Borch Corporate Presentation

1. Borch Group
January 2012

2. Operation and Property
Property brokers Financial advice
maintenance management
Company Funding Asset
Building projects
management Management
Facility
Due Diligence Primary analysis Lettings
Management
2

3. This is Borch Group
• Established in 1996
• Main focus on the Danish market
• Over the last 12 years the Group has developed,
managed and sold for over 3 BN DKK
• Borch Group has over the past 15 months completed
39 transactions for all together 1.3 BN DKK
• The Group employs 14 associates at the office in
Copenhagen
3

4. Business Areas
Corporate Finance Private Equity
Transactions Direct investments
• Property- and company transactions • Development projects
• Portfolio transactions • Financially distressed properties and portfolios
• Sale & Leaseback • New property concepts
Finance
• Advising on bank and mortgage financing Asset Management
• Private equity
Full Service
• Property management
Strategic Advising
• Maintenance
• Purchase- and sale
• Development
• Portfolio
• Rental service
4

5. Corporate Finance – Business Idea
5

6. Investment Strategy – Private Equity
• Attractive property compared to other asset classes
• Medium and long term perspective
• Value Adding program
• Realisation when incremented value has been reached
10%
9%
EXPECTED YIELD
8%
7% Private
Equity
6% Shares
Property
Credit
5%
Hedge Bonds
State Fond
4% Bonds
Money-
ma rket
0% 30%
RISK (STANDARD DEVIATION)
6

7. Evaluation Process –
Commercial Due Diligence
• Tenant analysis
• Location
• Rental level
• Net Operating Income (NOI)
• Finance
• Income and cost analysis
• Development potential
7

8. Goals
• Management and Portfolio Management
development of our investors’ Strategy, purchase/sale,
finance and reporting
portfolios are our key
competences
Asset Management
• Borch Group currently Rental, development
manages and develop 1,4 BN
DKK worth of portfolios
Facility Management
Administration, service
etc.
8

9. Projects from the past 15 months
• Largest project 500 mill. DKK
• 7 mixed residential and commercial properties with
prime location in Copenhagen
• 2 office properties in CBD Copenhagen
• 39 apartments for Copenhagen Business School’s
foreign students
• 225 mill. DKK
• Mixed residential and commercial properties in
central Copenhagen and Helsingør, School of
Architecture in Aarhus, and retail store in Ålborg.
• Development of private residential property in
Copenhagen area 125 mill. DKK
9

10. Summary
CORPORATE FINANCE
PRIVATE EQUITY
Strategic advice Portfolio management
10

11. Management
Kim Borch Michael Facius The Team
Managing Director Chief Financial Officer
• CEO and founder of Borch A/S • CFO, Habro Gruppen The Team represent a broad and solid
(2008) • Internal Auditor, Dansk Landbrugs experience with all areas of asset
• CEO and founder of Borch Grovvareselskab management.
Ejendomsadministration ApS (2004) • Audit assistent, Ernst & Young
• CEO CEO and founder of Borch • Graduate Diploma in Financial and • Architect
Invest A/S (2001) Management Accounting (HD-R) • EngineerConstructing
• CEO and founder of Borch Holding • MSc Economics/MBA
(1996) • LLM
• CEO in Borch & Hesseldahl • Msc in business administration and
• Key Account Manager with Codan commercial laws
Insurance (Sun Alliance) • Academic Business Degree in
• Handelsbanken (now Danske Bank) Financial Management (AP)
11

12. Partners
Solicitors Engineer
CLP – Oslo COWI - København
Lett – København Gregersen & Olsson
Rønne & Lundgreen –
København
Accountant Member of Danish Real Estate Owners
Association
PwC
Insurance
Willis
12