Exor N.v. · EURONEXT:EXO
Exor — Investor Presentation (November 2022)
32 slides from Exor's investor presentation, Nov 30, 2022
Slide 1: Investor and Analyst Call
INVESTOR AND ANALYST CALL AMSTERDAM, 30 NOVEMBER 2022
Slide 2: Forward-looking statements
Certain statem ents and inform ation contained in this presentation These factors should not be construed as exhaustive and should be that are not statem ents or inform ation of historical fact constitute read in conjunction with the other cautionary statements included forward-looking statements, n
Slide 3: Investor and Analyst Call Agenda
INVESTOR AND AGENDA ANALYST CALL ▪ UPDATE ▪ COMPANIES ▪ VENTURES ▪ LINGOTTO ▪ FINANCIALS ▪ ESG ▪ WHAT’S NEXT? 30 NOVEMBER 2022 3
Slide 4: In 2022 we continued to execute on our priorities
IN 2022 WE CONTINUED TO EXECUTE ON OUR PRIORITIES PEOPLE ▪ Implemented a new governance and organisational structure ▪ Sold PartnerRe for $9.3bn (~€8.6bn)1 COMPANIES ▪ Supported the spin of Iveco Group from CNH Industrial ▪ Committed ~€1.0bn to Institut Mérieux and Lifenet ▪ Continued our investment
Slide 5: New appointments further strengthen our organization
NEW APPOINTMENTS FURTHER STRENGTHEN OUR ORGANIZATION Benoît John Suzanne Guido Noam Enrico Ribadeau- Elkann Heywood De Boer Ohana Vellano Dumas CEO COO CFO Companies Ventures Lingotto 5
Slide 6: The sale of PartnerRe released €9 billion of cash to deploy
THE SALE OF PARTNERRE RELEASED €9 BILLION OF CASH TO DEPLOY in Euro billion CASH TO CASH CASH GENERATION CASH USES CURRENT DEPLOY ALLOCATED 2022-24 2022-24 FIREPOWER 2022-24 IN 20225 ~10.0 ~9.0 ~6.5 ~(2.5) ~€1.0bn Companies ~€0.9bn Lingotto ~€0.4bn Reinsurance vehicles6 ~€0.2bn Exor Ventures and oth
Slide 7: We divide our portfolio into Companies and Investments
WE DIVIDE OUR PORTFOLIO INTO COMPANIES AND INVESTMENTS COMPANIES ~75% of GAV or ~€24.9bn ~65% of GAV ~10% of GAV Gross Asset Value (GAV) ~€33.2bn INVESTMENTS ~5% of GAV or ~€1.8bn (examples) VENTURES LINGOTTO Public Private OTHERS1 ~20% of GAV or ~€6.5bn Note: Gross Asset Value based on market price
Slide 8: In 2021 we said we would focus on three sectors
IN 2021 WE SAID WE WOULD FOCUS ON THREE SECTORS HEALTHCARE LUXURY TECHNOLOGY ▪ A non-cyclical sector with ▪ A highly resilient sector with ▪ Is under-represented in our structural tailwinds demographic tailwinds portfolio and has substantial growth potential ▪ Large sector with significant ▪ Can ben
Slide 9: Investor and Analyst Call Agenda
INVESTOR AND AGENDA ANALYST CALL ▪ UPDATE ▪ COMPANIES ▪ VENTURES ▪ LINGOTTO ▪ FINANCIALS ▪ ESG ▪ WHAT’S NEXT? 30 NOVEMBER 2022 9
Slide 10: Starting to build presence in our focus sectors
STARTING TO BUILD PRESENCE IN OUR FOCUS SECTORS ENTERED INCREASED OUR EXPOSURE EXPANDED OUR PRESENCE THE HEALTHCARE SPACE TO LUXURY IN TECH 2022 2022 2021 2020 2020 2022 ✓ Strengthened our network of ✓ ~€1bn invested in Tech ✓ ~€1bn committed to Healthcare practitioners to capture new (Companies and
Slide 11: Institut Mérieux is a unique opportunity…
INSTITUT MÉRIEUX IS A UNIQUE OPPORTUNITY… WHAT MAKES INSTITUT MÉRIEUX UNIQUE? COMPANY OWNERSHIP1 INDUSTRY KEY FIGURES Leading diagnostics player €3.4bn 2021 sales 125 YEARS OF BUILDING GREAT 59% #1 in Microbiology COMPANIES #1 in Multiplex molecular €11.7bn2 market cap 100 70% #2 in Food safety insp
Slide 12: …for Exor to build a partnership for our healthcare ambitions
…FOR EXOR TO BUILD A PARTNERSHIP THAT PAVES THE WAY FOR OUR AMBITIONS IN HEALTHCARE ACCELERATE INSTITUT MÉRIEUX’S DEVELOPMENT ▪ Shared ambition: to develop further and faster bioMérieux and the other companies of Institut Mérieux €833m investment ▪ Capital injection: €833m to support its growth in i
Slide 13: Our three largest companies have strong balance sheets and are well positioned
OUR THREE LARGEST COMPANIES HAVE STRONG BALANCE SHEETS AND ARE WELL POSITIONED FOR THE FUTURE PRESENTED …WHILE CONTINUING TO …AND EXPLORING THEIR NEW STRATEGIC PLANS… DELIVER… NEW OPPORTUNITIES ▪ Net revenues of €3.7bn YTD (+20% vs LY)1 ▪ Net profit of €0.7bn YTD (+16% vs LY) Pushing the Boundaries
Slide 14: Investor and Analyst Call Agenda
INVESTOR AND AGENDA ANALYST CALL ▪ UPDATE ▪ COMPANIES ▪ VENTURES ▪ LINGOTTO ▪ FINANCIALS ▪ ESG ▪ WHAT’S NEXT? 30 NOVEMBER 2022 14
Slide 15: Ventures is integrated into Exor providing insights and deal flow
VENTURES IS INTEGRATED INTO EXOR PROVIDING INSIGHTS AND DEAL FLOW EXOR VENTURES HAS BUILT ... SELECTIVELY GENERATING A HIGH-QUALITY PORTFOLIO… LARGER INVESTMENT OPPORTUNITIES ▪ Category leader in TransitTech ▪ 500+ deployments across 35 Companies Reviewed countries 425 2022 YTD FUNNEL ▪ Resilient bu
Slide 16: We have invested ~$0.5 billion in a balanced portfolio
WE HAVE INVESTED ~$0.5 BILLION IN A BALANCED PORTFOLIO GEOGRAPHIC PORTFOLIO STAGE EXPOSURE SECTOR EXPOSURE EXPOSURE COMPOSITION LatAm APAC 1% Moonshots 9% 11% Mobility 26% Other Early 20% EMEA Core 37% Mid-size Late 45% Positions (9) Fintech Positions 63% U.S. 39% 50% Consumer 22% 45% 16% Healthcare
Slide 17: Focused and disciplined in a volatile environment
FOCUSED AND DISCIPLINED IN A VOLATILE ENVIRONMENT HOW WE ARE ADAPTING AREAS OF FOCUS Mobility, ▪ Core focus over the last five years ▪ More selective, with the pace of investments Fintech and slowing in the last two quarters Deeptech ▪ Exor has strong institutional knowledge ▪ Focus on higher convic
Slide 18: Investor and Analyst Call Agenda
INVESTOR AND AGENDA ANALYST CALL ▪ UPDATE ▪ COMPANIES ▪ VENTURES ▪ LINGOTTO ▪ FINANCIALS ▪ ESG ▪ WHAT’S NEXT? 30 NOVEMBER 2022 18
Slide 19: Reorganization of Exor's investment activities
REORGANIZATION OF EXOR’S INVESTMENT ACTIVITIES FROM …TO CAPTIVE INVESTMENT ACTIVITIES… AN ASSET MANAGEMENT COMPANY PartnerRe Covéa and Exor ~$0.5bn Assets under Management (2017) ~$2.4bn Assets under Management (2022) 1 strategy (i.e. Public) 2 strategies today (i.e. Public and Private) <5 investmen
Slide 20: We have proven track record and experience
WE HAVE PROVEN TRACK RECORD AND EXPERIENCE ~$2.4bn1 Assets Under Management today (~$1.2bn Covéa, ~$1.2bn Exor) PUBLIC PRIVATE Matteo Scolari Nikhil Srinivasan ▪ 22 years investing experience ▪ 20 years investing experience ▪ With Exor since 20162 ▪ With Exor since 2016 ▪ Chief Investment Officer Pa
Slide 21: Lingotto, one of the most impressive shows
“Lingotto, one of the most impressive shows that the industry has ever offered" Le Corbusier 21
Slide 22: Investor and Analyst Call Agenda
INVESTOR AND AGENDA ANALYST CALL ▪ UPDATE ▪ COMPANIES ▪ VENTURES ▪ LINGOTTO ▪ FINANCIALS ▪ ESG ▪ WHAT’S NEXT? 30 NOVEMBER 2022 22
Slide 23: Delivering on our targets in the short and long term…
DELIVERING ON OUR TARGETS IN THE SHORT AND LONG TERM… Our Targets 2022 YTD1 Last 5 years2 ✓ ✓ Outperform ~(4)% ~63% NAV/Share growth % MSCI World Index vs. MSCI: ~(9)% vs. MSCI: ~51% OBJECTIVES TSR CAGR % 8% ~(5)% ~8% ✓ FCF3/ Dividend paid Above 1.0x ~5.0x4 ✓ ~3.0x5 ✓ EXOR KPIs Cash holding cost / G
Slide 24: ...while managing our gross debt efficiently...
...WHILE MANAGING OUR GROSS DEBT EFFICIENTLY... Est. Gross Debt at 2022YE1 ~€3.7bn BREAKDOWN WELL BALANCED MATURITY PROFILE2 Bank debt 3% ¥10,000 4 Private placements €200 40% Public bonds €601 3 €500 €550 €500 €500 €500 57% €300 €200 $170 2022 2024 2025 2026 2028 2030 2031 2034 2038 All figures are
Slide 25: …and preserving cash at best available yields
…AND PRESERVING CASH AT BEST AVAILABLE YIELDS CASH MANAGEMENT OBJECTIVES MAIN CHARACTERISTICS ▪ Allocation to bank deposits (1-6 month duration) to leverage on short-term rates with no mark-to-market volatility. Exposure to ~7 counterparties with strong credit ratings ▪ Allocation to money market an
Slide 26: Investor and Analyst Call Agenda
INVESTOR AND AGENDA ANALYST CALL ▪ UPDATE ▪ COMPANIES ▪ VENTURES ▪ LINGOTTO ▪ FINANCIALS ▪ ESG ▪ WHAT’S NEXT? 30 NOVEMBER 2022 26
Slide 27: We are making progress on Exor's ESG commitments…
WE ARE MAKING PROGRESS ON EXOR’S ESG COMMITMENTS… OUR PASSIONS COMMITMENTS AT HOLDING LEVEL OUR PROGRESS ENVIRONMENT ▪ Achieve carbon neutrality by 2022 and ✓ Measured Scope 1, 2 and 3 emissions Emissions reduction net zero emissions by 2025 ✓ Carbon neutral at holding level for FY2021 ✓ Designed an
Slide 28: …and supporting our companies as they pursue our shared ESG passions
…AND SUPPORTING OUR COMPANIES AS THEY PURSUE OUR SHARED ESG PASSIONS ENVIRONMENT SOCIAL GOVERNANCE Emissions reduction Education: decreasing inequalities Diversity and inclusion and promoting innovation We are committed to 21st century, We believe hiring and empowering We have a history of championi
Slide 29: Investor and Analyst Call Agenda
INVESTOR AND AGENDA ANALYST CALL ▪ UPDATE ▪ COMPANIES ▪ VENTURES ▪ LINGOTTO ▪ FINANCIALS ▪ ESG ▪ WHAT’S NEXT? 30 NOVEMBER 2022 29
Slide 30: We will allocate cash to both Companies and Investments
WE WILL ALLOCATE CASH TO BOTH COMPANIES AND INVESTMENTS CASH TO DEPLOY ~€6.5bn ~€5.0bn ~€1.5bn COMPANIES INVESTMENTS ▪ Focus on Healthcare, Luxury and Technology1 ▪ Lingotto ▪ Potentially one larger and 3-5 smaller acquisitions ▪ Ventures ▪ Prioritizing public, but not excluding private ones 1) Oppo
Slide 31: Well positioned for the challenges and opportunities ahead
WELL POSITIONED FOR THE CHALLENGES AND OPPORTUNITIES AHEAD ▪ Strong companies with ambitious futures ▪ Experienced and entrepreneurial leadership team ▪ Ready to capture new opportunities ▪ Solid track record of building great companies with great people 31
Slide 32: Q&A Session
INVESTOR AND Q&A SESSION ANALYST CALL 30 NOVEMBER 2022 32