Anz Group Holdings Limited · ASX:ANZ
Anz — Australia and New Zealand Banking Group — Merger or Acquisition (September 2009)
17 slides from Anz's merger presentation, Sep 25, 2009
Slide 1: Acquisition of ING Australia and ING NZ Joint Ventures
For personal use only AUSTRALIA AND NEW ZEALAND BANKING GROUP LIMITED Acquisition of ING Australia 25 September 2009 and ING NZ Joint Ventures
Slide 2: Transaction overview
For personal use only AUSTRALIA AND NEW ZEALAND BANKING GROUP LIMITED Transaction overview Mike Smith Chief Executive Officer
Slide 3: Acquisition strengthens ANZ's position in wealth management
Acquisition strengthens ANZ’s position in wealth management - attractive price with low transition risk For personal use only • Transaction overview: ¾ Acquisition of ING Groep’s (ING) 51% interest in ING Australia and ING NZ (the JVs) for a total purchase price of $1,760m1 ¾ ~11x multiple of normal
Slide 4: A strong wealth management offering is integral to ANZ's Super Regional objective
A strong wealth management offering is integral to ANZ’s Super Regional objective For personal use only Australian Superannuation Assets5 ($b) • Wealth Management Sector CAGR: 10.0% ¾ Growth underpinned by demographic trends, 1,196 1,170 supportive government policy both in Australia and 1,032 New Z
Slide 5: Graham Hodges, Deputy Chief Executive Officer
For personal use only AUSTRALIA AND NEW ZEALAND BANKING GROUP LIMITED Graham Hodges Deputy Chief Executive Officer Group Managing Director Australia Division (acting)
Slide 6: ANZ to move to 100% ownership of the ING Joint Ventures
ANZ to move to 100% ownership of the ING Joint Ventures For personal use only Australia New Zealand ING Investment ING Australia ING New Zealand Management1 Joint Venture Joint Venture Structure Manufacturing and distribution of investment and life and general insurance products Wealth Management In
Slide 7: Significant transition upside – move to full ownership, alignment of value chain
Significant transition upside – move to full ownership, alignment of value chain For personal use only • Brings certainty to ANZ’s wealth management position in Australia and New Zealand Full • Simplicity and agility of a single shareholder ownership • Provides flexibility to pursue further growth o
Slide 8: A well positioned business with a diversified earnings base
A well positioned business with a diversified earnings base For personal use only Australia New Zealand ¾ No. 5 retail fund manager, 8.5% market share ¾ No. 1 KiwiSaver provider, 23% market share ¾ No. 3 life insurer, 12.7% market share ¾ No. 2 Fund Manager and manufacturer of retail funds, No. 2 ma
Slide 9: Strong distribution channels with the largest aligned dealer group adviser force
Strong distribution channels with the largest aligned dealer group adviser force in Australia and a significant multi channel capability For personal use only Aligned Dealer Group Adviser 2009 YTD Product Sales by Channel Numbers1 – up 11% – significant non-aligned adviser sales 1800 1,704 100% 1,53
Slide 10: Summary
Summary For personal use only • Acquisition significantly enhances ANZ’s position in wealth management and life insurance • Strong wealth offering integral to ANZ’s Super Regional objective • Attractive price and opportune time in the cycle • Creates substantial value for ANZ shareholders • Cash EPS
Slide 11: Appendices
For personal use only 10 APPENDICES
Slide 12: Capital and Profit & Loss Impact
Capital and Profit & Loss Impact For personal use only Capital Impact Pro forma Capital Position • Estimated impact on Tier 1 capital is $(1.9) (Tier 1 ratio %) billion • Equivalent to ~(70) basis points ~11 • Tier 1 Capital impact reflects: (0.3) 10.2 ¾ 51% interest acquired in the intangible asset
Slide 13: Consolidated Financials
Consolidated Financials For personal use only Full year Full year Full year Half year Profit and Loss ($m) Sep 2006 Sep 2007 Sep 2008 Mar 2009 ING Australia Wealth income 445 501 497 191 Insurance income 234 284 328 194 Expenses1 (441) (474) (468) (246) Tax (52) (68) (86) (43) Reported profit after
Slide 14: Overview of ING Australia
Overview of ING Australia For personal use only Overview Key Financials (A$)¹ • INGA is a leading provider of life insurance, superannuation, 2008 (Sep. year) NPAT $253m retirement solutions and advice in Australia Embedded Value (EV)² $2,607m • Strong positions in insurance and retail wealth manage
Slide 15: Overview of ING New Zealand
Overview of ING New Zealand For personal use only Overview Key Financials (NZ$)¹ 2008 (Sep. year) NPAT NZ$47m • ING NZ is the second largest fund manager, the leading KiwiSaver provider and one of the fastest growing life insurers in New Embedded Value¹ NZ$191m Zealand Value of New Business NZ$25m •
Slide 16: ANZ's current wealth offer outside of the Joint Ventures
ANZ’s current wealth offer in Australia and New Zealand outside of the Joint Ventures For personal use only Asia Pacific, Australia New Zealand Europe & America Private Bank Private Bank Private Bank Wealth Investments ANZ National Investments & Insurance Wealth & Insurance Financial Planning Financ
Slide 17: Disclaimer
Disclaimer For personal use only The material in this presentation is general background information about the Bank’s activities current at the date of the presentation. It is information given in summary form and does not purport to be complete. It is not intended to be relied upon as advice to inv
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