franz kosyna, member of the executive board of vienna insurance group vienna insurance group...
TRANSCRIPT
Franz Kosyna,
Member of the Executive Board of Vienna Insurance Group
Vienna Insurance GroupFinancing of Investments
5th Vienna Economic Forum: November 10th, 2008
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Vienna Insurance Group
Vienna Insurance Group
Operating in 23 countriesof Central and Eastern Europe
Largest Insurance Group in Central- and Eastern Europe*
No other Insurance Group has
a higher CEE-share of premiums
Around 23,000 employees
* VIG-definition CEE: CZ, SK, PL, RO, BG, HR, HU
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Think globally – act locally
Continuous expansion by organic growth and through acquisitions
Local management
Exchange of know-how within the Group
Multi-brand policy
Multi-channel distribution
Vienna Insurance Group reinvests profits earned in a CEE country within
that country
Since more than 180 years successful in Austria – More than 15 years of success
in CEE
Investments
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VIG Investment Strategy
Long term – engagements Long term – engagements
Selective engagements
Selective engagements
Selective market entrance in CEE regions and expansion in already entered markets through acquisitions and organic growth
Stakes in insurance companies (national and international) to expand business
Stakes in non-insurance companies to support insurance business development (e.g. private hospitals, laboratories, hotels)
VIG follows a long-term and selective strategy
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Ins
ura
nc
e D
en
sit
y (
US
D)
GDP per Capita (USD)
1 Premiums in % of GDP.2 Weighted average for CEE. CEE is defined as Bulgaria, Croatia, Czech Republic, Hungary, Poland, Romania, Serbia, Slovakia and Ukraine.
CEE Region Offers Multiple Growth
population: 10mn
SpainSpain
9,2%1,8%EU 15
5,8%2,3%Österreich
3,3%5,0%CEE2
Versicherungsdurchdringung
20071
BIP Wachstum
2007 – 2009F
9,2%1,8%EU 15
5,8%2,3%Österreich
3,3%5,0%CEE2
InsurancePenetration
20071
GDP Growth
2007 – 2009F
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Stepwise expansion to the family of Vienna Insurance Group
Stepwise expansion to the family of Vienna Insurance Group
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Vienna Insurance Group
Ukraine: 2. position MTPLAustria:
1. position
Czech Rep.: 2. Position
Slovakia: 2. position motor vehicle ins.:
1. position
Poland: 4. position
Romania: 1. position
Albania: 2. position
Bulgaria: 1. position
Georgia: 1. position
Croatia: 4. position2. position Life
Serbia: 4. position1. position Life
Vienna Insurance Group – Number 1 in CEETop market positions in the countries
Core markets
Investment example
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Transaction Erste Bank
Enormous customer potential
Expansion of market position in Central and Eastern Europe
General Distribution Agreement between Erste Group and the Vienna
Insurance Group
Acquisition of the Erste Group insurance companies
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Financing
Placement of 23 million shares
Volume of the capital increase: approx. EUR 1.14 billion
Issue of a hybrid bonds with an volume of EUR 250 million
to strengthen equity capital
to finance acquisitions in Central and Eastern Europe
Successful Capital Increase 2008: largest ever share offering by an insurance Group
on the Vienna Stock Exchange.
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Thank you for your attention!