Prudential Financial, Inc. · NYSE:PRU
Prudential Financial — Merger or Acquisition (September 2019)
18 slides from Prudential Financial's merger presentation, Sep 5, 2019
Slide 1: Acquisition of Assurance IQ
Acquisition of Assurance IQ Personalized financial solutions for all, made easy September 5, 2019 Exhibit 99.2
Slide 2: Forward-Looking Statements
Forward-Looking Statements Certain of the statements included in this presentation, including those regarding share repurchases, the expected closing of the transaction, profit targets and expected earnings, expense and margin benefits resulting from the transaction, constitute forward-looking state
Slide 3: Deal terms
Deal terms Prudential will acquire Assurance IQ, a leading consumer solutions platform for health and financial wellness solutions, with an expected close early in the fourth quarter of 2019 The Assurance platform, combined with Prudential’s scale, products, and capabilities, represents an end-to-en
Slide 4: Management has a track record of driving growth and innovation
Management has a track record of driving growth and innovation Michael Rowell Founder & CEO Michael Paulus Founder & President Prior to Assurance, Mr. Rowell founded a national direct-to-consumer life insurance distribution business and served as the CEO between 2002 and 2016 Mr. Rowell holds a B.S.
Slide 5: Solve the financial challenges of a changing world
Solve the financial challenges of a changing world United by a common purpose of bringing financial opportunity to more people To protect and improve the personal and financial health of all consumers
Slide 6: A strategically and financially compelling acquisition
A strategically and financially compelling acquisition Fast growing, highly scalable business model Significantly accelerating our U.S. Financial Wellness strategy Attractive financial benefits with upside potential
Slide 7: Direct-to-consumer engagement platform recommending personalized financial solutions
Direct-to-consumer engagement platform recommending personalized financial solutions through a unique online and agent-assisted model Assurance offers a transformational model for financial services distribution Customer Journey CONVERT RECOMMEND ASSESS ATTRACT Utilize extensive data to assign to co
Slide 8: Customer-in principles: human touch and science of systems
Make a Difference Serve All Customers Eliminate Industry Waste Deliver the Human Touch Personalize Every Detail Provide Better Solutions Improve the Personal and Financial Health of Consumers Offer Solutions, Regardless of Demographic Status Augment Digital Journeys With Experts When Needed Let Mode
Slide 9: Highly scalable Digital Guide and Agent model
Highly scalable Digital Guide and Agent model Enhanced Support With the use of data science, a technology-driven platform and a real-time connection to 3rd party databases, Digital Agents are well equipped to meet customers’ need Increased Efficiency Instead of spending the majority of their time pr
Slide 10: A strategically and financially compelling acquisition
A strategically and financially compelling acquisition Fast growing, highly scalable business model Significantly accelerating our U.S. Financial Wellness strategy Attractive financial benefits with upside potential
Slide 11: Assurance acquisition accelerates our growth
Longer Term Growth Near Term Growth Institutions Winning and retaining institutional clients in Retirement and Group Insurance Intermediate Term Growth Individuals within Institutions Increasing utilization of our savings and benefit programs offered to employees Individuals Providing individuals wi
Slide 12: Creates a broad end-to-end engagement model for financial wellness
Creates a broad end-to-end engagement model for financial wellness Income Investment Life Health Medicare Auto Expanded Solutions On-Demand 3,000+ Agents & Guides Digital Hybrid Advisory Face-to-Face 3,000+ Pru Advisors Expanded Channels + +
Slide 13: Assurance helps Prudential expand our addressable market
Assurance helps Prudential expand our addressable market Expanding our reach to all markets through multiple channels – engaging where, how, and when people want – with a holistic solution set Mass Market <$100K Middle Market $100K – $500K Mass Affluent+ >$500K Note: Market demographics defined by t
Slide 14: Advanced data science & human touch combined with scale accelerate ecosystem growth
Advanced data science & human touch combined with scale accelerate ecosystem growth
Slide 15: A strategically and financially compelling acquisition
A strategically and financially compelling acquisition Fast growing, highly scalable business model Significantly accelerating our U.S. Financial Wellness strategy Attractive financial benefits with upside potential
Slide 16: Immediate value creation
Immediate value creation Financial Impacts Expected to be accretive to EPS by ~$0.10 in 2020 and $0.30 – $0.35 in 2021, and modestly accretive to ROE 2021 EBITDA multiple of ~11x before synergies; mid-to-high teens expected internal rate of return Expected annual revenues of ~$0.7 billion in 2020 an
Slide 17: Significant upside potential
Significant upside potential Prudential to help Assurance with its growth roadmap Sell Prudential products on Assurance platform International expansion Assurance to help Prudential deepen relationships Integrate advanced data science and analytics capability Offer broader solution set to Prudential
Slide 18: A strategically and financially compelling acquisition
A strategically and financially compelling acquisition Fast growing, highly scalable business model Significantly accelerating our U.S. Financial Wellness strategy Attractive financial benefits with upside potential
Prudential Financial — Merger or Acquisition (September 2019) on 6ix