Survey - PricewaterhouseCoopers The Italian Private Equity and Venture Capital market in the first semester 2013
The Italian Private Equity and Venture Capital in the 1 st semester 2013 Players Fundraising Investments Divestments 2 2
Players full members full members 129 129 123 120 116 2009 2010 2011 2012 sep-2013 3
Players Italian private equity and venture capital players Italian banks Investment companies Italian closed-end funds Early stage players Pan-European funds Regional/public investors 32% 8% 3% 13 5 39 23% 52 13 42 8% 26% 4
Players Portfolio at 30 th June 2013 20,602 8,730 Portfolio at cost (Euro Mln) Commitment available for investments (Euro Mln)* * Not considering international and captive players 5
Players Composition of portfolio at 30 th June 2013 Italy Abroad Private investors Public investors 1,335 1,335 72 1,173 1,173 69 378 369 1,263 1,104 957 804 Active investments Companies Active investments Companies 6
The Italian Private Equity and Venture Capital in the 1 st semester 2013 Players Fundraising Investments Divestments 7 7
Fundraising Fundraising activity (Euro Mln) 3,365* 914 290 473 384 320 I sem. 2008 I sem. 2009 I sem. 2010 I sem. 2011 I sem. 2012 I sem. 2013 *Amount influenced by the closing of a big institutional player 8
Fundraising Fundraising activity: annual vs 1 st semester 2013 (Euro Mln) 3,365* 2,267 2,187 1,355 957 1,049 2008 2009 2010 2011 2012 I sem. 2013 *Amount influenced by the closing of a big institutional player 9
Fundraising Fundraising activity by source in the 1 st semester 2013 (Euro Mln) 95% 5% 162 3,202 3,365 Parent Organization Market Total fundraising *Amount influenced by the final closing of a big institutional player 10
Fundraising New funds raised on the market (Euro Mln) 703 Altri Altri 380 236 298 271 162 I sem. 2008 I sem. 2009 I sem. 2010 I sem. 2011 I sem. 2012 I sem. 2013 (17) (8) (8) (7) (8) (6) * In parenthesis the number of players which raised funds in the period 11
Fundraising Geographical breakdown of new funds raised Italy Abroad 21% 11% 7% 79% 89% 93% 2011 2012 I sem. 2013 12
Fundraising Distribution by source of new funds raised I sem. 2012 I sem. 2013 47% 25% 19% 18% 14% 12% 17% 20% 6% 7% 9% 2% 1% 1% Private Investitors Fondi di Fondi Pension funds Banks Public Sector Endowments Corporate Investors Insurance Companies Other 13
Fundraising Fundraising expected allocation Early Stage H-T Early Stage Non H-T Expansion Buy out Other 17% 15% 27% 16% 10% 22% 15% 30% 35% 49% 20% 31% 65% 41% 26% 50% 60% 47% 2% 10% 5% 3% 4% 2008 2009 2010 2011 2012 I sem. 2013 14
The Italian Private Equity and Venture Capital in the 1 st semester 2013 Players Fundraising Investments Divestments 15 15
Investment activity Number Companies Amount (Euro Mln) 2,772 1,524 1,407 1,069 868 552 170 155 129 159 147 161 147 136 113 138 131 144 I sem. 2008 I sem. 2009 I sem. 2010 I sem. 2011 I sem. 2012 I sem. 2013 Note: The figure concerning the amount invested includes (above the broken line) the activity of players not based in Italy 16
Investment activity: annual vs 1 st semestre 2013 Number Companies Amount (Euro Mln) 5,458 3,583 3,230 2,615 2,461 1,407 372 284 283 292 326 349 229 226 256 277 161 144 2008 2009 2010* 2011 2012 I sem. 2013 Note: The figure concerning the amount invested includes (above the broken line) the activity of players not based in Italy * In order to give a complete overview about the Italian market in 2010, an add-on operation of relevant size is included 17
Invested amount by deal size Amount small and medium deal (Euro Mln) Amount large and mega deal (Euro Mln)* 624 558 383 686 215 337 900 868 849 I sem. 2009 I sem. 2010 I sem. 2011 I sem. 2012 I sem. 2013 * Investments with an amount between 150 and 300 Euro Mln (large deal) or more than 300 Euro Mln (mega deal) 18
Investments distribution by stage in the 1 st semester 2013 Amount (Euro Mln) Number 923 64 65 22 415 7 3 40 28 1 Buy Out Expansion Replacement Early stage Turnaround 19
Investments distribution by type of investors in the 1 st semester 2013 Amount (Euro Mln) Number 76 661 637 30 29 14 9 78 15 9 8 3 International players Italian closed-end funds Investment companies Early stage players Italian banks Regional/public investors 20
Average invested amount by stage in the 1 st semester 2013 (Euro mln) 42 6 6 9 0.4 0.4 Buy Out Expansion Replacement Early stage Turnaround Media mercato 21
Early stage investments Number Amount (Euro Mln) 67 65 52 56 51 50 55 46 40 41 40 28 I sem. 2008 I sem. 2009 I sem. 2010 I sem. 2011 I sem. 2012 I sem. 2013 22
Early stage investments: annual activity vs 1 st semester 2013 Number Amount (Euro Mln) 135 136 115 106 106 98 88 79 89 82 65 28 2008 2009 2010 2011 2012 I sem. 2013 23
Distribution of early stage investments by investor type in the 1 st semester 2013 (number) 40% 37% 22% 2% Investment companies Regional/public investors Early stage players Italian closed-end funds 24
Expansion investments Number Amount (Euro Mln) 415 322 280 253 132 145 57 58 50 74 54 64 I sem. 2008 I sem. 2009 I sem. 2010 I sem. 2011 I sem. 2012 I sem. 2013 25
Expansion investments: annual activity vs 1 st semester 2013 Number Amount (Euro Mln) 926 796 674 583 371 415 133 112 109 139 131 64 2008 2009 2010 2011 2012 I sem. 2013 26
Distribution of expansion investments by investor type in the 1 st semester 2013 (number) 47% 20% 16% 3% 5% International payers Italian banks Early stage players Investment companies 9% Regional/public investors Italian closed-end funds 27
Turnaround investments Number Amount (Euro Mln) 78 22 16 8 5 5 3 3 4 3 1 1 I sem. 2008 I sem. 2009 I sem. 2010 I sem. 2011 I sem. 2012 I sem. 2013 28
Turnaround investments: annual activity vs 1 st semester 2013 Number Amount (Euro Mln) 416 41 12 11 14 51 6 7 7 11 3 1 2008 2009 2010 2011 2012 I sem. 2013 29
Buy out investments Number Amount (Euro Mln) 1,220 1,160 923 785 512 329 49 43 20 27 32 22 I sem. 2008 I sem. 2009 I sem. 2010 I sem. 2011 I sem. 2012 I sem. 2013 30
Buy out investments: annual activity vs 1 st semester 2013 Number Amount (Euro Mln) 2,869 2,261 2,069 1,688 1,647 923 113 72 56 63 65 22 2008 2009 2010* 2011 2012 I sem. 2013 * In order to give a complete overview about the Italian market in 2010, an add-on operation of relevant size is included 31
Distribution of buy out Investments by investor type in the 1 st semester 2013 (number) 68% 23% 9% Investment companies International players Italian closed-end funds 32
Distribution of buy out investments by size (number) 2011 2012 I sem. 2013 67% 60% 55% 38% 41% 28% 5% 2% 4% Small (0-14.9 Euro Mln) Medium (15.0-149.9 Euro Mln) Large e Mega (>150.0 Euro Mln) 33
Distribution of initial and follow on investments by number Initial Follow on* 48% 63% 58% 58% 54% 56% 52% 37% 42% 42% 46% 44% 2008 2009 2010 2011 2012 I sem. 2013 * Including secondary buy out 34
Geographical distribution of investments in the 1 st semester 2013 (number) Italy 98% 2% 20% 19% 59% South + Islands Centre North Europe + Rest of the world 35
Geographical distribution of investments in the 1 st semester 2013 (amount) 4% 1% 1% Italy 99% 94% North Centre South + Islands Europe + Rest of the world 36
Regional distribution of investments by number in the 1 st semester 2013 49 17 12 10 10 10 10 9 5 5 5 4 3 3 2 2 2 37
Distribution of investments by target companies employees in the 1 st semester 2013 (number) 1% 2% 3% 8% 11% 19% SME 89% 56% 0-19 20-99 100-199 200-249 250-499 500-999 >1,000 38
Distribution of investments by target companies turnover (Euro Mln) in the 1 st semester 2013 (number) 3% 7% 4% 11% 11% 7% 57% SME 86% 0-2 2-10 10-30 30-50 50-100 100-250 >250 39
Sectoral distribution of investments by number in the 1 st semester 2013 23 21 16 15 14 14 13 7 6 5 5 4 3 3 3 3 2 1 1 2 40
Investments distribution in high tech companies Amount Number 2008 4% 24% 2009 21% 26% 2010 24% 37% 2011 8% 32% 2012 26% 40% I sem. 2013 10% 43% 41
Sectoral distribution of investments in high tech companies in the 1 st semester 2013 (number) Computer 21% Media & Ent. Medical 16% 17% Services (other) 14% Energy & Ut. Biotech 7% 7% Beni e Servizi industriali 4% Eletronics Chemicals Financial services 3% 3% 3% Textile Retail Other 1% 1% 1% 42
The Italian Private Equity and Venture Capital in the 1 st semester 2013 Players Fundraising Investments Divestments 43 43
Divestments Divestment activity Number Companies Amount (Euro Mln) 2,337 1,069 1,106 739 470 141 92 81 67 56 62 60 75 65 44 38 65 57 I sem. 2008 I sem. 2009 I sem. 2010 I sem. 2011 I sem. 2012 I sem. 2013 44
Divestments Divestment activity: annual vs 1 st semester 2013 Number Companies Amount (Euro Mln) 3,180 1,821 1,569 1,185 977 1,106 181 152 143 108 123 112 139 121 107 89 65 57 2008 2009 2010 2011 2012 I sem. 2013 45
Divestments Distribution of divestments by way out in the 1 st semester 2013 Number Amount 37% 34% 32% 18% 22% 20% 15% 12% 9% 1% IPO/Sale post IPO Trade sale Sale to VC-Fin. Inst. Write off Other 46
Divestments Distribution of divestments by type of investor (number) 26% 22% 18% 14% 12% 8% Early stage players Investment companies Pan-European funds Italian banks Regional/public investors Italian closed-end funds 47
Divestments Distribution of divestments by type of original investment in the 1 st semester 2013 (number) 32% 34% 23% 2% 9% Turnaround Replacement Early stage Buy out Expansion 48
Survey - PricewaterhouseCoopers The Italian Private Equity and Venture Capital market in the first semester 2013