Investor Presentation 1
PROFILES – ELISABETTA FRANCHI ELISABETTA FRANCHI ENRICO MAMBELLI MATTEO ROVERSI GIANLUCA NANNINI CHAIRMAN & SHAREHOLDER CHIEF EXECUTIVE OFFICER GENERAL MANAGER CFO Today: Chief Executive Officer, Betty Today: General Manager, Betty Today: Chairman of Betty Blue S.p.A. Today: Finance Director, Betty Blue SpA Blue SpA Blue SpA 1998: Co-founder of Betty Blue 2014 - 2019: Managing Director, 2017: Senior Advisor Consumer 2015-2019 CFO and HR Director, GDTRE Arcadia/Dondup Goods, HIG Capital 2015 - 2018: Managing Director, LA 2008-2015 CFO and HR Director, 2005-2009: Chief Executive Officer, FORTEZZA , now part of ITAB Group Borbonese Diadora 2003 - 2014: Managing Director, 2005-2008 CFO, SIGC 2002-2005: Chief Executive Officer, Inver , now part of the Sherwin Gianfranco Ferrè Williams group 2000-2005 Consultant, Value Partners 1997 - 2003: Auditor and 2000-2002: General Manager Group consultant, Arthur Andersen Services, Cerruti 1881 1997-2000 Auditor, Deloitte 1986-1992: Marketing and Sales Manager Italy, Nike Industry-expert management team 2 2
PROFILES - SPACTIV MAURIZIO BORLETTI PAOLO DE SPIRT GABRIELE BAVAGNOLI VALENTINA DI RIENZO CHAIRMAN VICE CHAIRMAN AND CEO CHIEF EXECUTIVE OFFICER INVESTMENT DIRECTOR 2016 – today: Founder, Milano 2006 – today: Founding partner, 2006 – today: Founding partner, 2017 – today: Investment Director, Borletti Group Borletti Group ; Director, Printemps, Capital; Chairman, Finarno SPACTIV Grandi Stazioni Retail, Highstreet Baracchi Holding (“FBH”) 2016 – today: Chairman and 2010-2017: Manager, Vitale&Co, leading investor, Grandi Stazioni 2002 – 2006: CEO, Ungaro , Senior 2014 – 2016: Managing Director, independent financial advisor in Idea Capital Funds ; Director, La Manager Ferragamo M&A and debt transactions 2006 – 2013: Honorary Chairman Piadineria and leading investor, Printemps 1999 – 2002: Founder and CEO of an 2008-2010: Analyst, EY – Corporate international food service chain 2007 – 2014: Partner, McKinsey & Finance Company, Consumer and Retail 2006-2012: Member of focus Management Committee, 1988 – 1998: M&A advisor, Deutsche 2007: M&A, Pirelli EuroCommerce , Director, Bank Federdistribuzione 1997 – 2007: Consultant, McKinsey & Company; M&A Advisor, Morgan Stanley 2005 – 2011: Chairman and leading investor, la Rinascente 1994 – 2000: Shareholder and CEO, Christofle Promoters with track record and experience in the industry BORLETTI GROUP is an investment holding company with offices in London and Luxembourg. The MILANO CAPITAL combines direct investments Group's Private Equity division is made up of a team of managers with entrepreneurial, industrial with strategic consulting and works alongside and financial skills. In the last 12 years it has invested in excess of € 7 billion. leading Italian and international private equity investors. 3 3
CONTENTS OF THIS DOCUMENT Spactiv presents the Business Combination with Elisabetta Franchi Elisabetta Franchi: history, brand, DNA, values, and communication Equity story Appendices: 1. The transaction 2. Financials 3. Further information
SPACTIV'S APPROACH = SPAC + ACTIVE INVESTMENT STRATEGY Italian mid-cap company with strong 4 1 growth potential Shared growth plan 2 Lifestyle focus: Fashion, Food, Tourism 3 Contribution of skills and network 3 Equity Value €100m -400m 2 Members of BoD for 5 years 4 Qualified minority or majority 1 Strengthening of management 5 Investment €60m -80m Extensive research until all criteria have been met Promoter’s lock -up for up to 5 years 5 5
BUSINESS COMBINATION – ELISABETTA FRANCHI 2018 figures, % of revenues Revenues EBITDA EBIT Net Profit Founded in 1998 , HQ in Bologna €115.6m €22.3m 19.8m 15.0m - 19.3% 17.2% 13.0% Designs, produces and distributes luxury Made-in-Italy ready-to-wear women's clothing CAGR ’16 - ’18 CAGR ’16 - ’18 CAGR ’16 - ’18 CAGR ’16 - ’18 +6.5% +7.5% +8.5% +16.6% 2018 revenue breakdown Strong brand recognition , appreciated by consumers and celebrities By category 1 By geography By channel Rest of World E-commerce Shoes Other 18% 5% 5% 3% Bags 5% ~1,200 points of sale , of which 82 monobrand 2 Direct stores Dresses 18% stores, in over 60 countries. 40% of revenues 29% Italy Europe Franchisees and generated outside Italy . 60% 22% monobrand 3 stores Clothes 77% 58% Source: Betty Blue SpA, Financial reports as of 31 December 2016, 2017 and 2018 Management breakdown of e-commerce revenues by destination country of goods. Breakdown of e-commerce revenues in Information Document by country of invoice (1) Revenue of SS 2018 and AW 2018/2019 seasons. Total €109.2m Source: Management figures (2) Retail channel; includes direct full-price stores and outlets (3) Wholesale 6 6
WHY ELISABETTA FRANCHI? Well-known brand , recognised in Italy and abroad 1 Unique positioning in the attractive "accessible luxury" segment; revenues 2 growing at twice the segment rate Fast-fashion know-how reinterpreted in the luxury sector ; with a flexible and 3 scalable operating model Extensive distribution , both physical and online, in over 60 countries 4 5 Profitable growth trajectory; strong cash generation Further growth potential in Italy and abroad; extension of product range 6 7 Industry-expert management team, synergies with Borletti Group 7 7
CONTENTS OF THIS DOCUMENT Spactiv presents the Business Combination with Elisabetta Franchi Elisabetta Franchi: history, brand, DNA, values, and communication Equity story Appendices: 1. The transaction 2. Financials 3. Further information
HISTORY OF ELISABETTA FRANCHI ► 1998 : Bologna, Elisabetta Franchi incorporates the company Betty Blue, trading under the brand ‘ Celyn B’ ► 2008 : Second office created in Bologna by renovating a disused pharmaceutical plant ► 2010 : Launch of online store in Italy ► 2012 : Elisabetta Franchi decides to ‘ put her name on it ’ . Launch of eponymous brand and monogram logo ► 2012 : Joins the Fur-Free Retailer Program of the Italian Anti- Vivisection League (LAV). Complete removal of animal fur from production, from the Autumn-Winter 2012-13 collection ► 2013 : Opening of Milan showroom ► 2014 : Debuts at Milan Fashion week with launch of Spring- Summer 2015 collection ► 2019 : The NGO 'Fondazione Elisabetta Franchi Onlus' is launched to support animal rights 9
DNA Elisabetta Franchi's DNA identifies a specific category of woman and a clear, robust corporate identity with a recognisable brand image: FEMININE, SENSUAL and AWARE. The EF brand is not just a fashion brand, but also a LIFESTYLE with its own VALUES and IDEALS . DNA COMMUNICATION & MARKETING AS VISION & IDENTITY POSITIONING LIFESTYLE & STORYTELLING VALUES OBJECTIVES FASHION SHOWS ONLINE OFFLINE CRAFTSMANSHIP CONSISTENCY FEMININITY AND SENSUALITY RECOGNISABILITY ACCESSIBLE LUXURY CONSUMER- AWARENESS ORIENTED WEB & SOCIAL MEDIA LOVE OF ANIMALS, RESPECT & APPROACH E-COMMERCE ETHICS & RESPONSIBILITY ENVIRONMENT INCLUSIVENESS WEARABILITY LOGO MADE IN ITALY CELEBRITIES PRESS SELF-MADE WOMAN 10
BRAND IDENTITY - LOGO Modifying Elisabetta Franchi's initials, you get the company monogram , a synthesis of the image and identity of the brand. An effective simple, distinctive, recognisable, and above all identifiable design. 11
STRONG, RENOWNED BRAND The systematic use of a wide range of communication tools , with a special focus on innovative new channels, has gradually built up the brand and its positioning, while at the same time "closing the gap" with customers. Fur-free, Constant presence at plastic-free Milan Fashion Week Recognisability of style, logo, and product FASHION ECO-FRIENDLY SHOWS Chosen by several + celebrities around the STREAMING world: From Angelina Jolie to Lady Gaga CATEGORY CELEBRITIES “PENSA IN GRANDE” STORYTELLING: SKY & DIGITAL & SOCIAL MEDIASET INTERACTION LIFESTYLE LIFESTYLE ~1.9m Instagram followers PRESS: LIFESTYLE & CORPORATE & Extensive media BIOGRAPHY EDITORIALS presence High editorial /advertising ratio 12 12
BRAND FOLLOWING ONLINE IN ITALY AND ABROAD, ACROSS AGE RANGES DISTRIBUTION OF FOLLOWERS INSTAGRAM PRESENCE NOVEMBER ‘18 - NOVEMBER ‘19 AGE AND GENDER ~1.9m followers +547,000 follower growth 13 -17 18 - 24 +10,000 approx., average weekly follower growth 25 - 34 AGE 35 - 44 ~87,000,000 likes 15% MEN 45 – 54 55 – 64 85% ~417,000 comments WOMEN 65+ 150k 100k 50k 0 50k 100k 150k 200k 250k 300k 350k 400k 450k 500k 550k 600k ~87,000,000 unique viewers NUMBER OF FOLLOWERS ITALY: 67% ~2,700,000,000 views of all posts REST OF WORLD: 33% Conversion of Instagram visibility into sales through: • Weekly planning with sales monitoring & restocks • “See now, buy now”: direct link to purchase Source ICONOSQUARE. Reference period: November 2018-November 2019 13
CONTENTS OF THIS DOCUMENT Spactiv presents the Business Combination with Elisabetta Franchi Elisabetta Franchi: history, brand, DNA, values, and communication Equity story Appendices: 1. The transaction 2. Financials 3. Further information
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