An introduction to GBL Presentation to the analysts FY17 Annual - PowerPoint PPT Presentation

Experience. Our greatest asset. An introduction to GBL An introduction to GBL Presentation to the analysts FY17 Annual Results 16 th March 2018

p. 3 FY 2017 – Highlights p. 8 FY 2017 – Financial performance p. 19 Dividend distribution p. 21 Subsequent events & outlook p. 24 Appendix 2

FY 2017 FY2017 - Financial Subsequent events Dividend distribution Appendix performance Highlights & outlook FY 2017 - Highlights TSR Key highlights Solid FY 2017 performance notably supported by the favourable evolution of  the macroeconomic environment giving momentum to the financial markets 12.6% NAV increasing by 11.2% over the period to € 18.9bn  9.6% 8.3% TSR of 16.8% in 2017  5.8% Consolidated net result of € 705m  4.2% Cash earnings of € 427m 2.6%  LTV ratio of 2.3%  Gross dividend yield of 3.3%  5 years 10 years 15 years GBL Stoxx Europe 50 Continued execution of the portfolio diversification strategy  Sienna Capital Listed investments € 17.9bn € 0.9bn 95% of the portfolio value 5% of the portfolio value 3

FY 2017 FY2017 - Financial Subsequent events Dividend distribution Appendix performance Highlights & outlook Asset rotation in 2017 Strenghtening of the position Investment case Global luxury brand with a distinctive British Luxury goods industry is expected to grow by • • heritage 3-4% p.a. over the next few years, driven by the demographics, increasing wealth and travel • Threshold crossing of 6.0% of the voting rights in • Burberry is a globally recognized brand, considered as the best-in-class digital player in the company on 10 November 2017 the industry Shareholding of 6.46% at end of December 2017, Burberry offers an attractive shareholders’ cash • • compared to 2.95% at end of December 2016 return thanks to its solid balance sheet and strong cash conversion The company is committed to applying its • Market value of € 557m at end of December 2017 • capital allocation policy (dividend distribution and a share buyback) Equity investment Investment case Reference operator of leisure parks in Europe, Favourable structural factors within the industry: • • North America and Asia, listed on the Madrid • Appeal of experience stock exchange • “Staycation” effect providing resilience during economic downturn Acquisition of a 15.0% position in Parques High industry fragmentation with build-up • • Reunidos announced on 12 April 2017 potential • Unique positioning of Parques Reunidos: • Representation of GBL in the Board of Directors • Over 60 parks with well-known brands • Multiple avenues of organic and external Shareholding of 21.19% at end of December growth • 2017, representing a market value of € 254m Ability to transfer best practices to • newly-acquired parks 4

FY 2017 FY2017 - Financial Subsequent events Dividend distribution Appendix performance Highlights & outlook Asset rotation in 2017 Equity investment in GEA Investment case GEA is a global leader, exposed to favourable • Worldwide leader in the supply of long-term market trends with financial • equipment and project management for a performances that offer upside potential: wide range of processing industries • Attractive end markets High barriers to entry • Threshold crossing of 3.0% of the voting Global leader with #1 or #2 positions in most • • rights in the company on 3 August 2017 of its markets • Unique technology, know-how and innovation • Shareholding of 4.25% at end of December power Solid cash generation and balance sheet profile 2017, representing a market value of € 328m • Good positioning to seize consolidation • opportunities Participation in the capital increase Investment case Growth of the industry supported by: • Global leader specialized in personal hygiene solutions • • resilience of the business (hygiene basics) • ageing population in mature countries Capital increase carried out in March 2017 following • growth in population and product adoption • the acquisition of the hygienic consumables activity of rates for hygiene products in emerging Hypermarcas countries • Ontex to outperform the market thanks to: Unchanged shareholding of 19.98% following the • • increases in market share in retailer brands transaction (market value of € 454m at end of • premiumisation of its brands December 2017) greater exposure to emerging countries and • adult incontinence products • Representation of GBL in the Board of Directors since May 2017 5

FY 2017 FY2017 - Financial Subsequent events Dividend distribution Appendix performance Highlights & outlook Sienna Capital highlights Performance of KCO III in line with target returns Disposal of Golden Goose and ELITech At year-end 2017, Kartesia Credit Opportunities III ( KCO III ) is fully  In March 2017, Ergon Capital Parners III ( ECP III ) sold to Carlyle its  invested and distributed in the course of the year an amount of € 43m to majority stake in Golden Goose (an Italian designer of contemporary Sienna Capital footwear, clothing and accessories), generating a net consolidated capital gain of €112m (GBL’s share) Successful closing of KCO IV  In July 2017, ECP III sold to PAI Partners its majority stake in ELITech (a Closing of Kartesia Credit Opportunities IV ( KCO IV ) with a total  manufacturer and distributor of specialty in-vitro diagnostics equipment commitment of € 870m, including € 150m from Sienna Capital and reagents), generating a net consolidated capital gain of € 104m (GBL’s share) Acquisition of a majority stake in Keesing Media Group  In September 2017, ECP III acquired a majority stake in Keesing Media Group, the leading European publisher of games and puzzle magazines, from Telegraaf Media Group Investment in Ipackchem  In February 2017, Sagard 3 acquired a stake in Ipackchem, one of the Exclusive negotiations on svt global leaders in the manufacturing of « barrier » packaging, whose In November 2017, ECP III announced that it signed an agreement with  products are mainly used in the transport and storage of aromas, IK Investment Partners to acquire svt Holding GmbH (“ svt ”), one of the fragrances and agrochemical products for which permeability, leaders in preventive passive fire protection contamination and evaporation constraints are critical Launch of ECP IV Exclusive negotiations on Alvest, Kiloutou and Climater In December 2017, Ergon Capital Partners launched a new fund,  In September 2017, a group of investors announced having entered into  Ergon Capital Partners IV ( ECP IV ), with a first closing expected in 2018 exclusive negotiations with Sagard 3 and Alvest’s management team to and a targeted fundraising of € 500m acquire a significant stake in the capital of Alvest, the global leader in airport ground support equipment Commitment from Sienna Capital of € 200m   In November 2017, HLDI and HLD Europe entered into exclusive negotiations with the investment firms PAI Partners and Sagard II , to acquire a majority stake in Kiloutou, one of the European leaders in industrial and construction equipment rental In December 2017, Sagard 3 announced having entered into exclusive  Commitment to new fund negotiations with Weinberg Capital Partners with a view to acquire the Climater group, one of the French leaders in climate control engineering  Commitment from Sienna Capital of € 25m into Backed , a venture capital fund specialized in the sector of new digital technologies 6

FY 2017 FY2017 - Financial Subsequent events Dividend distribution Appendix performance Highlights & outlook Maintained sound capital structure Key figures Maturity of the bonds exchangeable Success of the into ENGIE shares inaugural institutional bond issue 31/12/17 31/12/16 Net cash / Redemption in cash of the € 500m bond issue, with a coupon of   (443) 225 (Net debt) (in € m) outstanding nominal amount under 1.375% and maturing on 23 May 2024 the bonds exchangeable into ENGIE shares for € 306m at maturity on 7 February 2017  Issuance allowing GBL to : LTV ratio 2.3% 0.0% − further diversify its financing sources by successfully Disposal of the residual ENGIE shares  establishing the group’s credit Average maturity underlying the bonds exchangeable 4.0 yrs 1.3 yr quality on the institutional bond of gross debt into ENGIE shares (i.e. 11.9m shares or market, 0.5% of the capital for € 145m), generating a consolidated gain of € 1m − lengthen the debt maturity profile Liquidity profile 2.7 3.5 from 1.3 years at year-end 2016 to (in € bn) 4.0 years at end of December 2017, and − reinforce its liquidity profile Oversubscription by almost 3 times by  Repayment of the a diversified base of primarily French, Retail Bond Belgian and Anglo-Saxon tier 1 institutional investors Repayment in December 2017 of the  Retail Bond issued in June 2010 for an amount of € 350m 7

p. 3 FY 2017 – Highlights p. 8 FY 2017 – Financial performance p. 19 Dividend distribution p. 21 Subsequent events & outlook p. 24 Appendix 8