interest and other similar income 739 1,217 65% 1,785 47% 835 1,034 24% Non‐inter

  22. Slide 22: Delivering strong financial performance with a growth track record (continued)

    Delivering strong financial performance with a growth track record (continued) Year ended 30 September Six month ended 31 March (R’m unless specified otherwise) 2009 2010 % movement 2011 % movement 1H11 1H12 % movement Status Total assets 4,951 8,653 75% 10,056 16% 9,508 11,550 21% Loans and advance

  23. Slide 23: Entrepreneurial roots

    Entrepreneurial roots Proven entrepreneurial record Mark Lamberti, Chief Executive Officer  30 years experience as an executive or non‐executive director on the boards of various public companies  Served 19 years as the architect and CEO of Massmart Holdings Limited & remains non‐executive Chairma

  24. Slide 24: Qualified Executive Leadership

    Qualified Executive Leadership Depth of education, expertise & experience Mark Lamberti, CEO Michael Mendelowitz, CIO Charl van der Walt, CEO MBD CS  (61) Appointed CEO &  (46) Co‐founder of  (46) Joined MDB on its invested in TC in 2008 inception in 2000  B Com (Unisa), MBA Transaction Capital

  25. Slide 25: Experienced Independent Directors

    Experienced Independent Directors A sound governance & compliance framework Board  Reputational Risk Risks  Sustainability Risk Committees Asset & Liability Risk & Compliance Nominations & Social & Ethics Executive Audit Committee Remuneration Committee Committee Committee Committee Committee Davi

  26. Slide 26: Agenda

    Agenda Description Page 1. Transaction Capital overview 5 2. Investor value proposition 8 3. Conclusion 27

  27. Slide 27: The Transaction Capital investor value proposition

    The Transaction Capital investor value proposition 1 A supportive macro economic backdrop for growth and returns … 6 … under the guidance of 2 … from a portfolio of experienced management specialised financial services operating within a robust businesses … governance framework. 5 3 … delivering str

  28. Slide 28: Q&A

    Q&A 28

  29. Slide 29: Appendix

    Appendix 29

  30. Slide 30: Delivering strong financial performance with a growth track record

    Delivering strong financial performance with a growth track record (R’m) 30 Sep 2009 Growth % 30 Sep 2010(a) Growth % 30 Sep 2011 1H11 1H12 Growth % Statement of comprehensive income Interest and other similar income 739 65% 1,217 47% 1,785 835 1,034 24% Interest and other similar expense (403) 51%

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