Stifel Financial Corporation · NYSE:SF
Stifel Financial — Merger or Acquisition (January 2007)
14 slides from Stifel Financial's merger presentation, January 2007
Slide 1: Ryan Beck & Co. - A Powerful Combination
RYAN BECK & CO. (COUNGS A POWERFUL COMBINATION
Slide 2: Forward Looking Statements
Forward Looking Statements This This presentation presentation may may contain contain “forward-looking “forward-looking statements” statements” that that involve involve risks risks and and uncertainties, uncertainties, including including statements statements relating relating to to the the marke
Slide 3: Participants
Participants Ron Kruszewski Chairman and CEO Jim Zemlyak Chief Financial Officer Ben Plotkin Chairman and CEO Page 2
Slide 4: Stifel Nicolaus Today
Stifel Nicolaus Today Private Private Client Client Institutional Institutional Sales Sales Investment Investment • Founded in 1890 Group Group ` Over 730 and Trading and Trading ` More than 260 Banking Banking ` Over 115 • Highly Regarded Private Client Group Investment professionals banking Manage
Slide 5: Ryan Beck Today
Ryan Beck Today • Founded in 1946, now wholly owned by BankAtlantic Bancorp (NYSE: BBX) • Approximately 400 financial consultants, principally in the Mid- Atlantic region, manage over $19 billion for 150,000 accounts • Leader in financial institutions vv investment banking, with complementary client
Slide 6: A Combination of Two Great Firms
A Combination of Two Great Firms… • Extends our geographic reach to the Mid-Atlantic, with virtually no overlap • Establishes us as a top 12 Private Client Group brokerage • Leverages capabilities of our Capital Markets business • Leverages our strong research platform • Leverages our technology and
Slide 7: With Complementary Geographies
…With Complementary Geographies… vv Stifel Nicolaus Ryan Beck Page 6
Slide 8: Strengthens our Brokerage Position
… Strengthens our Brokerage Position 2006 Pro Forma Rankings Rank Company Headquarters RRs 1. Merrill Lynch & Co. New York, NY 15,520 (a) 2. Smith Barney New York, NY 13,177 (b) 3. Edward Jones St. Louis, MO 9,800 4. UBS Financial Services, Inc. New York, NY 9,041 (c) 5. Morgan Stanley New York, NY
Slide 9: Creates a New Top Ten Research House
…Creates a New Top Ten Research House US Research Marketplace (measured by US stocks under coverage) Firm Oct. 2006 US CVG 1. J.P. Morgan 1,209 2. Citigroup 972 3. Merrill Lynch & Co. 965 4. UBS Financial Services, Inc. 929 5. Goldman Sachs 859 6. Credit Suisse First Boston 812 7. Banc of America Se
Slide 10: Partnership Contributions
Partnership Contributions Dollars in Millions unless otherwise noted. Stifel Ryan Beck Combined (1) 2006 Projected Gross Revenues (2) $448 $218 $666 Book value of Equity (5) $211 $91 $302 2006 Projected Private Client Revenues (2) $236 $146 $382 Branch contribution margin (6) 27% 22% 25% Brokers (3)
Slide 11: Summary of Key Transaction Terms
Summary of Key Transaction Terms Structure Tax free acquisition of 100% of Ryan Beck from BankAtlantic Bancorp Initial Approximately 2,531,000 shares of Stifel common stock Consideration At closing Stifel may substitute an amount of cash in lieu of up to approximately 150,000 shares Five-yea
Slide 12: Transaction Valuation
Transaction Valuation Initial Consideration Common Stock $96.4 (2.531 million Stifel shares at $38.09 per share) (1) Warrant Value 7.6 (500,000 Stifel shares, Black-Scholes value) (2) Total Initial Consideration $104.0 Contingent Payment (3) $20.0 Total Consideration Value (4) $124.0 Ryan Beck Total
Slide 13: Key Takeaways
Key Takeaways 1. Adds significant capability and an attractive geographic complement to Stifel’s Private Client Business 2. Provides a platform for Eastern and Southeastern expansion 3. Complementary fixed income businesses 4. Additive equity research and equity capital markets capabilities 5. Compl
Slide 14: Questions and Answers
Questions and Answers STIFEL RYAN BECK& CO. NICOLAUS A POWERFUL COMBINATION
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