Bcp Presentation Egl Jan 2010

Bauhaus Capital Partners

Renewable EnergyInvestment Advisory Services


1. About us

2. The RE Investment Market

3. M&A Services

4. Our Approach

5. Investment Sources

6. The Team

7. Contact


1. About UsThere is no turning back. The renewable energy field has reached the tipping point and companies in both the developed and the emerging world have embarked in a race to stay ahead of the new technological wave.

Bauhaus has been created to address the needs of private and institutional investors alike and engineering firms for professional and specialized financial advisory services in the renewable energy field.

Purpose: Bauhaus Capital Partners is an investment advisory firm that provides services in the middle market for both investors and developers specific to the renewable energy market.

Transaction Volume: We typically work with private equity or financing of projects and companies in the range of 10M € to 100M €.

Types of Projects: Bauhaus can assist your company by providing you a full range of services: investment sale advisory, raising debt and equity finance both at the corporate and project level, or strategic consultancy


2. The Renewable Energy Investment MarketThe recent turmoil in the financial markets has stoked the demand for safe investments that are isolated from the wider economy. Renewable Energies provide the long-sought negative correlation investment opportunity

New global investments in energy technologies — including venture capital, project finance, public markets, and research and development — expanded by 4.7 percent from $148.4 billion in 2007 to $155.4 billion in 2008, according to research firm New Energy Finance.

This is expected to surpass $325 billion per annum by 2018 as has been forecasted by many governments and international energy institutions.


The favorable regulatory environment for Renewable Energies in Spain has created a huge and whole new asset class and a grand investment opportunity.

The size and legal stability of the RE market is unprecedented in Spain, as no other country can boast a 19% renewable energy mix from solar and wind power alone.

The current size of the grid-connected projects derived from RE offers an investment potential of €90 bil in Spain.

Spanish Energy Mix (MW) 2007 % Total 2008 % Total r (%)Hidraulic 17.008 18,7% 17.034 17,98% 0,15%Fossil Fuels

Carbon 12.150 13,3% 12.150 12,82% 0,00%Natural Gas 19.825 21,8% 21.566 22,76% 8,78%Fuel 9.570 10,5% 8.179 8,63% -14,54%

Nuclear 7.728 8,5% 7.728 8,16% 0,00%Total Conventional Power: 66.281 72,8% 66.657 70,34% 0,57%Renewables & Waste

Hidraulic 1.908 2,1% 1.959 2,07% 2,67%Wind 14.413 15,8% 15.476 16,33% 7,38%Solar 802 0,9% 2.410 2,54% 200,50%Biomass 534 0,6% 571 0,60% 6,93%Waste 574 0,6% 583 0,62% 1,57%

Cogeneration & Waste 6.593 7,2% 7.106 7,50% 7,78%Total Renewables: 24.824 27,2% 28.105 29,66% 13,22%Grand Total: 91.105 100,0% 94.762 100,00% 4,01%

Source: UNESA (Spanish Electrical industry Association)


The Current Regulatory Framework in SpainThe initial scenario for renewable energies in Spain was set by the PLAN DE FOMENTO DE LAS ENERGÍAS RENOVABLES EN ESPAÑA (PER or Renewable Energy Stimulus Plan in Spain) published in December of 1999 and later reviewed in the PER published in July of 2005 and for the period spanning the years 2005 to 2010. This document sets the government objectives for the renewable energy market in general and those for each energy technology in particular.

The special regulations for renewable energies has been dictated via Royal Decrees:

RD 436/2007: established a percentage of the then current tariff (525% of a FIT of €0.08/Wp) giving a FIT of €0.42 for projects under 100KW and 375% (€0.30) for projects over 100KW

Royal Decree 661/2007: reduced the discrepancy between projects over and under 100KW and requires FIT applicants to post bank guarantees in the amount of €500/KW

Royal Decree 1578/2008: modifies RD 661 setting quotas on the total Solar MW that may be hooked onto the grid on a quarterly basis under the FIT and reduces the FIT and categorizes installations as Roof top (Max 2MW) or Floor (Max 10MW)

Royal Decree 6/2009: expands the scope of 661 for rooftop installations to 10 MW.


The Current Regulatory Framework in ItalyItaly has commenced its undertaking of developing the renewable energy industry and market with a firm step forward. In the year 2008 a FIT regulatory environment was legislated for photovoltaic power generating plants and an administrative processdefined to allow for subsidies for up to 25 years. The high solar radiations received in southern Italy make it ideal for photovoltaics and the fact that high quality EPC companies are readily available locally, make investments in these assets highly attractive.

FIT scheme is quite simple and basically allows for 32.00 c€/KWh produced with an additional purchase of the excess electricity of about 7.45 c€/KWh.

Under the present FIT scheme valid until the end of 2010, EPIA expects continuous growth of the Italian PV market. In the Policy‐Driven scenario, EPIA expects the Italian PV market to reach the GW scale by 2011, assuming that the administrative procedures will be harmonized at regional level, that the net‐metering will have a strong impact on the demand for PV systems and that the new FIT will have no cap limitation and will remain consistent with the existing one.


Other EU CountriesThe European Union approved the 20-20-20 directive in December 2008, requiring all member countries to reduce their CO2 emissions by 20% by 2020 and raising the renewable energy share of the energy market to 20%.

• France• Czech Republic• Romania• Bulgaria• Greece

Main Technologies• Solar• Windpower• Biomass (waste treatment)• Biodiesel • Biogas


3. M&A ServicesAs an investor, your principal concern is that your investment will provide the returns you are looking for with the lowest possible risk profile.

At Bauhaus Capital Partners we do not just hold a long list of investment possibilities and let you take your chances. We get involved. We look at your investment requirements, make recommendations and/or adjustments based on market realities that will maximize your return and then search for an exact fit. Our renewable energy investment activities are broken down into three basic categories:

Project Investment: Investing in renewable energy projects is one of the safest and most lucrative asset class investments available. We accept only projects or operating plants that are promoted, owned and operated by tier one EPC companies and that have a proven track record in the particular technology concerned. The investment interest has been previously analyzed to provide the security and high returns expected. The assets class includes projects finalizing the promotion process, under construction or grid connected and generating cash flows.


Growth Equity: equity investments are available under the same financial and operational scrutiny that we devote to any other development we work on. Some of the larger renewable energy projects, such as those in wind or solar thermal, require substantial promotional effort and in many countries local administrations require financial guarantees from the developers. Equity positions are available in these scenarios for both controlling as well as non controlling interests. BCP also provides investment opportunities in equity in innovative technology companies at early stage or growth capital.

Financing: due to the capital intensive nature of the renewable energy developments and the need to provide as high a leveraging of the shareholder equity in order to reach the required returns, project financing is a basic requirement. BCP has access to project financing institutions in local markets but also welcomes those investors interested in providing senior debt or other mezzanine structures for secured loans.

Bauhaus Capital Partners Strategic Planning both investors and industry companies must

rely on well defined and clear strategic advice. BCP has the in-house expertise and the time-honored processes to assist its clients in outlining the best investment and/or diversification strategy to achieve its business objectives.

Business Development: once a business plan has been formulated and designed, the strategy must be cast in a road map, and, most importantly, executed accordingly. The same BCP “Tiger Team” that developed the investment or business strategy will accompany you in the road toward its successful implementation, making sure that strategy and execution stay aligned, ensuring the proper mechanisms thereof are established.

Bauhaus Capital Partners4. Our ApproachWe are experts in the merger and acquisition process. This includes :

Business strategy, analysis and planning International expansion Business development Developing and implementing the acquisition of assets or

Enterprises Divestiture strategy Creating descriptive information memoranda Investment marketing Managing the bidding process, and Suggesting strategies that could lead to the preservation of

investor wealth.

Most importantly, we get deals closed, as reflected by our track record.


1. Business Plan

2. Phases

Phases

4. Screen

6. Negotiation

5. First Contact

7. Integration Plan

9. Integration

8. Closing

Refine Valuation

10. Evaluation

3. Search

4. Our Approach: Mergers and Joint Ventures

Structure Deal

Perform Due Diligence

Develop Financing Plan

Decision:Close or Walk Away

The acquisition process flow diagram


Bauhaus engages in every assignment with strict rigor and with the utmost appreciation for due course. We understand that a structured approach to the investment process results in the highest value added for our clients.

Our process may be summarized as follows:

Instruction,

Underwriting &

Marketing

Phase I

Offer/LOI

Due

Diligence

Phase II

OffersClosing

Instruction, Underwriting: once mandated by the client, Bauhaus will perform a thorough and detailed analysis of the transaction, taking all the technical and financial aspects into consideration to arrive at the best pricing available in the market.

Marketing: based on our deep understanding of the market, we market the transaction to a selection of investors / lenders with the track record and expertise required to close.

4. Our Approach: Asset Sales


Phase I Offers: after marketing the transaction, we will discuss with you the LOIs received and select a handful of investors / lenders with which to proceed onto phase II.

Due Diligence: today's investment market requires a fast execution, so keeping all parties, be it lawyers, appraisers, lenders or investors engaged and with the closing in mind is of crucial importance. Bauhaus will remain by your side throughout the deal to clear all roadblocks on the way.

Phase II Offers: when the binding offers are in, you want to make sure you are engaged with the right party that offers not only the best pricing but the financial wherewithal and the ability to close.

Closing: this is the most important and the most delicate phase of the transaction. Bauhaus's diligent approach will have ensured that no crucial steps have been skipped along the way and there are no surprises at the closing table.


5. Investment SourcesI. Institutional Investors

II. Financial Investors

III. Strategic Investors

GBS Finanzas WinPro, Germany

HG Capital IMPAX Capital, UK

IWP, Germany Atel, Switzerland

RP Global, Austria Vonbotel, Austria

Grupo Inveravante Inversiones Hemisferio- Grupo Lara

FERSA Reig Capital Group

Tigrus Group- Iverbatán Ambers & Co

Platina Itochu

Domasa Inversiones Access Capital, USA

Enermed Renovables Enfinity

Eolia Renovables Fotowatio-Grupo Landon

FERSA Capital Energy

SunRay Renewable Grupo Prestige Renovables

Eolia Renovables Barcel Euro – Grupo Godia

RP Global Iberdrola


Javier Herrero is cofounder and managing partner at Bauhaus Capital Partners. Mr. Herrero holds a Bachelors degree in Electrical Engineering and Computer Sciences from the University of California at Berkeley, an M.B.A. from the Instituto de Empresa in Madrid and a Masters in Business Law from the UNED, also in Madrid.

His professional career includes both entrepreneurial achievements as well as VP and C level positions in multinational companies. Mr. Herrero has founded, developed and sold several high profile firms in IT, services, telecommunications, Internet and is now dedicate to the renewable energy sector. During periods of his professional life he has also led numerous acquisitions and private equity investments on an international level.

Juan Carlos Bujeda is responsible for leading the US M&A operations of Bauhaus Capital Partners. Juan Carlos cofounded the firm in early 2009 after a 5 year career structuring deals in the property sector, providing equity and debt capital advisory services in the commercial real estate arena. He has extensive knowledge on the deal process; from financial structuring, to the management of transactions from marketing to closing. His understanding of the inner workings of the capital markets leverages BCP's capability of accessing the right source of capital in each and every deal. Prior to his career in finance, Juan Carlos worked for three years as a field engineer at Slattery Skanska a major civil engineering firm in New York. He has a Bachelor's degree in Construction Management from SUNY and a Master's in Real Estate Finance from NYU.

6. The Team: Principals


Luis Jaureguizar has spent the last 4 years dedicated to renewable energy M&A activities at BPO Spain where he has structured, taken to closing and developed post closing consulting services in energy assets. He is a specialist primarily negotiation, structuring and arranging in photovoltaic and wind asset transactions across Europe where he has worked close with some of the foremost private equity firms and family offices in the field. Luis has a diverse professional experience at C level positions in markets ranging from IT projects and services to expanding and managing large retail chains. He holds an MBA and post graduate work from IESE and ESADE, some of the most prominent business schools in Europe.

Manuel López-Feliu, born in Barcelona, is a graduate of INSA Business, Marketing and Communications degree where he received a BA degree and later completed an MBA. He has developed great deal of international business experience heading up the International and Export area of Sucontesa, a Textil leader in the hospital and hotel supply sector. Before joining Bauhaus, Mr. López-Feliu founded and managed several successful renewable energy development and investment firms including Treboli and Renovalia BCN. He has extensive experience in project marketing, capital sourcing as well as deal structuring in the energy sector.

6. The Team: Limited Partners


Multidisciplinary TeamWorking together with the principals of the company is a group of highly experienced analysts in related fields such as domestic and cross border tax specialists, technically trained experts in solar, wind and bio/mass/gas fields as well as financial experts in structuring the best capital structure needed for each project. Bauhaus Capital Partners assigns a team of these experts led by one of the partners to tailor your needs and expectations and bring them to fruition on time, whether you are an investor or a Sponsor or EPC company.


7. Contact

Bauhaus Capital PartnersMurcia, 3028750 Madrid, Spain+34 91 848 [email protected]

Entertainment & Humor

Bcp Presentation Egl Jan 2010