Danske Bank A/S · OMXCOP:DANSKE
Danske Bank A/S — Merger or Acquisition (November 2006)
18 slides from Danske Bank A/S's merger presentation, Nov 9, 2006
Slide 1: Danske Bank acquires Sampo Bank
PRESS CONFERENCE Danske Bank acquires Sampo Bank Expansion into the Finnish and Baltic markets Peter Straarup, Chairman of the Executive Board November 9, 2006
Slide 2: Danske Bank acquires Sampo Bank
Danske Bank acquires Sampo Bank - Finlands third-largest bank with activities in the rapidly growing Baltic states The Danske Bank Group enters four new markets 2
Slide 3: Key issues in the presentation
Key issues in the presentation Details about the acquisition Synergies & integration Financing The future 3
Slide 4: The transaction
The transaction - A significant investment in the future Danske Bank pays DKr30.1bn for Sampo Bank Regulatory approval expected in the first quarter of 2007 Sampo Bank is an attractive bank because it matches Danske Banks profile: Focus on retail banking it provides geographical diversifi
Slide 5: Previous acquisitions
Previous acquisitions - The acquisition of Sampo Bank is our largest transaction so far Mergers & acquisitions 2006 2005 2001 1999 1997 1995 1990 5
Slide 6: Previous acquisitions
Previous acquisitions - The acquisition of Sampo Bank is our largest transaction so far Mergers & acquisitions 2006 Price: DKr30.1bn 2005 Price: DKr10.4bn 2001 Price: DKr27.0bn 1999 Price: DKr6.0bn 1997 Price: DKr1.8bn 1995 1990 6
Slide 7: Our track records in Sweden and Norway are good
Our track records in Sweden and Norway are good - Significant expansion since the time of acquisition SKr bn Lending, Banking Activities Sweden NKr bn Lending, Banking Activities Norway 150 143 100 93 110 73 100 92 62 56 76 48 66 50 45 50 37 24 15 0 0 1998 1999 2000 2001 2002 2003 2004 2005 2000 200
Slide 8: Northern Ireland & Republic of Ireland
Northern Ireland & Republic of Ireland - Danske Banks products are well received in our new markets DKr m Total income 880 740 600 Q2 Q3 Q4 Q1 Q2 Q3 2005 2005 2005 2006 2006 2006 Customer packages have been launched, and we have already sold more than 19,100 packages. 20% of our customers have op
Slide 9: The core of Danske Banks strategy
The core of Danske Banks strategy - Focus on northern European markets with strong growth % Growth in GDP 2007E 10 Countries in which Danske Bank has launched retail banking operations 5 Euro-zone average 0 LV EST LT IE FI ES SE DK NO UK CH NL FR DE IT Source: Danske Research 9
Slide 10: Synergies & integration costs
Synergies & integration costs - Considerable synergies with full accounting effect from 2009 DKr m Synergies 650 122 325 610 427 61 0 2007 2008 2009 Total DKr m Integration costs* 2,000 1,550 775 1,000 775 0 Total 2007 2008 * Breakdown is indicative only. 10
Slide 11: Market position
Market position - Large in Finland, challengers in the Baltic states Retail customers Corporate customers Branches 125 Market rank No. 3 Market rank No. 2 Employees 3,475 No. customers ≈1.1m No. customers ≈100,000 Growth* 14% Market share ≈15% Market share ≈20%. St. Petersburg Helsinki Take-over of
Slide 12: Danske Bank offers attractive products
Danske Bank offers attractive products - Sampo Banks retail and corporate customers will get access to new products Retail Corporate Sampo Bank has a market share of about 20% in Finland New strength to service the large corporate customers Competitive solutions for instance in cash managemen
Slide 13: Danske Bank Group now has 10 retail banks
Danske Bank Group now has 10 retail banks 13
Slide 14: Large growth potential in the Baltic states
Large growth potential in the Baltic states - Impressive average growth in lending since 2002 Total assets of DKr100bn in five years? 14
Slide 15: Financing the acquisition of Sampo Bank
Financing the acquisition of Sampo Bank Financing DKr bn Share capital 14 + Hybrid capital 16 + New bonds = Total purchase price 30 + Adjustment of capital targets 15
Slide 16: Danske Banks share price
Danske Banks share price 300 14-12-2004 150 0 1999 2000 2001 2002 2003 2004 2005 2006 16
Slide 17: Danske Bank holds a strong position in the Nordic market
Danske Bank holds a strong position in the Nordic market + Customers (DKr m) 4.9 Branches 894 Employees 23,000 Forex earnings (DKr bn) 6 Total assets (DKr bn) 2,700 17
Slide 18: www.danskebank.com/ir
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