FCF Forestry, Paper and Packaging Monitor

November 2019 EXECUTIVE SUMMARY Executive Summary

The FCF Forestry, Paper and Pack- FCF Forestry, Paper and Packaging Monitor Recipients aging Monitor is a standardized report / is a comprehensive publication of listed and private equity (PE) - The FCF Forestry, Paper and Packaging Monitor targets a wide backed European Forestry, Paper and Packaging companies. The audience, which includes: analysis of the public analysis includes: ■ Executives ■ Equity / debt investors European Forestry, ■ Key personnel involved ■ Shareholders Paper and Pack- ■ Market: Fundamental data, such as historic and projected in corporate development aging market and growth rates (sales, profitability) and margins and financing decisions provides valuable industry and ■ Equity: Historic, recent and projected company valuation levels, and provides in-depth and complete financial insights that highlight such as trading multiples and valuation drivers competitive key trends within the European Forestry, Paper and Packaging market intelligence ■ Debt: Relevant financial metrics for debt transactions, financing structures / trends and WACC development More advanced, Data ■ Rating: Historic rating development, impact analysis of financial detailed and / or metrics and ratios on firm rating customized reports All input data is provided by S&P Capital IQ and is not independently verified by FCF. Ratio and multiple calculations are driven based on are available upon ■ PE: Historical deals, analysis of funding volumes and league table of the most active / financially powerful investors the input data available. For additional information and disclaimer, request please refer to the last page Selection of Companies Availability The selection of companies is primarily based on the following criteria: The FCF Forestry, Paper and Packaging Monitor is available on ■ Listed companies headquartered in Europe (excl. Russia) FCF’s website at “www.fcf.de“ ■ Total revenues (Last Twelve Months) > EUR 100m and < EUR 10,000m ■ Market Capitalization > EUR 100m To recommend colleagues or fellow investors to be added to the mailing list, kindly send an email with the respective contact ■ Forest and Paper Products, Metal Packaging, Plastic information Packaging or Paper Packaging industry classification ■ Free Float > 10% More advanced, detailed and / or customized reports can be ordered individually (e.g. for board reporting, strategy and ■ Available financial forecasts competition analysis purposes)

3 FCF OVERVIEW FCF Overview

FCF seeks to Who We Are Capital Markets Capabilities and Services provide its clients ■ Specialized investment bank and financing specialist ■ Venture capital ■ Private equity with financing Private / ■ Advising public and private small / midcap companies Pre-IPO ■ Growth capital solutions ■ Advisor for structuring and placement of financing transactions: ■ Initial Public Offering pursued in tandem) (i) at the lowest (IPO) / Capital increase ■ Private Investment in

Equity Public cost, − All instruments: Unbiased approach to all available corporate ■ Dual-track (IPO and Public Equity (PIPE) financing instruments (no product selling approach), allowing alternative transaction ■ Block trade (ii) with the highest for customized financing structures flexibility, ■ Receivables / Factoring / ■ Working capital / − All investors: Close and trusted relationships with senior Short-term Asset-backed Securities Revolving credit facility (iii) in the shortest executives of virtually all relevant equity and debt investors Debt ■ Borrowing base / ■ Guarantees / Inventory Letter of Credit period of time, − Fast process: Process management skills and direct / personal access to institutional debt and equity investors enable fast ■ Bank loan facility / ■ Promissory note (iv) with the highest Syndicated loans (Schuldscheindarlehen) closing proba- transactions Debt Long-term ■ Sale-and-lease back / ■ High-yield / PIK bond bility, and with Debt Leasing ■ Second lien / ■ More than 100 transactions with a total placement volume in ■ Corporate bonds (public / Subordinated loans (v) financing excess of EUR 4.0 billion since foundation in 2005 private placement) ■ Unitranches partners that ■ Approx. 10 professionals headquartered in Munich Mezzanine ■ Mezzanine capital ■ Convertible bonds integrate well into their strategy Selected Transactions

Acquisition Financing Acquisition Financing Syndicated Loan Transaction Support Capital Increase Syndicated Loan, Factoring Round Extension Factoring Facility Capital Increase Investment in Bilateral Loan Facility Capital Increase and Warehousing Facility Senior Loan & WCF Second Lien Loan Facility

[confidential] [confidential]

Advisor to AkrosA Hydrogenious LOHC Doppstadt GSE Group GSE Group Business Service Leading Virtual Vasopharm GmbH Synapticon GmbH KMP Holding GmbH Synapticon GmbH Private Equity KMP Holding GmbH Technologies GmbH Familienholding GmbH Acquisition by Finexx Acquisition by Finexx Provider Reality Company GmbH & Co. KG EUR 17m EUR 80m [confidential] [confidential] > EUR 10m > EUR 10m [confidential] [confidential] [confidential] [confidential] [confidential] July 2019 July 2019 June 2019 June 2019 March 2019 January 2019 December 2018 December 2018 November 2018 April 2018 April 2018 April 2018

European Investment European Investment R&D Financing European Investment Syndicated Loan Bilateral European Investment Syndicated Loan Advisor to the Family Capital Increase Promissory Note Factoring Facility Bank Debt Facility Bank Debt Facility Debt Facility Bank Debt Facility Facility Loan Facility Bank Debt Facility Facility and the Company

DSD – Duales System W Schulz Group Ziegler Holzindustrie Schnellecke Group Schnellecke Group Schnellecke Group censhare AG AMW GmbH Voxeljet AG numares AG MagForce AG Holding Biofrontera AG Sale to GmbH & Co. KG AG & Co. KG AG & Co. KG AG & Co. KG GmbH & Co. KG Berkshire Hathaway EUR 25m EUR 25m EUR 25m EUR 11m EUR 35m EUR 70m EUR 55m EUR 30m EUR 20m EUR 105m EUR 50m [confidential] December 2017 December 2017 November 2017 November 2017 July 2017 July 2017 June 2017 June 2017 May 2017 March 2017 March 2017 February 2017

5 FCF Facts & Figures

More than Close to More than More than # 1 10 100 100 4 bn Financing advisor in Investment banking Years of aggregated, Completed Total volume of advised Germany, purely focusing professionals investment banking / transactions & closed transactions on corporate financing financing experience since 2005 transactions

More than More than Network 2000 25 120 Leading Access to more than Contacts to family offices International conferences Articles and research Advisor for financing 4000 international and ultra high net worth organized papers published transactions with EIB in financial institutions individuals worldwide the DACH region

6 PUBLIC MARKET Public Market Listed Companies – General Overview

Large Caps (Enterprise Value > €1,000m)

General Information Growth & Profitability Profile

Financial Cash & Enterprise EBITDA Dividend Leverage Interest Equity Net Debt Market Cap Sales CAGR EBITDA CAGR RoE RoCE Listing Debt Equiv. Value Margin Yield Ratio Cover. Ratio Peer Group Place (€m) (€m) (€m) (€m) (€m) '15a-'18a '18a-'21e '15a-'18a '18a-'21e 2019e LFYA 2019e 2018a LTM 2019e 2019e

Ahlstrom-Munksjö Oyj EU 1,244.1 191.3 1,052.8 1,561.0 2,624.1 29.2% 8.3% 34.7% 23.5% 11.2% 3.8% 3.2x 8.7x 34.2% 7.3% 7.0% Altri, S.G.P.S., S.A. EU 808.1 222.9 585.2 1,098.5 1,683.7 5.8% 1.0% 9.7% -3.7% 31.8% 13.4% 2.4x 21.6x 28.6% 26.4% 15.4% Amcor plc AU 5,363.5 528.7 4,834.8 13,997.2 18,889.8 -1.7% 14.4% -2.4% 20.0% 15.0% 4.6% 3.2x 6.0x 33.1% 11.4% 10.4% BillerudKorsnäs AB (publ) SE 1,520.0 31.0 1,488.9 2,097.7 3,587.5 -0.7% 3.1% -9.6% 12.3% 11.2% 4.2% 5.6x 64.7x 29.5% 6.0% 3.7% DS Smith Plc UK 3,201.8 444.1 2,757.7 5,368.2 8,127.1 10.4% 5.5% 11.7% 12.8% 14.8% 4.6% 2.4x 11.7x 36.5% 10.7% 11.1% ENCE Energía y Celulosa, S.A. EU 640.1 201.0 439.0 853.7 1,310.6 7.8% 3.7% 10.9% 0.5% 25.2% 7.5% 2.2x 13.7x 39.9% 6.0% 5.7% Holmen Aktiebolag (publ.) SE 441.4 24.4 417.0 3,986.7 4,403.7 -3.4% -0.3% 5.1% 1.9% 19.0% 2.7% 1.4x 78.3x 59.6% 22.7% 7.5% Huhtamäki Oyj EU 1,153.8 122.6 1,031.2 3,913.1 5,001.2 4.4% 6.4% 4.5% 11.9% 13.5% 2.2% 2.3x 15.1x 38.3% 15.7% 12.3% Mayr-Melnhof Karton AG EU 470.1 136.0 334.1 2,236.0 2,576.0 2.3% 5.0% 3.2% 9.0% 14.7% 2.9% 0.9x 65.5x 57.7% 12.8% 13.7% Metsä Board Oyj EU 466.3 83.1 383.2 2,084.3 2,467.5 -1.1% 0.7% -0.8% 15.6% 15.2% 5.0% 1.3x 11.3x 57.4% 12.0% 10.9% Mondi plc UK 2,419.0 78.0 2,341.0 8,617.7 11,309.7 3.1% -0.1% 10.3% -2.1% 22.0% 4.3% 1.4x 20.4x 48.7% 20.2% 17.8% Semapa - Sociedade de Investimento e Gestão, SGPS,EU S.A.1,858.0 216.6 1,641.5 1,014.0 2,976.9 0.9% 1.8% 2.0% 5.3% 24.4% 4.1% 3.0x 12.8x 30.2% 9.9% 10.6% SIG Combibloc Group AG CH 1,597.2 78.6 1,518.6 4,137.5 5,656.1 na 4.8% na 9.8% 27.3% 2.7% 3.1x 3.4x 42.2% 5.1% 9.0% Smurfit Kappa Group plc EU 3,998.0 234.0 3,764.0 6,785.7 10,587.7 3.3% 2.4% 10.6% 3.0% 17.7% 3.4% 2.3x 9.3x 28.9% 21.3% 14.6% Svenska Cellulosa Aktiebolaget SCA (publ) SE 919.8 30.6 889.2 6,199.3 7,089.1 -45.7% 0.0% -39.4% 10.2% 26.3% 2.0% 1.8x 161.4x 61.9% 7.2% 6.7% The Navigator Company, S.A. EU 966.5 116.6 850.0 2,340.3 3,190.5 1.0% 1.9% 2.6% 1.0% 25.4% 8.5% 1.9x 40.2x 40.7% 20.1% 13.5%

Min 441.4 24.4 334.1 853.7 1,310.6 -45.7% -0.3% -39.4% -3.7% 11.2% 2.0% 0.9x 3.4x 28.6% 5.1% 3.7% Max 5,363.5 528.7 4,834.8 13,997.2 18,889.8 29.2% 14.4% 34.7% 23.5% 31.8% 13.4% 5.6x 161.4x 61.9% 26.4% 17.8% Median 1,199.0 129.3 1,042.0 3,126.7 3,995.6na 2.3% 2.8% 4.5% 9.4% 18.3% 4.1% 2.3x 14.4x 39.1% 11.7% 10.7% Mean 1,691.7 171.2 1,520.5 4,143.2 5,717.6na 1.1% 3.7% 3.6% 8.2% 19.7% 4.7% 2.4x 34.0x 41.7% 13.4% 10.6% Note: Share Price as of 19/10/2019 *) Sales CAGR '18a-'20e **) Sales CAGR '18a-'19e

Source: S&P Capital IQ as of 19/10/2019 Mean calculation of relative figures: Sum of the single, relative values (e.g. sales growth rate) of company universe, divided by the number of selected companies (unweighted) 8 Median calculation of relative figures: Median of the single, relative values (e.g. sales growth rate) of company universe Public Market Listed Companies – General Overview

Small/Mid Caps (Enterprise Value < €1,000m)

General Information Growth & Profitability Profile

CPH Chemie + Papier Holding AG CH 0.0 86.0 -86.0 441.3 356.8 7.3% 2.9% 88.8% 2.6% 15.4% 1.6% nm 17.2x 51.8% 10.1% 8.8% Groupe Guillin S.A. EU 126.5 61.2 65.3 339.8 405.1 5.8% 4.5% -0.4% 7.4% 13.7% 3.3% 0.7x 99.7x 55.2% 12.1% 13.0% Guala Closures S.p.A. EU 519.3 37.8 481.5 444.8 963.8 na 42.0% na 61.9% 18.3% na 4.3x 3.5x 45.1% 1.1% 3.7% Iberpapel Gestión, S.A. EU 72.8 170.6 -97.9 278.4 180.5 0.8% 9.8% 14.0% 9.5% 16.3% 2.7% nm 36.0x 67.9% 7.2% 7.4% Miquel y Costas & Miquel, S.A. EU 75.4 41.7 33.6 470.6 504.2 5.1% 4.4% 6.5% 2.3% 24.0% na 0.5x 79.5x 66.2% 14.2% 14.2% Reno De Medici S.p.A. EU 99.2 30.0 69.2 267.6 336.8 11.2% 6.3% 15.0% 6.5% 9.5% 1.0% 1.0x 58.3x 39.5% 12.0% 11.9% TFF Group EU 153.1 56.1 97.0 748.0 849.5 8.9% 8.5% 4.9% 9.2% 19.5% 1.0% 1.7x 47.4x 62.4% 10.1% 12.4%

Min 0.0 30.0 -97.9 267.6 180.5 0.8% 2.9% -0.4% 2.3% 9.5% 1.0% 0.5x 3.5x 39.5% 1.1% 3.7% Max 519.3 170.6 481.5 748.0 963.8 11.2% 42.0% 88.8% 61.9% 24.0% 3.3% 4.3x 99.7x 67.9% 14.2% 14.2% Median 99.2 56.1 65.3 441.3 405.1na 6.5% 6.3% 10.2% 7.4% 16.3% 1.6% 1.0x 47.4x 55.2% 10.1% 11.9% Mean 149.5 69.1 80.4 427.2 513.8na 6.5% 11.2% 21.5% 14.2% 16.7% 1.9% 1.6x 48.8x 55.4% 9.5% 10.2% Note: Share Price as of 19/10/2019 *) Sales CAGR '18a-'20e **) Sales CAGR '18a-'19e

All Caps (Total)

Min 0.0 24.4 -97.9 267.6 180.5 -45.7% -0.3% -39.4% -3.7% 9.5% 1.0% 0.5x 3.4x 28.6% 1.1% 3.7% Max 5,363.5 528.7 4,834.8 13,997.2 18,889.8 29.2% 42.0% 88.8% 61.9% 31.8% 13.4% 5.6x 161.4x 67.9% 26.4% 17.8% Median 808.1 86.0 585.2 2,084.3 2,624.1na 3.3% 4.4% 5.1% 9.0% 17.7% 3.4% 2.2x 20.4x 42.2% 11.4% 10.9% Mean 1,222.3 140.1 1,082.2 3,012.2 4,133.8na 2.6% 6.0% 8.7% 10.0% 18.7% 4.1% 2.2x 38.5x 45.9% 12.2% 10.5% Note: Share Price as of 19/10/2019 *) Sales CAGR '18a-'20e **) Sales CAGR '18a-'19e

Source: S&P Capital IQ as of 19/10/2019 Mean calculation of relative figures: Sum of the single, relative values (e.g. sales growth rate) of company universe, divided by the number of selected companies (unweighted) 9 Median calculation of relative figures: Median of the single, relative values (e.g. sales growth rate) of company universe Public Market Aggregated Development of P&L Metrics

Since ‘11, mean key Sales (Mean ‘11 – ’18) EBITDA (Mean ’11 – ’18) P&L metrics of the EURm EURm relevant European 3,000 CAGR ‘11-’18: +2.6% 500 CAGR ‘11-’18: +6.5% forestry, paper and packaging companies show a positive develop- 2,500 400 ment, exhibiting an average annualized 2,259 sales growth of 2.6% 339 (’11 - ’18) 2,000 300

European forestry, Long-Term average Long-Term average paper and packaging companies were 1,500 200 able to raise eco- 2011 2012 2013 2014 2015 2016 2017 2018 2011 2012 2013 2014 2015 2016 2017 2018 nomies of scale, resulting in higher EBIT (Mean ’11 – ’18) Net Income (Mean ’11 – ’18) profitability, e.g. EURm EURm EBITDA growth of 300 CAGR ‘11-’18: +8.4% 200 CAGR ‘11-’18: +5.1% 6.5%

120 200 215 100

Long-Term average Long-Term average

100 0 2011 2012 2013 2014 2015 2016 2017 2018 2011 2012 2013 2014 2015 2016 2017 2018

Source: S&P Capital IQ as of 19/10/2019; FCF Equity Research 10 Mean calculation: Total aggregated values (e.g. sales) of company universe, divided by the number of selected companies (weighted) Public Market Aggregated Historical Year-on-Year Growth Rates

The European Revenue Growth Y-o-Y (Mean ‘11 – ’18) forestry, paper and packaging market 15% has consistently 12% 11.5% outperformed the 9% overall European 6.4% economy on an 6% 4.7% 3.8% annual basis, except 3% 2.1% 1.3% for ’12, ’16 and ‘18, 2.6% measured against 0% the real European -3% -1.4% GDP (‘11 - ’18) -3.1% -6% 2011 2012 2013 2014 2015 2016 2017 2018

Mean EU GDP Growth Long-Term average

EBITDA Growth Y-o-Y (Mean ‘11 – ’18)

20% 18.4%

16%

12% 8.7% 8% 6.4%

3.4% 3.9% 4.3% 6.5% 4% 2.9% 1.6% 0%

-4% 2011 2012 2013 2014 2015 2016 2017 2018

Mean EU GDP Growth Long-Term average

Source: S&P Capital IQ as of 19/10/2019; FCF Equity Research; IMF Note: Real European GDP based on IMF regional classification 11 Mean calculation: Changes in total aggregated values (e.g. revenues) of company universe, divided by the number of selected companies (weighted) Public Market Aggregated Historical Profitability

The European EBITDA Margin (Mean ‘11 – ’18) forestry, paper and packaging industry 20.0% largely benefits from leading technology 16.0% positions, allowing 14.9% for moderate 12.0% margins 16.8% 8.0% 15.3% 16.0% 16.1% 13.6% 13.9% 14.5% EBITDA / EBIT 12.9% margins have signi- 4.0% ficantly increased 0.0% from ‘11 to ’18, 2011 2012 2013 2014 2015 2016 2017 2018 current EBITDA / EBIT margins Long-Term average increased from 13% in ’11 to 17% in ’18 and from 8% in ’11 EBIT Margin (Mean ‘11 – ’18) to 11% in ‘18, respectively 12.0%

9.0% 9.4%

6.0% 11.2% 10.3% 10.5% 9.2% 9.9% 8.4% 7.6% 8.2% 3.0%

0.0% 2011 2012 2013 2014 2015 2016 2017 2018

Long-Term average

Source: S&P Capital IQ as of 19/10/2019; FCF Equity Research Mean calculation: Total aggregated values (e.g. EBITDA / Revenues) of company universe, divided by the number of selected companies (weighted) 12 EQUITY / VALUATION Equity / Valuation Listed Companies – Valuation Metrics

Large Caps (Enterprise Value > €1,000m)

Valuation Analysis

Enterprise Value Equity Value Price / Op. EV / Sales EV / EBITDA EV / EBIT P / E P / B CFpS Peer Group 2018a 2019e 2020e 2021e 2018a 2019e 2020e 2021e 2018a 2019e 2020e 2021e 2018a 2019e 2020e 2021e LFQA 2019e

Ahlstrom-Munksjö Oyj 1.0x 0.9x 0.9x 0.8x 11.0x 7.9x 6.6x 6.3x 25.6x 15.3x 11.4x 10.5x 33.6x 19.0x 10.6x 9.4x 1.4x 17.0x Altri, S.G.P.S., S.A. 2.1x 2.2x 2.1x 2.1x 5.8x 6.8x 6.6x 6.7x 7.3x 9.8x 9.3x 9.5x 6.1x 9.6x 9.6x 9.1x 2.5x 4.7x Amcor plc 1.6x 1.9x 1.6x 1.5x 11.7x 12.4x 10.1x 9.6x 15.7x 16.4x 13.5x 12.4x 15.8x 24.7x 16.6x 14.1x 2.8x 15.8x BillerudKorsnäs AB (publ) 1.3x 1.5x 1.4x 1.4x 10.4x 13.5x 10.4x 8.8x 21.5x 32.0x 20.5x 15.6x 21.1x 27.2x 15.6x 11.7x 1.6x 8.5x DS Smith Plc 1.0x 1.0x 1.0x 1.0x 8.4x 7.1x 6.6x 6.5x 13.3x 10.5x 10.0x 9.6x 14.3x 13.8x 12.2x 11.6x 1.5x 9.3x ENCE Energía y Celulosa, S.A. 2.0x 1.7x 1.4x 1.4x 6.1x 6.6x 5.1x 4.8x 8.3x 16.1x 8.2x 7.6x 10.4x 20.2x 8.9x 8.0x 1.2x 3.8x Holmen Aktiebolag (publ.) 2.0x 2.8x 2.8x 2.8x 11.0x 14.8x 14.6x 14.3x 16.7x 20.9x 19.7x 18.8x 13.0x 8.5x 23.3x 21.7x 1.9x 17.7x Huhtamäki Oyj 1.2x 1.5x 1.4x 1.3x 9.7x 10.9x 9.9x 9.4x 15.4x 17.1x 15.1x 14.2x 18.0x 19.1x 16.5x 15.4x 3.0x 15.5x Mayr-Melnhof Karton AG 0.9x 1.0x 1.0x 1.0x 6.9x 6.8x 6.5x 6.3x 10.4x 10.3x 9.7x 9.5x 13.4x 12.3x 11.6x 11.4x 1.6x 8.9x Metsä Board Oyj 1.1x 1.3x 1.3x 1.2x 10.5x 8.4x 8.5x 7.6x 18.8x 13.5x 13.4x 11.4x 9.1x 13.6x 14.5x 12.2x 1.6x 13.7x Mondi plc 1.5x 1.5x 1.5x 1.5x 6.6x 6.8x 7.2x 7.0x 9.0x 9.3x 10.0x 9.8x 10.7x 10.4x 11.2x 11.0x 2.1x 6.1x Semapa - Sociedade de Investimento e Gestão, SGPS,1.3x S.A.1.3x 1.3x 1.3x 5.8x 5.4x 5.3x 5.0x 9.9x 8.9x 8.7x 8.1x 8.0x 8.3x 8.1x 7.3x 0.8x 2.3x SIG Combibloc Group AG 2.6x 3.2x 3.1x 2.9x 10.8x 11.7x 11.0x 10.5x 32.2x 16.1x 18.2x 16.6x nm 43.3x 37.7x 33.8x 2.2x 15.9x Smurfit Kappa Group plc 1.0x 1.2x 1.1x 1.1x 5.8x 6.5x 6.5x 6.4x 7.9x 9.6x 9.9x 9.5x nm 11.0x 10.9x 10.3x 2.3x 6.6x Svenska Cellulosa Aktiebolaget SCA (publ) 2.7x 3.8x 3.6x 3.5x 12.3x 14.3x 13.1x 11.9x 17.0x 20.2x 18.1x 15.9x 13.2x 23.1x 20.5x 18.4x 1.7x 17.9x The Navigator Company, S.A. 1.9x 1.8x 1.8x 1.8x 7.4x 7.2x 7.2x 7.1x 11.1x 11.0x 10.7x 10.4x 11.5x 11.0x 10.5x 10.5x 2.2x 6.5x

Min 0.9x 0.9x 0.9x 0.8x 5.8x 5.4x 5.1x 4.8x 7.3x 8.9x 8.2x 7.6x 6.1x 8.3x 8.1x 7.3x 0.8x 2.3x Max 2.7x 3.8x 3.6x 3.5x 12.3x 14.8x 14.6x 14.3x 32.2x 32.0x 20.5x 18.8x 33.6x 43.3x 37.7x 33.8x 3.0x 17.9x Median 1.4x 1.5x 1.4x 1.4x 9.0x 7.6x 7.2x 7.0x 14.3x 14.4x 11.0x 10.4x 13.1x 13.7x 11.9x 11.5x 1.8x 9.1x Mean 1.6x 1.8x 1.7x 1.7x 8.8x 9.2x 8.4x 8.0x 15.0x 14.8x 12.9x 11.8x 14.2x 17.2x 14.9x 13.5x 1.9x 10.6x

Source: S&P Capital IQ as of 19/10/2019 Mean calculation of relative figures: Sum of the single, relative values (e.g. EV / EBITDA) of company universe, divided by the number of selected companies (unweighted) 14 Median calculation of relative figures: Median of the single, relative values (e.g. EV / EBITDA) of company universe Equity / Valuation Listed Companies – Valuation Metrics

Small/Mid Caps (Enterprise Value < €1,000m)

Valuation Analysis

CPH Chemie + Papier Holding AG 1.2x 0.7x 0.7x 0.7x 8.0x 4.7x 4.8x 4.5x 12.7x 7.6x 8.0x 7.5x 11.7x 11.5x 12.0x 11.6x 1.2x 7.7x Groupe Guillin S.A. 0.7x 0.6x 0.6x 0.6x 5.3x 4.4x 4.3x 4.1x 7.9x 6.6x 6.2x 5.9x 9.9x 8.0x 7.4x 7.1x 1.0x 5.7x Guala Closures S.p.A. 3.6x 1.6x 1.5x 1.4x 28.4x 8.5x 7.7x 7.5x 55.3x 20.7x 16.7x 16.1x 79.3x 63.4x 27.6x 26.2x 0.7x 11.2x Iberpapel Gestión, S.A. 1.2x 0.8x 0.8x 0.6x 7.0x 4.8x 4.6x 3.5x 9.7x 7.2x 7.2x 5.6x 14.3x 14.7x 15.2x 12.5x 1.1x 7.2x Miquel y Costas & Miquel, S.A. 2.1x 1.8x 1.8x 1.7x 8.3x 7.5x 7.4x 7.1x 10.8x 10.1x 10.1x 9.7x 14.1x 12.1x 12.4x 11.8x 1.7x 15.5x Reno De Medici S.p.A. 0.5x 0.5x 0.5x 0.5x 4.8x 5.0x 4.7x 4.5x 7.7x 8.6x 8.0x 7.4x 8.6x 10.7x 9.8x 8.9x 1.3x 5.1x TFF Group 3.3x 2.9x 2.7x 2.5x 15.9x 14.8x 13.3x 12.1x 17.9x 16.7x 15.2x 13.8x 23.5x 21.4x 18.7x 16.8x 2.2x nm

Min 0.5x 0.5x 0.5x 0.5x 4.8x 4.4x 4.3x 3.5x 7.7x 6.6x 6.2x 5.6x 8.6x 8.0x 7.4x 7.1x 0.7x 5.1x Max 3.6x 2.9x 2.7x 2.5x 28.4x 14.8x 13.3x 12.1x 55.3x 20.7x 16.7x 16.1x 79.3x 63.4x 27.6x 26.2x 2.2x 15.5x Median 1.2x 0.8x 0.8x 0.7x 8.0x 5.0x 4.8x 4.5x 10.8x 8.6x 8.0x 7.5x 14.1x 12.1x 12.4x 11.8x 1.2x 7.5x Mean 1.8x 1.3x 1.2x 1.1x 11.1x 7.1x 6.7x 6.2x 17.4x 11.1x 10.2x 9.4x 23.1x 20.2x 14.7x 13.6x 1.3x 8.7x

All Caps (Total)

Min 0.5x 0.5x 0.5x 0.5x 4.8x 4.4x 4.3x 3.5x 7.3x 6.6x 6.2x 5.6x 6.1x 8.0x 7.4x 7.1x 0.7x 2.3x Max 3.6x 3.8x 3.6x 3.5x 28.4x 14.8x 14.6x 14.3x 55.3x 32.0x 20.5x 18.8x 79.3x 63.4x 37.7x 33.8x 3.0x 17.9x Median 1.3x 1.5x 1.4x 1.4x 8.3x 7.2x 7.2x 7.0x 12.7x 11.0x 10.1x 9.8x 13.2x 13.6x 12.2x 11.6x 1.6x 8.7x Mean 1.7x 1.6x 1.6x 1.5x 9.5x 8.6x 7.9x 7.5x 15.7x 13.7x 12.1x 11.1x 17.1x 18.1x 14.8x 13.5x 1.7x 10.1x

Source: S&P Capital IQ as of 19/10/2019 Mean calculation of relative figures: Sum of the single, relative values (e.g. EV / EBITDA) of company universe, divided by the number of selected companies (unweighted) 15 Median calculation of relative figures: Median of the single, relative values (e.g. EV / EBITDA) of company universe Equity / Valuation Historical Valuation Trading Multiples

Historically, valu- EV / Sales (Median ‘11 – ’18) EV / EBITDA (Median ‘11 – ’18) ation levels, based on profitability mul- 1.8x 10.0x tiples of European forestry, paper and 1.5x packaging compa- 8.0x 1.2x nies have been in 1.2x 7.6x line with their global 0.9x peers. The higher 6.0x EV / Sales multiple 0.6x of European companies indicates that 0.3x 4.0x European peers 2011 2012 2013 2014 2015 2016 2017 2018 2011 2012 2013 2014 2015 2016 2017 2018 achieve better profi- European Forestry, Paper and Packaging Industry Long-Term average European Forestry, Paper and Packaging Industry Long-Term average tability margins than Global Forestry, Paper and Packaging Industry (European companies) Global Forestry, Paper and Packaging Industry (European companies) their Global peers

In general, valuation EV / EBIT (Median ‘11 – ’18) P / E (Median ‘11 – ’18) metrics of the Euro- pean and Global 17.0x 18.0x companies have shown a strong up- 14.0x 15.0x ward development 13.9x 12.2x since ‘11, reaching 11.0x 12.0x record highs in ‘17

The downward trend 8.0x 9.0x in valuation metrics in ’18, almost rea- 5.0x 6.0x ching the long-term 2011 2012 2013 2014 2015 2016 2017 2018 2011 2012 2013 2014 2015 2016 2017 2018 average line, European Forestry, Paper and Packaging Industry Long-Term average European Forestry, Paper and Packaging Industry Long-Term average indicates the end of Global Forestry, Paper and Packaging Industry (European companies) Global Forestry, Paper and Packaging Industry (European companies) the cycle

Source: S&P Capital IQ as of 19/10/2019; FCF Equity Research 16 Note: Global industry average based on a worldwide peer group of listed companies active in the industrial machinery market with a current market capitalisation > EUR 100m and free float > 10% Equity / Valuation Regression Analysis of EBITDA Multiple vs. EBITDA Growth

The regression EV / EBITDA vs. EBITDA CAGR ‘18 – ’21 analysis seeks to 20.0x30.0x determine the Guala Closures S.p.A. relative importance of future / expected profitability growth (EBITDA CAGR ‘18-

’21) on valuation 16.0x TFF Group levels (EV / EBITDA multiple ‘18)

The projected EBITDA CAGR has a high impact on 12.0x Holmen Aktiebolag (publ.) Amcor plc SIG Combibloc Group AG current valuation BillerudKorsnäs AB (publ) Ahlstrom-Munksjö Oyj levels (R2=0.46). Metsä Board Oyj Approximately 46% Huhtamäki Oyj of the variation in EV Miquel y Costas & Miquel, S.A. / EBITDA multiples CPH Chemie + Papier Holding AG DS Smith Plc 8.0x The Navigator Company, S.A. can be explained by EV EBITDA / 2018a Iberpapel Gestión, S.A. future profitability Mayr-Melnhof Karton AG growth ENCE Energía y Celulosa, S.A. Semapa - Sociedade de Investimento e Gestão, SGPS, S.A. Smurfit Kappa Group plc Groupe Guillin S.A. Firms with stronger Reno De Medici S.p.A. growth profiles 4.0x generally trade at higher EV / EBITDA multiples R2 = 0.46 R² = 0.4641 0.0x 0.0% 5.0% 10.0% 15.0% 20.0% 25.0% 60.0%30.0%

EBITDA CAGR 18a-21e

Source: S&P Capital IQ as of 19/10/2019; FCF Equity Research 17 Note: Companies with missing data have been excluded from this analysis Equity / Valuation Top 20 Institutional Investors in publicly listed European forestry, paper and packaging companies

Analyzing the Top 20 EURm institutional investors 16 17 18 1 7 3 13 1 1 4 19 5 5 4 6 1 9 9 5 10 by total amount invested, BlackRock, The Vanguard Group and Norges Bank can be considered 3,204 as the three most financially powerful investors 2,239 1,940 Meanwhile, 1,774 Dimensional, Norges Bank and The Van- guard Group can be 985 854 840 considered as the 619 599 595 568 556 551 523 458 453 446 413 three most active 342 319 institutional investors by total number of holdings (invested in >70% of the selected public forestry, paper and packaging com-

panies, each) Robur

Micros Small Medium Large >= 10 Holdings >= 5 Holdings < 5 Holdings

Source: S&P Capital IQ as of 19/10/2019 18 Note: Market Cap ranges: Micro <250m, Small 250 – 1,000m, Medium 1,000 – 5,000m, Large >5,000m DEBT Debt Listed Companies – Historical Fundamental, Credit & Performance Ratios

Large Caps (Enterprise Value > €1,000m)

Fundamental, Credit & Performance Ratios

Credit & Performance Ratios EBITDA Avg. Avg. Avg. Avg. Enterprise EV / EBITDA FY + 1 Equity Net Debt / Interest EBITDA EBITDA Revenue GP EBITDA CapEx / Listing Value EV / EBITDA 2008-18 Ratio EBITDA Cover LTM (in €m) CAGR Worst Y-o-Y Worst Y-o-Y Margin Margin EBITDA Peer Group Country Place (in €m) '19e Average Low High LTM LTM LTM (in €m) 2008-18 2008-18 Revenue Decline EBITDA Decline 2008-18 2008-18 2008-18 Ahlstrom-Munksjö Oyj SE EU 2,624.1 7.9x 5.8x 5.5x (2014) 6.1x (2017) 34.2% 4.6x 5.2x 229.7 88.7 22.1% -10.5% (2009) -28.9% (2011) 50.3% 8.4% 41.2% Altri, S.G.P.S., S.A. PT EU 1,683.7 6.8x 7.4x 4.5x (2008) 8.9x (2009) 28.6% 2.1x 23.3x 283.6 145.4 10.8% -8.2% (2016) -34.2% (2011) 35.9% 26.1% 73.7% Amcor plc CH AU 18,889.8 12.4x 8.4x 5.9x (2010) 11.2x (2017) 33.1% 4.2x 6.3x 1,156.7 969.5 5.7% -20.2% (2013) -9.6% (2017) 18.5% 12.3% 39.7% BillerudKorsnäs AB (publ) SE SE 3,587.5 13.5x 6.2x 4.4x (2011) 8.3x (2015) 29.5% 4.8x na 308.6 245.6 12.6% -4.9% (2016) -24.9% (2018) 50.7% 14.3% 64.6% DS Smith Plc GB UK 8,127.1 7.1x 6.3x 3.8x (2012) 8.6x (2018) 36.5% 2.9x 13.1x 941.7 454.7 16.5% -9.9% (2010) -10.8% (2009) 16.7% 10.3% 43.2% ENCE Energía y Celulosa, S.A. ES EU 1,310.6 6.6x 5.8x 4.4x (2012) 8.8x (2009) 39.9% 2.0x 19.1x 223.6 140.6 2.4% -19.4% (2014) -100.0% (2009) 51.4% 18.5% 88.9% Holmen Aktiebolag (publ.) SE SE 4,403.7 14.8x 8.4x 6.9x (2011) 11.4x (2018) 59.6% 1.6x 65.0x 260.8 275.2 -0.9% -11.6% (2013) -15.3% (2013) 46.0% 15.2% 44.0% Huhtamäki Oyj FI EU 5,001.2 10.9x 7.8x 5.5x (2011) 10.9x (2016) 38.3% 2.6x 15.3x 390.4 267.4 3.2% -18.9% (2009) -2.7% (2018) 15.9% 10.9% 46.4% Mayr-Melnhof Karton AG AT EU 2,576.0 6.8x 5.7x 4.4x (2008) 7.0x (2017) 57.7% 1.0x 59.6x 343.0 263.6 3.0% -7.5% (2009) -3.1% (2013) 22.2% 13.0% 43.9% Metsä Board Oyj FI EU 2,467.5 8.4x 7.7x 5.3x (2011) 12.9x (2009) 57.4% 1.7x 14.5x 222.1 160.2 -5.0% -24.2% (2009) -100.0% (2009) 27.6% 7.6% 51.9% Mondi plc GB UK 11,309.7 6.8x 6.3x 4.2x (2008) 8.6x (2015) 48.7% 1.3x 19.7x 1,756.0 1,066.3 1.7% -17.1% (2009) -20.1% (2009) 40.7% 16.5% 54.1% Semapa - Sociedade de Investimento e Gestão, SGPS, PTS.A. EU 2,976.9 5.4x 6.2x 4.7x (2011) 7.3x (2009) 30.2% 3.1x 12.8x 523.4 425.5 4.3% -2.6% (2016) -15.5% (2013) 32.5% 22.4% 36.8% SIG Combibloc Group AG CH CH 5,656.1 11.7x 11.0x 11.0x (2018) 11.0x (2018) 42.2% 3.6x 6.0x 424.8 420.2 na -3.5% (2017) -2.9% (2018) 22.9% 24.9% 48.6% Smurfit Kappa Group plc IE EU 10,587.7 6.5x 5.7x 4.2x (2011) 7.0x (2018) 28.9% 2.4x 9.3x 1,574.0 1,035.1 2.4% -14.2% (2009) -24.0% (2009) 29.4% 13.4% 35.4% Svenska Cellulosa Aktiebolaget SCA (publ) SE SE 7,089.1 14.3x 8.9x 5.8x (2011) 13.8x (2018) 61.9% 1.8x 52.4x 496.3 1,329.4 -14.9% -86.1% (2016) -59.7% (2016) 34.9% 19.5% 51.6% The Navigator Company, S.A. PT EU 3,190.5 7.2x 7.0x 5.3x (2012) 8.5x (2017) 40.7% 2.0x 35.7x 431.8 364.6 4.0% -3.2% (2009) -17.1% (2013) 34.2% 24.6% 38.0%

Min 1,310.6 5.4x 5.7x 3.8x 6.1x 28.6% 1.0x 5.2x 222.1 88.7 -14.9% -86.1% -100.0% 15.9% 7.6% 35.4% Max 18,889.8 14.8x 11.0x 11.0x 13.8x 61.9% 4.8x 65.0x 1,756.0 1,329.4 22.1% -2.6% -2.7% 51.4% 26.1% 88.9% Median 3,995.6 7.6x 6.7x 5.0x 8.7x 39.1% 2.2x 15.3x 407.6 319.9 3.2% -11.0% -18.6% 33.4% 14.7% 45.2% Mean 5,717.6 9.2x 7.2x 5.4x 9.4x 41.7% 2.6x 23.8x 597.9 478.3 4.5% -16.4% -29.3% 33.1% 16.1% 50.1%

Source: S&P Capital IQ as of 19/10/2019 Mean calculation of relative figures: Sum of the single, relative values (e.g. equity ratio) of company universe, divided by the number of selected companies (unweighted) 20 Median calculation of relative figures: Median of the single, relative values (e.g. equity ratio) of company universe Debt Listed Companies – Historical Fundamental, Credit & Performance Ratios

Small/Mid Caps (Enterprise Value < €1,000m)

Fundamental, Credit & Performance Ratios

CPH Chemie + Papier Holding AG CH CH 356.8 4.7x 10.3x 7.0x (2017) 18.2x (2015) 51.8% -1.1x 14.6x 78.4 37.1 2.2% -15.5% (2009) -74.1% (2015) 31.8% 9.3% 161.0% Groupe Guillin S.A. FR EU 405.1 4.4x 4.4x 3.1x (2008) 6.8x (2017) 55.2% 0.8x 99.7x 80.6 68.1 6.9% -1.8% (2009) -15.8% (2018) 35.7% 14.2% 44.5% Guala Closures S.p.A. IT EU 963.8 8.5x 3.6x 3.6x (2018) 3.6x (2018) 45.1% 7.9x 3.1x 61.3 30.4 na na na 31.1% 12.6% 48.6% Iberpapel Gestión, S.A. ES EU 180.5 4.8x 5.5x 3.7x (2012) 8.2x (2018) 67.9% -2.5x 36.1x 39.8 27.3 2.0% -7.5% (2016) -38.8% (2013) 59.4% 13.0% 50.5% Miquel y Costas & Miquel, S.A. ES EU 504.2 7.5x 6.6x 4.2x (2012) 10.3x (2017) 66.2% 0.5x 110.9x 67.2 49.3 4.1% -5.9% (2009) -11.2% (2013) 65.3% 23.7% 38.3% Reno De Medici S.p.A. IT EU 336.8 5.0x 4.8x 3.5x (2016) 6.3x (2018) 39.5% 1.1x 36.4x 61.8 35.6 2.9% -8.2% (2012) -28.3% (2011) 24.0% 7.2% 56.4% TFF Group FR EU 849.5 14.8x 8.6x 5.5x (2009) 14.3x (2018) 62.4% 1.8x 62.3x 53.6 38.5 8.9% -2.1% (2009) -15.2% (2009) 42.4% 22.7% 25.5%

Min 180.5 4.4x 3.6x 3.1x 3.6x 39.5% -2.5x 3.1x 39.8 27.3 2.0% -15.5% -74.1% 24.0% 7.2% 25.5% Max 963.8 14.8x 10.3x 7.0x 18.2x 67.9% 7.9x 110.9x 80.6 68.1 8.9% -1.8% -11.2% 65.3% 23.7% 161.0% Median 405.1 5.0x 5.5x 3.7x 8.2x 55.2% 0.8x 36.4x 61.8 37.1 3.5% -6.7% -22.0% 35.7% 13.0% 48.6% Mean 513.8 7.1x 6.2x 4.4x 9.7x 55.4% 1.2x 51.9x 63.2 40.9 4.5% -6.8% -30.6% 41.4% 14.7% 60.7%

All Caps (Total)

Min 180.5 4.4x 3.6x 3.1x 3.6x 28.6% -2.5x 3.1x 39.8 27.3 -14.9% -86.1% -100.0% 15.9% 7.2% 25.5% Max 18,889.8 14.8x 11.0x 11.0x 18.2x 67.9% 7.9x 110.9x 1,756.0 1,329.4 22.1% -1.8% -2.7% 65.3% 26.1% 161.0% Median 2,624.1 7.2x 6.3x 4.5x 8.6x 42.2% 2.0x 19.4x 283.6 245.6 3.2% -9.1% -18.6% 34.2% 14.2% 46.4% Mean 4,133.8 8.6x 6.9x 5.1x 9.5x 45.9% 2.2x 32.7x 435.2 345.1 4.5% -13.8% -29.6% 35.6% 15.7% 53.3%

Source: S&P Capital IQ as of 19/10/2019 Mean calculation of relative figures: Sum of the single, relative values (e.g. equity ratio) of company universe, divided by the number of selected companies (unweighted) 21 Median calculation of relative figures: Median of the single, relative values (e.g. equity ratio) of company universe Debt Listed Companies – Capital Structure

Large Caps (Enterprise Value > €1,000m)

Debt Instruments

Debt Structure / Terms (latest available) Most Recently Issued Bond Implied Rating

Sr. Bonds / Sub. Bonds Capital Cash & Implied Credit RCF Term Loans Notes / Notes Leases Other Debt Total Debt Cash Equiv. Net Debt Interest Volume Issuer Model Peer Group (in €m) (in €m) (in €m) (in €m) (in €m) (in €m) (in €m) (in €m) (in €m) Rate Issued Maturity Term (in €m) Coupon YTW Rating Score Ahlstrom-Munksjö Oyj na 853.1 249.0 na 59.1 82.9 1,244.1 191.3 1,052.8 3.5% 2017 2022 5 250.0 1.9% 0.8% na na Altri, S.G.P.S., S.A. 0.4 63.4 491.4 na 82.7 170.2 808.1 222.9 585.2 1.5% 2017 2025 8 50.0 2.4% na na na Amcor plc 2,391.8 632.2 2,575.0 na 3.8 -239.3 5,363.5 528.7 4,834.8 3.4% 2019 2021 2 306.3 4.5% 2.4% BBB na BillerudKorsnäs AB (publ) na 909.2 444.9 na 23.7 142.3 1,520.0 31.0 1,488.9 na 2018 2020 2 39.1 0.2% na na na DS Smith Plc 150.0 411.6 1,935.7 na 11.6 692.9 3,201.8 444.1 2,757.7 2.3% 2019 2026 7 600.0 0.9% 1.2% BBB- na ENCE Energía y Celulosa, S.A. na 340.3 242.1 na 53.1 4.6 640.1 201.0 439.0 1.8% 2013 2020 7 250.0 7.3% na BB na Holmen Aktiebolag (publ.) na na na na na 441.4 441.4 24.4 417.0 0.9% 2019 2023 4 46.7 na na BBB+ na Huhtamäki Oyj 96.0 220.2 363.3 na 6.8 467.5 1,153.8 122.6 1,031.2 2.2% 2017 2024 7 150.0 1.6% 0.8% na na Mayr-Melnhof Karton AG na na na na 53.0 417.1 470.1 136.0 334.1 1.2% na na na na na na na na Metsä Board Oyj na 125.7 248.3 na 25.5 66.8 466.3 83.1 383.2 3.3% 2017 2027 10 250.0 2.8% 1.1% BBB- na Mondi plc 104.0 537.0 1,600.0 na 185.0 -7.0 2,419.0 78.0 2,341.0 3.7% 2018 2026 8 600.0 1.6% 0.7% na na Semapa - Sociedade de Investimento e Gestão, SGPS, S.A. na 321.4 861.0 na 68.7 606.9 1,858.0 216.6 1,641.5 2.2% 2018 2020 2 30.0 na na na na SIG Combibloc Group AG na 1,600.0 na na 45.1 -47.9 1,597.2 78.6 1,518.6 4.4% 2015 2026 11 213.6 2.2% na BB+ na Smurfit Kappa Group plc 324.0 na 3,289.0 na 362.0 23.0 3,998.0 234.0 3,764.0 4.2% 2019 2027 8 750.0 1.5% 1.4% BB+ na Svenska Cellulosa Aktiebolaget SCA (publ) 282.1 94.7 209.1 na 112.6 221.3 919.8 30.6 889.2 1.0% 2018 2020 2 97.0 na na BBB na The Navigator Company, S.A. na 110.6 445.0 na 46.2 364.7 966.5 116.6 850.0 1.3% na na na na na na NR na

Min 0.4 63.4 209.1 na 3.8 -239.3 441.4 24.4 334.1 0.9% 2 30.0 0.2% 0.7% Max 2,391.8 1,600.0 3,289.0 na 362.0 692.9 5,363.5 528.7 4,834.8 4.4% 11 750.0 7.3% 2.4% Median 150.0 340.3 445.0 na 53.0 156.2 1,199.0 129.3 1,042.0 2.2% 7 231.8 1.9% 1.1% Mean 478.3 478.4 996.4 na 75.9 213.0 1,691.7 171.2 1,520.5 2.5% 6 259.5 2.4% 1.2%

Source: S&P Capital IQ as of 19/10/2019 Mean calculation of relative figures: Sum of the single, relative values (e.g. implied interest rate) of company universe, divided by the number of selected companies (unweighted) 22 Median calculation of relative figures: Median of the single, relative values (e.g. implied interest rate) of company universe Debt Listed Companies – Capital Structure

Small/Mid Caps (Enterprise Value < €1,000m)

Debt Instruments

Debt Structure / Terms (latest available) Most Recently Issued Bond Implied Rating

CPH Chemie + Papier Holding AG na na na na na na na 86.0 -86.0 na 2018 2023 5 74.1 2.0% 1.5% na na Groupe Guillin S.A. na 120.7 na na 3.0 2.8 126.5 61.2 65.3 0.6% na na na na na na na na Guala Closures S.p.A. na na na na na 519.3 519.3 37.8 481.5 3.8% 2019 2025 6 14.0 3.0% na na na Iberpapel Gestión, S.A. na 73.4 na na na -0.6 72.8 170.6 -97.9 1.5% na na na na na na na na Miquel y Costas & Miquel, S.A. 1.0 81.1 na na na -6.8 75.4 41.7 33.6 0.8% na na na na na na na na Reno De Medici S.p.A. na 85.0 na na 12.7 1.5 99.2 30.0 69.2 1.7% na na na na na na NR na TFF Group na na na na na 153.1 153.1 56.1 97.0 0.6% na na na na na na na na

Min 1.0 73.4 na na 3.0 -6.8 72.8 30.0 -97.9 0.6% 5 14.0 2.0% 1.5% Max 1.0 120.7 na na 12.7 519.3 519.3 170.6 481.5 3.8% 6 74.1 3.0% 1.5% Median 1.0 83.1 na na 7.9 2.2 112.8 56.1 65.3 1.2% 6 44.1 2.5% 1.5% Mean 1.0 90.1 na na 7.9 111.5 174.4 69.1 80.4 1.5% 6 44.1 2.5% 1.5%

All Caps (Total)

Min 0.4 63.4 209.1 na 3.0 -239.3 72.8 24.4 -97.9 0.6% 2 14.0 0.2% 0.7% Max 2,391.8 1,600.0 3,289.0 na 362.0 692.9 5,363.5 528.7 4,834.8 4.4% 11 750.0 7.3% 2.4% Median 127.0 220.2 445.0 na 46.2 112.6 863.9 86.0 585.2 1.8% 7 181.8 2.0% 1.1% Mean 418.7 387.0 996.4 na 67.9 185.3 1,277.9 140.1 1,082.2 2.2% 6 232.6 2.4% 1.2%

Source: S&P Capital IQ as of 19/10/2019 Mean calculation of relative figures: Sum of the single, relative values (e.g. implied interest rate) of company universe, divided by the number of selected companies (unweighted) 23 Median calculation of relative figures: Median of the single, relative values (e.g. implied interest rate) of company universe Debt Historical Implied Cost of Capital / WACC Analysis

Since ‘11, the im- WACC Debt / Equity plied cost of equity Proportion (mean values) 14.0% 100% slightly increased from 11.6% in ’11 to 12.3% in ’18 90% 12.0% 11.9% The implied cost of 80% debt (mean values of interest expenses 10.0% divided by total 70% liabilities) decreased from 2.1% in ‘11 to 60% 1.3% in ‘18, following 8.0% the decline in central bank base interest 7.3% 50% rates and refinancing at lower interest 6.0% 40% The implied WACC has increased from 30% 5.9% in ‘11 to 7.4% 4.0% in ’18, due to the increasing proportion 20% of equity in the companies’ financing 2.0% 1.7% structure in 10% combination with increasing implied 0.0% 0% cost of equity 2011 2012 2013 2014 2015 2016 2017 2018

Weighting Equity Weighting Debt Cost of Equity Cost of Debt WACC Long-Term average

Source: S&P Capital IQ as of 19/10/2019 Note: Implied cost of equity based on annual return on equity values (the actual cost of equity to the firm); implied cost of debt based on annual interest expenses as reported (including financial 24 lease expenses and other components of interest expenses) as a proportion of total liabilities (implied interest rate) Debt Aggregated Development of Financial Debt Metrics

Since ‘11, key Net Leverage (Mean ’11 – ’18) Equity Ratio (Mean ’11 – ’18) financial debt EURm EURm metrics of the 4.0x 55% relevant European forestry, paper and packaging com- 3.0x panies show a 50% continuous positive 2.4x development, 2.0x reaching their peaks 47.0% in ’17 45% 1.0x In ’18, the financial Long-Term average Long-Term average debt metrics show a downward trend, 0.0x 40% crossing their long- 2011 2012 2013 2014 2015 2016 2017 2018 2011 2012 2013 2014 2015 2016 2017 2018 term average line, which indicates the EBITDA Interest Cover (Mean ‘11 – ’18) DSCR (Mean ’11 – ’18) end of the cycle and EURm EURm an increasingly 60.0x 6.0x challenging market environment

40.0x 4.0x

3.5x 29.6x

20.0x 2.0x

Long-Term average Long-Term average

0.0x 0.0x 2011 2012 2013 2014 2015 2016 2017 2018 2011 2012 2013 2014 2015 2016 2017 2018

Source: S&P Capital IQ as of 19/10/2019; FCF Equity Research 25 Mean calculation: Total aggregated values (e.g. equity ratios) of company universe, divided by the number of selected companies (unweighted) RATING ANALYSIS Rating Analysis Historical Rating Development of European forestry, paper and packaging companies

Historically, the European forestry, 1 paper and packaging Very High Investment Grade (VHIG) industry (rated by 2 large rating agen- cies, e.g. Fitch, 3 Moody´s, S&P) is 4 rated as high- High Investment Grade investment grade (HIG) 5 The industry was able to improve the 6 rating by taking 7 advantage of the growing economy 8 For a detailed FCF FCF Rating 9 explanation of FCF´s Good Investment Grade (GIG) rating assessment 10 and scoring (1 to 15), please refer to 11 the Appendix – Ratings Conversion 12

15 2011 2012 2013 2014 2015 2016 2017 2018

Median Rating Mean Rating

Source: S&P Capital IQ as of 19/10/2019 27 Rating Analysis Net Leverage vs. Rating

An analysis of the 5.0x Very High Investment Grade High Investment Grade Good Investment Grade net leverage factor (VHIG) (HIG) (GIG) seeks to identify the impact of net debt 4.5x (financial debt minus cash divided by EBITDA) on the FCF 4.0x rating Trendline Net Leverage vs FCF Rank The net leverage has 3.5x a high impact on the rating (R2=0.24) 3.0x Companies with a net leverage of <2.9x EBITDA can be 2.5x expected to be investment grade

2.0x Net Leverage(2018a)

Investment Grade 1.5x Thresholds:

− VHIG: <1.5x 1.0x

− HIG: <2.2x 0.5x − GIG: <2.9x 2 RR²= = 0.24 0.2356 0.0x 0.0 1.0 2.0 3.0 4.0 5.0 6.0 7.0 8.0 9.0 10.0 11.0 12.0 13.0 14.0 15.0

Rating (FCF Rank, 2018)

Source: S&P Capital IQ as of 19/10/2019 Note: Company names have been redacted; FCF ratings take into account financial metrics as well as industry parameters. The rating scale (1-15) indicates the firm’s 28 perceived level of solvency, where 1 shows the highest solvency level Rating Analysis Equity Ratio vs. Rating

An analysis of the 80.0% Very High Investment Grade High Investment Grade Good Investment Grade capital structure (VHIG) (HIG) (GIG) seeks to identify the impact of the equity ratio (equity divided 70.0% by total assets) on the FCF rating 60.0% The equity ratio has a moderate impact on the rating (R2=0.16) 50.0%

Companies with an Trendline Equity Ratio vs equity ratio above FCF Rank 39.7% can be 40.0% expected to be investment grade

EquityRatio (2018a) 30.0%

Investment Grade Thresholds: 20.0% − VHIG: >52.7%

− HIG: >46.2% 10.0% − GIG: >39.7% R2 = 0.16 R² = 0.1646 0.0% 0.0 1.0 2.0 3.0 4.0 5.0 6.0 7.0 8.0 9.0 10.0 11.0 12.0 13.0 14.0 15.0

Rating (FCF Rank, 2018)

Source: S&P Capital IQ as of 19/10/2019 Note: FCF ratings take into account financial metrics as well as industry parameters. The rating scale (1-15) indicates the firm’s perceived level of solvency, where 1 shows the 29 highest solvency level Rating Analysis Return on Equity vs. Rating

An analysis of the 25.0% Very High Investment Grade High Investment Grade Good Investment Grade profitability seeks (VHIG) (HIG) (GIG) to identify the impact of return on equity (net income by equity) on the FCF rating 20.0%

The return on equity has a moderate impact on the rating (R2=0.15) 15.0% Companies with a return on equity above 9.1% can be expected to be Trendline RoE vs FCF Rank investment grade

10.0% ReturnonEquity (2018a) Investment Grade Thresholds:

− VHIG: >14.5% 5.0%

− HIG: >11.8%

− GIG: >9.1% R2 = 0.15 R² = 0.1484 0.0% 0.0 1.0 2.0 3.0 4.0 5.0 6.0 7.0 8.0 9.0 10.0 11.0 12.0 13.0 14.0 15.0

Rating (FCF Rank, 2018)

Source: S&P Capital IQ as of 19/10/2019 Note: FCF ratings take into account financial metrics as well as industry parameters. The rating scale (1-15) indicates the firm’s perceived level of solvency, where 1 shows the 30 highest solvency level PRIVATE EQUITY Private Equity Top-10 Deals* by Volume / Last 5 Years (I)

The acquisition of EURm EURm the Swiss SIG 3,750 700 Combibloc Group by acquired by: Revenue: EUR 1,948m 6. acquired by: Revenue: 600m ACE & Company, 1. Deal Year: 2015 Deal Year: 2018 Ardian and Onex for Found. Year: 1853 Found. Year: 1965 EUR 3,750m is the largest forestry, EURm paper and packaging EURm 650 private equity deal in 2,900 7. acquired by: Revenue: 1,180m Europe during the acquired by: Revenue: 2,850m Deal Year: 2018 last 5 years 2. Deal Year: 2015 Found. Year: 1888 Found. Year: 1827 20% of the target companies in the EURm 500 Top 10 have a EURm 8. acquired by: Revenue: 600m German- and 2,300 French-origin, each Deal Year: 2016 3. acquired by: Revenue: EUR 2,000m Found. Year: 1929 Deal Year: 2015 Non-EU private Found. Year: 1912 equity houses EURm 451 accounted for 50% EURm of the Top 10 deals 1,270 9. acquired by: Revenue: 400m Deal Year: 2015 90% of the Top 10 4. acquired by: Revenue: EUR 1,500m Found. Year: 1960 deals have a cross- Deal Year: 2018 Found. Year: 2004 border character EURm 302 EURm 918 acquired by: Revenue: 360m [Only deals with 10. Deal Year: 2016 5. acquired by: Revenue: 305m Found. Year: 1968 disclosed deal Deal Year: 2017 volumes considered] Found. Year: 1869

Source: PitchBook and S&P Capital IQ as of 19/10/2019, FCF Equity Research 32 Note: Revenue shows last recent figure available; * where data available Private Equity Top-10 Deals* by Volume / Last 5 Years (II)

Transaction Description Investors The company was acquired by Onex, Ardian and ACE & Company through a EUR ACE & Company, Ardian, Onex 3.75 billion LBO on March 13, 2015. UniCredit provided an undisclosed amount of senior debt in this transaction. 1. SIG Combibloc Group

EUR 3,750m

The company was acquired by Bpifrance, Cambium and Apollo Global Management Apollo Global Management, Bpifrance, Cambium through a EUR 2.9 billion LBO in June 2015. The seller Compagnie de Saint-Gobain is backed by Wendel Investissement. BPIFrance Investissement SAS acquired a Verallia 2. 10% stake in the company while Apollo Global Management LLC took the remaining stake. EUR 2,900m

The company was acquired by Wendel Investissement and H. Turnauer Foundation H. Turnauer Foundation, Wendel Group through an EUR 2.3 billion LBO on March 31, 2015. 3. Constantia Flexibles

EUR 2,300m

The company was acquired by PAI Partners through a $1.5 billion LBO on March PAI Partners 23, 2018. 4. Albéa

EUR 1,270m

The company was acquired by Advent International through a $1.06 billion LBO in Advent International August 2017. Advent brings significant operational resources, capital and sector expertise, which will help accelerate Færch Plast's growth and strategy to expand its Færch Plast 5. international footprint organically and through add-on acquisitions. EUR 918m

Source: PitchBook and S&P Capital IQ as of 19/10/2019, FCF Equity Research 33 * where data available Private Equity Top-10 Deals* by Volume / Last 5 Years (III)

Transaction Description Investors The company, a subsidiary of Coveris Holdings, was acquired by Lindsay Goldberg Lindsay Goldberg Vogel through a EUR 700 million LBO on July 31, 2018. Herter and Company coordinated a senior-second-lien financing package of EUR 437 million underwritten and Paccor International 6. syndicated by Bookrunners and Barclays, HSBC Holding, Morgan Stanley and UniCredit. EUR 700m

The company was acquired by Bain Capital through an EUR 650 million LBO on Bain Capital January 03, 2018. The Fedrigoni family will retain a minority stake in the business. 7. Fedrigoni

EUR 650m

The company was acquired by CVC Capital Partners through a EUR 500 million CVC Capital Partners LBO on September 13, 2016. 8. ÅR Packaging Group

EUR 500m

The company was acquired by 3i Group through a $503 million LBO on June 4, 3i Group 2015. 9. Weener Plastics Group

EUR 451m

The company was acquired by Madison Dearborn Partner, Henderson Global Alphagen Capital, Janus Henderson Group, Lansdowne Capital, Madison Investors and Alphagen Capital through a GBP 268 million public-to-private LBO on Dearborn Partners November 14, 2016. As a part of the transaction, the company was delisted from Powerflute 10. London Stock Exchange. EUR 302m

Source: PitchBook and S&P Capital IQ as of 19/10/2019, FCF Equity Research 34 * where data available Private Equity Top-10 Private Equity Investors* / Last 5 Years

Analyzing the Top 10 Top 10 Private Equity Investors – by Volume* Top 10 Private Equity Investors – by # of Deals forestry, paper and Average Deal Average Deal In EURm packaging private Volume* Volume* equity investors by 635 1,270 67 11 total amount EURm EURm invested, PAI Partners, ACE & 1,250 1,250 121 8 Company, Ardian EURm EURm and Onex can be considered as the 625 1,250 140 5 four financially EURm EURm powerful investors 1,250 1,250 na 5 Meanwhile, N Ca- EURm EURm pital, Bpifrance, Lindsay Goldberg 575 1,150 175 4 and Triton can be EURm EURm considered as the four most active 967 967 na 4 forestry, paper and EURm EURm packaging private equity investors by 121 967 25 4 total number of deals EURm EURm

967 967 306 3 EURm EURm

306 918 na 3 EURm EURm

67 738 na 3 EURm EURm

Source: PitchBook and S&P Capital IQ as of 19/10/2019, FCF Equity Research 35 * where data available APPENDIX COMPANY PROFILES Ahlstrom-Munksjö Oyj

Company Describtion Revenue Split by Business Segments

Sector: Paper and Forest Products Filtration and Performance 27.3% Ahlstrom-Munksjö Oyj manufactures and sells fiber-based materials, supplies innovative and sustainable solutions to Industrial Solutions 26.9% customers w orldw ide. It offers decor paper, filter media, release liners, abrasive backings, nonw ovens, Specialties 23.6% electrotechnical papers, glass fiber materials, food packaging and labeling products, tapes, medical fiber materials, and Decor 16.7% solutions for diagnostics. The company’s product portfolio solutions also comprise w etlaid nonw ovens; balancing and North America Specialty Solutions 5.5% primer foils; beverage packaging and filter solutions; coated specialties; fine art and printing papers; food processing na na and industrial liquid filtration products; glass fibers; graphic papers; health care materials; label papers; non-food packaging products; release papers; special filters and analytics; specialty pulp products; thin papers; and Revenue Split by Geographical Location w allcoverings. It serves transportation; construction; food and beverage; furniture; health care and life science; non- food consumer goods; general industry; and energy industries. The company w as formerly know n as Munksjö Oyj and Rest of The World 100.0% changed its name to Ahlstrom-Munksjö Oyj in March 2017. Ahlstrom-Munksjö Oyj w as founded in 1862 and is na na headquartered in Stockholm, Sw eden. na na na na na na Public Shareholders 1 na na

Ahlström Capital Oy 18.8% Key Financials Virala Oy Ab 12.2% Ilmarinen Pension Insurance Co. Ltd, Asset Management Arm 3.3% in EURm LTM CY2018a CY2019e CY2020e CAGR '18-'20 # of Recommendations ODIN Forvaltning AS 2.2% Huber, Mona Lilly 2.0% Revenue 2,781.9 2,438.1 2,967.4 3,031.0 11.5% Free Float 61.5% Growth 21.7% 2.1% 2 Buy EBITDA 229.7 220.9 331.7 398.3 34.3% 0 Outperform Share Price Performance M argin 8.3% 9.1% 11.2% 13.1% 0 Hold EBIT 84.9 94.7 172.0 230.7 56.1% 1 Underperform 365 Days 180 Days 90 Days 30 Days M argin 3.1% 3.9% 5.8% 7.6% 0 Sell Net Income2 17.4 41.6 82.1 147.8 88.5% Ahlstrom-Munksjö Oyj -3.4% -5.9% -6.1% -6.6% M argin 0.6% 1.7% 2.8% 4.9% MSCI World Index 6.7% 1.9% 0.3% 0.0% Valuation 120 in EURm Valuation CY2018a CY2019e CY2020e

100 Enterprise Value 2,624.1 EV/Sales 1.0x 0.9x 0.9x Net Debt 1,052.8 EV/EBITDA 11.0x 7.9x 6.6x Minority Interest 10.3 EV/EBIT 25.6x 15.3x 11.4x Preferred Equity 0.0 P/E 33.6x 19.0x 10.6x 80 Market Cap 1,561.0 P/B 1.2x 1.3x 1.2x

60 Oct 2018 Jan 2019 Apr 2019 Jul 2019 Oct 2019

Ahlstrom-Munksjö Oyj MSCI World Index

Source: S&P Capital IQ as of 19/10/2019 1 Total Shares Outstanding can exceed 100% because reporting requirements for holdings data is not aligned with the financials reporting of shares outstanding 37 2 Net Income can be larger due to extraordinary items Altri, S.G.P.S., S.A.

Company Describtion Revenue Split by Business Segments

Sector: Paper and Forest Products Production and Commercialization of Bleached Pulp from Eucalyptus 100.0% Altri, S.G.P.S., S.A. produces bleached eucalyptus pulp in Portugal and internationally. The company offers bleached na na eucalyptus kraft pulp for use in a range of papers, such as fine paper grades, tissues, and printing and w riting papers; na na and dissolving pulp for use in textile production. It is also involved timber commercialization; forest management; the na na production of energy from forest resources, such as industrial cogeneration from black liquor and biomass; agriculture na na production; real estate activities; and production of plants in nurseries, as w ell as the provision of services related w ith na na forests and landscapes. The company also exports its products. Altri, S.G.P.S., S.A. w as founded in 2005 and is headquartered in Porto, Portugal. Revenue Split by Geographical Location

Europe (Excluding Portugal) 70.0% Portugal 11.0% Others 10.0% China 9.0% na na Public Shareholders 1 na na

Promendo - SGPS, S.A 20.7% Key Financials Caderno Azul - Sgps, S.A. 14.6% Actium Capital - SGPS, S.A. 12.8% in EURm LTM CY2018a CY2019e CY2020e CAGR '18-'20 # of Recommendations Livrefluxo - SGPS, S.A. 12.1% 1 Thing, Investments SGPS, S.A. 8.1% Revenue 805.9 777.6 775.1 802.8 1.6% Free Float 31.6% Growth -0.3% 3.6% 4 Buy EBITDA 283.6 282.2 246.1 254.0 -5.1% 0 Outperform Share Price Performance M argin 35.2% 36.3% 31.8% 31.6% 2 Hold EBIT 216.1 222.0 171.6 180.1 -9.9% 0 Underperform 365 Days 180 Days 90 Days 30 Days M argin 26.8% 28.5% 22.1% 22.4% 0 Sell Net Income2 188.5 194.5 115.0 115.0 -23.1% Altri, S.G.P.S., S.A. -26.2% -26.1% -9.2% -12.2% M argin 23.4% 25.0% 14.8% 14.3% MSCI World Index 6.7% 1.9% 0.3% 0.0% Valuation 120 in EURm Valuation CY2018a CY2019e CY2020e

100 Enterprise Value 1,683.7 EV/Sales 2.1x 2.2x 2.1x Net Debt 585.2 EV/EBITDA 5.8x 6.8x 6.6x Minority Interest 0.0 EV/EBIT 7.3x 9.8x 9.3x Preferred Equity 0.0 P/E 6.1x 9.6x 9.6x 80 Market Cap 1,098.5 P/B 2.3x 2.3x 2.1x

60 Oct 2018 Jan 2019 Apr 2019 Jul 2019 Oct 2019

Altri, S.G.P.S., S.A. MSCI World Index

Source: S&P Capital IQ as of 19/10/2019 1 Total Shares Outstanding can exceed 100% because reporting requirements for holdings data is not aligned with the financials reporting of shares outstanding 38 2 Net Income can be larger due to extraordinary items Amcor plc

Company Describtion Revenue Split by Business Segments

Sector: Containers and Packaging Flexibles 70.1% Amcor plc develops, manufactures, and sells various packaging products for food, beverage, pharmaceutical, medical, Rigid Packaging 29.9% home and personal care, and other consumer goods end markets w orldw ide. It operates through tw o segments, na na Flexible Packaging and Rigid Packaging. The company provides flexible packaging products, rigid containers, specialty na na cartons, and closures. The company is headquartered in Zürich, Sw itzerland. na na na na

Revenue Split by Geographical Location

Europe 41.1% North America 32.7% Asia Pacific 14.8% Latin America 11.4% na na Public Shareholders 1 na na

BlackRock, Inc. 11.7% Key Financials The Vanguard Group, Inc. 7.1% Invesco Ltd. 5.4% in EURm LTM CY2018a CY2019e CY2020e CAGR '18-'20 # of Recommendations State Street Global Advisors, Inc. 4.2% Mackenzie Financial Corporation 1.5% Revenue 8,311.9 8,180.7 10,156.5 11,994.1 21.1% Free Float 70.1% Growth 24.2% 18.1% 3 Buy EBITDA 1,156.7 1,137.8 1,519.0 1,874.6 28.4% 2 Outperform Share Price Performance M argin 13.9% 13.9% 15.0% 15.6% 4 Hold EBIT 824.6 850.4 1,152.0 1,400.8 28.3% 1 Underperform 365 Days 180 Days 90 Days 30 Days M argin 9.9% 10.4% 11.3% 11.7% 0 Sell Net Income2 378.1 598.2 566.7 841.4 18.6% Amcor plc 4.6% -12.3% -14.3% -4.1% M argin 4.5% 7.3% 5.6% 7.0% MSCI World Index 6.7% 1.9% 0.3% 0.0% Valuation 140 in EURm Valuation CY2018a CY2019e CY2020e

120 Enterprise Value 18,889.8 EV/Sales 1.6x 1.9x 1.6x Net Debt 4,834.8 EV/EBITDA 11.7x 12.4x 10.1x Minority Interest 57.7 EV/EBIT 15.7x 16.4x 13.5x Preferred Equity 0.0 P/E 15.8x 24.7x 16.6x 100 Market Cap 13,997.2 P/B 17.2x na na

80 Oct 2018 Jan 2019 Apr 2019 Jul 2019 Oct 2019

Amcor plc MSCI World Index

Source: S&P Capital IQ as of 19/10/2019 1 Total Shares Outstanding can exceed 100% because reporting requirements for holdings data is not aligned with the financials reporting of shares outstanding 39 2 Net Income can be larger due to extraordinary items BillerudKorsnäs AB (publ)

Company Describtion Revenue Split by Business Segments

Sector: Containers and Packaging Other 100.0% BillerudKorsnäs AB (publ) provides fiber based packaging materials and packaging solutions in Sw eden and na na internationally. It operates through Packaging Paper, Consumer Board, and Corrugated Solutions segments. The na na Packaging Paper segment offers kraft and sack paper for industrial, medical equipment, and consumer sectors; and na na pulp. The Consumer Board segment manufactures and delivers liquid packaging board and cartonboard for beverages, na na food products, and various other consumer goods. The Corrugated Solutions segment supplies materials to corrugated na na board manufacturers; and packaging solutions to brand ow ners. This segment offers fluting and liner materials that are used in corrugated boxes for fragile goods and demanding distribution systems. The company serves packaging Revenue Split by Geographical Location manufacturers, brand ow ners, and large retail and supermarket chains. The company is headquartered in Solna, Sw eden. Germany 24.2% Sw eden 22.3% China 19.1% Italy 15.3% United Kingdom 10.2% Public Shareholders 1 Spain 8.9%

Frapag Beteiligungsholding AG 15.1% Key Financials AMF Fonder AB 9.1% AP Fonden 4 6.3% in EURm LTM CY2018a CY2019e CY2020e CAGR '18-'20 # of Recommendations Sw edbank Robur Kapitalförvaltning AB 5.8% Schroder Investment Management Limited 5.2% Revenue 2,346.6 2,338.0 2,364.5 2,488.6 3.2% Free Float 58.4% Growth 1.1% 5.2% 1 Buy EBITDA 308.6 286.3 264.8 344.0 9.6% 1 Outperform Share Price Performance M argin 13.1% 12.2% 11.2% 13.8% 3 Hold EBIT 166.3 138.8 111.7 174.6 12.2% 2 Underperform 365 Days 180 Days 90 Days 30 Days M argin 7.1% 5.9% 4.7% 7.0% 1 Sell Net Income2 123.5 101.9 81.4 133.7 14.5% BillerudKorsnäs AB (publ) 1.9% -17.4% -4.8% 0.5% M argin 5.3% 4.4% 3.4% 5.4% MSCI World Index 6.7% 1.9% 0.3% 0.0% Valuation 140 in EURm Valuation CY2018a CY2019e CY2020e

120 Enterprise Value 3,587.5 EV/Sales 1.3x 1.5x 1.4x Net Debt 1,488.9 EV/EBITDA 10.4x 13.6x 10.4x Minority Interest 0.9 EV/EBIT 21.5x 32.1x 20.6x Preferred Equity 0.0 P/E 21.1x 25.8x 15.7x 100 Market Cap 2,097.7 P/B 1.5x 1.3x 1.3x

80 Oct 2018 Jan 2019 Apr 2019 Jul 2019 Oct 2019

BillerudKorsnäs AB (publ) MSCI World Index

Source: S&P Capital IQ as of 19/10/2019 1 Total Shares Outstanding can exceed 100% because reporting requirements for holdings data is not aligned with the financials reporting of shares outstanding 40 2 Net Income can be larger due to extraordinary items CPH Chemie + Papier Holding AG

Company Describtion Revenue Split by Business Segments

Sector: Paper and Forest Products Paper 56.4% CPH Chemie + Papier Holding AG, together w ith its subsidiaries, develops, manufactures and distributes chemical Packaging 28.7% products, paper, and pharmaceutical packaging films in Sw itzerland, rest of Europe, the Americas, Asia, and Chemistry 14.9% internationally. It operates through three divisions: Chemistry, Paper, and Packaging. The Chemistry division provides na na molecular sieves for industrial applications; chromatography gels for the pharmaceuticals industry; and deuterated na na solvents for laboratory analysis use. This division offers its products under the Zeochem brand name. The Paper na na division produces new sprint and magazine paper products under the Perlen Papier brand. The Packaging division provides a range of PVC monofilms and coated PVdC barrier films under the Perlen Packaging brand name for use in Revenue Split by Geographical Location the pharmaceuticals industry. The company w as founded in 1818 and is based in Root, Sw itzerland. Europe (Excluding Sw itzerland) 64.0% Sw itzerland 13.7% The Americas 12.5% Asia 8.8% Rest of The World 1.1% Public Shareholders 1 na na

Ubv Uetikon Betriebs & verw altungs Ag 50.0% Key Financials Schnorf-Schmid, Ella 7.2% Sarasin & Partners LLP 5.0% in EURm LTM CY2018a CY2019e CY2020e CAGR '18-'20 # of Recommendations VV Vermögensverw altung AG 5.0% Werder, Manuel 1.0% Revenue 487.1 477.1 493.2 506.4 3.0% Free Float 31.9% Growth 3.4% 2.7% 2 Buy EBITDA 78.4 72.8 76.0 74.5 1.2% 0 Outperform Share Price Performance M argin 16.1% 15.3% 15.4% 14.7% 1 Hold EBIT 50.7 45.8 46.8 44.7 -1.2% 0 Underperform 365 Days 180 Days 90 Days 30 Days M argin 10.4% 9.6% 9.5% 8.8% 0 Sell Net Income2 42.0 37.5 38.5 36.8 -1.0% CPH Chemie + Papier Holding AG -2.4% 0.1% -4.9% -1.1% M argin 8.6% 7.9% 7.8% 7.3% MSCI World Index 6.7% 1.9% 0.3% 0.0% Valuation 120 in EURm Valuation CY2018a CY2019e CY2020e

Enterprise Value 356.8 EV/Sales 1.2x 0.7x 0.7x Net Debt -86.0 EV/EBITDA 8.0x 4.7x 4.8x 100 Minority Interest 1.6 EV/EBIT 12.7x 7.6x 8.0x Preferred Equity 0.0 P/E 11.7x 11.5x 12.0x Market Cap 441.3 P/B 1.2x 1.1x 1.0x

80 Oct 2018 Jan 2019 Apr 2019 Jul 2019 Oct 2019

CPH Chemie + Papier Holding AG MSCI World Index

Source: S&P Capital IQ as of 19/10/2019 1 Total Shares Outstanding can exceed 100% because reporting requirements for holdings data is not aligned with the financials reporting of shares outstanding 41 2 Net Income can be larger due to extraordinary items DS Smith Plc

Company Describtion Revenue Split by Business Segments

Sector: Containers and Packaging Western Europe 26.7% DS Smith Plc designs and manufactures corrugated packaging and plastic packaging for consumer goods. The Central Europe and Italy 26.5% company offers transit and transport, consumer, retail and shelf ready, online and e-retail, industrial, hazardous, multi- DCH and Northern Europe 20.0% material, inserts and cushioning, and electrostatic discharge packaging products, as w ell as w rap arounds, trays, and United Kingdom (UK) 19.7% bag-in-boxes; displays and promotional packaging products; corrugated pallets; Sheetfeeding products; packaging North America 7.0% machine systems; and Sizzlepak, a stuffing material made of paper, folded in a zigzag shape, and cut into narrow na na strips, as w ell as provides packaging consultancy services. It also provides various recycling and w aste management services, including total w aste management, paper and cardboard recycling, confidential shredding, plastics recycling, Revenue Split by Geographical Location and zero w aste solutions, as w ell as equipment for the retail, manufacturing, print and publishing, paper mills, automotive, and public sectors. In addition, the company offers recycled corrugated case materials and specialty Rest of the World 40.9% papers, as w ell as related technical and supply chain services; and manufactures and sells flexible packaging and United Kingdom (UK) 16.7% dispensing solutions, rigid packaging solutions, and foam and injection molded products for use in the beverage, France 12.9% automotive, pharmaceutical, fresh produce, construction, and retail industries. Germany 12.6% Italy 10.6% Public Shareholders 1 USA 6.3%

Standard Life Aberdeen plc 6.2% Key Financials Norges Bank Investment Management 5.4% Aviva Investors Global Services Limited 5.2% in EURm LTM CY2018a CY2019e CY2020e CAGR '18-'20 # of Recommendations Columbia Management Investment Advisers, LLC 4.9% The Vanguard Group, Inc. 3.1% Revenue 7,174.5 6,938.6 7,722.1 7,935.3 6.9% Free Float 75.2% Growth 11.3% 2.8% 6 Buy EBITDA 941.7 871.7 1,141.7 1,227.3 18.7% 2 Outperform Share Price Performance M argin 13.1% 12.6% 14.8% 15.5% 3 Hold EBIT 598.7 549.4 770.5 805.8 21.1% 1 Underperform 365 Days 180 Days 90 Days 30 Days M argin 8.3% 7.9% 10.0% 10.2% 1 Sell Net Income2 318.6 318.9 385.5 435.9 16.9% DS Smith Plc -15.8% -6.1% -2.9% -4.1% M argin 4.4% 4.6% 5.0% 5.5% MSCI World Index 6.7% 1.9% 0.3% 0.0% Valuation 120 in EURm Valuation CY2018a CY2019e CY2020e

100 Enterprise Value 8,127.1 EV/Sales 0.9x 1.1x 1.0x Net Debt 2,757.7 EV/EBITDA 7.4x 7.1x 6.6x Minority Interest 1.2 EV/EBIT 11.8x 10.5x 10.1x Preferred Equity 0.0 P/E 14.3x 13.9x 12.3x 80 Market Cap 5,368.2 P/B 1.3x na na

60 Oct 2018 Jan 2019 Apr 2019 Jul 2019 Oct 2019

DS Smith Plc MSCI World Index

Source: S&P Capital IQ as of 19/10/2019 1 Total Shares Outstanding can exceed 100% because reporting requirements for holdings data is not aligned with the financials reporting of shares outstanding 42 2 Net Income can be larger due to extraordinary items ENCE Energía y Celulosa, S.A.

Company Describtion Revenue Split by Business Segments

Sector: Paper and Forest Products Cellulose Business - Cellulose 81.9% ENCE Energía y Celulosa, S.A., together w ith its subsidiaries, produces and sells eucalyptus pulp and renew able Business and Energy Segment 16.4% energy in Germany, Spain, Italy, Poland, Turkey, France, the United Kingdom, Austria, Greece, Portugal, Slovenia, the Cellulose Business - Forest Heritage 1.6% Netherlands, and internationally. It offers bleached eucalyptus kraft pulp; and forest land management and forestry Cellulose Business - Forest Services and Others 0.1% services, as w ell as produces renew able energy using forestry and agricultural biomass, and thermo solar sources. na na The company also purchases and sells timber. It manages 67,673 hectares of productive forest in Spain. The company na na w as formerly know n as Grupo Empresarial ENCE, S.A. and changed its name to ENCE Energía y Celulosa, S.A. in April 2012. ENCE Energía y Celulosa, S.A. w as founded in 1957 and is headquartered in Madrid, Spain. Revenue Split by Geographical Location

Germany 55.2% Spain 29.0% Other Countries 15.9% na na na na Public Shareholders 1 na na

Retos Operativos XXI, S.L. 29.7% Key Financials LA Fuente Salada S.L. 6.5% Asua Inversiones, S.L. 6.4% in EURm LTM CY2018a CY2019e CY2020e CAGR '18-'20 # of Recommendations Dimensional Fund Advisors L.P. 3.1% J.P. Morgan Asset Management, Inc. 3.0% Revenue 817.8 832.0 787.8 904.8 4.3% Free Float 51.3% Growth -5.3% 14.9% 6 Buy EBITDA 223.6 269.0 198.4 258.7 -1.9% 1 Outperform Share Price Performance M argin 27.3% 32.3% 25.2% 28.6% 2 Hold EBIT 148.7 197.2 81.2 159.7 -10.0% 0 Underperform 365 Days 180 Days 90 Days 30 Days M argin 18.2% 23.7% 10.3% 17.6% 0 Sell Net Income2 103.8 129.1 42.3 95.9 -13.8% ENCE Energía y Celulosa, S.A. -54.0% -35.4% -11.7% -6.0% M argin 12.7% 15.5% 5.4% 10.6% MSCI World Index 6.7% 1.9% 0.3% 0.0% Valuation 120 in EURm Valuation CY2018a CY2019e CY2020e 100 Enterprise Value 1,310.6 EV/Sales 2.0x 1.7x 1.4x Net Debt 439.0 EV/EBITDA 6.1x 6.6x 5.1x 80 Minority Interest 17.9 EV/EBIT 8.3x 16.1x 8.2x Preferred Equity 0.0 P/E 10.4x 20.2x 8.9x Market Cap 853.7 P/B 1.9x 1.3x 1.1x 60

40 Oct 2018 Jan 2019 Apr 2019 Jul 2019 Oct 2019

ENCE Energía y Celulosa, S.A. MSCI World Index

Source: S&P Capital IQ as of 19/10/2019 1 Total Shares Outstanding can exceed 100% because reporting requirements for holdings data is not aligned with the financials reporting of shares outstanding 43 2 Net Income can be larger due to extraordinary items Groupe Guillin S.A.

Company Describtion Revenue Split by Business Segments

Sector: Containers and Packaging Packaging Sector 93.8% Groupe Guillin S.A. produces and sells thermoformed plastic packaging products in France and internationally. It offers Material Sector 6.2% trays, catering containers, cake and pastry containers, and dishw are for the catering industry; bespoke trays and na na containers, tray inserts, and thermoforming sheets for the meat and food industry; and insert trays, boxes, and punnets na na and trays for the fruit and vegetable producers and packers. The company also provides disposable plates and dishes; na na and plastic sheets for integrated thermoforming manufacturers. In addition, it develops and manufactures packaging na na machinery and related equipment, such as sealing units, and distributors and labelling apparatus. The company’s customers include supermarkets, hypermarkets, distributors, self-employed and shopkeepers, w holesalers, commercial Revenue Split by Geographical Location food outlets, institutions, hospitals, catering industries, producers and distributors of fruits and vegetables, and meat and food industries. Groupe Guillin S.A. w as founded in 1972 and is based in Ornans, France. Other 36.0% France 34.7% United Kingdom 18.4% Italy 10.8% na na Public Shareholders 1 na na

Guillin, François 64.5% Key Financials Bpifrance Investissement 3.4% Stanw ahr S.à r.l. 1.6% in EURm LTM CY2018a CY2019e CY2020e CAGR '18-'20 # of Recommendations KBC Asset Management NV 0.9% Financiere De l'Echiquier 0.8% Revenue 612.8 612.8 665.3 676.3 5.1% Free Float 28.7% Growth 8.6% 1.7% 1 Buy EBITDA 80.6 80.6 91.1 93.4 7.7% 2 Outperform Share Price Performance M argin 13.1% 13.1% 13.7% 13.8% 0 Hold EBIT 53.5 53.5 61.8 65.0 10.2% 0 Underperform 365 Days 180 Days 90 Days 30 Days M argin 8.7% 8.7% 9.3% 9.6% 0 Sell Net Income2 36.1 36.1 42.7 45.7 12.5% Groupe Guillin S.A. -17.5% -17.7% 1.6% 0.0% M argin 5.9% 5.9% 6.4% 6.8% MSCI World Index 6.7% 1.9% 0.3% 0.0% Valuation 120 in EURm Valuation CY2018a CY2019e CY2020e

100 Enterprise Value 405.1 EV/Sales 0.7x 0.6x 0.6x Net Debt 65.3 EV/EBITDA 5.3x 4.4x 4.3x Minority Interest 0.0 EV/EBIT 7.9x 6.6x 6.2x Preferred Equity 0.0 P/E 9.9x 7.9x 7.4x 80 Market Cap 339.8 P/B 1.0x na na

60 Oct 2018 Jan 2019 Apr 2019 Jul 2019 Oct 2019

Groupe Guillin S.A. MSCI World Index

Source: S&P Capital IQ as of 19/10/2019 1 Total Shares Outstanding can exceed 100% because reporting requirements for holdings data is not aligned with the financials reporting of shares outstanding 44 2 Net Income can be larger due to extraordinary items Guala Closures S.p.A.

Company Describtion Revenue Split by Business Segments

Sector: Containers and Packaging Closures 99.6% Guala Closures S.p.A. engages in the production and sale of aluminum and non-refillable closures in Europe, Asia, Latin Other Assets 0.4% and North America, Oceania, and Africa. The company designs and manufactures anti-adulteration, customized, na na aluminum, and standard closures for spirits and w ine, as w ell as for non-alcoholic drinks, such as w ater, olive oil, and na na vinegar; and closures for pharmaceutical sector and others. It also manufactures PET bottles and miniatures. The na na company w as founded in 1954 and is headquartered in Alessandria, Italy. na na

Revenue Split by Geographical Location

Italy 24.1% India 23.5% Poland 21.2% Mexico 17.9% Spain 13.4% Public Shareholders 1 na na

GCL Holdings S.C.A. 8.4% Key Financials Peninsula Capital Sarl 7.4% Delfin S.a.r.l. 4.5% in EURm LTM CY2018a CY2019e CY2020e CAGR '18-'20 # of Recommendations Space Holding S.r.l. 2.9% FIL Limited 2.7% Revenue 533.6 240.2 619.4 647.4 64.2% Free Float 74.1% Growth 157.8% 4.5% 1 Buy EBITDA 61.3 30.4 113.1 124.8 102.7% 1 Outperform Share Price Performance M argin 11.5% 12.6% 18.3% 19.3% 1 Hold EBIT 34.2 15.6 46.6 57.8 92.5% 0 Underperform 365 Days 180 Days 90 Days 30 Days M argin 6.4% 6.5% 7.5% 8.9% 0 Sell Net Income2 -2.6 4.9 7.0 16.1 81.3% Guala Closures S.p.A. -16.7% 5.0% 6.4% 7.4% M argin -0.5% 2.0% 1.1% 2.5% MSCI World Index 6.7% 1.9% 0.3% 0.0% Valuation 120 in EURm Valuation CY2018a CY2019e CY2020e

100 Enterprise Value 963.8 EV/Sales 3.6x 1.6x 1.5x Net Debt 481.5 EV/EBITDA 28.4x 8.5x 7.7x Minority Interest 37.6 EV/EBIT 55.3x 20.7x 16.7x Preferred Equity 0.0 P/E 79.3x 63.4x 27.6x 80 Market Cap 444.8 P/B 0.6x 0.7x 0.7x

60 Oct 2018 Jan 2019 Apr 2019 Jul 2019 Oct 2019

Guala Closures S.p.A. MSCI World Index

Source: S&P Capital IQ as of 19/10/2019 1 Total Shares Outstanding can exceed 100% because reporting requirements for holdings data is not aligned with the financials reporting of shares outstanding 45 2 Net Income can be larger due to extraordinary items Holmen Aktiebolag (publ.)

Company Describtion Revenue Split by Business Segments

Sector: Paper and Forest Products Forest 30.7% Holmen Aktiebolag (publ.) manufactures and sells papers, paperboards, and w ood products w orldw ide. Its Paper Paperboard 29.9% segment manufactures and sells printing papers for magazines, books, printed advertising, and new spapers. The Paper 28.8% company’s Paperboard segment produces and sells paperboards for consumer packaging. Its Forest segment manages Wood Products 9.0% forests, w hich cover approximately one million hectares. The company’s Wood Products segment operates saw mills. Renew able Energy 1.6% Its Renew able Energy operates 21 hydro pow er stations; and w ind farms w ith a capacity of approximately 1 TWh of na na electricity. The company w as founded in 1609 and is headquartered in Stockholm, Sw eden. Revenue Split by Geographical Location

Asia 68.4% Rest of the w orld 31.6% na na na na na na Public Shareholders 1 na na

L E Lundbergföretagen AB (publ) 34.1% Key Financials The Kempe Foundations, Endow ment Arm 7.3% Carnegie Fonder AB 5.6% in EURm LTM CY2018a CY2019e CY2020e CAGR '18-'20 # of Recommendations Nordea Investment Management AB 3.5% Alecta Pensionsförsäkring AB, Asset Management Arm 3.0% Revenue 1,591.0 1,610.8 1,568.0 1,559.3 -1.6% Free Float 46.5% Growth -2.7% -0.6% 2 Buy EBITDA 260.8 292.3 299.6 300.2 1.3% 0 Outperform Share Price Performance M argin 16.4% 18.1% 19.1% 19.3% 2 Hold EBIT 164.3 192.8 214.4 222.6 7.4% 2 Underperform 365 Days 180 Days 90 Days 30 Days M argin 10.3% 12.0% 13.7% 14.3% 0 Sell Net Income2 178.0 222.9 169.9 170.4 -12.6% Holmen Aktiebolag (publ.) 8.9% 16.8% 21.2% 5.0% M argin 11.2% 13.8% 10.8% 10.9% MSCI World Index 6.7% 1.9% 0.3% 0.0% Valuation 130 in EURm Valuation CY2018a CY2019e CY2020e

110 Enterprise Value 4,403.7 EV/Sales 2.0x 2.8x 2.8x Net Debt 417.0 EV/EBITDA 11.0x 14.7x 14.7x Minority Interest 0.0 EV/EBIT 16.7x 20.5x 19.8x Preferred Equity 0.0 P/E 13.0x 23.5x 23.4x 90 Market Cap 3,986.7 P/B 1.3x 1.8x 1.8x

70 Oct 2018 Jan 2019 Apr 2019 Jul 2019 Oct 2019

Holmen Aktiebolag (publ.) MSCI World Index

Source: S&P Capital IQ as of 19/10/2019 1 Total Shares Outstanding can exceed 100% because reporting requirements for holdings data is not aligned with the financials reporting of shares outstanding 46 2 Net Income can be larger due to extraordinary items Huhtamäki Oyj

Company Describtion Revenue Split by Business Segments

Sector: Containers and Packaging North America 32.1% Huhtamäki Oyj, through its subsidiaries, manufactures and sells packaging products for food and drinks w orldw ide. It Flexible Packaging 30.5% operates through Foodservice Packaging, Flexible Packaging, and Fiber Packaging business areas. The company offers Foodservice Europe-Asia-Oceania 28.3% foodservice paper and plastic disposable tablew are to foodservice operators, fast food restaurants, and coffee Fiber Packaging 9.1% shops; foodservice packaging products, ice cream containers, and other consumer goods packaging products; and na na flexible packaging solutions for various consumer products, such as food, pet food, hygiene, and health care products. na na It also provides recycled fiber packaging products, such as egg and fruit packaging. The company w as founded in 1920 and is headquartered in Espoo, Finland. Revenue Split by Geographical Location

The United States 45.6% Germany 20.4% India 12.9% The United Kingdom 10.1% Australia 5.9% Public Shareholders 1 Thailand 5.0%

Suomen Kulttuurirahasto, Endow ment Arm 11.5% Key Financials Varma Mutual Pension Insurance Company, Asset Management Arm4.5% Lannebo Fonder AB 3.9% in EURm LTM CY2018a CY2019e CY2020e CAGR '18-'20 # of Recommendations The Vanguard Group, Inc. 2.5% Ilmarinen Pension Insurance Co. Ltd, Asset Management Arm 2.4% Revenue 3,261.9 3,103.6 3,379.1 3,572.1 7.3% Free Float 75.1% Growth 8.9% 5.7% 3 Buy EBITDA 390.4 379.6 457.5 504.2 15.3% 0 Outperform Share Price Performance M argin 12.0% 12.2% 13.5% 14.1% 2 Hold EBIT 244.6 240.0 292.9 331.9 17.6% 1 Underperform 365 Days 180 Days 90 Days 30 Days M argin 7.5% 7.7% 8.7% 9.3% 0 Sell Net Income2 157.9 156.5 204.5 237.6 23.2% Huhtamäki Oyj 41.8% 15.9% 4.3% 1.7% M argin 4.8% 5.0% 6.1% 6.7% MSCI World Index 6.7% 1.9% 0.3% 0.0% Valuation 150 in EURm Valuation CY2018a CY2019e CY2020e 130 Enterprise Value 5,001.2 EV/Sales 1.2x 1.5x 1.4x Net Debt 1,031.2 EV/EBITDA 9.7x 10.9x 9.9x 110 Minority Interest 56.9 EV/EBIT 15.4x 17.1x 15.1x Preferred Equity 0.0 P/E 18.0x 19.1x 16.5x Market Cap 3,913.1 P/B 2.2x 2.9x 2.7x 90

70 Oct 2018 Jan 2019 Apr 2019 Jul 2019 Oct 2019

Huhtamäki Oyj MSCI World Index

Source: S&P Capital IQ as of 19/10/2019 1 Total Shares Outstanding can exceed 100% because reporting requirements for holdings data is not aligned with the financials reporting of shares outstanding 47 2 Net Income can be larger due to extraordinary items Iberpapel Gestión, S.A.

Company Describtion Revenue Split by Business Segments

Sector: Paper and Forest Products Paper 61.5% Iberpapel Gestión, S.A., together w ith its subsidiaries, manufactures, sells, and exports w riting and printing paper in Forestry and Others 23.9% Spain and internationally. The company operates through Paper, Gas-fired Electricity Cogeneration, and Forestry and Electric Pow er Cog. Gas 14.5% Other segments. It offers paper for bags and packaging, as w ell as label face products. The company also generates na na 10 Mw h of electricity through biomass; and 50 Mw h of electricity through gas cogeneration. In addition, it ow ns and na na manages 25,778 hectares of land in Spain, Argentina, and Uruguay. Further, the company is involved in the na na reforestation and forestry operations; and sale of timber. Iberpapel Gestión, S.A. w as founded in 1935 and is headquartered in San Sebastián, Spain. Revenue Split by Geographical Location

Spain 62.4% European Union (Excluding Spain) 28.7% Africa and Overseas 7.4% South America 1.4% na na Public Shareholders 1 na na

Careaga Salazar, María del Carmen 8.2% Key Financials Miquel y Costas & Miquel, S.A. 5.1% Norges Bank Investment Management 5.0% in EURm LTM CY2018a CY2019e CY2020e CAGR '18-'20 # of Recommendations Magallanes Value Investors, S.A., SGIIC 3.2% Santander Asset Management, S.A., S.G.I.I.C. 3.0% Revenue 229.0 223.7 232.0 231.5 1.7% Free Float 75.4% Growth 3.7% -0.2% 0 Buy EBITDA 39.8 39.2 37.7 39.0 -0.2% 0 Outperform Share Price Performance M argin 17.4% 17.5% 16.3% 16.8% 0 Hold EBIT 29.0 28.3 25.0 24.9 -6.2% 0 Underperform 365 Days 180 Days 90 Days 30 Days M argin 12.7% 12.7% 10.8% 10.8% 2 Sell Net Income2 25.6 25.2 18.9 18.3 -14.8% Iberpapel Gestión, S.A. -23.3% -14.4% -5.3% -7.1% M argin 11.2% 11.3% 8.1% 7.9% MSCI World Index 6.7% 1.9% 0.3% 0.0% Valuation 120 in EURm Valuation CY2018a CY2019e CY2020e

100 Enterprise Value 180.5 EV/Sales 1.2x 0.8x 0.8x Net Debt -97.9 EV/EBITDA 7.0x 4.8x 4.6x Minority Interest 0.0 EV/EBIT 9.7x 7.2x 7.2x Preferred Equity 0.0 P/E 14.3x 14.7x 15.2x 80 Market Cap 278.4 P/B 1.4x na na

60 Oct 2018 Jan 2019 Apr 2019 Jul 2019 Oct 2019

Iberpapel Gestión, S.A. MSCI World Index

Source: S&P Capital IQ as of 19/10/2019 1 Total Shares Outstanding can exceed 100% because reporting requirements for holdings data is not aligned with the financials reporting of shares outstanding 48 2 Net Income can be larger due to extraordinary items Mayr-Melnhof Karton AG

Company Describtion Revenue Split by Business Segments

Sector: Containers and Packaging UWF Paper 54.3% Mayr-Melnhof Karton AG manufactures and sells cartonboard and folding cartons w orldw ide. It operates in tw o Others 27.2% segments, Mayr-Melnhof Karton (MM Karton) and Mayr-Melnhof Packaging (MM Packaging). The MM Karton segment Pulp Market 14.9% manufactures and markets various grades of cartonboard products, such as coated cartonboard produced from Tissue Paper 3.6% recovered paper; and virgin fiber based cartonboard. Its cartonboard is used as a raw material in the production of na na folding carton packaging. This segment primarily serves printing businesses in the fragmented folding carton industry. na na The MM Packaging segment processes cartonboard into folding cartons primarily for food products, such as cereals, dried foods, sugar, and baked products; other consumer goods industries, including cosmetics and toiletries, Revenue Split by Geographical Location detergents, household articles, and toys; cigarette packaging; and pharmaceutical and confectionary packaging. Mayr- Melnhof Karton AG is based in Vienna, Austria. Rest of Europe 50.4% Other Markets 23.1% Portugal 18.7% North America 7.9% na na Public Shareholders 1 na na

MMS Mayr-Melnhof-Saurau Beteiligungsverw altung KG 10.0% Key Financials CAMA Privatstiftung 10.0% Massachusetts Financial Services Company 3.1% in EURm LTM CY2018a CY2019e CY2020e CAGR '18-'20 # of Recommendations FMR LLC 2.3% Erste Asset Management GmbH 1.5% Revenue 2,442.5 2,337.7 2,579.7 2,660.9 6.7% Free Float 73.0% Growth 10.4% 3.1% 3 Buy EBITDA 343.0 313.8 378.1 398.2 12.6% 1 Outperform Share Price Performance M argin 14.0% 13.4% 14.7% 15.0% 0 Hold EBIT 221.3 206.6 251.1 264.8 13.2% 0 Underperform 365 Days 180 Days 90 Days 30 Days M argin 9.1% 8.8% 9.7% 10.0% 0 Sell Net Income2 172.1 163.7 181.1 192.4 8.4% Mayr-Melnhof Karton AG 0.5% -6.1% -1.4% 2.6% M argin 7.0% 7.0% 7.0% 7.2% MSCI World Index 6.7% 1.9% 0.3% 0.0% Valuation 120 in EURm Valuation CY2018a CY2019e CY2020e

Enterprise Value 2,576.0 EV/Sales 0.9x 1.0x 1.0x Net Debt 334.1 EV/EBITDA 6.9x 6.8x 6.5x 100 Minority Interest 5.9 EV/EBIT 10.4x 10.3x 9.7x Preferred Equity 0.0 P/E 13.4x 12.3x 11.6x Market Cap 2,236.0 P/B 1.6x 1.5x 1.4x

80 Oct 2018 Jan 2019 Apr 2019 Jul 2019 Oct 2019

Mayr-Melnhof Karton AG MSCI World Index

Source: S&P Capital IQ as of 19/10/2019 1 Total Shares Outstanding can exceed 100% because reporting requirements for holdings data is not aligned with the financials reporting of shares outstanding 49 2 Net Income can be larger due to extraordinary items Metsä Board Oyj

Company Describtion Revenue Split by Business Segments

Sector: Paper and Forest Products Paper & Paper Products 100.0% Metsä Board Oyj produces folding boxboard, food service boards and w hite kraftliners w orldw ide. The company na na offers lightw eight paperboards for consumer goods, retail-ready, and food service applications, as w ell as market pulp na na products. It serves brand ow ners, retailers, converters, and merchants. The company w as formerly know n as M-real na na Corporation and changed its name to Metsä Board Oyj in March 2012. Metsä Board Oyj is headquartered in Espoo, na na Finland. na na

Revenue Split by Geographical Location

Germany 41.0% Italy 32.9% Sw eden 26.2% na na na na Public Shareholders 1 na na

Metsä Group 41.2% Key Financials Varma Mutual Pension Insurance Company, Asset Management Arm5.0% BNPP Asset Management Holding 2.6% in EURm LTM CY2018a CY2019e CY2020e CAGR '18-'20 # of Recommendations Ilmarinen Pension Insurance Co. Ltd, Asset Management Arm 2.4% Dimensional Fund Advisors L.P. 2.3% Revenue 1,904.4 1,951.3 1,916.5 1,943.5 -0.2% Free Float 46.5% Growth -1.8% 1.4% 2 Buy EBITDA 222.1 208.7 292.1 291.0 18.1% 0 Outperform Share Price Performance M argin 11.7% 10.7% 15.2% 15.0% 4 Hold EBIT 125.9 116.9 183.1 184.8 25.7% 1 Underperform 365 Days 180 Days 90 Days 30 Days M argin 6.6% 6.0% 9.6% 9.5% 0 Sell Net Income2 203.6 203.4 153.6 143.8 -15.9% Metsä Board Oyj -22.8% 0.3% 29.7% 13.0% M argin 10.7% 10.4% 8.0% 7.4% MSCI World Index 6.7% 1.9% 0.3% 0.0% Valuation 120 in EURm Valuation CY2018a CY2019e CY2020e 100 Enterprise Value 2,467.5 EV/Sales 1.1x 1.3x 1.3x Net Debt 383.2 EV/EBITDA 10.5x 8.4x 8.5x 80 Minority Interest 0.0 EV/EBIT 18.8x 13.5x 13.4x Preferred Equity 0.0 P/E 9.1x 13.6x 14.5x Market Cap 2,084.3 P/B 1.4x 1.5x 1.5x 60

40 Oct 2018 Jan 2019 Apr 2019 Jul 2019 Oct 2019

Metsä Board Oyj MSCI World Index

Source: S&P Capital IQ as of 19/10/2019 1 Total Shares Outstanding can exceed 100% because reporting requirements for holdings data is not aligned with the financials reporting of shares outstanding 50 2 Net Income can be larger due to extraordinary items Miquel y Costas & Miquel, S.A.

Company Describtion Revenue Split by Business Segments

Sector: Paper and Forest Products Tobacco Industry 62.3% Miquel y Costas & Miquel, S.A., together w ith its subsidiaries, manufactures and sells fine and specialty lightw eight Industrial Products 29.1% papers in Spain. The company offers papers for the cigarette industry; printing, rolling, and specialty papers; and Other 8.6% specialty textile pulps for industrial uses. It also exports its products. Miquel y Costas & Miquel, S.A. w as founded in na na 1725 and is headquartered in Barcelona, Spain. na na na na

Revenue Split by Geographical Location

Spain 66.2% Other Countries 33.8% na na na na na na Public Shareholders 1 na na

Hacia, S.A. 14.1% Key Financials Indumenta Pueri, S.L. 8.8% Enkidu Inversiones, S.L. 8.3% in EURm LTM CY2018a CY2019e CY2020e CAGR '18-'20 # of Recommendations Estate of José Miquel Jane 8.1% Santander Asset Management, S.A., S.G.I.I.C. 5.3% Revenue 273.8 260.7 279.0 288.0 5.1% Free Float 55.4% Growth 7.0% 3.2% 1 Buy EBITDA 67.2 66.4 67.0 68.5 1.5% 0 Outperform Share Price Performance M argin 24.5% 25.5% 24.0% 23.8% 0 Hold EBIT 51.3 51.0 49.9 50.1 -0.9% 0 Underperform 365 Days 180 Days 90 Days 30 Days M argin 18.7% 19.6% 17.9% 17.4% 0 Sell Net Income2 37.5 37.3 38.9 38.1 1.1% Miquel y Costas & Miquel, S.A. -19.0% -6.1% -2.2% -5.7% M argin 13.7% 14.3% 13.9% 13.2% MSCI World Index 6.7% 1.9% 0.3% 0.0% Valuation 120 in EURm Valuation CY2018a CY2019e CY2020e

100 Enterprise Value 504.2 EV/Sales 2.1x 1.8x 1.8x Net Debt 33.6 EV/EBITDA 8.3x 7.5x 7.4x Minority Interest 0.0 EV/EBIT 10.8x 10.1x 10.1x Preferred Equity 0.0 P/E 14.1x 12.1x 12.4x 80 Market Cap 470.6 P/B 2.0x na na

60 Oct 2018 Jan 2019 Apr 2019 Jul 2019 Oct 2019

Miquel y Costas & Miquel, S.A. MSCI World Index

Source: S&P Capital IQ as of 19/10/2019 1 Total Shares Outstanding can exceed 100% because reporting requirements for holdings data is not aligned with the financials reporting of shares outstanding 51 2 Net Income can be larger due to extraordinary items Mondi plc

Company Describtion Revenue Split by Business Segments

Sector: Paper and Forest Products Fibre Packaging (Incl. Packaging Paper) 54.1% Mondi plc manufactures and sells packaging and paper products in Africa, Western Europe, Emerging Europe, Russia, Uncoated Fine Paper (Including South Africa) 24.7% North America, South America, Asia, and Australia. The company offers flexible packaging, bags, and pouches; Consumer Packaging 21.2% personal care components; release liners; technical films; corrugated packaging products; industrial bags; barrier na na coatings; specialty Kraft and sack Kraft papers; containerboards; and office and professional printing papers. It serves na na customers in the agriculture, automotive, building and construction, chemicals and dangerous goods, food and na na beverages, graphic and photographic, home and personal care, medical and pharmaceutical, office and professional printing, paper and packaging converting, pet care, retail and e-commerce, and shipping and transport industries. The Revenue Split by Geographical Location company w as founded in 1967 and is based in Addlestone, the United Kingdom. Austria 33.2% Germany 26.6% Rest of Western Europe 18.7% South Africa 18.3% United Kingdom 1.9% Public Shareholders 1 Rest of Africa 1.3%

Public Investment Corporation Limited 7.0% Key Financials BlackRock, Inc. 6.4% Norges Bank Investment Management 3.6% in EURm LTM CY2018a CY2019e CY2020e CAGR '18-'20 # of Recommendations The Vanguard Group, Inc. 3.1% Legal & General Investment Management Limited 2.1% Revenue 7,525.0 7,481.0 7,518.9 7,381.4 -0.7% Free Float 77.9% Growth 0.5% -1.8% 8 Buy EBITDA 1,756.0 1,713.0 1,651.4 1,580.5 -3.9% 1 Outperform Share Price Performance M argin 23.3% 22.9% 22.0% 21.4% 1 Hold EBIT 1,319.0 1,269.0 1,213.2 1,136.3 -5.4% 0 Underperform 365 Days 180 Days 90 Days 30 Days M argin 17.5% 17.0% 16.1% 15.4% 0 Sell Net Income2 937.0 824.0 829.7 770.2 -3.3% Mondi plc -14.8% -11.1% -9.7% -2.6% M argin 12.5% 11.0% 11.0% 10.4% MSCI World Index 6.7% 1.9% 0.3% 0.0% Valuation 130 in EURm Valuation CY2018a CY2019e CY2020e

110 Enterprise Value 11,309.7 EV/Sales 1.5x 1.5x 1.5x Net Debt 2,341.0 EV/EBITDA 6.6x 6.8x 7.2x Minority Interest 351.0 EV/EBIT 9.0x 9.3x 10.0x Preferred Equity 0.0 P/E 10.7x 10.4x 11.2x 90 Market Cap 8,617.7 P/B 2.3x 2.2x 2.0x

70 Oct 2018 Jan 2019 Apr 2019 Jul 2019 Oct 2019

Mondi plc MSCI World Index

Source: S&P Capital IQ as of 19/10/2019 1 Total Shares Outstanding can exceed 100% because reporting requirements for holdings data is not aligned with the financials reporting of shares outstanding 52 2 Net Income can be larger due to extraordinary items Reno De Medici S.p.A.

Company Describtion Revenue Split by Business Segments

Sector: Containers and Packaging White Lined Chipboard (WLC) 81.3% Reno De Medici S.p.A. produces and distributes carton boards primarily in Europe. The company operates through three Folding Box Board (FBB) 18.7% segments: White Lined Chipboard, Folding Box Board, and Laminated Board. It primarily offers carton boards for na na specialties, luxury packaging, and binding applications through a netw ork of agents. The company w as founded in na na 1967 and is based in Milan, Italy. Reno De Medici S.p.A. is a subsidiary of Cascades Inc. na na na na

Revenue Split by Geographical Location

European Union (Excluding Italy) 55.0% Italy 33.0% Non-EU 12.0% na na na na Public Shareholders 1 na na

Cascades Inc. 57.9% Key Financials Caisse de dépôt et placement du Québec 9.2% Amiral Gestion SA 4.8% in EURm LTM CY2018a CY2019e CY2020e CAGR '18-'20 # of Recommendations Dimensional Fund Advisors L.P. 1.6% Magallanes Value Investors, S.A., SGIIC 0.6% Revenue 666.7 610.7 718.1 725.8 9.0% Free Float 25.8% Growth 17.6% 1.1% 1 Buy EBITDA 61.8 62.1 68.0 71.0 6.9% 1 Outperform Share Price Performance M argin 9.3% 10.2% 9.5% 9.8% 0 Hold EBIT 36.9 38.7 39.2 42.1 4.2% 0 Underperform 365 Days 180 Days 90 Days 30 Days M argin 5.5% 6.3% 5.5% 5.8% 0 Sell Net Income2 22.6 27.2 25.0 27.4 0.4% Reno De Medici S.p.A. -18.8% 1.4% 5.3% 10.7% M argin 3.4% 4.4% 3.5% 3.8% MSCI World Index 6.7% 1.9% 0.3% 0.0% Valuation 120 in EURm Valuation CY2018a CY2019e CY2020e

100 Enterprise Value 336.8 EV/Sales 0.5x 0.5x 0.5x Net Debt 69.2 EV/EBITDA 4.8x 5.0x 4.7x Minority Interest 0.0 EV/EBIT 7.7x 8.6x 8.0x Preferred Equity 0.0 P/E 8.6x 10.7x 9.8x 80 Market Cap 267.6 P/B 1.2x 1.2x 1.1x

60 Oct 2018 Jan 2019 Apr 2019 Jul 2019 Oct 2019

Reno De Medici S.p.A. MSCI World Index

Source: S&P Capital IQ as of 19/10/2019 1 Total Shares Outstanding can exceed 100% because reporting requirements for holdings data is not aligned with the financials reporting of shares outstanding 53 2 Net Income can be larger due to extraordinary items Semapa - Sociedade de Investimento e Gestão, SGPS, S.A.

Company Describtion Revenue Split by Business Segments

Sector: Paper and Forest Products Pulp and Paper 76.4% Semapa - Sociedade de Investimento e Gestão, SGPS, S.A., through its subsidiaries, produces and sells cellulose pulp Cement 21.8% and paper and related products. It operates through three segments: Pulp and Paper, Cement and Derivatives, and Environment 1.1% Environment. The company also produces and sells cement, clinker, ready mixed concrete, aggregates, precast Holdings 0.6% concrete, hydraulic lime, and mortar products; and operates quarries. In addition, it is involved in environment related na na activities; purchase of w ood; and forest and agricultural production, and cutting timber. The company has operations in na na Portugal, other European countries, the United States, the Middle East, Africa, and Asia. Semapa - Sociedade de Investimento e Gestão, SGPS, S.A. w as incorporated in 1991 and is headquartered in Lisbon, Portugal. Revenue Split by Geographical Location

Rest of Europe 44.7% Portugal 26.7% America 14.7% Africa 13.8% na na Public Shareholders 1 na na

Cimo - Gestão de Participações, SGPS, S.A. 48.3% Key Financials Grupo Queiroz Pereira 22.9% Bestinver Gestión, S.G.I.I.C. 4.5% in EURm LTM CY2018a CY2019e CY2020e CAGR '18-'20 # of Recommendations Norges Bank Investment Management 2.1% Santander Asset Management, S.A., S.G.I.I.C. 2.0% Revenue 2,256.7 2,207.8 2,277.7 2,302.0 2.1% Free Float 20.1% Growth 3.2% 1.1% 4 Buy EBITDA 523.4 509.9 556.3 556.9 4.5% 0 Outperform Share Price Performance M argin 23.2% 23.1% 24.4% 24.2% 0 Hold EBIT 305.7 299.9 334.6 341.5 6.7% 0 Underperform 365 Days 180 Days 90 Days 30 Days M argin 13.5% 13.6% 14.7% 14.8% 0 Sell Net Income2 146.9 132.6 122.5 125.0 -2.9% Semapa - Sociedade de Investimento e Gestão, SGPS, S.A. -24.2% -16.9% 2.3% 1.8% M argin 6.5% 6.0% 5.4% 5.4% MSCI World Index 6.7% 1.9% 0.3% 0.0% Valuation 120 in EURm Valuation CY2018a CY2019e CY2020e

100 Enterprise Value 2,976.9 EV/Sales 1.3x 1.3x 1.3x Net Debt 1,641.5 EV/EBITDA 5.8x 5.4x 5.3x Minority Interest 321.4 EV/EBIT 9.9x 8.9x 8.7x Preferred Equity 0.0 P/E 8.0x 8.3x 8.1x 80 Market Cap 1,014.0 P/B 0.8x 1.0x 0.9x

60 Oct 2018 Jan 2019 Apr 2019 Jul 2019 Oct 2019

Semapa - Sociedade de Investimento e Gestão, SGPS, S.A. MSCI World Index

Source: S&P Capital IQ as of 19/10/2019 1 Total Shares Outstanding can exceed 100% because reporting requirements for holdings data is not aligned with the financials reporting of shares outstanding 54 2 Net Income can be larger due to extraordinary items SIG Combibloc Group AG

Company Describtion Revenue Split by Business Segments

Sector: Containers and Packaging EMEA 48.5% SIG Combibloc Group AG provides aseptic carton packaging systems and solutions for food and beverage producers. APAC 33.1% The company provides aseptic carton packaging filling machines, aseptic carton packaging sleeves, and closures, as Americas 15.5% w ell as spare parts, maintenance, digital, add-on, training, and assembly-related services. It primarily operates in Group Functions 2.8% Europe, the Middle East, Africa, the Asia Pacific, and the Americas. The company w as founded in 1853 and is na na headquartered in Neuhausen am Rheinfall, Sw itzerland. na na

Revenue Split by Geographical Location

China 57.7% Germany 39.9% Sw itzerland 2.4% na na na na Public Shareholders 1 na na

Onex Corporation 43.2% Key Financials Winder Investment Pte Ltd 6.0% Janus Henderson Group plc 3.0% in EURm LTM CY2018a CY2019e CY2020e CAGR '18-'20 # of Recommendations Pictet Asset Management Limited 2.8% BlackRock, Inc. 2.2% Revenue 1,714.9 1,676.1 1,770.9 1,848.3 5.0% Free Float 42.9% Growth 5.7% 4.4% 7 Buy EBITDA 424.8 408.4 483.5 513.2 12.1% 2 Outperform Share Price Performance M argin 24.8% 24.4% 27.3% 27.8% 3 Hold EBIT 149.3 136.7 348.6 326.9 54.6% 0 Underperform 365 Days 180 Days 90 Days 30 Days M argin 8.7% 8.2% 19.7% 17.7% 0 Sell Net Income2 -11.1 -83.9 95.5 109.7 na SIG Combibloc Group AG 26.2% 44.5% 26.6% 7.8% M argin -0.6% -5.0% 5.4% 5.9% MSCI World Index 6.7% 1.9% 0.3% 0.0% Valuation 130 in EURm Valuation CY2018a CY2019e CY2020e

110 Enterprise Value 5,656.1 EV/Sales 2.6x 3.2x 3.1x Net Debt 1,518.6 EV/EBITDA 10.8x 11.7x 11.0x Minority Interest 0.0 EV/EBIT 32.2x 16.2x 17.3x Preferred Equity 0.0 P/E nm 43.3x 37.7x 90 Market Cap 4,137.5 P/B 1.6x 2.1x 2.2x

70 Oct 2018 Jan 2019 Apr 2019 Jul 2019 Oct 2019

SIG Combibloc Group AG MSCI World Index

Source: S&P Capital IQ as of 19/10/2019 1 Total Shares Outstanding can exceed 100% because reporting requirements for holdings data is not aligned with the financials reporting of shares outstanding 55 2 Net Income can be larger due to extraordinary items Smurfit Kappa Group plc

Company Describtion Revenue Split by Business Segments

Sector: Containers and Packaging Europe 77.4% Smurfit Kappa Group plc, together w ith its subsidiaries, manufactures, distributes, and sells paper-based packaging The Americas 22.6% products. It operates through tw o segments, Europe and the Americas. The company offers consumer, retail, industrial, na na e-commerce, heavy-duty corrugated, and hexacomb packaging products, as w ell as composite cardboard tubes, and na na bags and sacks; and bag-in-box, a single-use packaging system that comprises films, accessories, bags, taps, and na na boxes. It also provides point of sale displays; automated packing lines; various types of containerboards, such as na na Kraftliners, testliners, and containerboard flutings; and corrugated sheet boards, solid board sheets, folding carton sheet boards, sack Kraft papers, MG Kraft papers, preprints, printing and w riting papers, pine and eucalyptus Revenue Split by Geographical Location seedlings, and bleached eucalyptus Kraft pulp. In addition, the company offers recycling solutions to cardboard and paper products, as w ell as operates as a finance company. It primarily serves food, beverage, and household Germany 32.4% consumables sectors. Smurfit Kappa Group plc w as founded in 1934 and is headquartered in Dublin, Ireland. France 25.8% United Kingdom 19.5% Mexico 19.4% Ireland 2.9% Public Shareholders 1 na na

Norges Bank Investment Management 7.0% Key Financials BlackRock, Inc. 6.4% The Vanguard Group, Inc. 4.1% in EURm LTM CY2018a CY2019e CY2020e CAGR '18-'20 # of Recommendations Schroder Investment Management Limited 3.9% State Street Global Advisors, Inc. 2.5% Revenue 9,140.0 8,946.0 9,183.8 9,358.1 2.3% Free Float 76.1% Growth 2.7% 1.9% 5 Buy EBITDA 1,574.0 1,519.0 1,625.7 1,618.3 3.2% 2 Outperform Share Price Performance M argin 17.2% 17.0% 17.7% 17.3% 1 Hold EBIT 1,144.0 1,113.0 1,098.2 1,071.2 -1.9% 0 Underperform 365 Days 180 Days 90 Days 30 Days M argin 12.5% 12.4% 12.0% 11.4% 0 Sell Net Income2 -608.0 -646.0 618.3 622.1 na Smurfit Kappa Group plc -1.5% 3.6% 1.1% 0.5% M argin -6.7% -7.2% 6.7% 6.6% MSCI World Index 6.7% 1.9% 0.3% 0.0% Valuation 120 in EURm Valuation CY2018a CY2019e CY2020e

100 Enterprise Value 10,587.7 EV/Sales 1.0x 1.2x 1.1x Net Debt 3,764.0 EV/EBITDA 5.8x 6.5x 6.5x Minority Interest 38.0 EV/EBIT 7.9x 9.6x 9.9x Preferred Equity 0.0 P/E nm 11.0x 10.9x 80 Market Cap 6,785.7 P/B 1.9x 2.1x 1.9x

60 Oct 2018 Jan 2019 Apr 2019 Jul 2019 Oct 2019

Smurfit Kappa Group plc MSCI World Index

Source: S&P Capital IQ as of 19/10/2019 1 Total Shares Outstanding can exceed 100% because reporting requirements for holdings data is not aligned with the financials reporting of shares outstanding 56 2 Net Income can be larger due to extraordinary items Svenska Cellulosa Aktiebolaget SCA (publ)

Company Describtion Revenue Split by Business Segments

Sector: Paper and Forest Products Paper 39.8% Svenska Cellulosa Aktiebolaget SCA (publ), a forest products company, develops, produces, and sells forest, w ood, Wood 26.4% pulp, and paper products w orldw ide. The company offers w ood products to the home improvement and building Forest 22.0% materials sectors, including machined softw ood, carcassing, MDF, decking, and sheet materials for builders' merchants Pulp 11.4% and DIY retailers; and various w ood products, industrial components, standard w ood products, and raw materials, as Other 0.4% w ell as logistic, w arehouse, and IT solutions for the w ood industry. It also provides decking, carcassing, softw ood na na PSE, door lining and casing, softw ood molding, composite decking, sheet material, and MDF molding w ood products for use in homes; and softw ood shavings for horses. In addition, the company offers pulp products under the Celeste, Revenue Split by Geographical Location Star, and Cirrus names; coated papers, including glossy and matt surfaces; uncoated printing paper; and Kraftliner products for consumer durables, electronics, hazardous goods, industrial products, fruit and vegetables, frozen foods, United Kingdom 43.9% etc. Further, it provides forw arding services for various transport modes, such as truck, rail, and barge, as w ell as Sw eden 35.5% marine and road transport; and liquid biofuels, solid biofuels, pellets, stall pellets, and w ind energy. Rest of EU 9.7% Rest of World 9.4% Other Europe 1.5% Public Shareholders 1 na na

AMF Fonder AB 10.2% Key Financials AB Industrivärden (publ) 9.5% Norges Bank Investment Management 7.2% in EURm LTM CY2018a CY2019e CY2020e CAGR '18-'20 # of Recommendations Sw edbank Robur Fonder AB 5.0% BlackRock, Inc. 3.4% Revenue 2,057.6 2,009.0 1,878.8 1,956.2 -1.3% Free Float 64.7% Growth -6.5% 4.1% 2 Buy EBITDA 496.3 444.2 494.5 538.1 10.1% 1 Outperform Share Price Performance M argin 24.1% 22.1% 26.3% 27.5% 4 Hold EBIT 357.8 321.4 350.1 390.9 10.3% 1 Underperform 365 Days 180 Days 90 Days 30 Days M argin 17.4% 16.0% 18.6% 20.0% 1 Sell Net Income2 327.8 359.6 267.3 301.5 -8.4% Svenska Cellulosa Aktiebolaget SCA (publ) -2.1% 7.1% 15.6% 0.9% M argin 15.9% 17.9% 14.2% 15.4% MSCI World Index 6.7% 1.9% 0.3% 0.0% Valuation 120 in EURm Valuation CY2018a CY2019e CY2020e

100 Enterprise Value 7,089.1 EV/Sales 2.7x 3.8x 3.6x Net Debt 889.2 EV/EBITDA 12.3x 14.3x 13.2x Minority Interest 0.6 EV/EBIT 17.0x 20.2x 18.1x Preferred Equity 0.0 P/E 13.2x 23.2x 20.6x 80 Market Cap 6,199.3 P/B 1.2x 1.6x 1.6x

60 Oct 2018 Jan 2019 Apr 2019 Jul 2019 Oct 2019

Svenska Cellulosa Aktiebolaget SCA (publ) MSCI World Index

Source: S&P Capital IQ as of 19/10/2019 1 Total Shares Outstanding can exceed 100% because reporting requirements for holdings data is not aligned with the financials reporting of shares outstanding 57 2 Net Income can be larger due to extraordinary items TFF Group

Company Describtion Revenue Split by Business Segments

Sector: Containers and Packaging Cooperage Business 100.0% TFF Group manufactures and distributes barrels and w ood products for the aging of w ines and alcohols in Western na na Europe, Australasia, and North America. The company also offers staves, cooperages, casks, w ood and oenological na na products, and stainless steel containers. It primarily serves w ine, w hisky, and bourbon markets. The company w as na na formerly know n as Tonnellerie François Frères. TFF Group is based in Saint-Romain, France. na na na na

Revenue Split by Geographical Location

United States of America 40.0% Europe 27.5% France 14.1% Oceania and South Africa 10.3% Other Areas 8.1% Public Shareholders 1 na na

Société La Demignière 47.6% Key Financials Société Familiale François 18.6% Intrinsic Value Investors (IVI) LLP 4.9% in EURm LTM CY2018a CY2019e CY2020e CAGR '18-'20 # of Recommendations François, Jérôme 3.2% François, Jean 1.3% Revenue 271.6 262.0 294.1 317.4 10.1% Free Float 24.3% Growth 12.3% 7.9% 0 Buy EBITDA 53.6 54.1 57.5 63.8 8.6% 1 Outperform Share Price Performance M argin 19.7% 20.6% 19.5% 20.1% 1 Hold EBIT 47.6 48.2 50.9 55.9 7.7% 0 Underperform 365 Days 180 Days 90 Days 30 Days M argin 17.5% 18.4% 17.3% 17.6% 1 Sell Net Income2 30.7 32.2 35.0 40.1 11.5% TFF Group -18.1% -18.8% -8.0% -3.8% M argin 11.3% 12.3% 11.9% 12.6% MSCI World Index 6.7% 1.9% 0.3% 0.0% Valuation 120 in EURm Valuation CY2018a CY2019e CY2020e

100 Enterprise Value 849.5 EV/Sales 3.2x 2.9x 2.7x Net Debt 97.0 EV/EBITDA 15.4x 14.8x 13.3x Minority Interest 4.5 EV/EBIT 17.3x 16.7x 15.2x Preferred Equity 0.0 P/E 23.5x 21.4x 18.7x 80 Market Cap 748.0 P/B 2.3x na na

60 Oct 2018 Jan 2019 Apr 2019 Jul 2019 Oct 2019

TFF Group MSCI World Index

Source: S&P Capital IQ as of 19/10/2019 1 Total Shares Outstanding can exceed 100% because reporting requirements for holdings data is not aligned with the financials reporting of shares outstanding 58 2 Net Income can be larger due to extraordinary items The Navigator Company, S.A.

Company Describtion Revenue Split by Business Segments

Sector: Paper and Forest Products UWF Paper 54.3% The Navigator Company, S.A. manufactures and markets pulp and paper products in Portugal. It operates through Others 27.2% Market Pulp, UWF Paper, Tissue Paper, and Other segments. The company offers its products under the Inacopia, Pulp Market 14.9% Pioneer, Target, Multioffice, Discovery, and Navigator brands for home and office use. It also produces forestry plants, Tissue Paper 3.6% bleached eucalyptus Kraft pulp, and pellets; and generates electricity from biomass. The company also exports its na na products to approximately 130 countries, such as Europe, Africa, the Middle East, North America, and internationally. na na The company w as formerly know n as Portucel, S.A. and changed its name to The Navigator Company, S.A. in February 2016. The Navigator Company, S.A. w as founded in 1953 and is headquartered in Setúbal, Portugal. Revenue Split by Geographical Location

Rest of Europe 50.4% Other Markets 23.1% Portugal 18.7% North America 7.9% na na Public Shareholders 1 na na

Semapa - Sociedade de Investimento e Gestão, SGPS, S.A. 69.6% Key Financials ZOOM Investment, SGPS, SA 2.0% BPI Pensões - Sociedade Gestora de Fundos de Pensões, S.A. 2.0% in EURm LTM CY2018a CY2019e CY2020e CAGR '18-'20 # of Recommendations Norges Bank Investment Management 1.7% The Vanguard Group, Inc. 1.1% Revenue 1,732.3 1,696.8 1,747.0 1,780.3 2.4% Free Float 23.7% Growth 3.0% 1.9% 4 Buy EBITDA 431.8 439.3 442.9 443.2 0.4% 0 Outperform Share Price Performance M argin 24.9% 25.9% 25.4% 24.9% 0 Hold EBIT 286.0 295.2 289.5 299.0 0.6% 1 Underperform 365 Days 180 Days 90 Days 30 Days M argin 16.5% 17.4% 16.6% 16.8% 0 Sell Net Income2 200.6 225.1 213.6 223.9 -0.3% The Navigator Company, S.A. -22.4% -17.3% 3.9% 3.0% M argin 11.6% 13.3% 12.2% 12.6% MSCI World Index 6.7% 1.9% 0.3% 0.0% Valuation 120 in EURm Valuation CY2018a CY2019e CY2020e

100 Enterprise Value 3,190.5 EV/Sales 1.9x 1.8x 1.8x Net Debt 850.0 EV/EBITDA 7.4x 7.2x 7.2x Minority Interest 0.2 EV/EBIT 11.1x 11.0x 10.7x Preferred Equity 0.0 P/E 11.5x 11.0x 10.5x 80 Market Cap 2,340.3 P/B 2.2x 1.9x 2.0x

60 Oct 2018 Jan 2019 Apr 2019 Jul 2019 Oct 2019

The Navigator Company, S.A. MSCI World Index

Source: S&P Capital IQ as of 19/10/2019 1 Total Shares Outstanding can exceed 100% because reporting requirements for holdings data is not aligned with the financials reporting of shares outstanding 59 2 Net Income can be larger due to extraordinary items APPENDIX DEFINITIONS Appendix Abbreviations

Abbreviations Definition a = Actual Actual results as officially reported for last quarter or last calendar year

Cash & Equiv. = Cash & Equivalents Cash and short-term investments that can be converted into cash based on the last quarterly report available

Curr. = Currency Currency of depicted numbers e = Estimate Estimated results based on brokers’ consensus estimates for the full calendar year

EBIT Earnings before interest and taxes for the respective calendar year

EBITDA Earnings before interest, taxes, depreciation and amortization for the respective calendar year

EV = Enterprise Value Current market capitalization + financial debt – cash & equivalents + minority interest

Financial Debt All interest bearing bank debt, bonds and equivalents based on the last quarterly report available

LFYA Last fiscal or calendar year available

LFQA Last fiscal quarter available

LTM = Last Twelve Months Last twelve months reported (equals last four quarters available)

Market Cap = Market Capitalization Number of shares outstanding × current share price as provided by S&P Capital IQ na = not available Data not available nm = not meaningful Data not meaningful due to negative or too high (valuation) metrics (e.g. ratios and multiples)

61 Appendix Multiple & Ratio Definitions

Multiples & Ratios Definition

Dividend Yield Dividend for the last calendar year available / actual market capitalization

EBIT Multiple Current enterprise value / EBIT (actual or estimate) for the respective calendar year

EBITDA Multiple Current enterprise value / EBITDA (actual or estimate) for the respective calendar year

Interest Cover = EBITDA Interest Coverage EBITDA for the last calendar year available / interest expenses as stated by the company’s income statement

Leverage Ratio Net financial debt based on the last quarterly report available / EBITDA for the respective calendar year (actual or estimates)

P / B = Price-Book Ratio Current market capitalization / total equity for the last quarter available

P / E = Price-Earnings Ratio Current share price / earnings per share (EPS) (actual or estimates) for the respective calendar year

Price / OCFPS = Price / Operating Cash Flow per Current share price / operating cash flow per share for the last calendar year available Share

RoE = Return on Equity Net income for the respective calendar year (actual or estimates) / total equity for the last quarter available

Sales Multiple Current enterprise value / sales (actual or estimate) for the respective calendar year

62 Appendix – Ratings Conversion

(equivalent)

AAA Aaa AAA 1 Very High1 AA+ Aa1 AA+ 2 Investment Grade AA Aa2 AA 3 AA- Aa3 AA- 4

A+ A1 A+ 5 High2 Investment Grade A A2 A 6 A- A3 A- 7

BBB+ Baa1 BBB+ 8 Good3 Investment Grade BBB Baa2 BBB 9 BBB- Baa3 BBB- 10

BB+ Ba1 BB+ 11 Speculative Investment Grade BB Ba2 BB 12 BB- Ba3 BB- 13

Highly B+ B1 B+ 14 Speculative Investment Grade B B2 B 15

1 VHIG; 2 HIG; 3 GIG 63 CONTACT DETAILS & DISCLAIMER Contact Details & Disclaimer

FCF Fox Corporate Finance GmbH Disclaimer Maximilianstrasse 12-14 This document does not constitute an offer or invitation to purchase or subscribe 80539 Munich ▪ Germany for any securities, and neither this document nor anything contained herein shall Telephone +49 (89) 206 0409-0 form the basis of or may be relied upon in connection with any contract or Facsimile +49 (89) 206 0409-299 commitment whatsoever. No representation or warranty (express or implied) is [email protected] ▪ www.fcf.de made as to, and no reliance should be placed on, any information, including projections, estimates, targets and opinions, contained herein, and no liability whatsoever is accepted as to any errors, omissions or misstatements contained Arno Fuchs Marcel Lange Marco Buonafede herein, and, accordingly, neither FCF nor any of its officers, directors or employees accepts any liability whatsoever arising directly or indirectly from the Chief Executive Officer Vice President Analyst use of this document. By accepting this document you acknowledge that you will P: +49 (89) 206 0409-100 P: +49 (89) 206 0409-126 P: +49 (89) 206 0409-131 M: +49 (172) 863 6777 M: +49 (172) 839 5740 M: +49 (174) 207 8772 be solely responsible for your own assessment of the market and the market [email protected] [email protected] [email protected] position of the Company and that you will conduct your own analysis and be solely responsible for forming your own view of the potential future performance of the Company's business. This document contains certain forward-looking statements, including assumptions, opinions and views cited from third party sources. Various known and unknown risks, uncertainties and other factors could cause the actual results, financial position, development or performance of the Company to differ materially from the estimations expressed or implied herein. FCF does not guarantee that the figures, assumptions and calculations underlying such historical and forward looking statements are free from errors nor does FCF accept any responsibility for the future accuracy of the opinions expressed in this document or the actual occurrence of the forecasted developments.

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