Vef Ab · OMXSTO:VEFAB
Vef Ab — Investor Presentation (January 2024)
33 slides from Vef Ab's investor presentation, January 2024
Slide 1: The emerging market fintech investor
J ¢ - Investor Presentation January 2024 The emerging market fintech investor
Slide 2: Agenda: Introduction to VEF
Agenda Ver A Introduction to VEF
Slide 3: Riding one of the strongest multi-year secular growth trends
Riding one of the strongest multi-year secular growth trends in some of the world’s fastest-growing markets 3 ca liquidity investments as at 31 2 Listed in Sweden since Dec-2015 — VEF AB (publ) We were spun out from VNV Global, with a 3% stake in Tinkoff and raised $70 min of initial capital Admitte
Slide 4: Clear investment approach coupled with deep fintech expertise
Clear investment approach coupled with deep fintech expertise Targeted investment approach with a clear mandate... ©9Oooe SECTOR We target all lines of financial services inclusive of payments, credit and savings/investments. The “right” target sector is very market- dependent. GEOGRAPHY Within emer
Slide 5: A diversified portfolio across scale emerging markets
A diversified portfolio across scale emerging markets VEF has backed entrepreneurs across the emerging world since inception in 2015 Portfolio companies As at 31 December 2023 Mexico ‘ Konfio +minu< ef Brazil CG credites Finanzero NibO @ ver investments Russia! peBc+ Emerging Europe — Pakistan =the
Slide 6: Strong track record of investing in benchmark private fintech names across EM
Strong track record of investing in benchmark private fintech names across EM VEFr We are now present in one of the top 3 private fintech assets each in Brazil, Mexico & India. We have a track record of backing and successfully exiting fintech champions in Russia and Turkey Current investments in tw
Slide 7: Clear mandate with a proven strategy
Clear mandate with a proven strategy — strong track record of delivering returns Ver Proven track-record in value-creation and Ability to identify and access benchmark Driving our strong history of long-term successful exits private fintech names across EM shareholder return wells Tinkott 65% IRR Br
Slide 8: Backed by blue-chip institutional capital
Backed by blue-chip institutional capital VEFr Strong conviction in VEF’s investment appraisal Key shareholders have committed to co-investments in follow-on rounds across a number of our portfolio companies Long-term supportive institutional shareholder base Leading institutional managers maintain
Slide 9: Established reputation and deep relationships within local ecosystems
Established reputation and deep relationships within local ecosystems provides a Ver competitive moat and access to unique opportunities Kes erazil @credites Deep sector expertise and a global lens to emerging market fintech Differentiated insights from our global portfolio, continuous pipeline ee u
Slide 10: >6% collective holding in VEF
>6% collective holding in VEF1 • • • • • • • • • • • • • • •
Slide 11: Agenda: 4Q 2023 Results Overview
Agenda Ver B 4Q 2023 Results Overview a
Slide 12: NAV Evolution
VEFr NAV of USD 442 min in 4Q23 NAV Evolution 1Q22 USD min 2 2 is g 2 s 8 2 @ Market impact | 8 8 E 800 Sy fe Be an YS 23 25 ae ae oo ae i] = é 600 | 400 120 Covid imp: €Z-08 e¢-deg e¢-unr €C-EN zz-080 zz-deg ze-unr ZZ-1eN \z-08q iz-deg ke-unr ie-reW oz-08q oz-deg og-unr oz 6l-09q 6l-deg 6-unr 6-eW
Slide 13: Evolution of our valuation marks in 4Q23
Ver Evolution of our valuation marks in 4Q23 Fair value USD (min) 4Q21 1@22 2022 3022 4@22 1023 2023 3023 4a23 | Ge@% | Yov% VS Sch change change holdings @credites 3041 3941 1959 23 1931 1987 2129 1835 1888 3% -2% 41.0% ‘onfio x x . . ; x . ; . 19% 138% 7% Konfi 1356 1356 86614 614 401 489 856 798
Slide 14: Valuation approach and key take-aways (1/2)
Valuation approach and key take-aways (1/2) Ver T +12 months To Latest significant equity transaction T+12 months onwards... Mark-to-Model (MTM) * Significant equity transaction within the last 12 months serves as the primary anchor for our fair value analysis. * Post 12 months fair value determined
Slide 15: Valuation approach and key take-aways (2/2)
Valuation approach and key take-aways (2/2) VEF 4@ fair value Company (USD mi CG creditas Konfio OJUSPAY transferGo FinanZero 188.8 95.3 744 27.0 7.3 15.6 12.7 8.4 77 7.3 58 +5. 415.5, +75 nge @oG@ | Valuation USD min) |methodology 5.3 MTM MTM MTM MTM Latest trx MTM MTM Latest trx Latest trx MTM Var
Slide 16: Key NAV and portfolio performance metrics 4Q23
Key NAV and portfolio performance metrics 4Q23 16 Ver NAV and portfolio fair value conservatively reflects the current environment through a robust valuation framework NAV significantly reset in 2022 to reflect the environment, now resuming our growth trajectory through 2023 (USD min) 762 ™ L| 16% 4
Slide 17: 4Q23 NAV Evolution
4Q23 NAV Evolution VU € F Evolution in NAV primarily driven by multiple expansion and Fx tailwinds across 4Q23, complemented by portfolio delivery 4Q23 NAV Bridge Key takeaways USD min Hotel ued on MTM & calibrati Hotel alued on latest ©. ‘ * Total USD NAV ended the quarter at USD 442.2 lings valued
Slide 18: Share price, NAV/share and the premium/discount
Share price, NAV/share and the premium/discount VEFr NAV/share & price development Premium/(Discount) to NAV 7 60% 6 40% 5 20% 4 0% 3 -20% 2 -40% 1 -60% “80% © Rhee 2 Q@LOOOSOTKA a 2229 4 9» » Ger eAeeseePTaGRFFRFRAKLAARKLAS (EE NA\V//Share (SEK) <= Share Price (SEK) Premium / (discount) to NAV.
Slide 19: Closing the discount to NAV
Closing the discount to NAV Ver The discount to NAV averaged 57% through 4Q23. We have several ongoing initiatives aimed at addressing the discount: VEF initiative Details Anticipated effects * On the front foot marketing our story globally * Our key portfolio companies have been busy speaking to in
Slide 20: Capital position — comfort with controllables
Capital position — comfort with controllables Solid cash position to cover coupon payments and opex Expected cashflows to YE24 USD min -USD 9 min vs 3Q23 report 216 given partial reduction in _ size of outstanding debt 04 12.3 Cash position E23 Coupon payments Opex Interest Cash position YE24 Sustai
Slide 21: VEF investment case and outlook
VEF investment case and outlook Ver NAV tailwinds in place 2023 16% growth in NAV (USD 60.4 min) benefitting from strong macro and market level performance. At a portfolio level, growth remains robust and forecasts are bottoming out — in many cases we are starting to revise up estimates again. Optim
Slide 22: Agenda: Key Portfolio Companies
Agenda Cc Key Portfolio Companies 22 VEFr
Slide 23: VEF portfolio overview
VEF portfolio overview Solfécil is building a digital . Brazil's leading digital-first , s=lIfacil ecosystem for solar energy 2.6% 34% CG creditas secured lending platform 87% 41.0% adoption in Brazil - Leading accounting SaaS ‘ 201% 28% rie Provides credit, payments and nib Q provider for SMEs in B
Slide 24: VEF key portfolio companies
VEF key portfolio companies VEF Position’ 24 Key Products Year of Investment Investment / Fair Value Ownership Stake Ccreditas © Brazil's leading digital-first secured lending platform = Auto equity / finance - Home equity - Payroll lending - Insurance & ancillary services 3Q23 Results - Loan portfo
Slide 25: Creditas — Brazil's leading digital-first secured lending platform
Creditas — Brazil’s leading digital-first secured lending platform CS creditas VU € F Market opportunity Creditas value proposition Key stats! Extraordinary interest rates... Average APR on lending products in Brazil (2023) AN7% 190% 137% | i my Credit cards Credit cards Overdraft. Personal revolvin
Slide 26: Creditas has moderated growth while accelerating its path to profitability
Creditas has moderated growth while accelerating its path to creditas profitability G VEF Portfolio Under Management & New Originations Strong delivery driving clear path towards profitability BRL min + Robust top-ine growth: 323 revenues reached BRL 482.3 min, (54%) up 16.3% YoY. Portfolio growth r
Slide 27: • • ̶ ̶ ̶ • • 16.00 12.00 8.00 4.00 0.00
• • ̶ ̶ ̶ • • 16 16.00 12 12.00 8 8.00 4.00 4 0.00 0
Slide 28: Konfio - Mexico's leading digital financial services provider for SMEs
Konfio - Mexico’s leading digital financial services provider for SMEs Konfio VEF Market opportunity Konfio value proposition Key stats Only 11% of SMEs in Mexico have access to credit —\ Low Low fi fl await ow financial inclusion < KN Low productivity The market is poised for structural catchup & d
Slide 29: Juspay - leading mobile payments platform for online merchants in India
Juspay - leading mobile payments platform for online merchants in India © JUSPAY Ver Market opportunity Serving a $750 bin+ complex Indian digital payment market! Value of digital transactions ($ bin) ~4x Growth in cgita transactions value estimated over the next 4 ye: 95 208 Si = FYi9 Fy2i FY26E MD
Slide 30: Juspay KPIs and product suite
Juspay KPls and product suite Leading mobile payments platform for online merchants in India Key stats Product suite all $100 bin+ Annualised TPV S 30 min+ Avg. daily transactions um 99.95% eis Best in class uptime 400+ cients amazon G Pay CRED wn Ome QD ate 30 Le ~ Bx TPV growth in last 3 years O 1
Slide 31: Agenda: ESG
Slide 32: VEF sustainability strategy summary
VEF sustainability strategy summary Sustainability as a fundamental part of VEF’s business model VEFr Our capital plays an important role in furthering financial inclusion Successfully refinanced sustainability bond in November 2023 @ VEF supports the UN Sustainable Development Goals SUSTAINABLE Mai
Slide 33: Thank you
Thank you