Slide 1: Press conference / Analyst meeting 1H 2016/2017 - results
Press conference / Analyst meeting 1H 2016/2017 - results Brussels, 17 November 2016 P-1154
Slide 2: Disclaimer
Disclaimer • This document is being provided to you solely for your information. It is confidential, is not intended for distribution to the press or other media, and may not be reproduced or redistributed by mail, facsimile, electronic or computer transmission or by any other means to any other per
Slide 3: Gimv Group's results 1H 2016-2017
Gimv Group’s results 1H 2016-2017 Koen Dejonckheere (CEO) & Kristof Vande Capelle (CFO) 3 1H RESULTS 2016-2017
Slide 4: Key messages
Key messages On track to realise excellent results for 3rd consecutive year • Attractive realised results on exits • Solid sales & ebitda growth in 2/3 of portfolio companies • Portfolio return of 12.5% (non-annualised) • Excellent half year result with above-average ROE Favourable exit climate and
Slide 5: 1. Excellent results backed by record exits and value creation within the portfolio
1. Excellent results backed by record exits and value creation within the portfolio 5 1H RESULTS 2016-2017
Slide 6: Record exits and portfolio companies' performance
Record exits and portfolio companies’ performance… (*) (*) Sales growth EBITDA growth +9% +19 % 2/3 of portfolio cies 52 portfolio (*) show growth companies (*): 1H16 vs 1H15 6 1H RESULTS 2016-2017
Slide 7: ...lead to excellent 1H results for Gimv
…lead to excellent 1H results for Gimv Net profit 27% uplift on exits EUR 85 mio Equity (NAV) Return on equity EUR 1 191 mio or (*) 7.3% EUR 46.8 per share (*) non-annualised 7 1H RESULTS 2016-2017
Slide 8: Return on equity of 7.3% driven by strong portfolio result
Return on equity of 7.3% driven by strong portfolio result 1300 40.3 -28.9 14.5 -62.3 1200 71.8 -12.3 Portfolio result of EUR 126.6 mio 1100 1000 1 191.0 1 167.9 900 800 Equity Net realised Net Dividend & Other results Dividend Share Equity 31/3/2016 capital gains Unrealised interests paid of/change
Slide 9: Continued nice uplift on exits
Continued nice uplift on exits • Proceeds from 1H 16-17 divestments (incl. income received): EUR 342.9 mio • Opening equity on 31 March 2016 of EUR 270.6 mio, or an uplift of 27% • Investment cost of EUR 122.6 mio, or a money multiple of 3.7x (included interim proceeds) Total uplift on opening equit
Slide 10: Unrealised results driven by increased stock-prices, portfolio performance and debt reductions
Unrealised results driven by increased stock-prices, portfolio performance, and debt reductions in our portfolio cies • Weighted average 12,4 Listed EV/EBITDA-ratio: 6.3x (after 27% discount), with average 8,5 Ebitda or Sales net debt/EBITDA-ratio at 1.3x 8,0 Net Financial Debt 3,3 First Time Valuat
Slide 11: Portfolio size remains important at ~EUR 900 million
Portfolio size remains important at ~EUR 900 million 1300 1200 67.6 -53.1 Historical investment cost: EUR 122.6 mio 1100 116.0 1000 -270.6 900 21.5 800 1013.9 700 895.4 600 500 Portfolio Investments Value Value Divestments Other Portfolio 31/03/2016 increases decreases Portfolio value 30/09/2016 11
Slide 12: Sound financial position allows future growth
Sound financial position = quarter of our balance sheet allows future growth • Net treasury at EUR 349.6 mio • Remaining LP-commitments in co-investment partnerships: EUR 181 mio • Unused credit lines of EUR 200 mio • No debt at Gimv level 12 1H RESULTS 2016-2017
Slide 13: 2. Record exits but also continued portfolio expansion
2. Record exits but also continued portfolio expansion 13 1H RESULTS 2016-2017
Slide 14: High investment and divestment activity
High investment and divestment activity Invested Divested EUR 116 mio EUR 342 mio (EUR 123 mio historical investment cost) 8 new investments + multiple add-on 8 full exits investments 14 1H RESULTS 2016-2017
Slide 15: High investment activity
High investment activity • Entry: September 2016 • Entry: May 2016 • Entry: May 2016 • Entry: April 2016 • Inspection and • Sheet metal welding for • Neurostimulation therapy • Implantable certification services for the automotive sector for gastroesphageal reflux neurostimulator device buildings an
Slide 16: Welding reinvented
Welding reinvented • Dutch cy active in the development, OPPORTUNITIES FOR VALUE CREATION application and marketing of patented • Further penetrate in existing markets, automated welding technology, called the with both existing and new customers ‘ArpLas System’, primarily used in the • Developments
Slide 17: Building a global challenger in spinal implants
Building a global challenger in spinal implants • Swiss medical device cy focused on OPPORTUNITIES FOR VALUE CREATION simplifying spinal surgery by designing, • Reinforcement of the company’s sales developing and promoting safe and efficient organization and processes solutions to surgeons, operatin
Slide 18: Cutting-edge technology
Cutting-edge technology • Belgian headquartered Summa designs, OPPORTUNITIES FOR VALUE CREATION develops and manufactures digital cutting • Penetration in the American market equipment through roll-out of distributor network as • Gimv acquired a majority stake of ~65%, next to well a growing the res
Slide 19: New value creation processes started
New value creation processes started Deal thesis: growth acceleration by Focused International Product Organic growth Buy & Build platforms expansion development Joolz Connected Consumer Real Impact Analytics Endostim Health & Care G-Therapeutics Spineart Arplas Systems
Slide 20: Record realisations
Record realisations • April 2016 – full exit • April 2016 – full exit • Sept 2016 – full exit • Sept 2016 – full exit • Acquired by Motion Equity • Acquired by Qorvo, a • Acquired by Total, the • Sold to a Canadian private Partners, a mid-market Nasdaq-listed provider of world’s 4th listed oil & gas
Slide 21: Punchy to say the least
Punchy to say the least • Independent producer of fuel efficient powertrains / continuous variable transmissions • Gimv-XL Fund acquired a 46.1%-stake investing EUR 18 million in March 2010 • New Horizon Capital acquired 30% of the company in December 2013, whereby Gimv- XL’s stake reduced to 32.1%
Slide 22: Having contributed to PPT's growth: investment, expertise and guidance
Having contributed to PPT’s growth: investment, expertise and guidance • Different financing structures were developed • Client base expanded from 2 customers in 2009 to 24 today, of which 16 Chinese • Capacity >3x, both at Sint-Truiden and Nanjing • From a single product to a wide range of automoti
Slide 23: With a bumper return for our shareholders
With a bumper return for our shareholders and a company in fantastic shape for the future • The EV rose from EUR 39 million at the • Attracting Yinyi as long-term partner moment of our investment to a value of • China is the world’s largest automotive market EUR 1 billion at the moment of exit • Fir
Slide 24: Shaping a tasty future
Shaping a tasty future • Leading food manufacturer, active across two business lines: Bakery Products and Margarines, Culinary Oils and Fats • In 2009, Gimv-XL Fund invested EUR 75 million in the form of a subordinated loan with warrants, which upon exercise led to a 23,6% stake • The loan condition
Slide 25: Having contributed to the company's growth
Having contributed to the cy’s growth: investment, expertise and guidance • Financial support in initially challenging circumstances • Deleveraging through the sale of Alpro to Dean Foods for EUR 325 million • Working capital optimization • Integration of Panavi, incl. overhaul footprint • Significa
Slide 26: With a very nice return for our shareholders
With a very nice return for our shareholders and a focused company in great shape again • The first and largest investment of the • Offering temporary support for a company in Gimv-XL Fund transition (financially and operationally) • Providing our shareholders with a • Total workforce grew from 3644
Slide 27: A portfolio in excellent shape with a combined value of ~EUR 900 million
A portfolio in excellent shape with a combined value of ~EUR 900 million 27 1H RESULTS 2016-2017
Slide 28: 3. Wrap-up
3. Wrap-up 28 1H RESULTS 2016-2017
Slide 29: Key conclusions
Key conclusions Excellent half year results with above-average portfolio return Record divestments Continued strong performance of our portfolio companies Strong investment activity Solid financial position enables growth ambitions Value creation at the core of our investment strategy (for our compa
Slide 30: Questions & Answers
Questions & Answers 30 1H RESULTS 2016-2017
Slide 31: Annexes: Additional information
Annexes: Additional information 31 1H RESULTS 2016-2017
Slide 32: Twenty largest investments: rank 1 to 5
Twenty largest investments make up 52% of portfolio (based on NAV of 31 March 2016) > rank 1 to 5 Company Activity Platform Location Entry HVAC solutions in residential renovation and new The Netherlands 2016 build markets Specialised clinics France 2013 Independent beer group The Netherlands 2015 3
Slide 33: Twenty largest investments: rank 6 to 10
Twenty largest investments (ctd) > rank 6 to 10 Company Activity Platform Location Entry Video advertising on social and premium media France 2011 Premium baby strollers The Netherlands 2016 Inspection and certification services for buildings France 2016 and elevators Medical device company active i
Slide 34: Twenty largest investments: rank 11 to 15
Twenty largest investments (ctd) > rank 11 to 15 Company Activity Platform Location Entry Production of substrate for the cultivation of Belgium 2012 mushrooms Solutions for glass daylight constructions, ventilation & fire safety systems The Netherlands 2010 Plastic pallet pooling Belgium 2016 Trans
Slide 35: Twenty largest investments: rank 16 to 20
Twenty largest investments (ctd) > rank 16 to 20 Company Activity Platform Location Entry Digital cutting equipment Belgium 2016 Specialty pharma & medical homecare The Netherlands 2013 Fresh and prepared fruit and vegetables, flowers and plants, fresh logistic services and growing Belgium 2013 medi
Slide 36: Record divestments and increased results lead to excellent 1H result of EUR 85 million
Record divestments and increased results portfolio companies lead to excellent 1H 20106/17 result of EUR 85 million IFRS 1H 15/16 2H 15/16 FY 15/16 1H 16/17 Net group results 64.9 72.3 137.2 85.1 Investments (balance sheet) 20.1 110.1 130.2 116.0 Investments (incl. FuM) 40.1 122.4 162.5 128.7 Divest
Slide 37: Equity matrix: dynamic portfolio of 52 companies
Equity matrix: dynamic portfolio of 52 companies Business Unit Net Other Connected Health & Smart Sustainable Third party treasury & Equity participations Total Consumer Care Industries Cities funds other net group (incl. infra) Region assets Belgium 66.7 8.6 67.7 67.7 6.3 52.6 269.4 France 65.7 44.
Slide 38: Continued strong investment activity & record divestments
Continued strong investment activity & record divestments 650 91,8 550 450 300,7 350 250 16,9 18,6 26,5 29,7 20,6 56,5 150 12,7 24,1 12,3 46,6 52,3 55,3 50,0 70,9 13,7 57,7 26,7 49,0 45,8 50,3 17,5 45,0 17,8 53,1 3,4 28,4 16,1 20,120,0 123,7 125,9 110,1 133,6 105,3 138,3 193,7 103,3 123,9 116,0 341,
Slide 39: Above-average portfolio return driven by record exits
Above-average portfolio return driven by record exits Connected Health & Smart Sustainable Other Total Consumer Care Industries Cities portfolio* Realised gains & losses 9.9 0.3 51.0 4.1 6.5 71.8 Unrealised gains & losses/impairm. -0.8 8.1 14.3 -1.9 -5.1 14.5 Dividends/interests 2.5 0.5 0.9 0.2 36.3
Slide 40: 52 portfolio companies with combined value of ~EUR 900 million
52 portfolio companies with combined value of ~EUR 900 million 7% 23% 21% 15% 19% 15% Connected Consumer Health & Care Smart Industries Sustainable Cities Third party funds Other shareholdings (incl.infra) 40 1H RESULTS 2016-2017
Slide 41: Young portfolio: 1/3 was newly invested in the past 2.5 years
Young portfolio: 1/3 was newly invested in the past 2.5 years Weighted average by valuation method EV/EBITDA-ratio: 6.3x by vintage** (after 27% discount)* 3% 4% 6% 6% 7% 35% 32% 29% 24% 21% 33% Multiple Third party funds Cost Other ≤ 2006 2007-2009 2010-2013 ≥ 2014 Loans Listed Gimv managed funds P
Slide 42: Weighted average multiple at 6.3x
Weighted average multiple at 6,3x • Relatively stable EBITDA-multiple after discount • Average discount at 27% 7,00 30% 6,00 25% 5,00 20% 4,00 15% 3,00 10% 2,00 1,00 5% 0,00 0% 03/2014 06/2014 09/2014 12/2014 03/2015 06/2015 09/2015 12/2015 03/2016 09/2016 EV/Ebitda (weighted average) Discount to pe
Slide 43: Contact
CONTACT Frank De Leenheer T +32 3 290 22 08 frank.deleenheer@gimv.com Belgium The Netherlands France Germany Gimv nv Gimv Nederland Holding BV Gimv France SAS Gimv Karel Oomsstraat 37 Berlage-Huis 83, rue Lauriston Promenadeplatz 12 2018 Antwerpen Groenhovenstraat 2 75116 Paris 80333 München T +32 3