Value Enhancing Acquisition in Europe slide image

Value Enhancing Acquisition in Europe

Value enhancing acquisition in line with NN Group's strategic and financial criteria Adding strong, profitable businesses in Europe Creating value for shareholders Maintaining a strong balance sheet Timetable N NN • Consolidating NN's leading positions in Poland and Greece: . • strengthening #3 position in life insurance and #1 position in pensions in Poland • creating #1 life insurer in Greece • Adding scale and expanding distribution by adding strong (tied) agent networks and brokers Capturing growth opportunities in profitable protection market Estimated purchase price at completion of EUR 584m¹ financed from cash capital at holding and around EUR 100m of local surplus capital Expected cost synergies of EUR 20m (pre-tax) per annum • Incremental operating capital generation of EUR 50m per annum in 2024; excluding part of the cost synergies that will be capitalised via assumption changes of EUR ~10m (post-tax) per annum ⚫Double-digit return on investment • Impact on Group solvency ratio of approx. -6%-points (pro forma 31 Dec 2020) Capital return policy including share buyback programme unaffected • Transaction is subject to regulatory approvals Closing expected in 1H22 1. Total consideration of EUR 620m less cash flows (including dividends) to be paid to current shareholders prior to completion, expected to be EUR ~36m, at current FX rates 2
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