Icg Plc · LSE:ICG
Icg — Intermediate Capital Group — FY2021 Earnings Presentation
25 slides from Icg's earnings presentation, Jun 8, 2021
Slide 1: Full year results for twelve months to 31 March 2021
iCG Full year results for twelve months to 31 March 2021 8 JUNE 2021
Slide 2: Agenda
iCG Agenda ¢ Results demonstrate strength of the ICG business model and growth potential ¢ Record financial performance CEO and co ° Capitalising on the opportunity Q&A Vijay Bharadia CFOO
Slide 3: Results demonstrate strength of the ICG business model and growth potential
iCG Results demonstrate strength of the ICG business model and growth potential
Slide 4: 2021 in review
2021 in review GROWING OUR PLATFORM INCREASED FUND ACTIVITY Deployment ($bn)' 72 . . 62 Fundraising Third Party AUM Expanding product breadth $1 O 6bn $56bn Life Sciences . Pan-European +19% Real Estate FY20 FY21 RECORD FINANCIAL PERFORMANCE Third Party fee income (£m) FMC PBT (£m) Group PBT (£m)? s
Slide 5: Continued progress against ESG priorities
iCG Continued progress against ESG priorities Integrate ESG systematically into all investment activities RESPONSIBLE INVESTING POLICY ! * Exclusion list broadened * SFDR implemented, most funds characterised as Article 8 * Proprietary climate risk assessment tool implemented * Three sustainability-
Slide 6: Fundraising success in off-cycle year
_. a . iCG Fundraising success in off-cycle year ANNUAL FUNDRAISING $60bn $11.2bn $11.3bn +19%! $10.6b: ° Total AUM $9.3bn $4.3bn +19%! Third Party AUM $ 4 Tb n FYI7 FYI8 FYI9 FY20 FY21 ™Corporate Investments m Capital Market Investments mRealAsset Investments Secondary Investments +] 8%! Represents
Slide 7: Growing and diversified client franchise
Growing and diversified client franchise iCG NUMBER OF CLIENTS FYI7 FY18 FY19 FY20 | Based on number of clients GEOGRAPHY! 7% 476 34% 23% 26% ™ EMEA (excl. UK and Ireland) Americas ™Asia Pacific = UK and Ireland INVESTOR TYPE! AY3% A% 7% y 33% i » ‘¢ 14% 7% ™ Pension funds: = Insurance companies FY2
Slide 8: Strong fund performance
Strong fund performance iCG CORPORATE INVESTMENTS! REAL ASSET INVESTMENTS! Europe Fund VI RE Partnership Capital V 1.9x 1.4x 1.4x 1.6x FY20 FY21 FY20 FY21 Senior Debt Partners III Sale & Leaseback | 1.2x Lax Lox 1.0x FY20 FY21 FY20 FY21 SECONDARY INVESTMENTS! Strategic Secondaries II 1.6x FY20 Strat
Slide 9: Continued deployment momentum
Continued deployment momentum iCG FIVE YEAR TREND! FUND INVESTMENT PACE? 100% $7.2bn % fund invested at 31 March 2021 FYI7 FY18 FY19 FY20 FY21 0% 20% 40% 60% ™ Corporate Investments m™Real Asset Investments Secondary Investments Investment Period 1 Third party capital, excluding deployment into bala
Slide 10: Substantial embedded growth potential
Substantial embedded growth potential CUMULATIVE THIRD PARTY FUNDS RAISED SINCE INCEPTION Established Strategic Equity J $sbn Real Estate Partnership Capital [NN $4bn N. American Private Debt [J $2bn Asia Pacific Corporate Hi $2bn Emerging European Mid-Market [J $1bn Sale and Leaseback [J $ibn Infra
Slide 11: Visibility on FY22 fundraising
Visibility on FY22 fundraising Grow established strategies Develop emerging strategies Launch seeded strategies Towards end of year, subject to iCG Corporate Capital Market Real Asset Investments Investments Investments CLOs Europe Fund VIII (ongoing) Real Estate VI Strategic Equity IV SS a Infrastr
Slide 12: Record financial performance
iCG Record financial performance
Slide 13: Continued growth in the FMC
Continued growth in the FMC icG AVERAGE THIRD PARTY FEE EARNING AUM THIRD PARTY FEE INCOME FMC PBT s $43.3bn S77" exam ao £202m $36.8bn >» 078m £183m $30.6bn £220m £144m FY19 FY20 FY21 FY19 FY20 FY21 FY19 FY20 FY21 PRIVATE AND CONFIDENTIAL B
Slide 14: Increasingly diverse Third Party Fee Income
Increasingly diverse Third Party Fee Income icG THIRD PARTY FEE INCOME FY17-21CAGR +30% Secondary Investments +13% Real Asset Investments £139m +30% Capital Market Investments +24% FYI7 FYI8 FY19 FY20 FY21 Corporate Investments Compounding growth profile of raising subsequent vintages PRIVATE AND CO
Slide 15: Visibility on Third Party Management Fee Income
Visibility on Third Party Management Fee Income icG £5.6bn Indicative growth state? £3.1bn Indicative steady state! | Assumes fee rates remain constant and deployment and realisations are in line with our standard assumptions. Steady state assumes that successor funds raised are the same size as the
Slide 16: Third Party Fee Income driven by Management Fees
Third Party Fee Income driven by Management Fees icG PERFORMANCE FEES AS PERCENTAGE OF THIRD PARTY FEE INCOME: FIVE YEAR TREND 16.0% Medium-term guidance: 10 - 15% 13.8% Five year weighted average: 11.6% 8.5% 7A% FYI7 FY18 FY19 FY20 FY21 FY22 performance fee contribution to Third Party Fee Income ex
Slide 17: CLO dividends showing positive trajectory
CLO dividends showing positive trajectory icG ma Dividend income recovered during H2: FY of £33.4m ~ Ratings downgrades beginning to reverse acy Took advantage of strong new issue market: three launches and two amendments during FY21 ‘ RATINGS CONDITIONS IMPROVED THROUGH THE YEAR" 10% 0% ~ Downgrade
Slide 18: Investing for the future
Investing for the future FMC OPERATING MARGIN 60% 50% 40% 30% 20% 10% 0% FYI7 FY18 FY19 FY20 FY21 iCG FMC OPERATING COSTS WATERFALL £24m £2m £6m £186m — £(4)m FY20 Staff Occupancy TRE Other FY21 INCREASING HEADCOUNT TO SUPPORT CONTINUED GROWTH! FY17 FyY18 FY19 FY20 FY21 281 297 336 408 470 Represent
Slide 19: Diversified balance sheet investment portfolio
Diversified balance sheet investment portfolio generated exceptional net investment returns iCG DIVERSIFICATION EXCEPTIONAL NET INVESTMENT RETURNS IN FY27 (378) (426%) (426%) (22%) (ism } ~300 3] 26 £445m Companies! Countries! Industries! £275m £2588 £240m £49m FY17 FY18 FY19 FY20 FY21 ™ Corporate I
Slide 20: Well capitalised and resilient balance sheet
tA. ops “ye iCG Well capitalised and resilient balance sheet NAV PER SHARE 566) Liquidity P 491p 461p 0.63 _ . X 397p Net gearing Credit rating! FYI7 FY18 FYI9 FY20 FY21 | Fitch Ratings : BBB stable, S&P: BBB- stable
Slide 21: Where next: medium-term guidance
Where next: medium-term guidance FUNDRAISING * $40bn in aggregate over next four years * Atleast $7bn every year Continued commitment to our progressive dividend policy PERFORMANCE FEES * 10 - 15% of total third party fees FMC OPERATING MARGIN * Above 50% NET INVESTMENT RETURNS * Low double-digit pe
Slide 22: Capitalising on the opportunity
iCG Capitalising on the opportunity
Slide 23: Capitalising on the opportunity
Capitalising on the opportunity $56BN Third Party AUM +20% Third Party Fee Income growth! £202.3M FMC PBT 566p NAV per share of balance sheet | Year-on-year growth th FY21 demonstrates strength of business model and growth potential wa Investment performance and client franchise are at the heart of
Slide 24: Q&A
Q&A PRIVATE AND CONFIDENTIAL
Slide 25: Disclaimer
a . iCG Disclaimer The materials being provided to you are intended only for informational purposes and convenient reference and may not be relied upon for any purpose. This information is not intended to provide, and should not be relied upon, for accounting, legal, tax advice or investment recomme
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