TelecityGroup plc Q1 2013 Interim Management Statement Cautionary note regarding forward-looking statements

This presentation includes statements that are forward-looking in nature. All statements other than statements of historical facts could be deemed to be forward-looking statements. By their nature these forward-looking statements involve numerous assumptions, uncertainties and opportunities, both general and specific. Accordingly, the actual results, performance or achievements of the Company may be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements, due to known and unknown risks, uncertainties and other factors. Except as required by the Listing Rules and applicable law, Telecity Group plc undertakes no obligation to update or change any forward-looking statements to reflect events occurring after the date such statements are published. This presentation is neither an offer to sell nor a solicitation of an offer to buy any securities in the United States, or any other jurisdiction. The Company's shares have not been registered in any U.S. jurisdiction and, in particular, will not be registered under the U.S. Securities Act of 1933, as amended, or any applicable state securities laws.

2 / TelecityGroup www..com Q1 2013 INTERIM MANAGEMENT STATEMENT

3 / TelecityGroup www.telecitygroup.com Q1 IMS highlights

● TelecityGroup has enjoyed a good start to 2013 − Year-to-date financial performance in-line with management’s expectations − Full year earnings outlook in-line with management’s expectations − Net debt remains below management’s target upper limit of 2.5x EBITDA

● On-going customer driven expansion programme on-track − Capacity has been brought on-line in and , taking total customer power to 90MW − TelecityGroup’s total announced capacity across is now 137MW − The majority of the Group’s expansion capacity will come on-line progressively over the next three years, in response to customer demand, giving the Group significant medium-term growth potential

● Leading position established in the fast-developing market − Strategic acquisition of Sadece, the leading provider of data centre and hosted services in − 1MW data centre, with a further 1MW of expansion potential − Turkey is a fast-developing market, with the prospect of becoming a major hub, due both to its large and rapidly growing domestic digital economy and its unique strategic location between Europe and Asia − Entry into the market enhances TelecityGroup's medium-term growth potential, bringing management expertise and a strong customer base in this exciting market

4 / TelecityGroup www.telecitygroup.com The Turkish market opportunity

● Macro-dynamics are compelling − Expected to be the fastest growing OECD economy1 − Strong government support for ICT sector − Emerging international business centre with major international investment

● Rapid growth of domestic internet economy − 36 million internet users, 15th highest globally2 − 5th largest online population in Europe after , UK, Russia and France2 − High levels of online engagement, with internet users rd spending 39.1 hours online (May 2012), 3 behind the Europe’s largest internet hubs by traffic(3) and the UK3 4,000 80% 70% ● Developing global internet hub 70% − International bandwidth usage highest in the ‘near east’ 3,000 60% region (1,907 Gbps in 2012), an increase of 46% from 50% 35% 4 2,000 34% 35% 40% 2011 29% 26% 30% − Istanbul is the 6th largest internet hub in Europe by traffic 1,000 20% with the highest rate of growth and is located at a strategic 10% geographic crossroads for international fibre routes4 0 0% − Close proximity to all EMEA regions, making it an ideal London Istanbul global internet hub 2012 2010 CAGR

5 / TelecityGroup Source: 1IMF, 2BMI, 3ComScore, 4Telegeography www.telecitygroup.com An overview of Sadece

● A leading independent data centre business in Turkey − Largest independent colocation and hosting business in Turkey − More than 70% of the business is colocation or dedicated hosting

● Operates an established site on the European side of Istanbul − 1MW of operational capacity − 1MW of expansion potential

● Customers include many well-known domestic internet brands, such as: − Izlesene – Turkish video-sharing website − Joygame – leading Turkish online social gaming company − Markafoni – Largest fashion flash sales site in Turkey − NTT Game – hosts popular “Knight Online”

6 / TelecityGroup www.telecitygroup.com BUSINESS OVERVIEW

7 / TelecityGroup www.telecitygroup.com TelecityGroup is at the heart of the digital economy

8 / TelecityGroup www.telecitygroup.com Five year track record

9 / TelecityGroup www.telecitygroup.com Internet traffic growth remains strong

Aggregated peak European IXP traffic (2003 – 2013)

Growth is being driven by both increasing consumer and business on-line activity

Source: -IX

10 / TelecityGroup www.telecitygroup.com Our growth platform

● Multi-year announced capacity expansion programme − 90MW of operational capacity − 137MW of total announced capacity, which is being brought on-line in response to customer demand ● Organic growth strategy − Focus on achieving strong returns on incremental capital expenditure − Existing connectivity and customer ecosystems leveraged by opening new capacity close to established sites ● Acquisition strategy − TelecityGroup aims to make acquisitions, either for the purpose of entering new markets or to provide growth capacity in existing markets − This enables it to overcome barriers to market entry and shorten the time to market for growth capacity

Total customer power (MW)

UK

Rest of Europe

0 5 10 15 20 25 30 35 40 45 50 55 60 65 70 75 80 Current Announced additions

11 / TelecityGroup www.telecitygroup.com Growth capacity roadmap: Our build programme by market

PHASED OPENINGS

15MW additional capacity at London Powergate LONDON 5MW expansion of Harbour Exchange site

AMSTERDAM 5MW additional capacity at AMS 5

FRANKFURT 4MW expansion of Frankfurt 1 & 2

DUBLIN 8MW expansion of 3

MANCHESTER 2MW additional capacity at 3

HELSINKI 6MW expansion across three sites

ISTANBUL 1MW expansion at existing site

12 / TelecityGroup www.telecitygroup.com FULL YEAR 2012 RESULTS

13 / TelecityGroup www.telecitygroup.com Income statement

FY 11 FY 12 (£’m) (£’m) Growth (%) Revenue 239.8 283.0 18.0% Operating costs (133.6) (153.5) Adjusted EBITDA 106.2 129.5 22.0% Depreciation (33.0) (38.5) Adjusted EBITA 73.2 91.0 24.4% Net finance costs (6.2) (7.5) Adjusted profit before tax 67.0 83.5 Adjusted tax charge (18.4) (20.2) Adjusted profit after tax 48.6 63.3 Adjusted diluted EPS 24.1p 31.0p 28.6% Adjusted EBITDA margin 44.3% 45.8% Total proposed 2012 DPS - 7.5p

The above results are adjusted (see appendix for a full reconciliation to statutory results)

14 / TelecityGroup www.telecitygroup.com Strong revenue growth

● Total revenue up 18.0% By geography (£’m) – Significant order wins during period 283.0 – Over 90% of revenues are recurring 239.8 137.5 117.6 UK ● Geographies 145.5 RoE – UK revenue up 16.9% 122.2 – Rest of Europe revenue up 19.0% FY 11 FY 12

15 / TelecityGroup www.telecitygroup.com Significant growth in EBITDA

EBITDA (£’m) ● FY 12 EBITDA up 22.0% to £129.5m – Responsible pricing – Continuous focus on cost control

129.5 106.2

FY 11 FY 12

● FY 12 EBITDA margin up to 45.8% EBITDA margin (%)

– Expected to remain strong whilst continuing to deliver significant capacity growth

45.8% 44.3%

FY 11 FY 12

16 / TelecityGroup www.telecitygroup.com Revenue translates into profit

Cost 27% 24% 28% 21%

283.0 40.5

36.9

43.4

32.7

129.5 38.5

£’m 91.0 7.5 83.5 20.2 63.3

FY 11 Power Property Staff Other Adj. Dep'n Adj. EBITA Adj. Net Adj. PBT Adj. Tax Adj. PAT Revenue EBITDA Finance Cost

The above results are adjusted (see appendix for a full reconciliation to statutory results)

17 / TelecityGroup www.telecitygroup.com Strong cash flow generation and working capital performance

(£’m)

EBITDA 129.5

Working capital 2.6 ● Debtor days stable at 33 (FY 11: 31)

Net interest paid (4.4)

Tax paid (14.6) ● Group transitioning to full cash tax paying position in FY 13 Other 3.4 ● Other includes share based payments and FX

Operating cash flow 116.5

Operational capex (22.8) ● Includes sales capex i.e. customer install capex of £8.1m (FY 11: £8.5m)

Operating free cash flow 93.7

18 / TelecityGroup www.telecitygroup.com Capex

● Investment capex of £131.5m Investment capex (£’m) – Investment in demand driven expansion 131.5 – Further £15.0m of landlord funded capex 109.9 61.4

59.5 UK

70.1 RoE 50.4

FY 11 FY 12

Operational capex of £22.8m – Of which maintenance capex £9.9m (FY 11: £8.6m)

19 / TelecityGroup www.telecitygroup.com APPENDIX

20 / TelecityGroup www.telecitygroup.com Appendix – Winning new business: A case study

 The customer ● Trader Media Group, the owner of Auto Trader, the UK’s largest new and used car marketplace ● 10 million on-line users ● Accessed by consumers on a variety of platforms

 The customer’s requirements ● Consolidate data centre requirements from multiple locations into one primary site ● Ability to have direct connections to trading partners, including ISPs ● A data centre provider with a strong reputation and financial strength

 Why TelecityGroup? ● “We realised it would be better to work with the leaders in the industry who deal with this every day and, almost outsource the responsibility for being innovative around datacentres to someone else.” ● It is the Internet connectivity that they provide with the ability to peer… That reduced latency is very important…” ● “They are not a small company whose capital is constrained, so we can have a high level of confidence in their sites” Source: Interview with Trader Media Group’s CIO, computing.co.uk, March 2013

21 / TelecityGroup www.telecitygroup.com Appendix – Adjusted results

FY 11 FY 12 FY 11 FY 12 Result Result EPS EPS (£’m) (£’m) Pence Pence Adjusted profit after tax/adjusted diluted EPS 48.6 63.3 24.1 31.0

(Less)/add other finance items 0.3 (0.5) 0.2 (0.2)

Less exceptional items (5.3) (3.1) (2.6) (1.5)

Less amortisation (2.6) (3.7) (1.3) (1.8)

Add tax effect of above 1.6 2.1 0.7 1.0

Statutory profit after tax/diluted EPS 42.6 58.1 21.1 28.5

● Other finance items relates to FX on financing items

● Weighted average diluted shares in issue for the period were 204.1m (FY 11: 201.9m)

22 / TelecityGroup www.telecitygroup.com The importance of AMS-IX

AMS-IX data centre operators 2012 growth 640 connections 109 new connections 19 9 41 TelecityGroup 4 7 44 NIKHEF 7 TelecityGroup 240 NIKHEF SARA 12 48 Global Switch 66 Interxion 13 SARA Equinix EvoSwitch 102 euNetworks EvoSwitch

137

23 / TelecityGroup www.telecitygroup.com Outstanding data centres. Expertise you can trust. Europe’s leading provider of premium carrier-neutral data centres. www.telecitygroup.com

24 / TelecityGroup www.telecitygroup.com