Laureate Education, Inc. · NASDAQ:LAUR
Laureate Education — Merger or Acquisition (December 2005)
17 slides from Laureate Education's merger presentation, Dec 1, 2005
Slide 1: Universidade Anhembi Morumbi Joins Laureate International Universities
LAUREATE EDUCATION, ING Q universigage Universidade Anhembi Morumbi Joins annem! Laureate International Universities morumbi December 1, 2005
Slide 2: Safe Harbor Statement
Safe Harbor Statement ‘This presentation includes information that could constitute forward-looking statements made pursuant to the safe harbor provision of the Private Securities Litigation Reform Act of 1995. Any such forward-looking statements may involve risk and uncertainties. Although the Comp
Slide 3: Brazil is Largest Market in Latin America
Brazil is Largest Market in Latin America 30% —— Participation Rate (Percent of 18-22 year olds in higher education) 10% oe Market Share (Laureate’s Market Share)
Slide 4: Brazil is Largest Market in Latin America
Brazil is Largest Market in Latin America 30% —— Participation Rate (Percent of 18-22 year olds in higher education) 10% t ys Market Share 10% (Laureate’s Market Share)
Slide 5: Attractive Macroeconomic Environment
Attractive Macroeconomic Environment * Strong GDP growth + Improving currency stability * Declining inflation + Fiscal discipline * Government debt reduction
Slide 6: Strong Growth Potential and High Participation of Private Universities
Strong Growth Potential and High Participation of Private Universities = Enrollments in private universities have grown 2x faster than public universities m Increasing participation rates will continue to drive total growth in the future = Ministry of Education expects participation rate increase to
Slide 7: Laureate Executes Disciplined Search and Entry Strategy
Laureate Executes Disciplined Search and Entry Strategy + Laureate has studied the Brazil market opportunity since 1999 - Six years understanding the market, regulations, and prospects — As of 2005, we determined company was well prepared to enter Brazil + Macroeconomic improvements - Selected right
Slide 8: Laureate Executes Disciplined Search and Entry Strategy
Laureate Executes Disciplined Search and Entry Strategy Utilized rigorous selection model with the following characteristics: - Multiple campus platform - Strong academic reputation - Capable management team in place - Sao Paulo preferred entry city University Status most desirable
Slide 9: University Status Most Desirable
University Status Most Desirable + There are 3 types of post-secondary institutions in Brazil University (163) University Center (81) Faculdade (1,522) + University Status provides advantage Autonomy to open new campuses in home city Autonomy to launch new careers Streamlined process for new campus
Slide 10: Introducing Anhembi Morumbi ("AM")
Introducing Universidade Anhembi Morumbi (“AM”) Sizable and scalable platform Fifth largest private university in Sao Paulo market universidade = 21,500 Students, 4 Campuses. anhembi = Average annual tuition between $3,000 - $3,500 morumbi University Status — offers prestige and flexibility to grow
Slide 11: Anhembi Morumbi has Four Strategically Located Campuses in Sao Paulo
Anhembi Morumbi has Four Strategically Located Campuses in Sao Paulo with 21,500 Students 4. Villa Olimpia (1970) 2. Campus Centro (1998) *AMs Largest Campus Avs 1# Campus “Undergrad, Associale and Undergrad, Associate and Graduate Programs Graduate Programs <Tourism, Hole! Management, Advertsing, R
Slide 12: Agreement
Universidade Anhembi Morumbi Agreement + 61% initial purchase for $69 million — $54 million in cash = $15 million in 3-year local currency seller note + Our partner, a key figure in Brazil’s higher education community, to continue involvement with AM + AM leases real estate from the founder
Slide 13: Laureate Model Produces Growth and Market Leadership
Laureate Model Produces Growth and Market Leadership Andean Region Enrollment: 9.000 oon 60.000) 71% CAGR: 40,000 ans Revenue in Constant Currency: s2so00 200900 | 68% CAGR 4 sia ‘150,000 $100,000 $50.00} s24nas so 2001 2008 Enrollment: Mexico/Central America Region 100 900 ages 9) 26% CAGR 0.900 40
Slide 14: Enrollment Campaigns
Universidade Anhembi Morumbi Enrollment Campaigns Investments to be made throughout 2006 in preparation for primary intake in 2007 1Q 20 3a 4Q Jan @ Feb @ Mar | Apr@ May @ Jun | Jul @ Aug @ Sep | Oct @ Nov @ Dec Brazil Mexican Region ‘Andean Region Spain France Hospitality Online
Slide 15: Growth Initiatives
Universidade Anhembi Morumbi Growth Initiatives Add new programs at existing locations Launch network initiatives Expand campus locations Enter new market segments Develop online initiatives
Slide 16: Key Takeaways
Key Takeaways + Brazilis largest market in Latin America ~ next engine of growth for Laureate + Anhembi Morumbi is best platform for Laureate’s entry into Brazil - scale, status, management, brand, positioning + Timing to enter Brazil is right - solid market growth, greater macro stability, multiple
Slide 17: Searchable text section of graphics shown above
Searchable text section of graphics shown above [L OGO] [LOGO] Universidade Anhembi Morumbi Joins Laureate International Universities December 1, 2005 Sa fe Harbor Statement This presentation includes information that could constitute forward-looking statements made pursuant to the safe harbor provi
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