Evonik Venture Capital October 2016 1 Table of contents 1. Evonik - PowerPoint PPT Presentation

Evonik Venture Capital October 2016 1

Table of contents 1. Evonik at a glance 2. Evonik Venture Capital 3. Specialty Chemical segments 2 | October 2016 | Evonik Venture Capital

2015: Evonik in figures 18.2 % Employees December 31, 2015 33,576 Profitability (adjusted EBITDA margin) € 2.465 billion Adjusted Return on capital EBITDA Employed (ROCE) 16.6 % € 13.5 billion sales 3 | October 2016 | Evonik Venture Capital

Leading in Specialty Chemicals Market leader Customer proximity Value proposition Innovation power Growth profile Most products with Average Strong customer intimacy ~500 Leading market small volume volume growth and tailor-made solutions positions in R&D projects with from 2010 until 2015 but big impact 80% almost 90% driving future sales more than 4% in customers’ end of our businesses 1 potential of direct sales in our growth segments 2 products 1. Sales with top 1-3 market position by sales, production volume or capacity (depending on available data) | 2. Nutrition & Care and Resource Efficiency 4 | October 2016 | Evonik Venture Capital

Consistent execution of differentiated segment strategy Sales Adj. EBITDA Margin ROCE € 13,507 m € 2,465 m 18.2% 16.6% Efficiency Growth Nutrition Resource Performance & Care Efficiency Materials Sales Adj. EBITDA / Margin Sales Adj. EBITDA / Margin Sales Adj. EBITDA / Margin € 4,924 m € 1,435 m / 29.1% € 4,279 m € 896 m / 20.9% € 3,435 m € 309 m / 9.0% 2015 Financials 5 | October 2016 | Evonik Venture Capital

Evonik Group 22 Business Lines grouped in 3 segments Nutrition Resource Performance & Care Efficiency Materials Sales Adj. EBITDA / Margin Sales Adj. EBITDA / Margin Sales Adj. EBITDA / Margin € 4,924 m € 1,435 m / 29.1% € 4,279 m € 896 m / 20.9% € 3,435 m € 309 m / 9.0% Animal Nutrition Silica Performance Intermediates Baby Care Crosslinkers Methacrylates Health Care Oil Additives Acrylic Products Personal Care Coating & Adhesive Resins Functional Solutions Household Care High Performance Polymers Agrochemicals & Polymer Additives Comfort & Insulation Active Oxygens CyPlus Technologies Interface & Performance Silanes Coating Additives Catalysts 2015 financials; Business Lines ranked by turnover 6 | October 2016 | Evonik Venture Capital

Growth strategy based on three strong pillars Investments Innovation M&A Expansion of global Market- and customer-oriented Sharpening of specialty production footprint R&D approach chemicals portfolio Strengthen leading market Additional route for growth and Product and process innovation positions worldwide value creation 7 ~ 2,700 ~ 3.8 bn USD world-scale production plants erected and R&D employees drive our innovation Acquisition of the Specialty & Coating currently in ramp-up 1 efforts across the group Additives business of Air Products 1. Construction between 2012 and 2015 7 | October 2016 | Evonik Venture Capital

Innovation excellence: Evonik growth fields Leveraging our core competencies into highly attractive markets Megatrends Health & Nutrition Resource Efficiency Globalization Evonik Growth Fields Sustainable Nutrition Advanced Food Ingredients Healthcare Solutions Additional contribution Cosmetic Solutions Membranes Smart Materials to sales more than € 1 billion Evonik Technology Competence Fields by 2025 Inorganic Interfacial Coating & Bonding Catalytic Polymer Design Biotechnology Particle Design Technologies Technologies Processes 8 | October 2016 | Evonik Venture Capital

Table of contents 1. Evonik at a glance 2. Evonik Venture Capital 3. Specialty Chemical segments 9 | October 2016 | Evonik Venture Capital

Evonik Venture Capital strategic investor advantage  As a strategic investor we actively collaborate with our portfolio companies  We leverage the strengths of Evonik to drive growth at portfolio companies through strategic, technical and commercial expertise:  Cooperation with Evonik can provide:  technological expertise and infrastructure  know-how of manufacturing processes and production scale-up  market experience and global access  expertise in patent strategies and on issues of intellectual property rights  reputation and financial strength 10 | October 2016 | Evonik Venture Capital

Evonik Venture Capital investment focus Nutrition & Care Resource Effficency Performance Materials  Feed additives and services for animal  Lubricant additives (viscosity modifiers)  Plastics nutrition  Fuel additives  Styrene-butadiene-rubber  Active pharma ingredients  Additives for eco-friendly and highly solid  High performance polymers  Drug delivery systems for oral and industrial coatings  LED/touch screens parenteral dosage  Crosslinkers for composites, elastomers  Construction  Tailor-made pharmaceutical syntheses and non-solvent coatings  Light-weight systems  Pharma amino acids  Functional resins  Automotive components  Actives, emulsifiers and conditioners for  Adhesive hot melts  Polymer additives personal care applications  Heat sealants  Optical brighteners  Superabsorbents for baby care, female  Precipitated and fumed silica  Agro chemicals care and adult care  High perf. polyamide (PA12)  Foam stabilizers, catalysts and release  Methylmethacrylate (MMA) & application  Polyetheretherketone (PEEK) agents monomers  Membranes and polyimide fibres  Specialty surfactants  Methacrylic acid  Activated base metal catalysts  Release coatings and super spreading  Catalysts for industrial & petrochemicals additives for packaging, agrochemicals and plastic additives 11 | October 2016 | Evonik Venture Capital

Evonik Venture Capital investment outline  We make medium-term investments in start-up companies and venture capital funds throughout the world, with a total volume of up to € 100 million.  We generally maintain a minority share and typically invest up to € 5 million per company.  investments are driven by financial returns and strategic goals  in innovative companies within key megatrends and new growth fields of Evonik  typically in series A & B rounds of companies that have already entered the market or are about to do so  typically in syndication with other venture capital investors 12 | October 2016 | Evonik Venture Capital

Evonik Venture Capital portfolio (I) 13 | October 2016 | Evonik Venture Capital

Evonik Venture Capital portfolio (II)  Airborne Oil&Gas - www.airborne-oilandgas.com  Vivasure - www.vivasuremedical.com Flexible composite pipes for the Oil & Gas industry. Bio-absorbable closure device for large bore holes in the femoral artery.  Algal Scientific - www.algalscientific.com  Wiivv Wearables - www.wiivv.com Beta-glucan as nutritional supplement for feed- and food applications. 3-D printed, biomechanically optimized insoles.  Biosynthetic Technologies - www.biosynthetic.com  Emerald Technology Ventures - www.emerald-ventures.com Bio-based synthetic oils for the lubricant and cosmetics Focus on energy, water and materials in Europe and North industries. America.  FRX Polymers - www.frxpolymers.com  GRC SinoGreen Fund - www.grcfunds.com Non-halogen, poly-phosphonates – fire-resistant plastics. Focus on material focused green technology companies in China.  JenaCell - www.jenacell.com  High-Tech Gründerfonds - www.high-tech-gruenderfonds.de Bio-based nanocellulose for wound care and cosmetics. Focus on German early stage companies.  Nanocomp - www.nanocomp.fi  Pangaea Ventures - www.pangaeaventures.com Micro- and nano-optical structures for electronic applications. Focus on advanced materials companies in North America.  Synoste - www.synoste.com Patient friendly solutions for correcting skeletal deformations. 14 | October 2016 | Evonik Venture Capital

Evonik Venture Capital investment team Main Office – Hanau, Germany Bernhard Mohr Monika Braun Petra Riva Managing Director Executive Assistant Executive Assistant Mona Friedrich Anette Kübler Mark Redshaw Financial Analyst Senior Venturing Investment Director Manager Jakob Wirbatz Stephan Wolf Investment Director Investment Manager Office – Essen, Germany Office – Parsippany, NJ Office – Woodlands, TX Jens Busse Lutz Stoeber Eric Breese Investment Manager Investment Director Investment Manager www.evonik.com/venturing 15 | October 2016 | Evonik Venture Capital

Table of contents 1. Evonik at a glance 2. Evonik Venture Capital 3. Specialty Chemical segments 16 | October 2016 | Evonik Venture Capital