2014 in brief

We fully or partially realised our investments €2.6bn in five companies. returned to investors in 2014 Our combined sector and regional investment approach has generated strong returns for our investors, throughout the economic cycles.

Divestment type/route Divestment type/route Divestment type/route Divestment type/route Divestment type/route Investor consortium Investor consortium Partial/IPO Partial/IPO Partial/IPO Final realised date Final realised date Listing date Listing date Listing date December 2014 January 2015 November 2013 July 2014 December 2014 Gross return Gross return Market capitalisation Market capitalisation Market capitalisation 2.4x cost 2.4x cost on IPO on IPO on IPO €3.0 billion £842 million $1.6 billion

The sale of in-vitro The sale of Gondola’s Cinven created a true The flotation of Spire The flotation of Avolon diagnostics business restaurant brands occurred European champion through Healthcare was very followed strong trading Sebia to a in several stages, including its investment in cable positively received by the results and the successful led consortium in December the sale of Byron, a brand operator Numericable Group. market, with its market execution of a value creation followed the company’s created under Cinven’s During Cinven’s ownership, capitalisation rising more plan characterised by expansion into the US and ownership, in 2013; the the company consolidated than 50% by year end, international and emerging emerging markets, making sale of PizzaExpress to a a highly fragmented French at which point Cinven market expansion. Given it a clear leader in its field. Chinese financial buyer in cable market and listed on retained 58% of its original market volatility at the time July 2014, following a major the NYSE Euronext Paris in shareholding in the business. of flotation, Cinven opted to international and emerging November 2013. Following Cinven subsequently sold only dispose of 17.5% of its market roll-out; and the the highly successful down further tranches in initial stake at IPO. agreed sale of the remaining IPO, Cinven crystallised January and April 2015. assets, ASK and Zizzi, in significant value from the a secondary in fund’s remaining holding December 2014. throughout 2014.

4 Cinven Annual Review 2014 Cinven Annual Review 2014 5 2014 in brief We continue to build Investing a continued value in our portfolio dedicated European companies. private equity fund.

Cinven supports its portfolio companies in 2014 saw further investment from the generating exceptional value through strategic fifth Cinven fund, a €5.3 billion vehicle and operational improvements. In particular raised in 2012. The fund is structured, through strategies such as internationalisation, like all predecessor funds, as a 10-year acquisitive growth, pricing and sales force . effectiveness. We are particularly focused on increasing the top line of our portfolio companies in order to build regional and global champions in their fields. Our investment approach is focused on During 2014, companies in the fourth and fifth revenue growth and realising efficiency gains Cinven funds achieved aggregated sales and earnings growth of 8% and 12% respectively. c. 2/3 of profit growth from revenue growth The average holding period for companies in the fourth Cinven fund was around five years. 89% of value creation from profit growth

Cinven equity Multiple expansion Net debt reduction Cinven-driven EBITDA growth Realised proceeds and refinancing Growth from Organic top line efficiencies growth

6 Cinven Annual Review 2014 Cinven Annual Review 2014 7 2014 in brief We completed 16 add-on investments During 2014 we for nine portfolio companies. continued identified and invested By helping to identify and execute strategic in five companies with acquisitions, we are ensuring our companies exceptional growth achieve scale and true international leadership. potential in Europe €1.2bn and beyond. invested in 2014

New investments in 2014

Deal size Acquired Deal size Acquired Deal size Acquired Deal size Acquired Deal size Acquired €300m April 2014 $915m April 2014 €510m June 2014 NOK21bn Aug 2014 ND Dec 2014 Country Sector Country Sector Country Sector Country Sector Country Sector Heidelberg, Financial Ohio, USA Healthcare Madrid, Spain TMT Oslo, Norway TMT Hertfordshire, TMT Germany Services UK

Heidelberger Leben Group Our global perspective of the Ufinet provides fibre Visma has built a market- Companies that save is a rare opportunity to follow Healthcare sector uncovered infrastructure and services leading position in Nordic public and private sector our continued success in the opportunity to acquire to telecom operators in B2B software through organisations money are building UK-based Guardian Medpace, a contract research Spain and Latin America. well-executed consolidation. particularly attractive at Financial Services, with services provider to Our experience of investing As a buy and build specialist, present, and Northgate a similar value accretive pharmaceutical, biotech in ‘telecom neutral’ cable Cinven was a natural partner Public Services is process in German-speaking and medical device R&D and fibre operators (such to help Visma continue exceptionally well-placed markets. As an investor who departments, on a proprietary as Numericable Group and its strategy of European to build on its Software-as- is comfortable with balance basis. We are partnering with Ziggo) enabled our TMT expansion. a-Service market-leading sheet risk, we find such the management team to team to identify Ufinet’s position in the UK and opportunities to be relatively unlock its European and potential amid the structural internationally. uncompeted. Asian growth potential. growth in data traffic and fibre networks.

8 Cinven Annual Review 2014 Cinven Annual Review 2014 9 2014 in brief Add-on investments in 2014 continued

CPA Global acquired Guardian Financial Services AMCo acquired Focus JOST Group acquired HEG acquired ‘Sign-Up.to’, Patrafee a Nordic IP acquired 330,000 Ark Life Pharmaceuticals, a UK- Mercedes-Benz a provider of enterprise services provider in January policies from Allied Irish Bank based speciality pharma TrailerAxleSystems in solutions to SMEs in in order to increase its representing £3.5 billion of company with sales of October, from Daimler AG August 2014, followed by presence in the Nordic assets, in May. In July, it £40 million, in October. significantly expanding the the acquisition of German- patent renewals market and acquired £1.7 billion of company’s product portfolio. headquartered intergenia, to enhance its IP software pension annuities-in-payment one of Europe’s leading offering. In August, CPA from Phoenix. Following web hosts and operator Global acquired US-based the transfer, Guardian of Europe’s greenest data international patent services Financial Services will centre, in January 2015. provider Landon IP. manage approximately £17 billion of assets on S LV acquired Unex, a behalf of 900,000 customers Swiss provider of LED in the UK and Ireland. lighting fixtures with a complementary product portfolio, for €9 million Visma acquired FMS Group, Visma’s first Prezioso Technilor acquired in November, as part Latvian acquisition in June, Linjebygg Offshore, a of Cinven’s strategy to expanding its presence Norwegian oil and gas accelerate growth through in the Baltics; Info services company, as part Heidelberger Leben small, value accretive Consensus, a software of its continued evolution Group acquired Skandia’s acquisitions. provider to Norwegian from a regional maintenance life businesses in municipalities in July; provider into a global asset Germany and Austria from Norwegian debt collection integrity champion with Old Mutual Group in October company Creno AS and two broad skills, capabilities and as part of its strategy to Norwegian payroll systems global reach. The combined consolidate the German businesses in November, entity is now called Prezioso life insurance market. Finale Systemer AS and Linjebygg. Mokastet AS, further strengthening its focus on cloud-based solutions for year-end accounts production.

10 Cinven Annual Review 2014 Cinven Annual Review 2014 11