Agriculture - Investor Ready? Presented by Becs Willson

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1 Agriculture - Investor Ready? Presented by Becs Willson

2 Legal Notice This presentation is being provided solely for informational purposes and does not constitute an offer to sell or a solicitation of an offer to buy interests in any investment fund. Such an offer or solicitation may only be made through the applicable fund s offering documents. The funds are speculative and illiquid investments that involve a high degree of risk. Investors could lose all or substantially all of their investment. An investment in the interests of any one or more funds is suitable (if at all) for only a limited portion of the risk segment of an investor s portfolio.

3 Introduction to Proterra Investment Partners Company Overview 1 Our History Investment Themes Alternative investment manager focused on private equity investments $2.4 billion in assets under management 54 employees Experienced senior leadership team that has worked together for nearly a decade, combining diverse investment skills and hands-on experience across multiple sectors and industries Proterra launched as a standalone investment advisor on January 1, 2016 The Black River PE Funds spun out from Black River Asset Management, a wholly-owned, independently managed subsidiary of Cargill Cargill continues to be a strategic limited partner to the Funds Agriculture Land Land management/operations, Infrastructure (storage, barges, etc.) Food Protein production (beef, dairy, pork) Value added processing (dairy processing, packaged food, etc.) Supply chain (Logistics, cold chain) Metals and mining Bulk minerals (coal, iron ore, industrial minerals) Base metals (copper, nickel, zinc) Precious metals (gold, platinum) Our Global Footprint Staff Locations Minneapolis (Headquarters) London Mumbai Singapore Shanghai Sydney Sao Paulo 1 Data as of 06/30/ Represents a sum of all investments made in USD since the inception of the PE Funds. Staff Locations Capital Invested in Millions Country Capital Invested 2 As of 03/31/17 (USD) China $383.4 million Brazil $224.8 million Australia $164.8million India $100.4 million Colombia $86.7 million United States $69.7 million South Africa $64.1 million Philippines $41.3 million Paraguay $33.1 million Mexico $37.6 million Thailand $15.4 million 3

4 Proterra Investment Strategies We offer investors proprietary strategies that seek to leverage the full strengths of our firm. Our funds investments reflect fundamental perspectives on the macro- and micro-economic trends driving the markets where we invest. Through an emphasis on strong local relationships and expertise, we aspire to provide unique opportunities for investors. Agriculture Investment Strategy Pursues relative value investments in operating farmland and infrastructure based on our view that rising food demand calls for an increase in farmland as well as increased investment in existing farmland. Total Strategy Commitment is $783 million Target deal size $25-75 million. Vintage years 2010 and 2013 Food Investment Strategy seeks growth equity investments in three food industry sectors: protein production, value-added processing, and supply chain management. We focus on sustainable scale,cash flow, local demand, andalignment with strong management teams. TotalStrategy Commitment is $1.2 billion Target deal size $ million. Vintage years 2010 and2014 Metals & Mining Investment Strategy Seeks to invest in sustainable development projects and operations with growth potential, low cash costs of production, or the operating flexibility to insulate against volatilityofthe commoditymarkets. Total Strategy Commitment is $165 million Target deal size $15-40 million. Vintage year

5 What we believe makes Australian Agriculture an attractive asset class for investors? Surplus Production Proximity to Markets World market pricing ability to hedge Transparent land ownership/leasing rules Responsible Management Practices Low Sovereign Risk/ strong judicial system 5

6 Historical challenges of Institutional Investment in Agriculture Lack of consistent returns. A developing asset class. Too few managers. Lack of consistent returns. 6

7 Changing the perception In our opinion: Shift is happening in Europe/US/Middle East who are starting to allocate more of their funds to Agriculture. Small % but it means big $$$. The most successful farmers in Australia are larger family operations who generate, on average, higher returns than their corporate counterparts. Around 60 to 70% of investment per year is provided directly by the owners of family farms (source ABARES). This flow of funds will likely provide great opportunities for investor-ready operations. We need successful fund managers bringing returns back to investors. This includes operational returns as well as long term capital growth. Models that replicate the success of the large, well run family farms and can achieve further scale will likely be attractive. 7

8 What we believe makes an opportunity investor-ready? Demonstrated Track Record in generating returns. Historical Data; financial performance/yields/price achieved. Price Risk Management to mitigate risks. Scale managing $5MM and $50MM are the same. Strong leadership; Ethical, Social and environmental standards. 8

9 Questions? / Contact Information Proterra Investment Partners Becs Willson, Managing Director bwillson@proterrapartners.com