Nairobi Securities Exchange PLC · NSEKE:NSE

Nairobi Securities Exchange — Aureos Capital — Conference Presentation (February 2006)

13 slides from Nairobi Securities Exchange's conference presentation, Feb 9, 2006

1. Slide 1: The role of Private Equity/Venture Capital in facilitating access to public markets

   The role of Private Equity/ Venture Capital in facilitating access to public markets Davinder Sikand Aureos East Africa 9th February 2006

2. Slide 2: Aureos Inception

   Aureos Inception Aureos Capital is a 50:50 joint venture between Norfund and CDC 50% 50% Aureos is a leading private equity fund manager investing in the SME sector in emerging markets around the world

3. Slide 3: The Aureos Global Network

   The Aureos Global Network ~US$ 500m under management globally, with US$ 72m in EA (AEAF, ACACIA and FEDHA) LONDON DOMINICAN CHINA INDIA REPUBLIC VIETNAM EL SALVADOR SENEGAL SRI COSTA RICA GHAN PHILLIPINES UGANDA LANKA ANIGERIA KENYA THAILAND TANZANIA PAPUA NEW GUINEA MAURITIUS ZAMBIA MOZAMBIQUE ZIMB

4. Slide 4: What is Private Equity "PE"

   What is Private Equity “PE” • PE is medium to long-term risk capital provided in return for an equity stake in potentially high growth unquoted companies Sponsors Institutional Quasi- equity Subordinated Secured bank Equity equity capital debt debt PE fills the gap between sponsors injection of thei

5. Slide 5: PE Around the world

   PE Around the world • PE industry well established in the US and Europe with funds under management in excess of US$ 250 billion • In 2004 according to EVCA, PE firms in Europe invested over US$ 50 billion into 10,000 potential high growth companies. The current European portfolio stands at over US$

6. Slide 6: Advantages of PE Funding

   Advantages of PE Funding • Provision of Capital – PE investors provide medium to long term capital to facilitate growth and/ or enabling Management participation through buy outs/ buy ins. • Improved corporate governance – PE investors help their investee companies transition from informally run bus

7. Slide 7: Investment Criteria

   Investment Criteria PE investors tend to invest in businesses with the following characteristics:  Experienced management teams with track record of success  Regional growth ambitions  Adherence to corporate governance and CSR standards  Alignment on exit rights and shareholder protections AEAF

8. Slide 8: Target Transaction Types

   Target Transaction Types  Working with large family groups to spin off and institutionalise independent business units  Expansions of profitable businesses, often regionally  Industry consolidations / mergers & acquisitions  Change of control transactions (MBOs, MBIs)  Co-investment opportuniti

9. Slide 9: PE role in facilitating access to public debt and equity markets

   PE role in facilitating access to public debt and equity markets • Pre committed allotment – Act as “Anchor” investor • Ensures adequate capital base – Provision of capital to enhance capital base • Governance structures in place – Ensure proper structures are in place – Move Companies from informal

10. Slide 10: Company A

    Company A • Manufacturing concern with recurring capital expenditure requirements. • Wanted to tap into the public capital markets but perception of “family” business could have potentially hindered listing prospects Our Role • Acted as joint financial advisors for the IPO • Worked together with the

11. Slide 11: Company B

    Company B • Large conglomerate family group. • Want to expand as well as professionalize management of each individual company • Individual companies within group may be candidates for future listing Our Role • Facilitated regional expansion for one of the group companies by identifying and part-fin

12. Slide 12: Aureos Capital's role in East Africa

    Aureos Capital’s role in East Africa  Strong track record of private equity transactions in East Africa  Focus on helping skilled managers build world-class companies  On ground local presence  Backed by a blue-chip investor base A partnering philosophy, providing more than just Capital

13. Slide 13: Aureos Capital

    = aureos CAPITAL

Aureos Capital — Conference Presentation (February 2006) on 6ix