Beltone Financial. Leading Transformation CREDENTIALS. August 2011

Transcription

1 Beltone Financial Leading Transformation CREDENTIALS August 2011

2 Our Vision Enriching individual, corporate and community wealth by engaging in transformational relationships Clients CULTURE SYNERGY TRANSFORMATION Community Beltone 2

3 Our Mission Beltone is a catalyst in the MENA region, innovatively leveraging synergies to benefit stakeholders Clients INNOVATION Community Beltone 3

4 Our Values Beltone s culture is the source of empowerment that drives transformation in our clients and the financial community we serve CULTURE Clients Community Beltone Community 4

5 Our Pledge To provide clients with the very best service at every level of Beltone s operations To continue to create To provide clients with seamless execution 5

6 Our Office Locations Beltone offices Cairo Dubai New York Doha Tripoli Benghazi London* With our network of offices we link clients from every corner of the world to every market in MENA * Under establishment 6

7 Our Company BELTONE FINANCIAL HOLDING Beltone Investment Banking HQ Cairo Beltone Asset Management HQ Cairo Beltone Fixed Income HQ Cairo Beltone Private Equity* HQ Cairo Beltone Securities Brokerage HQ Cairo Beltone Securities Holding HQ Cairo Beltone Fund Administration Company HQ Cairo Beltone Financial Emirates Dubai Beltone Financial Qatar Doha Beltone Financial Libya Tripoli Benghazi Beltone Enclave USA New York * Affiliate of Beltone Financial Holding 7

8 Our Business ASSET MANAGEMENT More than 21.7bn E under management Fastest growing AUM in Egypt INVESTMENT BANKING More than 55bn E in transactions Unique MENA focus for advisory and capital raising BROKERAGE In Egypt Rank #2 In trading Q Multiple MENA markets access MiFID compliant institutional offering PRIVATE EQUITY More than 2.1bn E in asset value Invests in attractive industries with capable management characterized by a sustainable competitive advantage RESEARCH Over Research covering 58 companies Expert regional knowledge Expanding coverage of companies and key industry sectors across MENA 8

9 Growth Milestones and Achievements Vision 2002 Consolidation 2005 Growth 2006 Maturity 2008 Expansion 2009 Brought together financial professionals in Egypt and Saudi Arabia who believe in a culture of ownership Innovation Introduced first Money Market accounts, Corporate Pension plan Assets Under Management exceeded E 1.5 billion Investment Banking completes first transaction Beltone Research established Brokerage moved to Beltone HQ Banking licence approved in KSA Research expands through MENA Private Equity capitalized with E 1.5 billion for investment in promising synergies Assets Under Management reached E 8 billion Beltone acquired 40% of Trust Group for Securities in Egypt Investment Banking executes 23rd transaction Assets under Management exceeds E 14 billion Custody office approved by CMA Research expanded to cover 30 companies Stature 2007 Beltone Asset Management launches its MENA Fund Office opened in New York promoting MENA investment Assets under Management exceeds E 27 billion Beltone acquires Obelisk brokerage Beltone Asset Management launches another equity fund sponsored by Suez Canal Bank Beltone Brokerage ranks no.1 in Egypt for the first half of 2008 Beltone Private Equity setup US$150 million Midcap fund Office opened in Qatar Office opened in Libya Beltone Asset Management launches Money Market Fund with ABC, HSBC and Banque Du Caire Beltone Asset Management launches Periodical return fund with Misr El Kheir Beltone Brokerage ranks no.1 in Egypt for Beltone Asset Management launches Money Market Fund with Arab Bank Beltone Asset Management launches Insight Fund, a technically driven Egypt Equity Fund Beltone Asset Management launches a balanced fund with NSGB , , , , , , , , , , , , , Investment banking growth 2004 to date E million AUM 2003 to date E million Beltone Employees 2003 to date 9

10 Investment Banking E 55.5 billion in 42 transactions closed over the past six years Unparalleled MENA market expertise Financial advisory and capital-raising services Scrupulous state-of-the-art investment banking practices Expertise advising and supporting family groups in strategic transformation Assisting clients on cross-border initiatives: International players seeking opportunities in MENA or MENA-based companies looking for international expansion or funding Investment Banking growth Transaction volumes in E billion M&A transactions Mergers Acquisitions Divestitures Corporate restructuring Leveraged buyouts Capital and debt-raising transactions Initial Public Offerings Private placements Debt-structuring

11 Investment Banking Landmark Transactions Initial Public Offering of Amer Group 1,150m E Initial Public Offering The global offering of Amer Group, a leading real estate developer in Egypt. Beltone, as the Sole Global Coordinator and Bookrunner, advised the business on a complete corporate and organizational restructuring culminating in raising USD 200 million in expansion capital and secondary share sales. Beltone succeeded in attracting significant western institutional demand for the offering, demonstrating strong placement capabilities with international investors. Orascom Development Holding AG ENPC EAgrium merger with MOPCO 16.7bn E Acquisition E 16.7 bn tender offer by Orascom Development Holding AG resulting in 98% acquisition of Orascom Hotels & Development via a share swap with a cash option. Beltone acted as the sole financial advisor for the company in the tender offer in the largest tender offer in Egypt with around 98% of shareholder opting for the swap thus reducing the financing burden on the company 5.8bn E Project Financing Beltone jointly advised ENPC, a fully owned entity by Misr Fertilizer Production Company, on the project finance syndicated facility of USD 1.1 billion for the construction and operation of 2 urea/ammonia production trains. It is considered to be the largest transaction to be fully underwritten by local Egyptian banks. Signing of the loan agreement and drawdown occurred in Dec bn EGP Merger Beltone acted as the sole financial advisor to EAgrium in its USD 2.5 billion merger with Misr Oil Processing Company (MOPCO). Throughout the process, Beltone served numerous advisory roles. Beltone carried out a relative valuation for both entities, advised EAgrium throughout the negotiations with MOPCO with respect to the valuation and deal structure, and finally executed the transaction in a timely manner. Beltone also advised the merged entity on a USD 120 million bridge debt-financing 11

12 Investment Banking Landmark Transactions Samcrete Egypt Initial Public Offering of GB Auto Bond Offering of GB Auto Orascom Development Holding AG 4.1bn E Acquisition 1.27bn E Capital Increase 1.0bn E Bond Offering 969m E capital increase Beltone advised on the sale of 99.6% of Samcrete Egypt Contractors & Engineers to Samcrete for Engineering Investments through a share swap for a total consideration of E 4.1 bn The global offering of GB Auto, the leading automotive player in the Middle East. Beltone advised the family business on a complete corporate and organizational restructuring culminating in raising E 1.27 billion in expansion capital in 2007 s most successful IPO in Egypt The bond offering of GB Auto, the leading automotive player in the Middle East. Beltone advised the publicly listed company on the issuance and listing of an EGP 1.0 billion nonconvertible bond CHF 190 million initial public offering for Orascom Development Holding AG. Beltone is the first Egyptian company to co-manage a global public offering for a European based company, Beltone also was the sole listing advisor for the company in Egypt Abraaj Capital/Al Borg Laboraties Amwal Arabia and Arabia Cotton & Ginning Company GB Auto Joint Venture with Al-Kasid Group National Drilling Company 778m E Acquisition 734m E share swap 440m E Investment 403m E Share sale Abraaj Capital Ltd acquired Cairo Medical Tower Laboratory S.A.E (Al Borg Laboratories) for a total consideration of EGP 778 million. Beltone counseled Abraaj on a strategy to pre-empt a rival bid and executed in a notably short time period E 734 million share swap between Amwal Arabia and Arabia Cotton & Ginning Company. Beltone engineered a complex capital markets solution to the shareholders of both companies, which created the leading integrated textiles player in the Middle East E 440 million investment in a joint venture with Al-Kasid Group, Hyundai Motor Company s agent in Iraq. The joint venture will act as a vehicle for importing and distributing Hyundai cars and spare parts in Iraq as well as building Iraq s leading after-sales service franchise. E 403 million sale of National Drilling Company, an Egyptian drilling company with operations in Libya, to Al Safat Investment. Beltone represented the selling shareholders in divesting 60% of the business 12

13 Investment Banking Corporate Clients μΧB A Weather Investments Modern Nile Cotton Al-Ahlia Cooperative Insurance Saudi Arabian Insurance Co Arab Cotton Ginning 13

14 Investment Banking Financing Transactions M&A and Corporate Advisory E 1,150,000,000 (USD 200,000,000) E 222,580,449 (USD 38,709,643) E 312,000,000 (USD 56,727,273) E 1,000,000,000 (USD 181,818,182) Initial Public Offering Sole Global Coordinator and Bookrunner November 2010 Acquisition of 50% of Kandil Glass by North Africa Holding Company Financial Advisor November 2010 Capital Raising Exclusive Financial Advisor May 2010 Bond Offering Financial Advisor May 2010 E 440,000,000 (USD 80,000,000) E 5,775,000,000 (USD 1,050,000,000) E 4,069,656,000 (USD 735,372,795) E 14,052,600,000 (USD 2,532,000,000) Joint venture between GB AUTO and Al-Kasid Group of Companies ENPC Project Financing Merger with Samcrete for Engineering Investments EAgrium s merger with MOPCO Exclusive Financial Advisor Financial Advisor Sole Financial Advisor Exclusive Financial Advisor February 2010 December 2009 December 2009 January

15 Investment Banking Financing Transactions M&A and Corporate Advisory E 671,132,400 (USD 120,000,000) ENPC Bridge Finance E 371,000,000 (USD 70,000,000) Joint venture between GB AUTO and Marco Polo EGP 402,704,224 (USD 74,640,927) Sale of 60% of National Drilling Company to Al Safat Investment E 969,000,000 (CHF 190,000,000) Global Public Offering and dual listing in Egypt and Switzerland Financial Advisor Exclusive Financial Advisor Exclusive Financial Advisor Co-Manager on the offering and sole listing advisor in Egypt January 2009 June 2008 June 2008 May 2008 μΧB A E 16,725,103,579 (USD 3,093,992,711) Acquisition of 98.1% of Orascom Hotels and Development via a tender offer Sole Financial Advisor E 778,299,525 (USD 143,978,364) Acquisition of 76.9% of Cairo Medical Tower Laboratory (Al Borg Laboratories) Via a tender offer Sole Financial Advisor E 308,000,000 (USD 56,850,640) Capital Raising Sole Financial Advisor E 734,242,283 (USD 131,036,539) Acquisition of Amwal al Arabia by Arab Cotton Ginning via share swap Exclusive Financial Advisor May 2008 May 2008 March 2008 October

16 Investment Banking Financing Transactions M&A and Corporate Advisory R. Ghabbour Rolaco Hotels E 150,000,000 (USD 26,769,748) Acquisition of Cougar Capital Management Exclusive Financial Advisor E 278,619,625 (USD 49,723,848) Acquisition of 28.9% of Semiramis Hotels via a tender offer Sole Financial Advisor E 1,270,870,293 (USD 221,284,923) Initial Public Offering Global Coordinator, Lead Manager and Sole Bookrunner E 103,000,000 (USD 17,798,514) Pre-IPO financing via convertible loan Exclusive Financial Advisor October 2007 October 2007 July 2007 May 2007 Value Not Disclosed El Nasr Clothing (Kabo) acquisition of Wave for Trading and Agencies E 387,464,000 (USD 66,829,602) Sale of Sprea Misr and Plastichem to IFI, a subsidiary of EK Holding E 210,000,000 (USD 36,220,698) GB Auto s acquisition of a 49% stake in CITI E 1,350,000,000 (USD 232,161,006) Structuring and capital raising for a Greenfield sugar manufacturing plant Exclusive Financial Advisor Exclusive Financial Advisor Exclusive Financial Advisor Exclusive Financial Advisor April 2007 March 2007 March 2007 December

17 Investment Banking Financing Transactions M&A and Corporate Advisory E 464,069,650 (USD 79,806,575) Acquisition of a 26% stake in NCHD by a consortium led by Beltone Capital Exclusive Financial Advisor E 575,000,000 (USD 99,071,656) Capital Increase in Orascom Hotels and Development Co-advisor and Placement Agent E 100,000,000 (USD 17,220,922) Capital Increase in Mena for Touristic and Real Estate Development Exclusive Financial Advisor E 70,000,000 (USD 11,971,419) Acquisition of a global Swiss trademark and subsequent capital raising Exclusive Financial Advisor December 2006 November 2006 August 2006 June 2006 Weather Investments E 90,000,000 (USD 15,495,201) The sale of Enjoy to a strategic investor Exclusive Financial Advisor E 44,426,466 (USD 7,665,022) Modern Nile Cotton bid for El Nasr Clothing and Textiles (KABO) Exclusive Financial Advisor E 350,000,000 (USD 60,242,415) Placement of equity piece in Weather Investment s acquisition of Wind Lead Placement Agent E 340,000,000 (USD 58,262,476) Initial Public Offering Lead Manager and Sole Bookrunner October 2005 September 2005 August 2005 May

18 Investment Banking Financing Transactions M&A and Corporate Advisory E 375,857,349 (USD 60,006,506) Sale of Celtel International s shares in Vodafone Egypt Lead Placement Agent and Bookrunner September

19 Investment Banking Significant Transactions in KSA SAR 357,000,000 (E 511,420,350) Sale of 55% of Al Sawani to Global Investment House Trade Union Cooperative Insurance SAR 105,000,000 (E 157,664,850) Initial Public Offering Al Sagr Cooperative Insurance SAR 80,400,000 (E 120,726,228) Initial Public Offering Saudi Arabian Cooperative Insurance SAR 40,000,000 (E 61,729,200) Initial Public Offering Financial Advisor Financial Advisor and Arranger Financial Advisor and Arranger Financial Advisor and Arranger July 2008 October 2007 October 2007 May 2007 Al-Ahlia Cooperative Insurance SAR 40,000,000 (E 61,729,200) Initial Public Offering E 40,000,000 (E 61,729,200) Initial Public Offering SAR 70,000,000 (E 108,237,500) Capital Increase SAR 200,000,000 (E 309,250,000) Initial Public Offering Financial Advisor and Arranger Financial Advisor and Arranger Financial Advisor Financial Advisor and Arranger May 2007 May 2007 February 2007 February

20 Asset Management Beltone Asset Management is the leader in its industry, with assets under management in excess of EGP 21.7 billion*, driven by our capacity to continuously introduce innovative products PRODUCT OFFERING Equity funds and portfolios investing in Egypt and the MENA region Shariaa compliant equity funds and portfolios investing in Egypt and MENA Fixed income funds and portfolios as well as Shariaa compliant products Saving and pension plans Money market funds and accounts MONEY MARKETS ACCOUNTS Launched with Banque Misr and Egypt Post - the first in MENA E, US$ and Euro Low minimum entry - E 10,000 No entry or redemption fees Linked to ATM machines Interest added daily Liquidity Flexibility * As of July 31 st, 2011 PRODUCTS UNDER MANAGEMENT Banque Misr Money Market Fund in E, US$ and Euro 401(k)-type tax efficient savings plan Beltone MENA Equity Fund Suez Canal Bank Equity Fund ABC Money Market Fund in E HSBC Money Market Fund in E Misr El Kheir Periodical return Fund E Arab Bank Money Market Fund E Banque Du Caire Money Market Fund E Beltone Technical Fund NSGB Balaced Fund PRODUCT SNAPSHOTS MENA EQUITY FUND The MENA Equity Fund is listed on the Irish Stock Exchange in Dublin The Fund invests in companies listed in MENA The Fund invests up to 10% in pre-ipo s Safe Haven Provision Low minimum entry (US$ 10,000) PRODUCT PIPELINE More funds in the pipeline sponsored by prominent Egyptian banks Fixed Income Fund Balanced Fund 2 Money Market Accounts ETF EGYPT EQUITY FUND Launched with Suez Canal Bank Low minimum entry - E 5,000 No minimum post initial subscription No entry or redemption fees Daily subscription and redemption 20

21 Asset Management Wide Range of Product Offerings Through our knowledge in launching and managing funds, we have gained the experience of the regional asset management business which enabled us to develop innovative products that cater to varying risk-return profiles through offering different asset classes and management styles across MENA Return Remarkable industry experience catering to all investor profiles More than 12 years of regional experience Leveraged Equity Capital Guaranteed Equity Balanced Fixed Income Money Market Risk Bahrain Egypt Libya Lebanon Jordan KSA Kuwait Morocco Oman Qatar Tunisia UAE From Money Market to leveraged Equity From Plain Vanilla to Structured Products From Morocco to Oman From Conventional to Islamic 21

22 Asset Management Diligent Investment Process Specialization and focus, combined with Beltone s Country-Country-Sector (CCS) value added fundamental process result in lucrative stock selection and exceptional performance FUNDAMENTAL APPROACH WITH THE MAIN ALPHA DRIVERS SPECIALIZATION AND FOCUS Specialized independent departments supporting a focused Portfolio Manager, scrutinized by internal audit and compliance DILIGENT INVESTMENT PROCESS Country focused portfolio managers & sector driven analysts create a top down approach with a bottom up over-lay implemented and monitored through daily, weekly and monthly meetings 22

23 Private Equity Current funds As at end of July 2011, Beltone Private Equity had assets under management of more than EGP 2.1 billion BELTONE CAPITAL 583 megp NAV 641 m raised Beltone Capital, our first fund, was established in the second half of 2006, to invest in Egyptian companies with strong, capable management, privatization and turnarounds. BELTONE INVESTMENT GROUP 418 megp NAV 460 m raised Beltone Investment Group, a buyout fund, was established in December It has EGP 418 million fully invested in a controlling stake in a leading real estate development company with one of the biggest land banks in Egypt. REAL ESTATE 380 megp NAV 431 m raised A specialty real estate investment vehicle focused on acquiring, refurbishing and leasing of historic real estate assets in Downtown Cairo. BELTONE MIDCAP 39.2 musd raised CAPITAL PARTNERS FOR TOURISM MAHASEEL AGRICULTURE INVESTMENT FUND m-1b megp raised USD expected to close by end of Q NAV 313 m Beltone Private Equity is in the process of launching an SME fund, Beltone MidCap, in partnership with SIGEFI, the management arm of Siparex Group, a leading French private equity specialist in SME s. Capital Partners for Tourism, a buyout fund, was established in April 2010 to invest alongside Beltone Capital in Pickalbatros Holding, a leading budget hotel owner and operator. MAHASEEL Agriculture Investment Fund, a partnership between Beltone and Kenana, was established in March 2010 to invest in equity and quasi-equity investments in the agriculture sector, agro-food business, and agro-related industries and services. 23

24 Private Equity Overview of Beltone Capital Description Headline Terms Beltone Private Equity launched Beltone Capital in 2006, having raised 583 million to invest predominantly in Egyptian companies with strong, capable management and growth prospects. The fund is fully committed and invested Beltone Capital is invested in a variety of portfolio companies, the first of which was Giza Systems, one of Egypt s most prominent system integrators and the market leader in the Egyptian telecommunications and utilities IT space Other investments include a manufacturer of flatware and hollowware, an acquisition that included the purchase of the Swiss brand, BĒARD, a favorite among 5-star hoteliers worldwide. BĒARD has operations in both Egypt and Mexico, and the roll-out plan includes three additional factories under construction globally, with substantial growth prospects for this business In addition, the Beltone Capital has co-invested in Medinet Nasr Housing and Development, alongside Beltone Investment Group, a special-purpose vehicle established for the Medinet Nasr acquisition, and is participating in a niche-based real estate project. Beltone Capital is also an investor in the Beltone Retail Fund, a specialized fund committed to consolidate successful retail operations and franchises with a focus on the Egyptian and MENA retail sector Beltone Capital also co-invested alongside Capital Partners for Tourism, a buyout fund, established to invest in Pickalbatros Holding, a leading budget hotel owner and operator Structured as an investment company under Egyptian law Paid-in capital of EGP 583 and NAV of EGP 641 million Currently raising capital by EGP million to fulfill imminent requirements of sizeable deal flow Seeks control through majority stakes either directly or in combination with co-investors and related firms Maximum exposure of 20% per investment, and 25% per sector Diverse base of shareholders including the European Investment Bank and prominent Egyptian and Saudi high net worth individuals GIZA SYSTEMS BĒARD MNHD PICKALBATROS HOLDING 24

25 Private Equity Overview of Beltone Investment Group Description Basic Statistics of the Investment Launched in December 2006, BIG is a buyout fund with EGP 418 million raised for the purpose of co-investing alongside Beltone Capital in the acquisition of Medinet Nasr Housing and Development, one of the most undervalued real estate assets traded on the Egyptian Stock Exchange, with a historically problematic land bank of over 10 million square meters. In December 2006, Beltone Private Equity launched a tender offer for the acquisition of 40% of Nasr City, and successfully acquired 31.2% of the company in its second attempt As MNHD s largest shareholder, Beltone and its affiliates currently have 4 out of 9 Board of Directors, and a managing director elected by the board The buyout fund has provided Beltone a new track record in real estate, which has ultimately come to reshape the focus of our future investment strategy Beltone Investment Group is currently valued at EGP 460 million as of July 31 st, 2011 Date of initial investment: 2006 % of ownership*: 31.2% Total commitment*: EGP 560 m Market Value 31/7/2011*: EGP 620 m Investment Strategy *Note: these figures include co-investment by Beltone Capital, and include incremental purchases since the tender offer date PHASE I PHASE II PHASE III PHASE IV CHANGE OF CONTROL PROBLEM RESOLUTION VALUE CREATION REALIZATION OPTIONS Government control to private control Resolution of long-standing land disputes with various authorities Identification of new management Creation of a master development plan for large plots, and development of plots internally as well as through joint ventures with prominent developers Operational restructuring of subsidiaries Land bank acquisition Strategic sale of company Divestiture of equity stake Merger 25

26 Private Equity Overview of Capital Partners for Tourism Ltd. Description Basic Statistics of the Investment Established in April 2010, CPT is a buyout fund with EGP 313 million raised for the purpose of co-investing alongside Beltone Capital in the acquisition of a minority stake in Pickalbatros Holding ( Pickalbatros ) Pickalbatros was established in 1992 by Kamel Abou Aly as a privately-owned resort and hotel property owner and operator Pickalbatros specializes in the development and management of a wide variety of hotel properties located in prime destinations in Egypt and Morocco Today, Pickalbatros owns, rents, manages and operates 16 hotels and resorts in strategic locations throughout Egypt and Morocco, with a total capacity of approximately 7,500 rooms Pickalbatros offers customers various tourist attractions, family and entertainment services Vintage Year: 2010 % of Ownership: 18.8% Total Commitment*: EGP 435 mn Investment Highlights *Note: these figures include co-investment by Beltone Capital, and include incremental purchases since the tender offer date Pickalbatros is the leading provider of integrated leisure and hospitality services Boasting the largest portfolio of hotels, resorts, and various tourist attractions Owning, renting, managing and operating approximately 7,500 rooms between 16 hotels and resorts Possessing the largest market share in the Hurghada 4- and 5- star hotel market of 17% Boasting impressive average occupancy rates of 94%, positioned as a leader in the resort and all-inclusive hotel market, with average room rates at USD 66 in 2009 Operating a successful business model based on efficient and timely property development, customer targeted marketing and sales strategy and leveraging a global network of agents And is well positioned to capture the anticipated growth in the hotel market Enjoying revenue and EBITDA growth at a CAGR of 39% and 41%, respectively, over the past three years 26

27 Private Equity Overview of Beltone s Down Town Real Estate Project Description Basic Statistics of the Investment The project is a unique niche-based real estate development project, created in association with a dedicated project sponsor Co-founded by Beltone Private Equity and Amwal al Khaleej, and managed by Beltone Private Equity The project s vision is to acquire, evict, and refurbish historic real estate assets that are architecturally superior It also involves the creation of building clusters to develop commercial pedestrian districts that are aesthetically congruent Returns are to be generated from rent as well as asset appreciation The project is a long-term venture that aims to have a property development and property management function to optimize returns to shareholders Target: one million sqm in Cairo s Downtown area, providing critical mass to enable the creation of an integrated commercial location, leading to asset appreciation Vintage Year: 2008 Total paid-in capital: EGP 380 m NAV: EGP 431 m Project Phases 1. BUILDING ACQUISITION 2. EVICTION 3. RENOVATION To date, 20 buildings covering a total built up area of 70,000 sqm have been acquired, while 26 buildings are in the due diligence and deal closure phase of the acquisition process The project is in the process of raising EGP 500 mn of external capital to finance additional acquisitions 27

28 Private Equity Overview of Beltone MidCap Fund Description Beltone MidCap Fund is targeting to raise USD 200 million to invest in two Sub-Funds, in Egypt (USD 100 million) and the GCC (USD 100 million). The Egypt Sub-Fund had its first closing on September 15th 2009 with secured commitments of USD 30.5 million, and its second closing on July 15th 2010 with secured commitments of USD 39.2 million. Final closing is expected to be on March 31st The GCC Sub-Fund s is expected to have its first closing in 2011 The Fund was created to capitalize on the underdeveloped status of the SME sector in Egypt and the GCC region, to fulfill funding requirements of this underserved segment, and to promote the SME role in economic development at large The General Partner is Beltone MidCap Management S.A, a partnership between Beltone Private Equity 75%, and SIGEFI 25%, the private equity management arm of France s Siparex Group Founded in 1977, Siparex has a top-notch reputation recognizable by the most prominent French and international investors as a specialist in the investment management of SMEs Sectors of interest identified for the Egypt Sub-Fund are those with competitive edge and export potential, including but not limited to niche-based textiles, food processing and agri-business, plastics and packaging, and services The Fund already has a pipeline of six companies under consideration, with important criteria including companies displaying rapid growth potential, ambitious and dynamic management, clear competitive distinction, ability to create value by focusing on core strengths of Beltone and SIGEFI, and potential upside in exit Headline Terms Incorporated in Luxembourg Sub-Funds are closed ended for a duration of 8 years each, extendable to 10 years General Partner is a partnership between Beltone Private Equity and SIGEFI Private Equity Investment Manager is Beltone Private Equity Investment Period is 4 years First Closing was Q Invests in significant minority stakes and selected majority in companies with operating history, with revenues of USD 5-50 million per annum Investment size ranges between USD 5 10 million Maximum exposure of 10% per investment and 25% per sector Beltone and SIGEFI: A unique and complementary partnership addressing the SME challenge BELTONE PRIVATE EQUITY SIGEFI / SIPAREX Regional presence Access to deal flow Fund-raising capabilities Structuring expertise Strong understanding of domestic investment dynamics SME experience Corporate governance and technical support European business network Investment advisory support Lack of a robust and dynamic medium enterprise sector has resulted in what has come to be known as the missing middle syndrome, resulting in weak linkages between the large-scale and SME sectors, and dependence on imports to fulfill the requirements of large corporations Beltone and SIGEFI, by providing access to capital, human resources, and strategic direction to SMEs, aim to play an integral role in promoting the sector 28

29 Private Equity Overview of MAHASEEL Agriculture Investment Fund Description Headline Terms MAHASEEL provides investors the potential opportunity to achieve medium to long-term capital appreciation through direct exposure to the agriculture and agribusiness sector by offering: A unique investment proposition that seeks to address the region s food security concerns A compelling investment mandate that covers attractive Greenfield projects and private equity opportunities in the agriculture sector, agribusiness and agro-related industries and services A comprehensive investment approach that combines traditional and industrial agriculture across Sudan and Egypt An integrated investment strategy that focuses on opportunities arising from variable demand and supply needs across countries in the Middle East and North Africa region AGRICULTURE INVESTMENT FUND ﺻـﻨــﺪﻭﻕ ﻟﻺﺳـﺘـﺜـﻤــﺎﺭ ﺍﻟــﺰﺭﺍﻋــﻲ MAHASEEL L.P. is a Cayman Islands exempted limited partnership Target Size: USD 500 million to USD 1 billion Fund Term: 8 years extendable by 2 consecutive one year periods Investment Period: 5 years Fund s Investment Strategy AGRICULTURE VALUE CHAIN AGRICULTURE FARMING & PROCESSING LOGISTICS & DISTRIBUTION PROCESSING & MANUFACTURING RETAIL OF AGRICULTURAL & AGRO-RELATED PRODUCTS The fund will focus on investing across the wide agriculture spectrum; starting with opportunities in primary agriculture business through to the value added, food processing, and retail businesses in the MENA region, with an initial focus on Sudan and Egypt Egypt: Huge Market With Enormous Demand Potential Sudan: Immense Agriculture Potential and Need for Rural Development GCC: Abundant Capital Resources and Interest in Food Security 29

30 Securities Brokerage Beltone Securities focuses on institutional investors from the US, Europe and the region along with high-net-worth individuals, executing and settling seamlessly in several markets by leveraging a strong proprietary network as well as strategic partnerships over 1,200 clients worldwide Single broker contact available in markets with Beltone presence Egypt UAE Brokerage clients US UK Ireland Germany Switzerland Egypt France Kuwait KSA UAE Bahrain Qatar South Africa 30

31 Securities Brokerage Landmark Transactions Bank of Alexandria Banque Misr Banque du Caire Orascom Building Materials Holding Buyer: Sanpaolo IMI SPA Seller: Government of Egypt (GOE) Date: October 2006 Value: EGP 9.2 billion Merger: Banque du Caire with Banque Misr Date: May 2007 Value: EGP 1.6 billion Transaction: Orascom Building Materials Buyer: LAFARGE Seller: OCI Date: January 2008 Value: EGP 71 billion Egyptian Container Handling Co. Egyptian Fertilizers Company Commercial International Bank Transaction: ECHCO Buyer: DP WORLD Seller: OCI Date: February 2008 Value: EGP 3.7 billion Transaction: EFC Buyer: OCI Seller: ABRAAJ Capital Date: March 2008 Value: US$1.6 billion Transaction: Placement Buyer: Institutional Investors Seller: Ripplewood Date: December 2009 Value: EGP 765m 31

32 Research Beltone s Research Department is acknowledged as the authoritative source for qualitative and quantitative information on the MENA region s rapidly expanding capital markets. By the end of 2011, coverage will extend across the difference sectors within the region, to reach more than 70 stocks. Beltone Research Products General Market Products MENA Morning Bell, that covers regional daily news MENA Daily Statistics, that covers regional markets performance Between Bulls and Bears, that covers regional technical analysis Company-Specific Products Initial Coverage Reports Company Update Reports Company Newsflash Reports Sector-Specific Products Sector Reviews Regional Economic Research Regional Strategy Research Thematic Research * * COMPANY COVERAGE MENA REGION RESEARCH PUBLICATIONS * As of July 31 st,

33 Research Countries Covered and Distribution Covered by research Research distributed 32 countries Algeria Austria Bahrain Belgium Canada Chile Cyprus Czech Republic Denmark Egypt Libya France Germany Greece Hong Kong Italy Japan Jordan KSA Kuwait Lebanon Malaysia Netherlands Norway Pakistan Philippines Qatar South Africa Switzerland Syria Thailand Turkey UAE UK Ukraine USA Yemen 33

34 Beltone Securities Holding Currently more than E 18.5 billion*. Investors benefit from fast execution and settlement through the efficient receipt, delivery and safekeeping of securities, cash and foreign exchange Beltone Securities Holding gives clients the benefit of their assets held under direct operational control for rapid and seamless exectution Safe custody of assets Income and dividends collection Corporate action processing Proxy voting processing Standard custody reporting The Custody team comprises highly qualified industry specialists with experience in leading regional and international investment banks. Beltone Securities Holding is regulated by the Egyptian Capital Market Authority. Assets and processes are in compliance with all regulations in the diverse markets in which Beltone operates. * As of July 31 st,

35 Beltone Academy The Beltone Academy, first established in 2007, ensures the constant flow of excellent talent into Beltone. Out of hundreds of applicants, only the top 20 are selected after rigorous testing and interviews. The academy courses are designed to develop their knowledge and skills to pursue their careers in the financial services industry. Develop a world class financial services industry in the MENA region Taking a leadership role to develop a core of top-notch professionals Investing time and resources to identify and mentor future leaders Sharing Beltone s global knowledge, skills and experience Offering young people unrestricted opportunities Contributing to MENA s overall economic growth 35