Innovation & technology is to be found in every company we ......Innovation & technology is...

Innovation & technology isto be found in every companywe invest in

VFB – Kinepolis Antwerp – 25 March 2017

P-1176

1. Gimv at a glance -

Building leading companies

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4 investment platforms supported by 4 megatrends

Gimv at a glance - Building leading companies

1.2 EUR billion net asset value

37 years experience in Private Equity /

Venture Capital

11.8% annual IRR since inception

Euronext-listed since 1997

50 portfolio companies

Diversified access to unlisted growth companies

4 offices

Belgium, the Netherlands, France, Germany

4 investment platforms

Health & Care

Sustainable Cities

Consumer 2020

Smart Industries

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Connected Consumer

4

0

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Operational improvementhas become the major driver for value creation

Source: BCG, IESE, Goldman Sachs

18 2236

5131

46

39

5132 25

0%

20%

40%

60%

80%

100%

Leverage era (1980s) Multiple expansion era(1990s)

Earnings growth era(2000s)

Operational improvementera (2010s)

So

urc

eo

fV

alu

e

Operational improvement Multiple arbitrage Leverage

• PE industry more

competitive: deal

making and financial

engineering are

commodities

• Main value driver: from

leverage and multiple

arbitrage to operational

growth

• PE firms to provide

operational value to

remain competitive and

achieve superior returns.

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Value Creation Process

First100 days

Full PotentialProgram

KeyEvent

ExitValue

InvestmentLife Cycle

MaximizeExit Value

Turnaround

Acquisitions andIntegration

Run Full Potential Program/Performance Improvement

Run ShortTerm Program

Inve

stm

en

tR

etu

rn

DueDiligence

Time

Deal Qualification

100 day planAssessment of people

organization

Full Potential Meeting – Tracking of VCP

TemplatesMandatory

2. Gimv Group’s results for 1H 2016-2017

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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 continued portfolioexpansion

• Exits at record level

• Continued strong investment activity with 8 new investments in the first half• Portfolio of 50 dynamic companies

• Sound financial position

Key messages

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Excellent performance of our portfolio companies

Sales growth (*)

+9%

EBITDA growth (*)

+19 %

2/3 of portfolio ciesshow growth (*)

50 companies

with a value of

EUR 954 mio

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(*) 1H16 vs 1H15

The past 3 years we did EUR ~1.4 billion of transactions

154 130 153

437

332

227

364

923

0

250

500

750

1000

2014/2015 2015/2016 9m 2016/2017 ∑ 2014/2016

Investments Divestments

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Cost of divestments

2014/2015 2015/2016 9m 2016/2017 ∑ 2014/2016

3. Innovation & technology is to be found in every

company we invest in

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Welding reinvented

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• Dutch cy active in the development, application

and marketing of patented automated welding

technology, called the ‘ArpLas System’,

primarily used in the automotive market

• Gimv acquired a majority stake for ~EUR 10

million, next to the management who remains a

significant shareholder

INVESTMENT CASE

• Outperforms other technologies on aesthetics,

cost/energy efficiency and strength

• Increased number of car models being launched

and push for more lightweight materials

• High competitive advantage in aluminium

OPPORTUNITIES FOR VALUE CREATION• Further penetrate in existing markets, with

both existing and new customers• Developments on new materials in the

automotive market• Develop new systems for new

applications/markets• Gimv’s international footprint and expertise in

the automotive market• The company should be able to grow its

turnover to >EUR 20 million by 2020

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Old Mercedes commercial

Mackevision Mercedes commercial

One of the global leaders in Computer Generated

Imagery (3D visualization, animation & visual effects)

INVESTMENT CASE

• Operates in a market with clear growth potential, that

surfs on the trend of global digitalization and Industry

4.0

• Strategy implementation and transformation plan are

on track:

Profitable growth: geographic expansion and sales

acceleration

Productivity and performance improvement

Organize to win: management team in place

Master in virtual reality

-

20

40

60

2013/2014 2014/2015 2015/2016

Sales (in €m) +100%

VALUE CREATION

• Manage high growth trajectory

• Numerous business development opportunities

Focus is key

• New offices, capex & working capital

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0

200

400

600

2014 A 2015 A 2016 LE

FTE +68%

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Empowering ambitious entrepreneurs