Mr Price Group Limited · JSE:MRP
Mr Price — Merger or Acquisition (March 2026)
58 slides from Mr Price's merger presentation, Mar 17, 2026
Slide 1: Investor Presentation: NKD Group GmbH
Investor Presentation: NKD Group GmbH 17 March 2026
Slide 2: Chairman's opening remarks
Chairman’s opening remarks • Executing the growth strategy has been a consistent key agenda item for the Mr Price Group (MRPG) main board and executive management - across South Africa and new markets • International expansion under active consideration for the past three years • Developing M&A trac
Slide 3: What can you expect from today?
What can you expect from today? 01 Welcome and opening Nigel Payne 02 Key messages Mark Blair 03 NKD investment case Mark Blair 04 Transaction impact Praneel Nundkumar 05 NKD brand, customer and competitive positioning Alexander Schmökel 06 Wrap up Mark Blair 07 Q&A All 08 Closing Nigel Payne 09 App
Slide 4: Introduction to the team
Introduction to the team Nigel Mark Praneel Alexander Nils Payne Blair Nundkumar Schmökel Bolender CHAIRMAN OF THE BOARD CHIEF EXECUTIVE OFFICER CHIEF FINANCIAL OFFICER CHIEF EXECUTIVE OFFICER CHIEF FINANCIAL OFFICER 4
Slide 5: Key assumptions underlying all financial disclosures
Key assumptions underlying all financial disclosures • Based on NKD management’s 5-year business plan using December year-end • Uses management accounting policies – full IFRS adjustments are currently only made in year-end accounts • Commercial assumptions assessed in due diligence • Accounting pol
Slide 6: Key messages
02 Key messages MARK BL AIR
Slide 7: Key messages
Key messages 1. INTRODUCING GROW TH BE YOND OUR CORE MARKE T • South Africa remains our core, while adding a new growth vector • Diversifying earnings, introducing a platform for regional growth, while preserving local leadership in both markets 2. STR ATEGIC FIT: E X TENSION OF THE VALUE RE TAIL MO
Slide 8: Key messages
Key messages 4. PATH TO E ARNINGS ACCRE TION • The past is not reflective of the future potential of the business • Based on current assumptions for MRPG and NKD, accretion anticipated in Year 2 • NKD management plan is sound and execution plan is on track • Value created through operational excelle
Slide 9: NKD investment case
03 NKD investment case MARK BL AIR
Slide 10: About NKD
About NKD A C A S H - B A S E D VA L U E - F O C U S E D A P PA R E L A N D H O M E WA R E R E TA I L E R O P E R AT I N G A C R O S S C E N T R A L A N D E A S T E R N E U R O P E Target customer Geographical footprint • Quality and price-conscious Total stores: 2 178 across seven countries • Predo
Slide 11: Skilled and committed management team
Skilled and committed management team Alexander Nils Schmökel Bolender CEO - 2022* CFO - 2023 > 3 5 Y E A R S O F R E TA I L >20 YEARS OF FINANCE EXPERIENCE EXPERIENCE Abraham Udo-Stefan Florian Stephanie Gabriele Mike Norbert Tadesse Wiedemann Walter Blaha Fluck Mählmann Siedlaczek SENIOR DIRECTOR
Slide 12: Key investment case highlights
Key investment case highlights • NKD provides MRPG with a material entry into the growing and resilient European value apparel and homeware market • Value segment accounts for ~22% of the Total Addressable European Retail Market* (~€500bn) and is expected to grow at twice the pace of overall retail
Slide 13: Key investment case highlights Continued
Key investment case highlights Continued. • Robust and scalable supply chain with fully integrated and cost-efficient in- house logistics network and diverse and sustainable, highly CSR compliant supplier base with long-term relationships • Team driving a unique and data-driven culture • Values alig
Slide 14: Historical performance background
Historical performance background TDR acquired New CEO New CFO from appointed appointed OpCapita 2019 2020 2021 2022 2023 2024 2025 • Inflation: 1.3% COVID-19 • GDP: 0.9% • Inflation: 0.3% • Inflation: 3.2% • Inflation: 8.6% • Inflation: 5.9% • Inflation: 2.4% • Inflation: 2.3% • GDP: -4.1% • GDP: 3
Slide 15: The vision for NKD
The vision for NKD BY 20 3 0, N K D A I M S TO B E A €1 B I L L I O N S A L ES B U S I N ES S D E L I V E R I N G A D O U B L E - D I G I T O PE R AT I N G M A R G I N , U N D E R PI N N E D BY: • Continued focus on like-for-like growth in core markets • Accelerated store openings and decelerated st
Slide 16: What's required to deliver the 2030 vision
What’s required to deliver the 2030 vision Profitability 2024 2030 CAGR: 2024 – 2030 Net sales €712m ~€1bn ~6.5% Gross margin 61.6% ~62% - 64% EBIT ~15% - 20% EBIT margin 4.0% ~8% - 10% Number of stores 2 108 ~2 700 ~100 p.a. Cash & capital Focus Financial impact management Lower overall cost of deb
Slide 17: Sales
Sales TOTA L S A L ES G R O W T H O F 6% - 7% P. A . D R I V E N BY: S TO R E O PE N I N G S PE R C O U N T RY: 20 26 - 20 3 0 • Group like-for-like growth: - Targeting 3% p.a. on average (existing markets) - Supported by economic factors, data science tools relating to allocation and assortment pro
Slide 18: Gross margin
Gross margin B E T T E R PR I C I N G , M A R K D O W N A N D M A R K E T I N G M A N AG E M E N T D R I V E R S TO AC H I E V E TA R G E T R A N G E: • Scale benefit of buying office volume +26% +32% • Dual sourcing model • Data science tools deliver: - Optimised assortment width and depth, minimis
Slide 19: Operating margin
Operating margin S U PP O R T I V E O F A VA LU E M O D E L • Positive operating leverage • Lean cost structures (appropriate to Europe - sales:RSOI will not be comparable to SA) • Continual focus on efficiency - will rollout further data science tools 19
Slide 20: Unquantified opportunities
Unquantified opportunities EX P ER IENCE D VA L U E R E TA I L M A N AGE M E N T T E AM S COLLABO R ATI N G : NKD has deep European retail experience MRPG has experience in investing for the long-term: profitably scaling businesses, while building value retail brands that customers love • Accelerati
Slide 21: Transaction impact
04 Transaction impact P R A N EEL N U N D KU M A R
Slide 22: Transaction summary: Locked box as at June 2025
Transaction summary: Locked box as at June 2025 10 December 2025 announcement Update Enterprise value €500m €500m Equity value €415m Shareholder loan €38.5m Maximum purchase consideration €487m Anticipated closing purchase consideration* €478m Debt facilities ~R7.0bn T RA N S A C TI ON TO B E S E T
Slide 23: MRPG considerations
MRPG considerations BAL ANCE SHEET • Gearing ratio of combined group Net Debt (excluding lease liabilities):EBITDA (pre-IFRS 16) expected to be 1.5x - 1.75x (~R7.0bn in South Africa, R1.2bn in Germany*) • Dividend policy to remain at 63% pay-out ratio • NKD can self-fund growth for current business
Slide 24: NKD's 2025 Annual Financial Statements
NKD’s 2025 Annual Financial Statements C O N S I D E R AT I O N S • The FY2025 audit is in progress (to be approved and signed off by current Directors) • Timing of AFS release - likely in June with MRPG Annual Integrated Report • Transaction-related and other once-off costs • Alignment of financial
Slide 25: NKD brand, customer and competitive positioning
05 NKD brand, customer and competitive positioning A L E X A N D ER S C H M Ö K EL
Slide 26: Product range
Product range N KD PRE DO M I N A N TLY TA R G ETS F E MA L E CUS T O ME RS A GE D 4 5 T O 6 0 W I T H W O M E N S W E A R M A K I N G U P 6 5 % O F A P PA R E L S A L E S Product range for the entire family Womenswear (~65% of apparel) Home textiles and decoration Home ~20% Menswear (~20% of appare
Slide 27: Quality products at attractive price points
Quality products at attractive price points NKD offers products at similar or lower price points… …and outperforms competitors through better quality and experience Average prices compared to competitors1 (all product categories) Customer Value for Quality Experience service money €150 LEGEND Max 6.
Slide 28: Market positioning and competition
Market positioning and competition AT T R A C T I V E P R I C E P O I N T S F O R H I G H Q U A L I T Y M E R C H A N D I S E Average price points (€) Retail matrix W E L L- P O S I T I O N E D TO CA P T U R E Low Medium High C U R R E N T T R E N D S FAVO U R I N G T H E EU R O PE A N VA LU E M A R
Slide 29: Market positioning and competition | Shein
Market positioning and competition | Shein N K D TA R G ETS FA M I L I ES W HO S E E K GO O D Q UA L I T Y AT A P P E A L I N G P R I C E S , F O C U S I N G O N W O M E N A G E D 4 5 – 6 0 Cross-purchasing of Shein customers Age distribution of customers: NKD vs Shein 81 80 29 78 72 71 69 68 25 61
Slide 30: Market share and customer recognition
Market share and customer recognition N O S I N G L E S O UR CE O F R E GUL A RLY O R R E L I A BLY R E P O RT E D M A R K E T S H A R E F O R E A C H I ND I V I D UA L MA RK E T O R O N A C O M B I N E D B A S I S In their largest market, NKD has maintained market share between 2019 and 2024 despit
Slide 31: An award winning retailer
An award winning retailer Best value for Best and most Excellent Best online Best product Sustainable Employer of the money popular brand customer service shop quality engagement future 9x 8x Consecutively 8x Consecutively 8x Consecutively 5x Consecutively 4x Consecutively NEU 31
Slide 32: Committed to quality and ESG standards
Committed to quality and ESG standards N K D Q UA L I T Y PR O M I S E: HIGH FA I R S TA N DA R D S CONDITIONS “...with our 2024 quality campaign, efforts and investments in our Textiles are thoroughly tested by Continual improvement of work and social products become visible and tangible independen
Slide 33: Robust and agile supply chain
Robust and agile supply chain EXC EL L E NT S O UR CI NG A ND O P E R AT I O NA L A G I L I T Y S U P P O RT I N G G R O S S M A R G I N K E Y S O U R C I N G C O U N T R I ES F U L LY I N T EG R AT E D S U PPLY C H A I N • In-house DC and owned-truck fleet provides agility and control - Partner wit
Slide 34: Store economics
Store economics A C A P I TA L - L I G H T, S M A L L - F O R M AT S T O R E P L AT F O R M D E L I V E R I N G P R O F I TA B I L I T Y A N D A C H I E V I N G S C A L E S U F F I C I E N T T O S E L F - F U N D G R O W T H F R O M I N T E R N A L LY G E N E R AT E D C A S H ~300m2 average store si
Slide 35: Store economics Continued
Store economics Continued. M O D E L CA N B E S UCCE S S F UL LY R O L L E D O U T I N M U LT I P L E F O R M AT S : Main shopping street Specialist retail park Outskirts Pedestrian zone Shopping mall/centre Situated next to other Destination discount Located in a residential Located in a city centr
Slide 36: Wrap up
06 Wrap up MARK BL AIR
Slide 37: Looking to the future
Looking to the future PL AT FO R M FO R G R O W T H • Delivery under long-term strategic ownership after two rounds of Private Equity ownership • Group to be run on following principles: - Global discipline + local execution autonomy + centralised scale advantage + protected focus on core • Group st
Slide 38: MRPG investment case
MRPG investment case O U R V I E W O F M R P G G O I N G F O R WA R D A N D N K D ’ S A L I G N M E N T 1. DELIVERING SCAL ABLE OPPORTUNITIES THROUGH NEW GROW TH VEHICLES AND CONSISTENT DELIVERY TO STAKEHOLDERS • The acquisition supports the achievement of the group’s long-term vision introducing a
Slide 39: MRPG investment case Continued
MRPG investment case Contined. O U R V I E W O F M R P G G O I N G F O R WA R D A N D N K D ’ S A L I G N M E N T 5. OPER ATIONAL E XCELLENCE THROUGH DIGITAL AND TECH MODERNISATION AND AN AGILE FIT-FOR-PURPOSE SUPPLY CHAIN • NKD’s data science capabilities support an agile supply chain, enabled with
Slide 40: Key takeaways
Key takeaways MARKETS • South African business well positioned to capitalise on the expected improved macro environment • Value segment in Europe provides multi-decade growth platform • Is the right company which has the opportunity to realise its full retail capability under the strategic ownership
Slide 41: Q&A
07 Q&A ALL
Slide 42: Closing
08 Closing N I G EL PAY N E
Slide 43: Appendices
09 Appendices
Slide 44: MRPG strategic process
09a MRPG strategic process
Slide 45: Strategic expansion of the group's portfolio
Strategic expansion of the group’s portfolio 2021 - 2023 Acquisition Organic launch K E Y PR O G R ES S: • Introduced new group strategy Premium • Strengthened leadership capacity • Invested in organisational backbone yuppiechef.co.za • Strategic decisions to ignite additional growth: Aspirational v
Slide 46: Significant business growth
Significant business growth Revenue Acquisitions and organic launches: performance^ F Y2019 F Y20 25 R22.6bn R40.9bn • Combined retail sales of R11.7bn | 29.3% of total group sales • Combined retail sales of R4.3bn • Total number of standalone stores: • Combined operating profit of R1.2bn 112 Brand
Slide 47: Research and considerations for next phase of growth
Research and considerations for next phase of growth D E D I CAT E D R ES O U R C ES A L LO CAT E D TO FO C U S O N I D E N T I F Y I N G N E W A R E A S O F G R OW T H TO S U PP O R T T H E AC H I E V EM E N T O F T H E G R O U P ’S LO N G -T E R M V I S I O N A D O P T E D A M U LT I L AY E R E D
Slide 48: Organic launch vs acquisition
Organic launch vs acquisition O R G A N I C L AU N C H AC Q U I S I T I O N • Slow build within existing skill-set • Access to growth businesses with existing skilled teams • More management time required and greater risk of • Clear future growth prospects including platform for regional distraction
Slide 49: Market research | South Africa
Market research | South Africa South African real GDP^ M A R K E T S IZ E , N E W R E TA I L S EG M E N T S A N D CA PI TA L A L LO CAT I O N C O N S I D E R AT I O N S 6.0 • South African business is well-positioned to outperform the market 4.0 and capitalise on any improvement in South African con
Slide 50: Research and identification of new territories
Research and identification of new territories Identified suitable regions and markets for long-term growth C O N S I D E R AT I O N S FO R N E W T E R R I TO R I ES • Market size, ease of doing business and competitive landscape • Stable currency environment • Regulatory and tax regimes • Growing v
Slide 51: Market rationale
09b Market rationale
Slide 52: European macro backdrop
European macro backdrop Real GDP growth (%) Inflation (%) 5.3 3.7 3.6 3.3 3.2 3.9 3.0 3.6 3.7 3.6 3.6 2.8 2.8 2.7 2.5 2.5 3.4 2.4 2.3 2.3 3.0 2.2 2.2 2.9 2.9 2.7 2.5 2.5 2.5 2.4 2.4 1.8 1.8 2.3 2.3 2.3 2.2 2.2 1.7 2.1 2.1 1.6 1.5 2.0 2.0 2.0 2.0 2.0 1.5 1.5 1.9 1.8 1.4 1.7 1.1 1.5 1.0 1.0 0.8 0.8 0.
Slide 53: Market sizing | European retail
Market sizing | European retail T O TA L A N N U A L R E TA I L S A L E S ^ ( $ ’ B N ) Europe 5 586 United States of America China NKD combined markets* 1 807 India Japan Germany 888 United Kingdom France Russia Mexico Indonesia Turkey Italy 465 Brazil Spain Poland 291 Philippines Egypt • European
Slide 54: Market sizing | European value retail
Market sizing | European value retail VA L U E S E G M E N T A C C O U N T S F O R ~ 2 2 % O F T H E T O TA L A D D R E S S A B L E E U R O P E A N * R E TA I L M A R K E T A N D I S E X P E C T E D T O G R O W AT T W I C E T H E PA C E O F O V E R A L L R E TA I L S A L E S I N T H E N E X T F I V
Slide 55: European value retail | Historical performance
European value retail | Historical performance S T R U C T U R A L LY D E F E N S I V E A N D H A S G R O W N A H E A D O F T H E O V E R A L L M A R K E T O V E R T H E L O N G - T E R M Germany: GDP and apparel and footwear market growth 25 Crisis leading to high value retail growth Discount marke
Slide 56: European value retail | Historical performance Continued
European value retail | Historical performance Continued. VA LU E I S A N AT T R AC T I V E FO R M AT I N EU R O PE W I T H VA LU E R E TA I L E R S A PPA R E L M A R K E T: O U T PE R FO R M I N G T H E M A R K E T AC R O S S A L L M A J O R CAT EG O R I E S I N C LU D I N G VA LU E PE N E T R AT I
Slide 57: Why value retailing is growing | Consumer trends
Why value retailing is growing | Consumer trends ~40 % of households are price-conscious* ~42 % of consumers are buying more at value retailers* ~35 % of consumers generally prefer more affordable brands^ ~39 % of consumers buy more private label merchandise, moving away from brand-centric shopping^
Slide 58: Disclaimer
Disclaimer Forward-looking statements: The Mr Price Group may, in this document, make certain statements that are not historical facts and relate to analyses and other information which are based on forecasts of future results and estimates of amounts not yet determinable and which have not been rev