A global leader in modular machines for e-mobility - MBB SE · A global leader in modular machines for e-mobility December 2016 Strictly private and confidential . ... active cylinder

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A global leader in modular machines for e-mobility

December 2016

Strictly private and confidential

1 Source: Company information

Rolf Beckhoff

Chief Executive Officer

Sales and Administration

13 years at Aumann

Engineering and

management degree

Ludger Martinschledde

Chief Executive Officer

Operations and R&D

24 years at Aumann

Engineering degree

Sebastian Roll

Executive Vice President

Finance

17 years at Aumann

Business administration

degree

Constantin Mang

Executive Vice President

Strategy and Business Development

2 years at Aumann

Business and law degree

Highly experienced management team with decades of industry experience

2

“To be the global leader in production machines for

e-mobility providers, growing extraordinarily in the

light of this revolution in the automotive industry.”

Source: Company information based on IHS data

1) defined as Hybrid Vehicles (HEVs) and fully Electric Vehicles (EVs)

Global production of electric vehicles1)

in million vehicles

Aumann’s mission statement

An e-mobility revolution is underway

3

13

2020 2025 2016

31

3

Aumann‘s focus is at the heart of e-mobility

Source: Pictures Tesla, Continental

E-drivetrain

Energy storage E-motor

Rotor

Stator

Rotor/

Stator

winding

Automation

for mass

production

4

Right capabilities Right business Strong growth

Fully automated e-drivetrain

production lines …

Revenue3)

in million €

Order intake YTD

in million €

Select customers

…based on modular machines and

unique motor winding technology

+60 %

2015A 2016E

~25%

>150

94

180

Source: Company information based on IHS data,

1) patent number also includes registrations 2) headcount as of Oct. 2016 3) including an acquisition with first consolidation in Nov. 2015

Aumann at a glance

80 years of winding experience

30 years partner of automotive OEMs

41 patents1) proving R&D excellence

5692) highly skilled professionals in 5

locations in Germany, China and USA

~30,000 sqm of shop floor

E-mobility

Classic

21 Nov 2016

..leveraging know-how from special

machinery for Aumann’s classic segment

E-mobility Classic

5

1968

Foundation

1936

Foundation

2016

Aumann AG

2015

Becomes part of

MBB group

2006

Acquisition of ATS Berlin

2012

First

cooperation

▸ E-mobility focus

▸ E-mobility references

▸ Winding technology

▸ Automation know-how and

production scalability

▸ E-mobility experience and

process excellence

▸ OEM relationships

2009

First e-drivetrain project

2011

First e-drivetrain project

Well positioned to become e-mobility champion

Source: Company information

2012

Becomes part

of MBB group

2013

Set up of presence in China

6

Key highlights

Strongly growing with e-mobility revolution

benefitting very early on

Unique winding technology leading to highly efficient e-motors

enabling OEMs to scale up to automated mass production

Longstanding relationship with automotive OEMs and track record

of jointly developing landmark e-drivetrain platforms

Growth model with high visibility supported by

expanding margins and strong cash flow generation

Expansion strategy driven by highly experienced

and successful management

1

2

3

4

5

7

E-mobility revolution is on its way

Regulation Push

Technology Push

Consumer Pull

▸ Environmental sustainability

▸ „Cool“ factor

Tesla received around 400k paid

reservations for model 3

▸ Emission reduction

▸ Tax benefits and incentives

German Bundesrat wants to abolish ICE production by 2030

MARKET 1

Sources: Company information; http://www.reuters.com/article/us-daimler-usa-diesel-idUSKBN13K1MG; Protocol of the 948th Plenary Session of the German Bundesrat at 23 September 2016;

http://fortune.com/2016/04/21/tesla-elon-musk-model-3-orders/

▸ EV range increase

▸ Cost decrease

▸ Charging infrastructure densification

Daimler will spend 10bn € on EV development

8

Aumann’s machines will be needed by all contestants of the e-mobility revolution

OEMs and Tier 1 EV

Specialists

Digital

Challengers

MARKET 1


1

“No matter who will prevail in the

mobility revolution, they will want

Aumann’s machines for e-drivetrain

manufacturing”

9

OEMs expand CAPEX into EV component production to meet multiplied e-motor demand

Traction e-motors per produced vehicle in million

Automotive

automation

and machinery

capex

x4 motors

x3 motors

x2 motors

Electric

vehicles

Source: Alix Partners, company information based on IHS data, 2016: one e-motor per vehicle assumed

MARKET 1 1

62 55

26 40

2015

88

2022

95

Electric Diesel/Gasoline

€ 21bn

Drivetrain plants and capex in Europe

2025

126

94

52

63

2016

26 31

3

39

2020

13

+14

10

OEM start of

development

Distributed

needle winding

Continuous

Hairpin

Aumann R&D centre ensures early customer lock-in

Linear

winding

Flyer

winding

Concentrated

needle winding

Joint optimization with customers on end-product and automated production set-up

Machine modules available in R&D centre

Joint

optimization ~1 Year Order

intake

1-2 Years OEM start of

serial production


2 TECHNOLOGY

11

Aumann direct winding technology improves e-motor efficiency

Less material / lower weight*

Less copper wire

Less electrical sheet metal

Less space*

Reduction of winding head

Higher energy conversion

Increased battery reach

More efficient heat dissipation

Direct winding technology

Conventional

Indirect winding technology

- 50 %

- 30 %

- 20 %

* Material, weight and space savings specific to the pump motor shown on the left


2 TECHNOLOGY

“Our technology increases the performance per kilo of motor weight”

12

Comparison of processes relates to comparable motors.

Source: Company information, Youtube video “Volkswagen e-Up Electric Motor Production”; https://www.youtube.com/watch?v=QgqtT85tMBA; Min 02.53

Direct winding technology is critical to enable fully automated mass production

2 TECHNOLOGY

Wire

stress

Scrap

rate

Degree of

automation

Process

flexibility

Direct winding technology

Conventional

Indirect winding technology

13

Time

Units

p.a.

Aumann enabling transformation to industrial scale production

Leaf - 48k

Outlander – 20k

S - 56k

Volt – 34k

I3 - 26k

EV/HEV 2.1m

Examples of EV or Plug-In HEV production in 2016

Source: Company information based on IHS data

Indirect winding

technology

for small scale

production

Production estimates for 2025 Production estimates for 2020

(example of VW-Group)

VW-Group DQe platform – 0.3m

2 TECHNOLOGY

E-Up – 5k

Qin – 40k

Direct winding

technology

for mass production

VW/Audi DLe platform – 0.2m

Total EV and HEV – 0.9m

EV/HEV 5.2m

EV/HEV 2.6m EV/HEV 1.9m

14

Unique combination of winding and automation capabilities with e-drivetrain experience

Automation experience

Win

din

g f

ocu

s

2 TECHNOLOGY


Select competitors, size of the bubble represents most recently available revenues data. Size is not representative of sales that are above EUR1bn

Wind. 6

Wind. 8 Wind. 3

Wind. 2 Wind. 4

Wind. 5

Wind. 7

Not ordered within cluster

Auto. C Auto. B

Competitor1

Competitor2

Competitor3

Competitor4

Competitor5

Competitor6

Competitor7

Competitor8

CompetitorA

CompetitorB

CompetitorC

CompetitorD

CompetitorE

53

185

9

60

3

5

33

45

150

> 1bn

> 1bn

NA similar to

Strama

142

94

Competitors

Known e-drivetrain experience

Direct

Indirect

none

Aumann

Auto. D

Auto. A

low high

Competitive landscape (schematic)

Auto. E

Wind. 1

15

Close partnership with blue chip customers enabling Aumann’s e-mobility growth

Relationship since 1990




Select longstanding relationships > € 100 million cumulative revenue each

Participation in landmark e-mobility projects

OEMs

Hybrid power trains

Driving module and laboratory

machines

E-motors

Pilot series of e-motors in try-out

centre

Tier-1 Suppliers

E-motor

E-bike motor manufacturing

Other

Battery module manufacturing

C

B

A

3 CUSTOMERS


Case study

Case study

Case study

16

Case Study: How to become a market leader in built camshafts

3 CUSTOMERS A

Aumann as provider of innovative technology

…with joint development towards new applications

…leveraging ICE technology for e-mobility application


time

schematic

market share of

20xx

Introduction of

active cylinder

deactivation

1999

Joint development

and first order for

camshaft machine

2001

Start of

production on

first Aumann

lines

2005

Machine

improvement for

variable valve

control

components

2015

First automation

for cylinder

deactivation

systems

2013

Rotor shaft

production

(e-mobility

application)

2011

Joint development

and first order of

assembly line for

camshaft modules

17

Case Study: How to become a market leader in e-bike motors

▸ Longstanding Aumann customer for winding machinery

▸ Motor manufacturing solely conducted on Aumann winding machines

▸ Due to machine complexity, service agreements signed with Aumann

▸ Even as late comer, Bosch has become the market leader in

the e-bike premium segment

3 CUSTOMERS B

Sources: Company information, http://www.bosch-presse.de/pressportal/de/de/rueckenwind-fuer-den-ebike-markt-79296.html

Aumann technology as enabler for market leadership

Aumann supplies Bosch as number one e-bike motor producer

18

Case Study: How to become a market leader in e-drivetrain production machines

E-drivetrain platform (current) E-drivetrain platform (new)

3 CUSTOMERS C

▸ Stator production lines

▸ Hybrid module production lines

▸ Fully automated process

▸ Joint R&D with OEM

▸ Patented new winding technology

▸ Stator production lines

Pure EV drivetrain

platform


E-drivetrain platforms (future)

Next generation of

plug-in hybrid

drivetrain platform

Mild hybrid

drivetrain platform

Aumann as valued R&D partner providing winding and automation

for mass production of e-drivetrains

Total volume: approx. € 40m over 3 years

19

Increased focus on e-mobility leads to high growth

EBIT Margin

4 FINANCIALS

>10 %

▸ Asset light business model

▸ High cash conversion

▸ Net cash position as of Q3/2016

▸ Equity of € 40m (32%) as of Q3/2016

Financial highlights


Note: EBIT margin not published but derived from MBB’s segment reporting and Delignit AG’s annual report (slight consolidation deviations could occur) 1) Including an acquisition with first consolidation in Nov. 2015

Revenue1) in million €

94

~25 %

2015A

>150

2016E

+60 %

Classic E-mobility

20

Accelerating order intake supports future sales growth

Order intake YTD in million €

Hybrid e-motor stator

Mild hybrid motor for hybridization of fleet

Battery module and cluster production

Pure EV e-motor rotor / stator

Pure EV e-motor stator

Hybrid gearbox manufacturing

Battery bay for electric car

Automated coil winding production lines

Fully automated manufacturing of

component

Automotive OEM A

Automotive OEM A

Automotive OEM B

Automotive OEM B

Automotive OEM C

Automotive Tier-1 X

Automotive Tier-1 Y

Silicon Valley company

German household appliance

manufacturer

Order Pipeline (selection)

4 FINANCIALS

E-mobility

Classic


YTD 21 Nov 2016

180

E-mobility Classic

Audi/VW – Hem80evo

Audi/VW - ISG mild Hybrid - 39m€

BMW - Heat - 20 m€

BMW - Heat – 32 m€

VW MEB - 20 m€ / Vergabe HY1/17

Getrag - Hybrid

Waldaschaff - Modulwanne RB

Apple -

Miele -

21

Build capacity

Construction of new plants

Strategic M&A

(capacity, acqui-hire,

technology, service)


To be the global leader in e-mobility production machinery, key initiatives are targeted

Attract talent

Attracting more talent

Increasing R&D activity

Expand globally

Rapid build up of

USA/NAFTA activities

Expand facility in China

Service hubs

Strategic priorities and key initiatives

5 STRATEGY

22

Experienced management team and committed shareholder with excellent track record

Rolf Beckhoff

Ludger Martinschledde

Industry holding consisting of six portfolio

companies

Top management

Shareholder

5 STRATEGY

Chief Executive Officer – Sales and Administration

▸ 13 years with Aumann

▸ Engineering and management degree

▸ Various other technical/sales positions within the

automotive equipment supplier industry

Chief Executive Officer – Operations and R&D

▸ 24 years with Aumann

▸ Engineering degree

▸ Co-inventor of various technical machine

concepts (e.g. built camshaft, camshaft module,

active cylinder deactivation, hairpin 2.0)

▸ Founded in 1995

▸ Listed since 2006 (prime standard)

▸ 71 % ownership by founders

M&A track record

▸ 20 years M&A experience

▸ More than 20 transactions

ECM track record

▸ IPO of MBB SE

▸ IPO of Delignit AG (majority shareholder since 2003)


23

Key highlights

Strongly growing with e-mobility revolution

benefitting very early on

Unique winding technology leading to highly efficient e-motors

enabling OEMs to scale up to automated mass production

Longstanding relationship with automotive OEMs and track record

of jointly developing landmark e-drivetrain platforms

Growth model with high visibility supported by

expanding margins and strong cash flow generation

Expansion strategy driven by highly experienced

and successful management

1

2

3

4

5

24

Appendix

25 Source: Company information

Global capabilities and client locations

Fort Wayne

Changzhou

Espelkamp Berlin-Hennigsdorf Changzhou (China) Fort Wayne (USA) Beelen

Installed lines

▸ 160 employees

▸ 6k sqm shop floor

▸ 1.5k sqm office space

▸ 40 employees


▸ 1k sqm office space

▸ 27 employees


▸ 0.8k sqm office

▸ 2 employees

▸ Sales and Service

▸ 340 employees


▸ 2k sqm office space

Espelkamp

Beelen Berlin –

Henningsdorf

26

Leading position in classic drivetrain as basis for accelerating e-mobility segment

Drivetrain technologies and exemplary components addressed by Aumann

(illustrative according to Aumann’s segment definition) Pure EV

▸ Rotor/stator

(based on distributed direct

winding, continuous hairpin,

conventional Hairpin)

▸ Battery structures, clusters

and modules

▸ Built rotor shaft

Hybrid

▸ Rotor/stator

(based on concentrated direct

winding, continuous hairpin)

▸ Hybrid modules

▸ Battery structures, clusters

and modules

Emission improved ICE

▸ Built camshafts

▸ Camshaft modules

▸ Lightweight structural parts

▸ Cylinder deactivation systems

▸ Valve control systems


time

Hybrid

E-mobility

Pure EV

ICE (Classic)

ICE Emission-

improved ICE

27

Disclaimer

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session and any document or material distributed at or in connection with the presentation (together, the “Presentation”), has been prepared by Aumann AG (the “Company”) is not an offer of any securities or invitation to

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Presentation is subject to updating, completion, revision and verification.

No reliance may be placed for any purpose whatsoever on the information or opinions contained or expressed in the Presentation or on the accuracy, completeness or fairness of such information and opinions. To the

extent permitted by law and regulation, no undertaking, representation or warranty or other assurance, express or implied, is made or given by or on behalf of the Company, MBB SE, or any of their respective parent or

subsidiary undertakings or the subsidiary undertakings of any such parent undertakings or any of their respective directors, officers, partners, employees, agents, affiliates, representatives or advisers, or any other person,

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addition, no duty of care or otherwise is owed by any such person to recipients of the Presentation or any other person in relation to the Presentation.

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“predicts”, “continues”, “assumes”, “positioned” or “anticipates” and similar expressions (or their negative) identify certain of these forward-looking statements. These statements are based on the current views,

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A global leader in modular machines for e-mobility - MBB SE · A global leader in modular machines for e-mobility December 2016 Strictly private and confidential . ... active cylinder