
Elliott Statement on Sampo
Elliott Advisors (UK) Limited (“Elliott” or “we”), which advises funds that as at the date of this release collectively hold investments equivalent to more than 3% of the share capital of Sampo Oyj (“Sampo” or the “Company”), welcomes Sampo’s decision to begin the disposal of its investment in Nordea Bank Abp (“Nordea”). Elliott believes this announcement will help to highlight the value of Sampo’s insurance assets, particularly IF P&C, and marks a positive first step towards Sampo making the rapid structural simplifications necessary to re-establish its reputation among shareholders. Elliott believes that a value-creation plan that transforms Sampo into a pure-play insurance company would provide much needed focus and strategic clarity for Sampo, while unlocking in excess of EUR 7 billion in value for shareholders.
This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20201110006320/en/
Elliott’s investment in Sampo reflects our conviction in the intrinsic value of IF P&C, which represents the majority of Sampo’s value. In our view, Sampo’s management team has built the best underwriter in the most attractive P&C insurance market in Europe, a remarkable achievement that reflects the track record of Sampo’s current CEO and CFO, both of whom led IF P&C for the past two decades. As a result of its sustainable competitive advantages, IF P&C stands head and shoulders above its insurance peers in terms of COR outperformance and stability, along with attractive growth opportunities, all of which have enabled the company to generate stable, growing dividends. In addition to IF P&C, Sampo’s portfolio of insurance companies includes stakes in Topdanmark AS, Mandatum Life Insurance Co Ltd and the recently announced acquisition of Hastings Group Holdings plc. Outside of insurance, Sampo owns minority stakes in several private equity investments and a significant stake in Nordea, which has materially outperformed the broader banking market over the past decade.
However, Sampo’s structural complexity and a lack of clarity in its longer-term strategic narrative have contributed to a profound and persistent disconnect between the Company’s intrinsic strengths and its market valuation over the past two years. This significant share price underperformance has not been operationally driven, but rather the result of growing divergence between the performance of the wider insurance and banking sectors. Sampo’s share price has suffered due to the weak share price performance of Nordea, which has damaged sentiment in Sampo and has caused a substantial de-rating of Sampo’s insurance assets, which have seen their P/E multiple vs. peers reduce by ~8x since 2017.
Elliott believes that reconstructing Sampo’s equity story now, through full-scale structural simplification, is necessary to allow the market to appropriately value the Company’s industry-leading insurance assets. This pathway would entail the full separation of Sampo’s investment in Nordea and divestment of Sampo’s various private equity investments. A more coherent corporate structure would allow Sampo’s talented management team to provide more focused stewardship of its different assets and alleviate investor uncertainty surrounding Sampo’s strategy. Elliott believes these sensible measures could create in excess of EUR 7 billion of value, thereby restoring market confidence and reinforcing management’s reputation for delivering value-creating outcomes. In Elliott’s view, yesterday’s announcement is a first step on the path to creating more than 35% upside for Sampo shareholders, underscoring the importance of executing these actions expeditiously.
We look forward to Sampo’s continued transformation and to its February 2021 Capital Markets Day. To provide further details on how Sampo can build upon yesterday’s announcement, Elliott is enclosing a presentation with this press release.
About Elliott
Elliott Management Corporation manages approximately $41 billion of assets. Its flagship fund, Elliott Associates, L.P., was founded in 1977, making it one of the oldest funds of its kind under continuous management. The Elliott funds’ investors include pension plans, sovereign wealth funds, endowments, foundations, funds-of-funds, and employees of the firm. Elliott Advisors (UK) Limited is an affiliate of Elliott Management Corporation.
Disclaimer
Elliott intends to reviews its investments in the company on a continuing basis and depending upon various factors, including without limitation, the company’s financial position and strategic direction, the outcome of any discussions with the company, overall market conditions, other investment opportunities available to Elliott Management, and the availability of company securities at prices that would make the purchase or sale of company securities desirable, Elliott may from time to time (in the open market or in private transactions, including since the inception of Elliott position) buy, sell, cover, hedge or otherwise change the form or substance of any of its investments (including company securities) to any degree in any manner permitted by law and expressly disclaims any obligation to notify others of any such changes. Elliott also reserves the right to take any actions with respect to its investments in the company as it may deem appropriate.
To view this piece of content from cts.businesswire.com, please give your consent at the top of this page.
View source version on businesswire.com: https://www.businesswire.com/news/home/20201110006320/en/
Contact information
London
Sarah Rajani CFA
Elliott Advisors (UK) Limited
T: +44 (0)20 3009 1475
srajani@elliottadvisors.co.uk
Finland
Mikael Jungner
Kreab
T: +35 850 554 1615
mikael.jungner@kreab.com
Sweden
Christina Rinman
Diplomat Communications
M: +46 709 711 213
christina.rinman@diplomatcom.com
About Business Wire
(c) 2018 Business Wire, Inc., All rights reserved.
Business Wire, a Berkshire Hathaway company, is the global leader in multiplatform press release distribution.
Subscribe to releases from Business Wire
Subscribe to all the latest releases from Business Wire by registering your e-mail address below. You can unsubscribe at any time.
Latest releases from Business Wire
H.I.G. Capital Announces the Sale of DGS S.p.A.11.6.2024 12:00:00 CEST | Press release
H.I.G. Capital (“H.I.G.”), a leading global alternative investment firm with $62 billion of capital under management, is pleased to announce that an affiliate has signed a definitive agreement to sell its portfolio company, DGS S.p.A. (“DGS” or the “Group”), a leading firm in the Italian Information Technology market, to DGS Co-Founders and management team in partnership with ICG, a global alternative asset manager. Since its inception in 1997, DGShas supported blue-chip customers in the design, integration, and maintenance of complex IT systems, with a specialization in digital transformation and cybersecurity services. The Group currently has over 1,900 employees, revenues of approximately €300 million, and maintains a group of highly loyal clientele. During H.I.G.’s ownership, DGS has tripled in size and consolidated its position as a leading Italian firm in cybersecurity services and digital transformation. DGS offers its clients sophisticated and proprietary digital transformation
Evertas Names Nick Selby Head of European Underwriting11.6.2024 12:00:00 CEST | Press release
Evertas, the world’s first crypto insurance company, has named Nick Selby as its new Head of European Underwriting. This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20240611141887/en/ Nick Selby, Executive Vice President and Head of European Underwriting at Evertas (Photo: Business Wire) Selby, an accomplished information and physical security professional, brings two decades of expertise in public and private sector information security, physical security, and complex incident handling, as well as seven years of experience leading teams securing billions of dollars in cryptoassets. Previously, his roles included VP of the Software Assurance Practice at Trail of Bits, Chief Security Officer at Paxos Trust Company, and Director of Cyber Intelligence and Investigations at the NYPD Intelligence Bureau. “Nick is an extremely valuable addition to our European team,” said Evertas CEO and Co-Founder J. Gdanski. “His public and private
Owlet utvider globalt fotavtrykk med lanseringen av medisinsk-sertifisert Dream Sock™ i Storbritannia og over hele Europa11.6.2024 11:00:00 CEST | Pressemelding
Owlet, Inc. («Owlet» or the «Company») (NYSE:OWLT), pioneren innen smart spedbarnsovervåking, kunngjør i dag den britiske og europeiske lanseringen av Dream Sock. Dette er en smart babymonitor med levende helseavlesninger og varsler for friske spedbarn mellom 0-18 måneder og 2,5-13,6 kg. Dette innovative medisinske utstyret gir foreldre helse og viktig informasjon i sanntid, noe som gir uovertruffen trygghet. Denne pressemeldingen inneholder multimedia. Se hele pressemeldingen her: https://www.businesswire.com/news/home/20240611820341/no/ (Photo: Business Wire) «Vi er svært stolte over å lansere Dream Sock til omsorgspersoner over hele Storbritannia og Europa og gi millioner av foreldre mer trygghet mens babyen sover,» sa Kurt Workman, Owlets administrerende direktør og medgründer. «Dream Sock er nå et globalt produkt som er anerkjent som medisinsk nøyaktig og trygt, etter å ha gjennomgått regulatoriske autorisasjoner og sertifiseringer innenfor flere geografier. I dag er misjonen vår
V-Nova Surpasses 1000 Patent Milestone in Media Technology Innovation11.6.2024 10:00:00 CEST | Press release
V-Nova, a leading provider of data compression solutions, video compression technology, XR technology, AI acceleration and parallel processing for a multitude of industries including media and entertainment, today announced its milestone achievement of 1000 active technology patents. This accomplishment underscores V-Nova’s dedication to research and development and its commitment to protecting its intellectual property globally. This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20240611724561/en/ V-Nova’s patent portfolio spans more than 50 different jurisdictions. Including over 400 patents in Europe, over 200 in the Americas, over 100 in the United States specifically, and over 200 in Asia. V-Nova forged new directions in data processing to enhance digital experiences, maximize efficiency, reduce costs, and increase sustainability. The company leads the way with key international data compression standards for the video indust
Alipay+ Reveals Top Scorer Trophy Design for UEFA EURO 2024™11.6.2024 09:24:00 CEST | Press release
Alipay+, a suite of cross-border mobile payment and digitalization technology solutions operated by Ant International and an Official Partner of UEFA EURO 2024™, today revealed the trophy that will be awarded to the most prolific marksman at the UEFA EURO 2024™ finale on July 14 in Berlin, Germany. This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20240610328619/en/ The UEFA Top Scorer Trophy presented by Alipay+ is unveiled for UEFA EURO 2024™ (Photo: Business Wire) Sculpted in the shape of the Chinese character “支” (pronounced zhi, and meaning payment as well as support), the trophy reflects Alipay+’s dedication to supporting consumers to enjoy seamless payment and a broad choice of deals using their preferred payment methods while traveling abroad. The character also resembles the fleeting moment of a barefooted striker poised to shoot, evoking the original beauty and power of football – a game that united people across the wo