Slide 1: B-Shares Proposal: Equipping Schibsted for the Future
B-SHARES PROPOSAL EQUIPPING SCHIBSTED FOR THE FUTURE INVESTOR PRESENTATION April 2015
Slide 2: Schibsted has a long history of innovative digital growth
SCHIBSTED HAS A LONG HISTORY OF INNOVATIVE DIGITAL GROWTH 1839 VARIOUS INVESTMENTS BY SCHIBSTED GROWTH Schibsted Publishing House 2005 2006 2007 2009 2010 2013 2014 established INTERNATIONAL EXPANSION OF ONLINE CLASSIFIEDS 1966 1996 2003 Schibsted Schibsted Schibsted 2006- Christian Schibsted acquir
Slide 3: Continued digital growth and increasing financial flexibility
CONTINUED DIGITAL GROWTH AND INCREASING FINANCIAL FLEXIBILITY ■ Our strategy remains focused on becoming number one in online marketplaces (“OLC”) and on building world- class digital media houses Strategy ■ Our OLC segment is positioned to deliver 15-20% growth in the medium and long term ■ M&A is
Slide 4: Global leader in online marketplaces and building world-class media houses
GLOBAL LEADER IN ONLINE MARKETPLACES AND BUILDING WORLD-CLASS MEDIA HOUSES
Slide 5: Pursuing digital growth across the group
PURSUING DIGITAL GROWTH ACROSS THE GROUP Participate in consolidating Tap opportunities in adjacent Offer digital products and efforts business areas services with strong editorial Objectives Expand into additional content and consumer insight Focus primarily on personal Our verticals fina
Slide 6: A global leader in online marketplaces
A GLOBAL LEADER IN ONLINE MARKETPLACES… ■ 7,800 Employees ■ 15bn Revenue (NOK) ■ 24 Countries ■ #1 in General Classifieds in almost all markets1 ■ Reaching >200m people worldwide Source: Schibsted 1 By traffic 6
Slide 7: …in some of the largest countries in the world
…IN SOME OF THE LARGEST COUNTRIES IN THE WORLD Market leading positions in ..and in some of the largest countries the largest European economies.. in the world GDP 2013 (USDtrn) per country Population (million) per country Germany 3.7 China 1 369 France 2.8 India 1 269 UK 2.7 USA 321 Italy 2.2 Indon
Slide 8: A balanced OLC portfolio with assets in different maturity stages
A BALANCED OLC PORTFOLIO WITH ASSETS IN DIFFERENT MATURITY STAGES Return Adjacent Examples of sites models -indicative Monetisation Build monetization Invest in brand Build traffic and inventory Investment Operations in investment phase Operations in established phase 8
Slide 9: Strong track-record of actively using M&A and partnerships to create value
STRONG TRACK-RECORD OF ACTIVELY USING M&A AND PARTNERSHIPS TO CREATE VALUE '99 '00 '01 '02 '03 '04 '05 '06 '07 '08 '09 '10 '11 '12 '13 14 Source: Schibsted Note: Columns represent Schibsted Online Classifieds revenues. Circles represent cornerstone acquisitions / JVs 9
Slide 10: Successfully participated in consolidation to establish market leading positions
SUCCESSFULLY PARTICIPATED IN CONSOLIDATION TO ESTABLISH MARKET LEADING POSITIONS July 2014 November 2014 February 2015 Schibsted's site Bikhir.ma merged JVs established to develop OLC in Schibsted agreed with Naspers to with the competitor Avito.ma in Brazil, Indonesia, Thailand and acquire th
Slide 11: Growth opportunities going forward
GROWTH OPPORTUNITIES GOING FORWARD
Slide 12: Continue to pursue growth opportunities within OLC
CONTINUE TO PURSUE GROWTH OPPORTUNITIES WITHIN OLC - BOTH ORGANICALLY AND THROUGH ACQUISITIONS CAPTURE GROWTH IN EMERGING PURSUE CONSOLIDATION ENTER NEW MARKETS EXPAND VERTICALS MARKETS Recent case examples – Recent case examples Recent case examples Recent case examples Ads per day in Brazil (‘000)
Slide 13: Leading the digital transformation in media
LEADING THE DIGITAL TRANSFORMATION IN MEDIA Mobile and Tablet Web TV Reader Involvement Digital Subscription Capturing and utilizing user data 13
Slide 14: Leverage digital ecosystems to accelerate adjacent growth models
LEVERAGE DIGITAL ECOSYSTEMS TO ACCELERATE ADJACENT GROWTH MODELS ■ Schibsted Growth is already a NOK 1 billion business ■ Market leader in personal finance in Sweden and Norway ■ Fuelled from large traffic pools in online media and classifieds ■ Major potential to be exploited with deeper, data-driv
Slide 15: Building technology to leverage the full synergy potential
BUILDING TECHNOLOGY TO LEVERAGE THE FULL SYNERGY POTENTIAL ACROSS ALL BUSINESS AREAS Advertising Platform Payments Identity Analytics ■ Data Driven effective ■ Single-sign-on and Differentiating Identity data ■ Data sciences & analytics advertising based on rich payment solution for the to enhance u
Slide 16: Introduction of B-shares
INTRODUCTION OF B-SHARES
Slide 17: Schibsted should have the financial flexibility and acquisition currency
SCHIBSTED SHOULD HAVE THE FINANCIAL FLEXIBILITY AND ACQUISITION CURRENCY TO CAPITALIZE ON OPPORTUNITIES ■ Schibsted is facing opportunities to grow organically and via ■ Introduce a low voting consolidation in the sector B-share to mitigate current structural ■ Schibsted should be able to Schibsted
Slide 18: Introducing low-voting B-share class
INTRODUCING LOW-VOTING B-SHARE CLASS Key terms How does the split work? Economic ■ Same economic rights as high-voting A-shares Entitlement rights Today 1 A-share Voting ■ High-voting class (A) to obtain 10 votes per share, low- rights voting class (B) to receive 1 of a vote per share Post EGM 1 hig
Slide 19: Key benefits of the new B-share class
KEY BENEFITS OF THE NEW B-SHARE CLASS Key benefits Comments Allows for straight equity ■ No balance sheet constraints – straight equity for accounting / rating purposes issuance, free from balance ■ The Tinius Trust and Blommenholm Industrier have actively supported the development of Schibsted into
Slide 20: Timing and process
TIMING AND PROCESS 2015 Corporate Calendar Timing Key Events 08-May: Q1 Results ■ Share capital split announcement 17-April-2015 08-May: AGM ■ AGM notice 17-Jul: Q2 Results 30-Oct: Q3 Results 08-May-2015 ■ AGM 08-May-2015 ■ Q1 2015 results release 29-May-2015 ■ Approval of the listing prospectus by
Slide 21: Key take-aways
KEY TAKE-AWAYS ■ Unchanged strategy - to become a global leader within online classifieds and to build world-class digital media houses ■ Seeking further organic and inorganic growth within online classifieds ■ Participating in consolidating efforts ■ Expanding into additional verticals ■ Entering n
Slide 22: Appendix
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Slide 23: Schibsted's shareholding structure: key facts
SCHIBSTED’S SHAREHOLDING STRUCTURE: KEY FACTS Key areas Comments ■ Blommenholm Industrier AS, the company’s largest shareholder, owns 28,188,589 shares, representing 26.1% of Blommenholm the shares in Schibsted ASA Industrier ■ Blommenholm Industrier is controlled by the Tinius Trust, created by Sch