ANIMA and Banco BPM Acquisition of Aletti Gestielle SGR. When the swan song is just the beginning

Transcription

1 ANIMA and Banco BPM Acquisition of Aletti Gestielle SGR When the swan song is just the beginning

2 Disclaimer and safe harbour statements These slides have been prepared by Anima Holding S.p.A. ( Anima, the Company and together with its subsidiaries the Group ), solely for a presentation to investors. These slides are being shown for information purposes and neither this document nor any copy thereof may be reproduced, further distributed to any other person or published, in whole or in part, for any purpose. The information contained in this document ( Information ) has been provided by the Company or obtained from publicly available sources and has not been independently verified. None of the Company or any of their respective affiliates, directors, officers, advisers, agents or employees, nor any other person make any representation or warranty, express or implied, as to, and no reliance should be placed on, the fairness, accuracy, materiality, completeness or correctness of the Information or any opinions contained herein. This presentation may contain financial information and/or operating data and/or market information regarding the business, assets and liabilities of the Company and its consolidated subsidiaries and the results of operations and markets in which the Company and its consolidated subsidiaries are active. Such financial information may not have been audited, reviewed or verified by any independent accounting firm and/or such operating or market information may be based on management estimates or on reports prepared by third parties which neither the Company nor the Banks have independently verified. It is not the intention of the Company to provide, and you may not rely on these materials as providing, a complete or comprehensive analysis of the Company s financial or trading position or prospects. This presentation speaks as of its date and will not be updated. The Information included in this presentation may be subject to updating, completion, revision and amendment and such Information may change materially without notice. No person is under any obligation to update or keep current the Information contained in this presentation and any estimates, opinions and projections expressed relating thereto are subject to change without notice. Neither the Company nor any of their respective affiliates, directors, officers, advisers, agents or employees, nor any other person shall have any liability whatsoever (in negligence or otherwise) for any loss howsoever arising from any use of these materials or its contents or otherwise arising in connection with this presentation. This document includes forward-looking statements which include statements regarding ANIMA s business strategy, financial condition, results of operations and market data, as well as other statements that are not historical facts. By their nature, forward-looking statements are subject to numerous factors, risks and uncertainties that could cause actual outcomes and results to be materially different from those projected. Readers are cautioned not to place undue reliance on these forward-looking statements. Except for any ongoing obligation to disclose material information as required by the relevant regulations, ANIMA does not have any intention or obligation to publicly update or revise any forward-looking statements after ANIMA distributes this document, whether to reflect any future events or circumstances or otherwise. Any projections, estimates, forecasts, targets, prospects, returns and/or opinions contained in this presentation involve elements of subjective judgment and analysis and are based upon the best judgment of the Company as of the date of this presentation. No representation or warranty is given as to the achievement or reasonableness of, and no reliance should be placed on, any valuations, forecasts, estimates, opinions and projections contained in this presentation. In all cases, recipients should conduct their own investigation and analysis on the Company and the Information contained in this presentation. Forward-looking statements concern future circumstances and results and other statements that are not historical facts, sometimes identified by the words believes, expects, predicts, intends, projects, plans, estimates, aims, foresees, anticipates, targets, and similar expressions. A multitude of factors can cause actual events to differ significantly from any anticipated development. Forward-looking statements contained in this presentation regarding past trends or activities should not be taken as a representation that such trends or activities will continue in the future. No one undertakes any obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. You should not place undue reliance on forward-looking statements, which speak only as of the date of this presentation and are subject to change without notice. 2

3 Table of contents Anima Aletti who Anima + Aletti what Anima + Aletti how much 3

4 Acquisition of Aletti Gestielle SGR Transaction highlights: Consolidating the profile of ANIMA as the largest independent Italian asset manager Aletti Gestielle AuM as of 30 June 2017: 18.2 billion The existing strategic partnership with BPM, expiring in 2030, will be expanded to the entire perimeter of BancoBPM Group, with new expiration date in Purchase price 700m, to be paid entirely in cash at the closing date Immediately EPS accretive for ANIMA shareholders (around 15%) Closing expected within the end of 2017 Possible additional deal in the insurance business Source: ANIMA 1 : 20 years starting from the signing of the new agreements 4

5 A strong industrial rationale Diversification of the existing distribution channels Consistently with ANIMA s strategy, the deal adds significant distribution potential in the retail and potentially also in the institutional segment The existing strategic partnership with BPM, expiring in 2030, will be expanded to the entire perimeter of Banco BPM Group, with new expiration date in This will avoid potential conflict with other third parties for the existing relationship, adding significant growth potential ANIMA becomes the leading provider in asset management for the third Italian largest banking Group, leveraging the service business model developed by ANIMA through the years Increase the existing asset under management With more than 90 billion (as of 30 June 2017), and market shares of 7.9% for mutual funds, 4.6% total AuM Enlarging managed volumes to extract additional economies of scale Unparalleled distribution potential Counting on long-term strategic partnership granting privileged access to 4,854 branches (approx 17% of total banking branches in Italy) with strong focus on the richest areas of the country and the affluent customer base Source: ANIMA 1 : 20 years starting from the signing of the new agreements 5

6 Aletti Gestielle SGR background info Company 1Q17 funds overview WAP Key Financials Aletti Gestielle SGR («Aletti»), established in 1984 and headquartered in Milan, is an asset management company entirely belonging to Banco-BPM Group; The products are distributed mainly (~90% AuM) through the Banco Popolare («BP») network, counting on 1,662 branches 1 with relevant focus on affluent retail customers; AuM EoP ( bn) Net revenues Opex % 13% 4% Asset under management are approx billion 2 ; Aletti headcount amounts to 66 FTEs 1. Net profit % CAGR Source: Aletti Sgr and Banco Popolare financial statements, Assogestioni 1 as of 31 December as of 30 June 2017 AuM Excluding gestielle Investment SICAV 6

7 ANIMA BPM existing partnership Banco BPM Asset Management business ( bn) ANIMA BPM AuM growth ( bn) Insurance 16.8 Funds and Mandates % o/w ANIMA 5.6 o/w ANIMA 12.5 o/w Aletti 17.0 Source: ANIMA / Banco BPM - as of 31 December 2016 Source: ANIMA

8 Growth potential with mutual benefit for ANIMA and Banco BPM AuM / Indirect funding Mutual funds in m/ branch BPM BP BPM BP 75% 70% 65% 60% 55% 50% 45% 40% 35% 30% 25% 20% 15% 10% 5% 0% o/w funds o/w funds Source: BPM and Banco Popolare financial statements 8

9 Table of contents Anima Aletti who Anima + Aletti what Anima + Aletti how much 9

10 ANIMA + Aletti: Business by segment RETAIL - 62% AuM = 56.1bn INSTITUTIONAL 38% AuM = 33.6bn Other banks 6.4% FAs 4.4% Other 0.3% Wrap # 30.0% Insurance 35.3% Strategic partners* 88.9% Fund users/ subadvisory 12.5% Pension funds 9.0% Poste 13.2% Source: ANIMA + Aletti SGR proforma as of 31-Dec-2016 * Includes BMPS, BAMI (including entire Aletti Gestielle SGR for illustrative purpose only), Cre.Val. and BPPB # Wrap: Anima funds invested by other products managed by Anima 10

11 Italian AM Industry ANIMA + Aletti ranking Top 10 AMs in Italy AuM as of 31 December 2016 ( bn) Individual Accounts Open-End Funds Generali Intesa SP Unicredit ANIMA Poste Blackrock Ubi Banca Allianz Amundi Mediolanum Mkt Share (%) 24.3% 19.2% 7.5% 4.6% 3.8% 3.6% 2.7% 2.5% 2.3% 2.3% o/w Funds (%) 7.3% 18.9% 9.3% 7.9% 0.2% 6.3% 3.0% 0.8% 2.6% 4.5% Source: Assogestioni Mappa Trimestrale del Risparmio Gestito 11

12 ANIMA new distribution network: ~17% of banking branches ANIMA strategic partners branches ANIMA NEW strategic partners branches 1% 7% 3% 9% 5% 16% 10% 12% 24% 19% 7% 5% 6% 15% 18% 12% 20% 10% 10% 29% 10% 12% 12% 8% 11% 15% 8% 15% 3% 9% 19% 9% 3% 13% 19% 10% Mkt share <2% 2% 5% 5 10% 10 15% >15% 10% 12% Mkt share <2% 2% 5% 5 10% 10 15% >15% 15% 12% Source: Banco Popolare BPM financial statements * ANIMA strategic partners: BMPS, BAMI, CVAL and BPPB 12

13 Possible transfer of life insurance mandates ANIMA developed over the years a significant expertise in supporting insurance companies with specifically designed solutions, in particular for the Unit Linked business. Subject to Banco BPM s reorganisation of the Life Insurance business, Aletti SGR will possibly receive additional AuM currently managed by Banca Aletti on behalf of different insurance entities belonging to Banco BPM Group: 11.5bn AuM, of which 4.1bn in Unit Linked 1 ; extension on current agreements Exclusivity to ANIMA for the entire duration of the agreement for the management of Life Insurance products (including the existing stock) for banco BPM Group Purchase price in the region of 150m, subject to further negotiations, at the date of the decision, to be paid entirely in cash This potential additional deal would enable ANIMA to further broaden the scope of cooperation with the Bank, reducing at the same time the potential conflict between different product ranges sometimes in overlapping Insurance mandates breakdown Unit Linked 4,097 Traditi onal 7,431 Source: Aletti Sgr and Banco Popolare financial statements 1 as of 31 December

14 ANIMA + Aletti: Business by segment including mandates RETAIL -56% AuM = 56.1bn INSTITUTIONAL 44% AuM = 44.7bn Other banks 6.4% FAs 4.4% Other 0.3% Wrap # 22.7% Poste 8.5% Strategic partners* 88.9% Fund users/ subadvisory 9.3% Pension funds 7.2% Insurance 52.3% Source: ANIMA + Aletti SGR proforma as of 31-Dec-2016 * Includes BMPS, BAMI (including entire Aletti Gestielle SGR for illustrative purpose only), Cre.Val. and BPPB # Wrap: Anima funds invested by other products managed by Anima 14

15 Table of contents Anima Aletti who Anima + Aletti what Anima + Aletti how much 15

16 Financials overview ALETTI GESTIELLE SGR m Total revenues Personnel cost Other expense Total expense EBITDA PBT Income tax Net income PROFORMA COMBINED P&L m Aletti Anima Proforma %chg Total revenues % Personnel cost Other expense Total expense % EBITDA % PBT % Income tax Net income % The new 20 years strategic partnership with Banco BPM shall encompass additional areas : Discretionary accounts: focus by customers segment with ANIMA exclusivity for retail Harmonisation of the rebate rate for retail products among the various product ranges with slightly overall initial positive effect Market standard guarantees Source: Aletti Sgr and ANIMA financial statements. 16

17 Key ratios Sharing excellence ANIMA Aletti Net 1Q17 fees funds / avg. WAP AuM EBITDA as 1Q17 a % funds of net WAP commissions % 75.8% 75.9% 79.4% 75.4% 77.0% Opex 1Q17 / avg. funds AuMWAP in bps Cost1Q17 income funds ex perf WAPfees % 30.4% 30.1% 30.9% 26.7% 33.0%

18 Financing ANIMA will fund the acquisition with excess cash and increased debt; evaluating also a right issue to be approved by an ad-hoc EGM in 4Q17 Amount of the right issue shall be approx 1/3 of the total consideration to be paid to Banco BPM Right issue could be up to a maximum of 300m, with pre-emption rights for shareholders Right issue Gross debt / EBITDA 1 The right issue shall enable ANIMA to retain flexibility in the balance sheet for other short-mid term financing needs and opportunities Also in case of right issue, the deal is expected to be approx. 15% EPS accretive in 2018FY 0.9x ANIMA 2016 ~1.9x ~1.7x Aletti SGR Aletti SGR + mandates 2017E With right issue ~3.0x ~2.6x Aletti SGR Aletti SGR + mandates 2017E Without right issue 1 Calculated in case of total cashout of 700m for Aletti SGR and 850m for Aletti SGR+mandates; based on 2017 proforma EBITDA of the combined entity 18

19 Anima Holding spa Corso Garibaldi, 99 I Milano Investor Relations Fabrizio Armone Tel fabrizio.armone@animaholding.it