Conference Call Q1 2020 Announcement 24 April 2020 1 Volatile - PowerPoint PPT Presentation

Conference Call Q1 2020 Announcement 24 April 2020 1

Volatile market environment – thematic portfolio relatively stable in Q1 2

Q1 2020 in short • Total investments announced by the EQT funds in the first quarter 2020 amounted to EUR 1.8bn – A few thematic investments made in early 2020; including Deutsche Glasfaser in Germany and €1.8bn 8bn €0.4bn 4bn O2 Power in India by EQT Infrastructure IV - activity significantly slower post COVID-19 outbreak Investments Capital Exits and exits • Total gross fund exits in the first quarter 2020 of EUR 0.4bn invested (Q1 2020) • Current focus on, impact assessment, liquidity need and developing existing portfolio companies (Q1 2020) further until market recovery • Value creation in EQT’s key funds still developing “On plan” or “Above plan” On p n pla lan n • Long-term expectations remain but value creation will take longer Value EQT Infra II & IV On p n pla lan n • Q1 2020 Gross MOIC in key funds supported by thematic investment strategy creation EQT VI-VIII Ab Above ve p plan EQT Infra III – Average like-for-like value decrease during the quarter of approximately 5% • EQT IX hard cap set at EUR 15 billion - fundraising ongoing but expected to take longer due to COVID-19 • EQT Infrastructure is exploring various alternatives to raise additional capital, including preparations Fundraisings, for Infrastructure V €40. 0.0b 0bn 731 731 AUM and • Fee-generating AUM at EUR 40.0bn AUM FTE+ FTE+ • New recruitments currently paused (unless highly strategic) – FTE level during H1 still expected to increase due to already signed hires • Investment level in key funds as of April 24, 2020, were 70-75% in EQT VIII and 70-75% in EQT Infrastructure IV Syd ydney y • VAT ruling announced by the Supreme Administrative Court of Sweden on January 27, 2020. Not expected to Office have material impact on EQT AB Group’s future results or its financial position Other opened in • EQT VIII entered into exclusive negotiations to acquire Schülke, a leading provider of infection prevention February solutions. The investment is supporting UN ´ s SDG #3 Good Health and Well-being • Strategic review of business segment Credit is ongoing 3

25+ years of track-record and experience over cycles > 700 > 7 00 FT FTE+ AUM UM €40 40bn bn Dec-94 Dec-96 Dec-98 Dec-00 Dec-02 Dec-04 Dec-06 Dec-08 Dec-10 Dec-12 Dec-14 Dec-16 Dec-18 Real Assets FTE+ Private Capital Credit 4

COVID-19 – Impact on EQT AB • Expect that fundraisings will generally take longer in the current market environment • Lower overall investment activity although deal potential remains in attractive segments • Exits are less likely for most assets unless market conditions stabilizes • Timing of carry recognition delayed as it is dependent on exits and/or increases in unrealized values • Strong balance sheet and a strong liquidity position, with approximately EUR 900 million of cash at year-end 2019 • No fund investor has defaulted on their commitment since the foundation of EQT 25+ years ago Recu curring Lower er in inves estmen ent Strong ng and s stable and bala lance s e sheet eet revenue nues exit it a activit ivity 5

COVID-19 – Impact on portfolio companies All companies globally affected, however thematic portfolio remained relatively stable in Q1  Non-cyclical companies Equity need in ~ 15% of  Long-term macro-trends portfolio companies in Our thematic  Digitalisation, sustainability key funds 1,2 investment strategy  Long-term stable underlying demand Less than 5% of capital 3 in key funds 2 required  Essential services to society EQT is well prepared for a downturn Contingency business plans in place Available fund capital to support portfolio companies Refinanced a large part of the portfolio More than 75% in covenant light structures for key funds Selectively drawn down RCF in some portfolio companies Note: 1) Excluding immaterial amounts; 2) EQT VI-VIII, EQT Infrastructure II-IV; 3) Committed capital 6

Strategy remains unchanged – executed at a slower pace Expand in APAC Real Estate M&A EQT Growth • • Preparations for growing • Sydney office opened • Selective M&A – activity The strategy is positioned in Real Estate, including: slower due to current market between Ventures and • A growth area for environment Private Equity – Managed to Prime Infrastructure and Private • Equity • Over time, increased Continued preparations but – New Geographies opportunities can arise with a longer time horizon Credit • Strategic review ongoing • Businessas usual during the process 7

Robust valuation based on multiple valuation methodologies • EQT’s valuation process is based on IPEV guidelines 1 • Multiple valuation techniques 1 2 3 4 5 applied, typically consisting of:  Listed peer multiples  Transaction multiples  Discounted cash flows Deal Team Inhouse Business Line Valuation Audited bi- produce Valuation Team Head reviews Committee annually valuations reviews and signs off on reviews and valuations valuations sign off Note: 1) The international Private Equity and Venture Capital Valuation (IPEV) guidelines 8

Key data per Q1 2020 9

Our business model is long-term, simple and scalable …with integrated …and a Attractive client returns… …drive growth in AUM… revenue streams… predictable cost base Management fees € Carried interest & investment income 10 10 10

Value creation remains relatively stable across key funds On plan On plan On plan 2. 2.4x 4x 2.3x 3x 2.3x 3x 1.8x 1. Private 1.6x .6x 1.4x 1. Capital 1. 1.1x 1x 1. 1.1x 1x 1.0x 0x EQT EQT V VI EQT EQT V VII EQT V VIII III On plan Above plan On plan 2.1x 1x 2.1x 1x 2.0x 0x Real 1.5x 1. 5x 1. 1.5x 5x 1.3x 3x 1.1x 1. 1x Assets 1.0x 0x 1.0x 0x EQT In Infras astruct uctur ure II II EQT In Infras astruct uctur ure III III EQT In Infras astruct uctur ure IV IV Gross MOIC Mar-19 Gross MOIC Dec-19 Gross MOIC Mar-20 Expected Gross MOIC Note: Data for current Gross MOIC reflects only closed investments and realizations. For Private Equity funds (part of segment Private Capital), target Gross MOIC amounts to 2.3x and “On Plan” refers to expected Gross MOIC between 2.0-2.5x. For Infrastructure funds 11 11 11 (part of segment Real Assets), target Gross MOIC amounts to 2.0x and “On Plan” refers to expected Gross MOIC between 1.7-2.2x.

AUM in Q1 2020 remains at similar levels as per Q4 2019 -0.3 3.0 -3.5 40.8 40.0 0.1 AUM development -2.0% 0% Mar 2019 LTM - Mar 2020 Mar-19 Gross inflows Step-downs Exits FX and other Mar-20 - 40.0 0.3 39.9 -0.3 0.1 AUM development +0 +0.1% 1% Q1 2020 Q1 2020 Dec-19 Gross inflows Step-downs Exits FX and other Mar-20 12 12

Carried interest recognition update on 1 is Status of carried interest recognition Timing ng of c of carri rried int ntere rest st re recogni ognition is drive iven b by • EQT VI and EQT Infrastructure II have recognized revenue from carried interest to date Increa reases es • Status for EQT VII and EQT Infrastructure III as below: Exits in u unreali realized ed and/or valu va lues es Metrics ics EQT QT V VII II EQT T Infr nfrastr tructu ture I III 1.6 .6x 1.5 .5x Gross MOIC (Current) “Ru Rule le of t of thumb” ” on i on ini nitial l re recogni ognition on 3 0 Number of exits ~ 4.5 ~ 3.5 4.5 .5 Years since first investment ~ 1.7-1.8x Usually lly Gross MOIC a f few ew ex exits reached ~ 4-6 years after first investment Note: 1) For IFRS purposes 13 13

Number of employees 1 +25 Y +2 5 YTD +105 +10 731 731 706 706 +90 90 601 01 511 511 675 645 527 455 Dec-17 Dec-18 Dec-19 Mar-20 FTE On-site consultants Note: 1) FTE+ 14 14

Financial targets and dividend policy Growth Total revenue growth exceeding the private markets’ long-term growth rate Profitability Adjusted EBITDA margin of 55-65% Dividend To generate a steadily increasing annual dividend in absolute euro- policy denominated terms Targets should be considered over a fund cycle 15 15 15 15

Questions? 16 16

Thank you 17 17

Appendix 18 18