Swiss Re Ag · SIX:SREN
Swiss Re — Merger or Acquisition (September 2015)
11 slides from Swiss Re's merger presentation, Sep 23, 2015
Slide 1: Acquisition of Guardian Financial Services
Acquisition of Guardian Financial Services Analyst and investor presentation 23 September 2015
Slide 2: Admin Re® is a key contributor to Swiss Re’s performance
Admin Re® is a key contributor to Swiss Re’s performance Swiss Re Group Corporate Reinsurance Admin Re® Solutions Admin Re® financial highlights FY 20141 H1 2015 Gross Cash Generation (USD) 728m 139m Strategic goal Net income (USD) 237m 249m • To be a recognised ROE (%) 3.8 8.3 force in the closed A
Slide 3: Today, Admin Re® announces the acquisition of Guardian
Today, Admin Re® announces the acquisition of Guardian • Price GBP 1.6bn as compared to the 2014 reported MCEV valuation of GBP 2.7bn • Transaction funded by cash and debt financing • Significant increase in the GCG capacity and ROE of Admin Re® Admin Re® • Increases assets and reserves and further
Slide 4: Admin Re® demonstrates exceptional execution capability in the UK
Admin Re® demonstrates exceptional execution capability in the UK Acquired business Transaction type Date of completion Guardian Share Acquisition Expected early 2016 HSBC UK Life Reinsurance and Part VII Transfer August 2015 Alico UK Reinsurance and Part VII Transfer July 2012 Barclays Life Share A
Slide 5: Admin Re® generates strong GCG and ROE metrics over time
Acquisition generates strong GCG and ROE metrics over time • Gross Cash Generation impact: Gross cash generation1 – Strong gross cash generation of USD 1.7bn expected in USD bn first 3 years, including capital synergies ≈ USD • US GAAP impact: 0.25bn Admin Re® GCG1 p.a. USD 1.0bn expected – Expected
Slide 6: Integration of Guardian’s business supports Admin Re®’s ambition as a leading consolidator
Integration of Guardian’s business supports Admin Re®’s ambition as a leading consolidator • Acquired policy count of 900 000, taking total policy count for Admin Re® UK to over 4 million1 Operations • Guardian business is a portfolio mainly consisting of annuities, within the plus other life and pe
Slide 7: Acquisition of Guardian will significantly diversify Admin Re®’s UK portfolio
Acquisition of Guardian will significantly diversify Admin Re ®’s UK portfolio By reserves Admin Re® UK Guardian statutory statutory reserves reserves At 31 December 20141 GBP 27bn GBP 17bn Pro-forma • Greater diversification of Unit linked/savings 71% 19% 51% reserves split between Annuities 27% 57
Slide 8: Acquisition is consistent with Swiss Re’s strategic goals
Acquisition is consistent with Swiss Re’s strategic goals • Demonstrate continued investment in Admin Re® as key contributor to Swiss Re’s performance • Deploy part of the Group’s excess capital to a transaction that meets Swiss Re’s strategic and profitability objectives • Support the ambition of A
Slide 9: 23 September 2015
@ Swiss Re 23 September 2015 9
Slide 10: Corporate calendar & contacts
Corporate calendar & contacts Corporate calendar 2015 23 September Announcement of Guardian acquisition Conference call 29 October Third Quarter 2015 Results Conference call 8 December Investors' Day Rüschlikon 2016 23 February Annual Results 2015 Conference call 16 March Publication of Annual Repor
Slide 11: Cautionary note on forward-looking statements
Cautionary note on forward-looking statements Certain statements and illustrations contained herein are forward-looking. These statements (including as to plans objectives, targets and trends) and illustrations provide current expectations of future events based on certain assumptions and include an