Baltic Horizon Fund · OMXTSE:NHCBHFFT

Baltic Horizon Fund — Shareholder Meeting (June 2021)

22 slides from Baltic Horizon Fund's shareholder meeting presentation, Jun 1, 2021

  1. Slide 1: Baltic Horizon Fund Webinar: Annual General Meeting Q1 2021

    BALTIC HORIZON FUND WEBINAR Annual General Meeting Q1 2021 Page 1

  2. Slide 2: Key highlights

    Europa SC Key highlights Page 2

  3. Slide 3: Diversified Investment Strategy

    DIVERSIFIED INVESTMENT STRATEGY Fund information • Focus on high-quality properties in the Baltic capitals Total >5,000 investors Units EUR >119 million • High dividend capacity – REIT aiming to pay at least 80% of net cash flow outstanding from operations Nasdaq churn ca 17% of the market cap p.a •

  4. Slide 4: Baltic Horizon Fund Key Figures 2020 vs 2019

    BALTIC HORIZON FUND KEY FIGURES 2020 VS 2019 Fair value of portfolio, EUR thousand Dividends per unit, EUR cent Net rental income, EUR thousand 19.934 339,992 358,942 6.7 10.6 19.219 Occupancy, % Generated net cash flow per unit1, EUR cent Net (loss) profit, EUR thousand (13,541) 94.3% 98.3% 10.0 11

  5. Slide 5: Key Figures as of 31 March 2021

    BALTIC HORIZON FUND KEY FIGURES AS OF 31 MARCH 2021 Trade receivables (monthly) Net rental income (quarterly) 3.500 7.000 3.000 6.000 2.500 5.000 2.000 4.000 1.500 3.000 1.000 2.000 500 1.000 - - 2020-10 2020-11 2020-12 2021-01 2021-02 2021-03 2020-02 2020-03 2020-05 2020-06 2020-07 2020-08 2020-09

  6. Slide 6: Notable Events for the Fund

    NOTABLE EVENTS FOR THE FUND From the governance point of view, Standard and Poor’s rating has In February 2021, the Fund started an Baltic Horizon Fund received two remained unchanged. On 12 April international tender for property awards from EPRA: “Gold Award” for 2021, S&P Global Ratings affirmed

  7. Slide 7: Financial results

    Vainodes I Financial results Page 7

  8. Slide 8: Financial Results for Q1 2021

    FINANCIAL RESULTS FOR Q1 2021 PROFIT AND LOSS EUR ‘000 Q1 2021 Q1 2020 Change (%) Key comments: Rental income 4,677 6,209 (24.7%) Service charge income 1,217 1,356 (10.3%) ➢ In Q1 2021, the Group earned net rental income of EUR 4.2 million, a Cost of rental activities (1,721) (1,793) (4.0%) decrease

  9. Slide 9: Financial Results for 2020

    FINANCIAL RESULTS FOR 2020 PROFIT AND LOSS EUR ‘000 2020 2019 Change (%) Key comments: Rental income 21,697 20,776 4.4% ➢ In 2020, the Group earned net Service charge income 4,990 4,525 10.3% rental income of EUR 19.9 million exceeding the previous year’s net Cost of rental activities (6,753) (6,082

  10. Slide 10: Financial Results for Q1 2021: Financial Position

    FINANCIAL RESULTS FOR Q1 2021 FINANCIAL POSITION EUR ‘000 31.03.2021 31.12.2020 Key comments: Investment properties 334,699 334,518 ➢ At the end of Q1 2021, the Fund’s Investment property under construction 6,537 5,474 GAV was EUR 356.0 million (31 Property, plant and equipment 3 2 December 2020: EU

  11. Slide 11: Cash Distributions

    BALTIC HORIZON FUND CASH DISTRIBUTIONS 0,035 0,035 0,027 0,027 0,028 0,026 0,026 0,026 0,026 0,030 0,030 0,024 0,024 0,025 0,025 0,025 0,023 0,023 0,025 0,020 0,020 0,018 0,020 0,015 0,015 0,011 0,011 0,015 0,015 0,010 0,010 0,025 0,027 0,027 0,028 0,020 0,024 0,027 0,029 0,026 0,028 0,030 0,024 0,0

  12. Slide 12: Financing Summary

    FINANCING SUMMARY AS OF 31 MARCH 2021 Summary of financing terms Maturity by separate loan (EUR ‘000) 60.000 60.2% 2.6% 50.000 Bonds LTV Cost of debt 40.000 30.000 Galerija Centrs 20.000 Europa CC Plaza and Postimaja 0.2% 1.8 years Duetto Upmalas Biroji 10.000 Domus Pro Vainodes Annual debt Weighted

  13. Slide 13: Financial Debt Structure

    FINANCIAL DEBT STRUCTURE AS OF 31 MARCH 2021 Carrying amount Property Maturity % of total Fixed rate portion (EUR’000) Galerija Centrs 26 May 2022 30,000 14.6% 100% Europa SC 5 July 2022 20,900 10.2% 88% CC Plaza and Postimaja 12 February 2023 17,200 8.3% 100%1 Duetto I and II 31 March 2023 15,376 7

  14. Slide 14: Property performance

    G4S HQ Property performance Page 14

  15. Slide 15: Fund Portfolio Summary

    BALTIC HORIZON FUND PORTFOLIO SUMMARY The Fund is minimising concentration risk by diversifying the client base, segment, and geographical allocation Net rental income by segment as of 31 March 2021 Rental concentration: 10 largest tenants as of 31 March 2021 Leisure 3,7% 9,4% Retail 5,9% 31,0% 5,4%

  16. Slide 16: Fund's Portfolio: Vilnius, Lithuania

    BALTIC HORIZON FUND’S PORTFOLIO Property portfolio in Vilnius, Lithuania Duetto I Duetto II Domus Pro Type Office Type Office Type Office /Retail Rentable area 8,587 Rentable area 8,674 Rentable area 16,078 Occupancy 100% Occupancy 100% Occupancy 99.9% NOI, EUR M1 1.2 NOI, EUR M 1.4 NOI, EUR M 1.5 F

  17. Slide 17: Fund's Portfolio: Riga, Latvia

    BALTIC HORIZON FUND’S PORTFOLIO Property portfolio in Riga, Latvia Upmalas Biroji BC Vainodes I LNK Centre Type Office Type Office Type Office Rentable area 10,459 Rentable area 8,052 Rentable area 7,453 Occupancy 100% Occupancy 100% Occupancy 100% NOI, EUR M 1.6 NOI, EUR M 1.5 NOI, EUR M 1.1 Fair v

  18. Slide 18: Fund's Portfolio: Tallinn, Estonia

    BALTIC HORIZON FUND’S PORTFOLIO Property portfolio in Tallinn, Estonia G4S HQ Postimaja SC Coca-Cola Plaza Type Office Type Retail Type Cinema Rentable area 9,179 Rentable area 9,145 Rentable area 8,664 Occupancy 100% Occupancy 95.6% Occupancy 100% NOI, EUR M 1.2 NOI, EUR M 1.71 NOI, EUR M 1.71 Fair

  19. Slide 19: Lockdown Property Performance as of March 2021

    LOCKDOWN PROPERTY PERFORMANCE AS OF 31 MARCH 2021 Fair value1 Direct property Net initial yield EUR ‘000 Sector yield Q1 20212 Occupancy rate EUR ‘000 Q1 20213 Duetto I Office 16,419 8.0% 7.3% 100.0% Duetto II Office 18,765 7.4% 7.3% 100.0% Europa SC Retail 38,852 3.0% 2.9% 88.8% Domus Pro Retail Pa

  20. Slide 20: Fund Strategic Priorities 2021 and Beyond

    BALTIC HORIZON FUND STRATEGIC PRIORITIES 2021 AND BEYOND Baltic Horizon Fund aims to be the leading real estate investment Fund in the Baltics with an efficient and investor- friendly structure, focusing on appealing investment returns and value-creation through active management of the existing por

  21. Slide 21: ESG Goals

    BALTIC HORIZON – ESG GOALS ESG has become an important aspect of Fund‘s long-term business strategy Short-term ESG Goals 01 100% of office buildings will obtain building certifications by end of 2021. Chosen certification program – BREEAM. Certification aim – BREEAM In-Use – Very Good or better. A+/

  22. Slide 22: Disclaimer

    DISCLAIMER This material is provided to you for information purposes only. Before investing in any product managed by Northern Horizon Capital (NHC) or associated companies, you should inform yourself about legal and tax consequences, foreign exchange restrictions or exchange control requirements th

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