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24564.04 - 30 March 2016 3:56 PM - Proof 9
Annual Report for the year ended 31 December 2015
Stock code: 
SNN   www.sannegroupplc.com
Sanne Gr
oup plc
 Annual R
eport f
or the y
ear ended 31 December 2015
The difference
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Welcome to Sanne Group plc’s 2015 Annual Report
For more information, see our website  
www.sannegroupplc.com
Sanne is a specialist global provider of outsourced corporate and fund 
administration, reporting and fiduciary services.
Established for over 25 years and listed on the Main Market of the London 
Stock Exchange, the Group employs approximately 350 people worldwide.
The Group targets alternative asset markets that have high barriers to entry 
and require specialist expertise to service. Key clients include alternative 
asset managers, financial institutions, family offices and corporates.
The Group has a presence in established international financial centres 
including Jersey, Guernsey, London, Luxembourg, Dublin, Dubai, Hong Kong
Shanghai and Singapore.
www.sannegroupplc.com
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Performance highlights
Introduction
Highlights
01
Chairman’s Statement
02
Chief Executive Officer’s Statement
04
Strategic Report
Market
08
Business Model
10
Strategy
12
Key Performance Indicators
13
Divisional Review
14
Risk Management
22
Financial Report
Chief Financial Officer’s Report
28
Governance
Chairman’s Introduction
32
Composition of the Board
34
How the Board Operates
38
Board Effectiveness
42
Directors’ Report 
44
Nomination Committee Report
46
Audit and Risk Committee Report
47
Remuneration Report
50
Annual Report on Remuneration
62
Directors’ Responsibility Statement
66
Auditor's Report
67
Consolidated Financial Statements
Consolidated Income  Statement
74
Consolidated Statement of  
Comprehensive Income
75
Consolidated Balance Sheet
76
Consolidated Statement of Changes in Equity
77
Consolidated Cash Flow Statement
78
Notes to the Consolidated Financial 
Statements 
79
Contents
+39%
+28%
+79%
£2.4m
£5.9m
2015: £45.6m 
2014: £35.6m
2015: £14.5m 
2014: £8.1m
2014: £7.8m
2014: £11.0m
2015: £15.7m 
2014: £11.3m
Adjusted
1
 
operating profit
Revenue
Adjusted

profit 
before tax
Profit before tax
Operating profit
1. 
AdjustmentisforexceptionalitemsrelatedtotheGroup’sIPOand 
non-continuingandpre-IPOcosts
Financial highlights
•
Grouprevenueincreased28%to£45.6million(2014:£35.6million)
•
Adjustedoperatingprofitup39%to£15.7million(2014:£11.3million)
•
Adjustedprofitbeforetaxup79%to£14.5million(2014:£8.1million)
•
Earningspershare(EPS)at1.4pence(2014:6.1pence),adjustedEPS12.4pence
(2014: 6.3 pence)
•
Recommendingfinaldividendpershare(DPS)of5.6pence,bringingtotaldividend
fortheyearto7.0pence,inclusiveofthepreviouslypaid1.4penceinterimdividend
(2014:4.9pence)
•
ExceptionalitemsintheperiodincludedIPOtransactioncostsof£6.9million,IPO
relatedsharebasedpaymentchargesof£2.8millionandfinancecostsof£2.3million
relatingtothewrite-offofloanissuancecostsresultingfromtherestructureatthe
timeoftheIPO
Operational highlights
•
ListingontheMainMarketoftheLondonStockExchangeinApril2015
•
Projectedannualisedvalueofnewbusinesswonintheyearofapproximately 
£13million(2014:£9.9million)
•
StrongpipelineofnewbusinesswithinSanne’scorealternativesfocusedbusiness
divisions(Debt,RealEstateandPrivateEquity)
Stock code:
 
SNN
Annual report for the year ended
 31 December 2015
01
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Chairman’s Statement
2015 was a significant year for Sanne Group plc which, 
in April, successfully listed on the Main Market of the 
London Stock Exchange.
“ The Group is 
led by a strong 
Executive team 
with a broad range 
of complementary 
skills and a deep 
understanding of 
the outsourced 
administration 
sector.”
Rupert Robson 
Chairman
2015 overview
DuringtheperiodSanneGroupplc(“the
Company”),togetherwithitssubsidiaries
(“theGroup”or“Sanne”),deliveredstrong
organicrevenueandprofitgrowthacross
itscorebusinessdivisionswhilecontinuing
toinvestinitsoperationalcapabilitiesand
infrastructureinordertomaintainarobust
platforminsupportoffutureperformance.
Thefinancialdisciplinedemonstratedbythe
Groupensuredthatthebusinesscontinued
todeliverimpressiveoperatingmarginsand
cashconversion.
Dividend
TheBoardhasadoptedaprogressive
dividendpolicy.Itstillexpectstoretain
sufficientcapitaltofundongoingoperating
requirements,anappropriatelevelof
dividendcoverandfundstoinvestinthe
Group’slong-termgrowth.
TheBoardisrecommendingafinaldividend
of5.6penceperordinaryshare.Thefinal
dividendwillbepayableon10May2016
to Shareholders on the register at close of 
businesson15April2016.
Togetherwiththepreviouslypaid2015
interimdividendof1.4pencepershare,
thisgivesatotaldividendfortheyearof7.0
pence per share.
Strategy
TheBoardhasworkedcloselywiththe
Executiveteamtodevelopamedium-term
strategy.Thestrategybuildsuponthe
existingassetandjurisdictionalcapabilitiesin
ordertocontinuetodeliverorganicgrowth.
TheGroupaimstoenhanceperformance
withcomplementarystrategicacquisitionsin
whatisaconsolidatingmarketandmaintains
ahealthypipelineofopportunities.
Webelievethatthereisacontinuingtrend
towardstheoutsourcingofcorporate
andfundadministrationactivitiesfrom
assetmanagersandinstitutionsdriven
byincreasingregulation,cross-border
investmentandthegrowingexpectationof
independentoversight.Furthermore,there
remainsstrongunderlyinggrowthtrends
withinthealternativessector,whichhas
beenaparticularareaoffocusforSanne.
TheGroupisledbyastrongExecutive
teamwithabroadrangeofcomplementary
skillsandadeepunderstandingofthe
outsourcedadministrationsector.We
believethatthisteam,supportedbythe
nexttierofmanagement,iswellplacedto
leadtheGroupinordertomeetitsstrategic
objectives.
Outlook
TheBoardseescontinuedopportunities
forgrowthdespitemarketuncertainty.A
healthylevelofnewbusinesswinsin2015
meansthereisastrongforwardmomentum,
particularlywithinthosebusinesslines
focusedonthealternativesmarkets.The
BoardlooksforwardtoenablingtheGroup
tomeetbothitsorganicandinorganic
strategic goals.
Rupert Robson 
Chairman
02
Sanne Group plc
www.sannegroupplc.com
Introduction
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“ We are committed to building 
a sustainable global business 
for the long-term.”
Dean Godwin
 
Chief Executive Officer
03
Stock code:
 
SNN
Annual report for the year ended
 31 December 2015
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Chief Executive Officer’s Statement
Summary of 2015 financial 
performance
Wecontinuedtogrowwithstrong
performanceacrossthebusinessdivisions
whichresultedinrevenuesgrowingby 
£10.1 million during the period (2014: 
£9.6million).
Bycontinuingtofocusonanefficientstaff
utilisationmodelwewereabletogrow
grossprofitinlinewithrevenueresulting
inadjustedoperatingprofitbeforetaxof
£15.7 million (2014: £11.3 million). This 
performance,coupledwithafocused
investmentintheoperatingplatformand
infrastructure,hasmeantthatmarginshave
beenincreasedwiththeadjustedoperating
profitmarginforthefullyearat34%
comparedto32%in2014.
DuringthereportingyeartheGroupsecured
newbusinesstotallingapproximately 
£13milliononaprojectedannualisedvalue
basiswhichcompareswithcirca£9.9million
wonduring2014.Ofthis,approximately
£6.7millionwasfromnewclientstoSanne
anditishopedfurtherrevenuescanbe
generatedovertimeasthesemandatesare
broadenedacrossawiderrangeofservices.
Thefullrevenueimpactofmanyofthese
newstructureswillcontinuetoincreaseinto
2016asimplementationiscompleted.
Key events in 2015
On1April2015theCompanylistedonthe
MainMarketoftheLondonStockExchange
markinganewchapterintheGroup’s
history.Thesuccessfullistinghasprovided
theGroupwithastablecapitalbaseon
whichtoprogressfurtheritsobjectiveof
buildingscaleinestablishedandemerging
marketsacrossallbusinesslines.
TheGrouphascontinuedexpandingits
serviceprovisionthroughthedevelopment
ofnewreportingservicesandthe 
roll-outofcapabilitiesacrosstheexisting
globalnetworkandoperatingplatform.
Examplesofthisincludethedevelopment
ofregulatoryreportingservicesinresponse
totheUSForeignAccountTaxCompliance
Act(“FATCA”)andtheEuropeanAlternative
InvestmentFundManagersDirective
(“AIFMD”)requirementswhereSanne
isworkingwithclientstodelivermulti-
jurisdictionalreportingsolutions.
Performanceintheyearreflectsthe
conversionofastrongpipelineofnew
businessfromexistingandnewclients
acrosscoreassetclassesaswellasdelivering
thefullrevenueimpactofnewstructures
securedin2014.Wehaveinvestedinstaff
atbothaseniorandoperationallevelto
ensurenewworkcanbeservicedeffectively,
particularlyinfastgrowingdivisionssuch
asRealEstateandDebt.Wehavealso
strengthenedourcapabilitiesataGroup
leveltokeeppacewiththeneedsofthe
business,particularlyinkeycontrolfunctions
suchasriskandcompliance.
Wehavecontinuedtorecruitinoperational
centresoutsideofourJerseyheadquarters
astheGroupexpandsitsserviceoffering
andclientbaseglobally.InLondon,new
officepremiseshavebeentakenonto
supportthisexpansionandprovidespace
forfurtherrecruitment.Wealsocontinue
toevaluatealternativeservicecentresto
deliveroperationalleverageandoffernew
jurisdictionalopportunities.
“ On 1 April 2015 the 
Company listed on 
the Main Market of 
the London Stock 
Exchange marking a 
new chapter in the 
Group’s history.”
A great deal has been achieved during 2015 which 
has seen Sanne achieve strong growth across its core 
business activities while successfully completing an 
initial public offering on the London Stock Exchange.
Dean Godwin 
Chief Executive Officer
04
Sanne Group plc
www.sannegroupplc.com
Introduction
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Employees
Asapeoplebusiness,thestrengthand
depthofSanne’smanagementteamand
employeesisacorecontributortothe
Group’ssuccess.Ouremployeesremain
coretothequalityoftheserviceoffering
toclientsandwewillcontinuetorecruit
highcalibreindividualsaswegrow.We
arecommittedtoencouragingemployees
tocontinuewiththeirprofessional
developmentboththroughrecognised
qualificationroutesaswellascontinuous,
industryspecificlearningprogrammes.
Wearealsocommittedtodevelopingthe
employeevaluepropositiontoensurethat
Sanneisrecognisedasnurturingapositive
andsupportiveworkingenvironmentwhich
recognisesandrewardsindividualand
collectiveperformance.
Focus
Sanne’songoingstrategicfocusisto
continuebuildingscaleinestablishedand
emergingmarketstobealeadingproviderof
corporateandfundadministration,reporting
andfiduciaryservices.
Wewillcontinuetoinvestinpeopleand
infrastructure in support of our strategic 
objectiveswhilemaintainingthefinancial
disciplinerequiredtosustainoperatingprofit
margin.
Wewillfocusondeliveringorganic
growthwhilealsoevaluatingacquisition
opportunitiesthatenableustodeepen
existingassetcapabilities,broadenthe
productofferinganddelivergreater
jurisdictionaldiversificationthrough
operationalscaleinexistingofficesaswellas
enteringnewmarkets.
TheGroupiscommittedtoundertaking
acquisitionswhichassistwiththedeliveryof
strategicobjectivesandwehaverevieweda
rangeofopportunitiesduringtheyear.
SincetheyearendtheGrouphasacquired
CharteredCorporateServices(“CCS”),a
Dublin-basedcorporateservicesbusiness
thatspecialisesinthedeliveryofcompany
secretarial,liquidation,payrollandVAT
reportingservices.CCSwillcomplement
ourexistingoperationsinIreland,delivering
additionalscaleandproductcapabilities
acrossourcorporateservicesoffering
anddemonstratingacommitmentto
acquiringbusinessesthatsupportexisting
growthopportunitiesanddelivergreater
jurisdictionalandproductdiversity.
Sanne has also recently entered into an 
agreementtoacquireIDSFundServices
(“IDS”),acompanyheadquarteredin
SouthAfrica,whichprovidesoutsourced
investmentadministrationservicestothe
assetmanagementindustry,particularly
focused on hedge fund clients. The 
acquisitionofIDSbroadensSanne’s
alternativeassetcapabilitiesthroughthe
deliveryofahedgeplatformwhichcanbe
leveragedacrossthewiderGroupnetwork
anddeliversanewaddressablemarketin
SouthAfrica.Theacquisitionalsooffersa
lowercostoperationalplatformthatcanbe
leveragedacrosstheGroup.Theacquisition
isexpectedtocompletetowardstheendof
thesecondquarterof2016.
Thereisstrongmomentuminthebusiness
andIamveryexcitedtobeworking
alongsidemycolleaguesacrosstheGroup
tocontinuetoinvestinandbuildabusiness
modelwhichcandeliversustainablegrowth.
Dean Godwin 
ChiefExecutiveOfficer
Stock code:
 
SNN
Annual report for the year ended
 31 December 2015
05
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06
Sanne Group plc
www.sannegroupplc.com
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07
Sanne operates in a variety 
of end markets. These 
include the alternative 
asset classes of debt, real 
estate and private equity 
as well as the more general 
corporate and private client 
markets.
Strategic Report
Market 
08
Business Model
10
Strategy
12
Key Performance Indicators
13
Divisional Review
14
Risk Management
22
Stock code:
 
SNN
Annual report for the year ended 31 December 2015
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Market
Sanne operates in a highly fragmented 
globalsectorcoveringawidevarietyof
endmarkets.Thisincludesthedefined
alternativesspace(debt,realestateand
privateequity)aswellasthemoregeneral
corporateandprivateclientmarkets.The
Group’smulti-assetclassfocusanddivisional
diversityprovidesadegreeofinsulationfrom
macroeconomicfactors,particularlywiththe
emergenceofspecialistassetclasses,such
astheprivatedebtmarket,whichprovide
otherinvestmentopportunitiesduring
periodsofeconomicdownturn.
IntermsofthescaleoftheGroup’s
addressablemarkets,assetsunder
managementatagloballevelwere
estimatedtohavereached$63.9trillionin
2012andareestimatedtogrowat6.0%
CompoundAnnualGrowthRate(CAGR)
between2012and2020,reachingatotal
of$101.7trillion
1
.Withinthealternatives
markets,wheretheGroup’smainfocus
is,assetsareprojectedtogrowfrom$6.4
trillionin2012to$13.0trillionin2020,
representingahigherCAGRthanthe
overallmarketat9.3%.Thesemarkets
havecollectivelyalreadydoubledinsize
since2005(source:McKinseyGlobalAsset
ManagementGrowth).
ThedemandfortheGroup’sservicesandfor
outsourcedservicesintheareasinwhichit
operatesisdrivenbyglobalmacroeconomic
andregulatorytrends.Forfundand
corporatestructuresregulatedinfinancial
centressuchasJerseyandGuernsey,the
administrationofthesestructuresrequires
aregulatedbusinessintheregion.The
Groupbenefitsfromtheincreasinglevel
ofworkwhichthesecorporateentities
andinstitutionsareoutsourcingtomeet
increasingregulatoryobligations.
Thegrowingregulatoryframework
applicabletofundandassetmanagersis
creatingrevenueopportunitiesforspecialist
administratorslikeSanne,alongwiththe
increasingdemandforservicesprovided
byadministratorsduetomorestringent
controlsandcomplianceprocessesbeing
put in place in response to increasing 
transparencyrequirements.Theseinclude
legislationsuchastheEuropeanAlternative
InvestmentFundManagersDirectiveandthe
USForeignAccountTaxComplianceAct.
The greater regulatory and compliance 
demandsonassetmanagersareservingto
increaseboththechallengesofmeetingsuch
requirementsandthecostsofcompliance,
bothintermsofmonetaryfinesandthe
intangiblereputationalharmoffailingtodo
so.Inthecontextofthisenvironmentand
thegrowingtransparencycontrols,specialist
administratorsplayavitalandgrowingrole.
Aswellasthegrowingregulatoryinfluence,
thereisanincreasinglevelofregulatory
differentiationasinternationalcentresare
respondingdifferentlytoonshoredemands.
TheGroupbelievesthatitsinternational
footprintandexpertiseensuresitiswell
placedtoprovideservicestomultinational
clientswhorequiredifferentiatedservices
acrossdifferentmarkets.
Luxembourg
Shanghai
Guernsey
Jersey
Dubai
Singapore
Dublin
Hong Kong
London
Sanne Group plc
www.sannegroupplc.com
08
Strategic Report
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Specifictoalternativeassets,theArmstrong
Report
1
attributesexpectedgrowthinthese
marketstotheintroductionofregulation
suchasAIFMDwhichisexpectedtomake
themmoreattractiveandaccessibleas
long-terminvestments.Recentresearch
fromAberdeenAssetManagementhas
shownthatalternativestrategiesandassets
are playing an increasingly prominent role 
ininvestmentportfolios,drivenbyadesire
forreturnsuncorrelatedwithequities.The
Group’sspecialisminthealternativesspace
placesitinastrongpositiontobenefitfrom
thisidentifiedmarkettrend.
Aswellasthealternativesspace,theGroup
operatesintheglobalcorporateandprivate
clientmarketswhicharesubjecttomany
ofthesameregulatoryandlegislative
drivers.AccordingtotheHaysLegaland
CompanySecretarialMarketOverview
2013,thegovernancerequirements
placedonglobalcorporateshasresultedin
outsourcedcompanysecretarialservices
expanding,ascompanieslooktoexternal
specialist partners to support their corporate 
governancefunction.TheGroupprovides
specialisttrusteeservicesandassociated
incentiveplanadministration,amarketthat
remainspositivegiventheongoingimpact
ofregulationandthebroadertrendtowards
improvingthetransparencyofthelink
betweenincentivepay-outsandcompany
strategy.
 
2007
2004
$0 tn
$20 tn
$40 tn
$60 tn
$80 tn
$100 tn
$120 tn
2012
Alternatives
Discretionary 
Mandates
Mutual funds
63.9
101.7
Forecast
59.4
37.3
2020
by Type
by Region
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
$6.4 tn
Other
Real Estate
APAC
Private 
Equity
Funds of
Hedge Funds
Europe
North
America
Hedge Funds
ROW
$6.4 tn
Global assets under 
management (“AuM”) and 
administration by type
Total alternative assets under 
administration by type
AlternativeAuMprojectedtodoublefrom 
$6.4trillionto$13.0trillionbetween2012and
2020
1. 
ArmstrongReport–AlternativeInvestmentFundAdministrationMarket–Sectorreport,26March2015(Copyavailableat
www.sannegroupplc.com
)
09
Stock code:
 
SNN
Annual report for the year ended
 31 December 2015
Str
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Business Model
TheseoperationsspantheGroup’s
internationalfootprintwithJerseyproviding
thelocationofitsheadquarters.Core
servicesincludegeneraladministration,
financialreporting,governance,regulatory
services,investorservicesandtreasury
services.
Clientteamsarespreadovergeographies
toensurecontinuityofserviceandclient
relationships.Sinceeachbusinessdivision
operatesacrosssomeoralloftheGroup’s
locations,theGroupdoesnothavea
geographic management structure.
Inthealternativesproductspace,theGroup
believesthatitsabilitytowinnewwork
andretainexistingclientsisdemonstrative
ofitsabilitytoprovidethehightouchand
customisedservicesthatalternativeasset
managersrequire.Inaddition,structures
withinthealternativesspacetendtobe
morebespokeinnaturewhichmakes
automationchallengingandreinforcesthe
needforthetypeoftailoredsolutionsthat
theGroup’squalifiedandexperiencedstaff
areabletoprovide.
AlthoughSanne’scontractswithitsclients
aretypicallyterminablebyeitherparty
giventhreemonths’writtennotice,oncean
outsourcedserviceprovideriscontractedto
support and administer a structure it is rare 
thattheyarereplacedbeforetheendofthe
structure’slife.
TheGrouphasapredominantlyinstitutional
clientbasewhichiswelldiversified,with
onlytwoclientsaccountingformorethan 
5%eachofnormalisedrevenue(5.9%and
5.6%respectively).Furthermore,thetop
tenclientsaccountedforlessthan29%
ofrevenueinthefinancialyearended31
December2015.ClientsoftheDebt,Real
EstateandPrivateEquitydivisionsare
typicallyinstitutionsfocusedonalternative
assetclasses;ExecutiveIncentivesclientsare
typicallycorporates;clientsofthePrivate
Clientdivisionaretypicallyultra-highnet
worthindividualsandfamilies;andthe
CorporateandInstitutionaldivisioncovers
theremainingcorporateandinstitutional
clientbase.
Intotal,Sannehasapproximately600clients
andservicesapproaching3,200structures.
TheGroup’scoreactivitiescanbeclassifiedasfollows:
Business division
Client profile
Services delivered
Debt
•
Globalfinancialinstitutionsandcreditfundmanagers
•
Fundandcorporateadministration
•
Accountingandreportingservices
•
Assetservicing
•
Loanagencyandservicing(Debt)
•
Depositaryservices
•
Compliance monitoring
•
Transactionmanagement
•
SPVadministration
•
Companysecretary/governancesupport
•
Regulatoryreportingservices
•
ListingservicesfortheChannelIslands
SecuritiesExchange(Corporateand
Institutional)
•
Directorandtrusteeservices
•
Portfolioreporting(PrivateClient)
•
Philanthropyservices(PrivateClient)
•
CashandFXmanagement(Treasury)
Real Estate
•
Realestateassetmanagers,sovereignwealthfunds,
pensionfundsandinstitutions
Private Equity 
•
Assetmanagers,institutionsandfamilyoffices
Corporate and 
Institutional
•
Internationalcorporates,entrepreneurialgroupsand
asset managers
Executive Incentives
•
Internationallylistedcompanies,privatecompanies
and asset managers
Private Client 
•
Ultra-highnetworthindividualsandfamilyoffices
Treasury
•
Sanneclientsrequiringtreasurysupport
As of 31 December 2015, operations are focused on seven principal areas: Debt, 
Real Estate, Private Equity, Corporate and Institutional, Executive Incentives, 
Private Client and Treasury. 
Sanne Group plc
www.sannegroupplc.com
10
Strategic Report
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Focus on alternative 
asset classes
Institutional 
client base
Cultural alignment 
with clients 
Highly cash 
generative
High quality 
of earnings
Established 
platform of controls 
and processes
Diversification and 
presence across 
multiple 
jurisdictions and 
multiple asset 
classes
People-led 
approach
International footprint
Proven acquisition 
strategy
Strong financial 
performance
£
Focus on alternative asset classes
Alternativeassetfundsandstructuresareniche
andrequirebespoke,tailoredsolutionsdueto
theircomplexity.Thisrequiresqualifiedand
experiencedstaff.Thiscreateshighbarriersto
entryandprotectsmargins.Alternativeasset
classesarealsohighgrowthmarkets.
Institutional client base
TheGrouphasabroadrangeofclientscovering
alternativeassetmanagers,familyoffices,
financialinstitutionsandcorporates.
Diversification and presence across 
multiple jurisdictions and multiple 
asset classes
Providesanaturalhedgeagainstadownturn
intradingconditionsinanyoneoftheGroup’s
markets.
International footprint
EnsuresthatSanneisintherightjurisdictionsto
supportnewclientsandwinnewbusiness,with
astrongpresenceindevelopedinternational
financialcentres.
Strong financial performance
RevenueCAGRof35%between2012and
2015andorganicgrowthaccountingfor24%.
AdjustedoperatingprofitCAGRof37%across
the same period.
High quality of earnings 
Thetypicalcontractlifeisbetweenfiveto 
tenyears.Thisgivesahighproportionof 
re-occurringrevenueyearonyear.
Highly cash generative
Consistentlevelsofoperatingprofitbefore
exceptionalstocashgenerationwithacash
conversionrateof124%(2014:94%).
Established platform of  
controls and processes
Anemphasisoncomplianceandrisk
management is fundamental to the success of 
Sannewithinanindustrywherereputationalrisk
is high.
Proven acquisition strategy
TheGrouphasasuccessfultrackrecordin
sourcing,executingandintegratingitschosen
acquisitions.
People-led approach
Seniormanagementinvolvementthrough
theprocessofbothwinningnewbusiness
andservicingthework;highqualityand
professionallyqualifiedstaff.
Cultural alignment with clients
Applicationofhigh-touch,tailoredserviceand
client-specificcustomisedsolutionsmitigates
againstthecommoditisationofservices
providedandsupportstheGroup’sstrong
margins.
Key Strengths
11
Stock code:
 
SNN
Annual report for the year ended
 31 December 2015
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The Group’s growth strategy is both organic and inorganic which is reflected 
in its successful growth track record in recent years. New business is sourced 
both from capturing increased revenue from existing clients, as they introduce 
new structures and use the Group for additional services, and from new client 
relationships.
ThestrategicfocusoftheGroupisto
continuebuildingscaleinestablishedand
emergingmarketstobecometheleading
specialistinalternativefundadministration,
corporateadministration,fiduciaryand
reportingservices.TheGroupwillcontinue
tofocusonbuildingitsclientbaseof
institutionalcorporates,institutionalfund
managersandinstitutionallymindedfamily
offices.
Organic growth
ThekeydriversoftheGroup’sorganic
growthstrategyinclude:
•
BuildingoutSanne’spresenceinexisting
assetclasses,withaparticularfocuson
thealternativesspace;
•
Developmentofcoreassetled
offeringstodriveincreasedrevenue
opportunitiesthroughtargetedentry
intonewassetclasses;
•
Marketsharedevelopmentthrough
thedeepeningofexistingclient
relationshipsbyofferingthemost
comprehensiveproductand
jurisdictionalrange;
•
Cross-sellingtoexistingclientsbetween
divisionsandgeographiesanddelivering
newclientwinsthroughdirectreferrals,
intermediary referrals and direct 
targeting.Thisincludesinter-divisional
initiativestosellancillarycorporate
productsandservicestoexistingfunds
clients;
•
Expansionofglobalnetworkand
platformbybuildingapresenceinnew
jurisdictionstosupportoperational
growthanddiversificationandto
capitaliseonhighgrowthmarkets
outsideofthecurrentnetwork;and
•
Expansionofexistingsuiteofservices
availabletoclientstoensurethatthe
Groupcancontinuetoprovidea‘one-
stop-shop’solutiontoclientsineach
assetclass,aswellasdifferentiating
Sannefromitscompetitors.Examples
includethedevelopmentofregulatory
reporting,AIFMDdepositaryand
managementcompanyservices.
Acquisition growth
AdditionaltotheGroup’sorganicgrowth
strategyisitsacquisitionstrategy,
demonstratedbymanagement’spre-listing
trackrecordinsourcing,executingand
integratingitschosenacquisitions.The
Grouptakeahighlyselectiveanddisciplined
approachtoacquisitions,seekingtoadd
capitalvaluetoSannewithoutanadverse
impactontheexistingbusiness.
Assessments are made as to the  
long-termstrategicrationaleofan
acquisitionopportunitybasedona 
numberofindicators,including:
•
Theopportunitytobuildoperational
scaleinexistingand/orcomplementary
jurisdictions;
•
TheopportunitytostrengthenSanne’s
existingservicedeliveryplatformandto
deliveroperationalcapabilitytosupport
Sanne’sgrowthstory;
•
Theopportunitytoacquireaskilled
workforcetosupportSanne’speople-
led approach;
•
Thesynergy(rationalisationofsystems
andcentralfunctions)andcross-selling
opportunitieswithinthecombined
business;
•
Theopportunityfortheacquisition
toactasabarriertoentryforkey
competitors;
•
Theopportunitytodeliveran
alternative,lowercostoutsourced
platform;and
•
The opportunity to further strengthen 
clientrelationshipsincaseswherethere
are common clients.
TheGroupseesthepotentialforfurther
consolidationinthesectorand,therefore,
futureacquisitionopportunities,drivenby
increasingregulatoryrequirementsandthe
continuingexitofglobalaccountingfirms,
lawfirmsandbanksfromtheindustry.The
Groupreviewsacquisitionopportunitieson
anongoingbasis.
Recentacquisitionssincetheendof2015
inIrelandandSouthAfricademonstratethe
Group’scommitmenttoanorganicstrategy
complementedbytargetedacquisitions.
Strategy
Sanne Group plc
www.sannegroupplc.com
12
Strategic Report
Sanne Annual Report 2015 Front Proof9.indd   12
30/03/2016   15:56:48

24564.04 - 30 March 2016 3:56 PM - Proof 9
Key Performance Indicators
The Group uses a number of Key Performance Indicators to measure the 
performance of the Group, of each division and of various central support 
functions.


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