Newtekone, Inc. · NASDAQ:NEWT

Newtekone — Newtek Business Services — Merger or Acquisition (August 2021)

8 slides from Newtekone's merger presentation, Aug 5, 2021

  1. Slide 1: Newtek Enters into Agreement to Acquire National Bank of New York City

    www.newtekone.com Newtek Business Services Corp. Nasdaq: NEWT Enters into Agreement to Acquire National Bank of New York City Addendum to Investor Presentation dated August 3, 2021 August 5, 2021 Barry Sloane Founder, President & CEO bsloane@newtekone.com (212) 356-9550

  2. Slide 2: Note Regarding Forward-Looking Statements

    CONFIDENTIAL 1 Note Regarding Forward-Looking Statements 1 The matters discussed in this Presentation, as well as in future oral and written statements by management of Newtek Business Services Corp., that are forward-looking statements, including statements regarding our ability to close the pendin

  3. Slide 3: Special Note Regarding Projected Financial Information

    2 2 Special Note Regarding Projected Financial Information  Projected financial information contained herein illustrates the potential effect of Newtek’s acquisition of NBNYC on our financial position and results of operations based upon management’s current assessment of Newtek’s and NBNYC’s respe

  4. Slide 4: Anticipate A Well Capitalized Institution

    3 3 Anticipate A Well Capitalized Institution Illustrative Bank Subsidiary and Consolidated Capital Summary at Closing TOTAL ASSETS ~$1.4 billion Newtek Holding Company Level - Consolidated TCE RATIO ~17.8% TIER 1 LEVERAGE RATIO ~17.8% CET1 RATIO ~21.5% TOTAL CAPITAL RATIO ~22.8% TOTAL ASSETS ~$865

  5. Slide 5: Earnings Illustration - Consolidated NEWT in FHC Structure

    4 4 Earnings Illustration - Consolidated NEWT in FHC Structure ROAA 3.6 – 3.9% FY 2022 ROATCE 20 – 23% After-tax Net Income $45 – $50mm Earnings Per Share $2.00 – $2.20 FY 2023 5.2 – 5.4% 28 – 32% $77 – $82mm $3.45 – $3.65 3.5 – 3.7% FY 2022 19 – 23% $43 – $48mm $1.90 – $2.10 FY 2023 4.9 – 5.1% 27 –

  6. Slide 6: Earnings Illustration – Additional Detail

    5 5 Earnings Illustration – Additional Detail Total Revenue Bank Subsidiary $123 – $128mm FY 2022 FY 2023 Profitability Targets Operating Expense Bank Subsidiary $72 – $77mm Pre-tax Income Bank Subsidiary $33 – $38mm Total Revenue Other Business Lines $123 – $128mm Operating Expense Other Business L

  7. Slide 7: Peer Benchmarking Illustration

    6 11.6 9.6 18.0 14.8 KBW SMID-Cap Banks High Profitability Banks Fintech Enabled Banks Commercial Finance Companies 8.8 8.7 7.9 17.1 KBW SMID- Cap Banks High Profitability Banks Fintech Enabled Banks Commercial Finance Companies 2022E 2023E 12.0 13.4 16.7 8.8 KBW SMID- Cap Banks High Profitability B

  8. Slide 8: Illustrative Financial Data (assumes closing 2021)

    Illustrative Financial Data (assumes closing date of December 31, 2021) De-BDC NEWT as Adjusted PAA and Pro Forma NEWT Conversion to C Corp. NBNYC Merger Financing NEWT FHC Dollars in Millions 12/31/21 C Corp. 12/31/21 12/31/21 Adjustments Adjustments 12/31/21 Total Assets $969 $45 $1,014 $184 ($24)

Newtek Business Services — Merger or Acquisition (August 2021) on 6ix