Latitude Group Holdings Ltd. · ASX:LFS
Latitude — Investor Presentation (September 2021)
21 slides from Latitude's investor presentation, Sep 2, 2021
Slide 1: Latitude Capital Notes Investor Presentation
LATITUDE CAPITAL NOTES Investor Presentation 2 September 2021 Latitude Group Holdings Limited ACN 604 747 391
Slide 2: Important notice
Important notice This presentation has been prepared and authorised by Latitude Group Holdings Limited (ACN 604 747 391) (“Latitude”) in relation to its proposed offer of convertible, perpetual, subordinated and unsecured debt obligations in the form of unsecured notes (“Capital Notes”) (the “Offer”
Slide 3: Offer summary
01 | Offer summary [UE LATITUDE
Slide 4: Overview of Latitude
Overview of Latitude Business overview: • Latitude is a leading Instalments and Lending business, with 2.8 million customer accounts (as at 30 June 2021) and more than 5,500 merchant partners (with over 13,200 outlets) in Australia and New Zealand • Latitude’s merchant base covers major retailers ac
Slide 5: Latitude Capital Notes – Offer summary
Latitude Capital Notes – Offer summary Issuer • Latitude Group Holdings Limited (ACN 604 747 391) (“Company”) Offer • Perpetual, subordinated, unsecured notes (“Capital Notes”) Offer size • $125 million, with the ability to raise more or less • The Capital Notes are being issued as part of the Compa
Slide 6: 1H21 key highlights
OD | 1121 key highlights e [2 LatitubDe
Slide 7: Latitude delivers strong first half 2021 profit at the top end of guidance
Latitude delivers strong first half 2021 profit at the top end of guidance with strong volume momentum Cash NPAT ($m) 1H21 highlights: ↑+81% Cash EPS(1) • 1H21 Cash NPAT at the top end DPS (cents) of 1H21 guidance 121 (cents) • Strong progress on strategic initiatives 67 7.85 12.1 • Positive volume
Slide 8: Solid 1H21 operational performance in mixed conditions
Solid 1H21 operational performance in mixed conditions Strong volume recovery with group volumes up 5.4%, Improved cost efficiency whilst maintaining investments excluding international and travel volume is up 10.9% Volume ($m) Management Opex ($m) 3,452 3,640 10 AU – ↑+2%(2) (22) 1,398 ↑+9%(1) 1,53
Slide 9: Diverse, cost-effective funding underpinned by prudent capital management
Diverse, cost-effective funding underpinned by prudent capital management 50+ Prudent capital management Diverse Funding Platform(1) Cost Effective Investors approach • Settled refinancing of its $1,038 million Australian Personal Loans Warehouse Facility Warehouse • Appropriate capital strength to
Slide 10: Summary of the Latitude Capital Notes
03 Summary of the Latitude Capital Notes
Slide 11: Key features of the Capital Notes
Key features of the Capital Notes Fully paid • Each Capital Note has a Face Value of $100, which must be paid to the Company before the Capital Notes are issued Subordinated • Capital Notes have priority over Latitude Ordinary Shares but are subordinated to the claims of Senior Creditors in a Windin
Slide 12: Comparison between Capital Notes and other types of investments
Comparison between Capital Notes and other types of investments Latitude Ordinary Shares Typical bank Tier 1 listed hybrid Typical corporate listed hybrid Capital Notes Legal form / Security Shares Unsecured Notes Unsecured Notes Unsecured Notes Perpetual (unless redeemed, Perpetual (unless Redeemed
Slide 13: Key risks associated with an investment in the Capital Notes
Key risks associated with an investment in the Capital Notes • The price at which Holders are able to sell Capital Notes on ASX is uncertain. The market price might be below the Issue Price of $100 per Capital Note Market price of • Circumstances in which the price of Capital Notes may decline inclu
Slide 14: Key risks associated with an investment in the Capital Notes (cont.)
Key risks associated with an investment in the Capital Notes (cont.) • If there is a shortfall of funds on a Winding-up of the Company to pay all amounts ranking senior to and equally with Capital Notes, Holders will lose Restrictions on rights all or some of their investment and ranking in a windin
Slide 15: Key dates and contacts
04 | Key dates and contacts [{E LATITUDE
Slide 16: Key dates for the Offer
Key dates for the Offer Lodgment of this Prospectus with ASIC • 2 September 2021 Bookbuild to determine the Margin • 9 September 2021 Announcement of the Margin • 9 September 2021 Lodgment of the replacement • 10 September 2021 Prospectus with ASIC Opening Date • 10 September 2021 Closing Date • 23
Slide 17: Contact directory
Contact directory Issuer • Eva Zileli, Group Treasurer • eva.zileli@latitudefinancial.com Latitude Group Holdings • Darren McVicar, Head of Balance Sheet Management • darren.mcvicar@latitudefinancial.com Arranger and Joint Lead Manager Insight Capital Advisors • David Gray • dginsightcapital@icloud.
Slide 18: Appendix
0 5 | Appendix [CE LATITUDE
Slide 19: When can Capital Notes be Redeemed or Converted?
When can Capital Notes be Redeemed or Converted? Latitude Capital Notes 19 Investor Presentation
Slide 20: Ranking of the Capital Notes
Ranking of the Capital Notes Existing debt instruments, hybrid instruments and equity Higher ranking • Secured liabilities and liabilities preferred by law (including employee entitlements) • Bank debt facilities • Unsubordinated and unsecured debt (including the Deferred Settlement arrangement with
Slide 21: Thank you
Thank you Investor Relations Nehemiah Richardson +61 476 834 478 Media Mark Gardy +61 412 376 817 21
Latitude Group Holdings — Investor Presentation (September 2021) on 6ix