Legal & General Group Plc · LSE:LGEN
Legal & General — Merger or Acquisition (February 2025)
17 slides from Legal & General's merger presentation, Feb 7, 2025
Slide 1: A growing, simpler, better-connected L&G
A growing, simpler, better-connected L&G Sale of US protection and creation of strategic partnership with Meiji Yasuda 7 February 2025
Slide 2: Forward-looking statements
Forward-looking statements This presentation and any related conference call or webcast (including any related Q&A session) may contain certain forward-looking statements relating to Legal & General, its plans and its current goals and expectations relating to future financial condition, performance
Slide 3: Agenda for today
Agenda for today 1. Strategic Transaction Anténio Simées, Group CEO Anténio Simédes Group CEO 2. Financials Jeff Davies, Group CFO 3. Q&A Jeff Davies Group CFO
Slide 4: Strategic Transaction
Strategic. Transaction Anténio Simées | Group CEO
Slide 5: Accretive transaction aligned with our strategy
Accretive transaction aligned with our strategy Sale of US protection unlocks substantial value and increases our focus on strategic growth areas ay Sustainable Growth ; [| We anticipate an incremental £1bn buyback post-completion Enhanced / and expect to return c.40% of our market cap within 3 year
Slide 6: Substantial value unlocked for strategic growth
Substantial value unlocked for strategic growth Phancial INSTITUTIONAL performance RETIREMENT A This transaction RETAIL 1 US Protection International PRT. UK Savings and e Retirement CALA UK Protection. > Disposed businesses e ¢ > Private Markets < Public Markets ASSET MANAGEMENT P Strategic fit v 1
Slide 7: Growing US PRT in partnership with Meiji Yasuda
Growing US PRT in partnership with Me Attractive US PRT market S3trn World’s largest DB market c.11% Assets insured to-date S0.5trn New business expected in next decade uk 1. Based on latest publicly disclosed information Impressive L&G track record $12bn+ US PRT since 2015 Deep expertise Strong gro
Slide 8: Strategic partnership strengthens growth ambitions
Strategic partnership strengthens growth ambitions With acceleration of growth in US PRT — Asset Management fees grow in tandem Significant co-investment commitment into L&G private assets Ay EN | BA mH Intention to acquire a 5% shareholding in L&G
Slide 9: Enhanced Returns
Enhanced Returns Expect to return c. 40% of market cap within 3 years &) 2025-2027 SHAREHOLDER RETURNS?! lM Share buybacks Ml Dividends £5bn+ a | Capital | We expect to return c.40% of our | efficient PRT 1 - market cap through a combination 1 ! + | of dividends and buybacks? £3.6bn | CALA release |
Slide 10: Financials
Financials Jeff Davies | Group CFO
Slide 11: Key Financial Impacts
Key Financial Impacts Compelling commercials that are accretive for key metrics Increased confidence in meeting Group financial targets 11
Slide 12: Compelling commercials
Compelling commercials ue Positive earnings impact Valuation multiple Post-tax earnings IFRS profits on completion Core Operating EPS growth Post £1bn buyback Attractive £1bn+ Accretive Accelerated capital generation Capital generation +£1.2bn Capital generation multiple c. 5x of Net surplus generat
Slide 13: Disciplined capital allocation of proceeds
Disciplined capital allocation of proceeds Proceeds Use of proceeds Disciplined capital allocation v¥ > 50% of proceeds returned to £1bn share buyback shareholders $2.3bn/ £1.8bn v¥ £400m to fund the US PRT ; in cash reinsurance arrangement Funding for US PRT v Redeploy remaining proceeds to investm
Slide 14: Increased confidence in meeting Group financial targets
Increased confidence in meeting Group financial targets Target Post-transaction impact . 6-9% CAGR Core Operating EPS (FY24-FY27) XY) EPS accretive : At least 20% Operating RoE (2025, 2026, 2027) @) On track Cumulative capital £5-6bn £1.2bn upfront generation (2025, 2026, 2027) realisation ue 14
Slide 15: Closing Remarks
Closing Remarks Anténio Simées | Group CEO
Slide 16: Accretive transaction aligned with our strategy
Accretive transaction aligned with our strategy Sale of US protection unlocks substantial value and increases our focus on strategic growth areas ay Sustainable Growth ; [| We anticipate an incremental £1bn buyback post-completion Enhanced / and expect to return c.40% of our market cap within 3 year
Slide 17: Q&A
O&A ie Lacy
Legal & General Group — Merger or Acquisition (February 2025) on 6ix