Fintech - Presentation by Alexander Graubner-Müller, CEO & Co-Founder of Kreditech at the Axel Springer NOAH Conference Berlin 2016, Tempodrom on the 8th of June 2016.

1. Noah Berlin - June 8, 2016

2. 10 - 11 November 22 - 23 June
Save The Date
www.noah-conference.com

3. CONSUMER CREDIT: A TWO-CLASS WORLD
No access to credit Good access to credit

4. High / upper middle class
Fixed-term employment situation
Strong credit history
Low Risk - focus of financial institutions
since 2008
ABUNDANT ACCESS TO CREDIT: BANKED CONSUMERS
Ø 3.75
credit cards
(US)

5. NO ACCESS TO CREDIT: UNDERBANKED CONSUMERS
Lower / middle class
Flexible employment situations
Credit risk hard to understand
Underserved by traditional financial
institutions
35%
No possibility of
coming up with
emergency funds
(EU 25)

6. SHARE OF UNDERBANKED CUSTOMERS GERMANY*
*out of all banking customers, Findex Worldbank

7. SHARE OF UNDERBANKED CUSTOMERS POLAND*
*out of all banking customers, Findex Worldbank

8. SHARE OF UNDERBANKED CUSTOMERS SPAIN*
*out of all banking customers, Findex Worldbank

9. SHARE OF UNDERBANKED CUSTOMERS MEXICO*
*out of all banking customers, Findex Worldbank

10. adults worldwide are THERE IS A
GIANT MARKET
OPPORTUNITY
2 billion
underbanked

11. DIMENSIONS OF RISK
Ability to Repay
«Does the individual economic
situation permit to sustainably
meet the obligations?»
Willingness to Repay
«Can a person diligently be
trusted to honor and fulfill his
obligations?»
a good borrower?What makes a person

12. OLD WAY...
a good borrower?What makes a person
Income Expenses
Existing Debt Obligations
Credit history Fraud Attempts
Identity verification

13. OLD WAY...
a good borrower?What makes a person
Income Expenses
Existing Debt Obligations
Credit history Fraud Attempts
Identity verification

14. OLD WAY...
a good borrower?What makes a person
Income Expenses
Existing Debt Obligations
Credit history Fraud Attempts
Identity verification

15. NEW WAY...
Income Expenses
Existing Debt Obligations
Credit history Fraud Attempts
Identity verification
Income
Predictors
Expense
Predictors
Purchasing
Power Indicators
Bank Account Data
Microgeographic
Data
Trust
Predictors
Identity
Predictors
Social Networks Service Companies
Web Browsing
Behavior
a good borrower?What makes a person

16. OUR SOLUTION
CREDIT
DECISION
Ensembling
Classification
Alternative
data
>20.000 data
points
Feature
Construction

17. 125m
EUR
equity raised:
300
FTE
7 offices
190m
EUR
debt raised:
3m
scored
applications

18. BUSINESS MODEL: CONSUMER LENDING END TO END
SCORING
FUNDING
SERVICING
COLLECTION
DISTRIBUTION
MARKETS
PERSONAL FINANCE
MANAGER
E-WALLET / ACCOUNT
/ PREPAID CARD
CUSTOMER
DEVELOPMENT /
DYNAMIC CREDIT
SCORE
INSTALLMENT LOANS
MICROLOANS
VALUE CHAIN PRODUCTS
POS FINANCING

19. A PATH TO BETTER CREDIT
Ability to Repay
Willingness to Repay
high risk medium risk low risk
Smaller credit
Higher cost
Larger credit
Lower cost
No credit

20. A PATH TO BETTER CREDIT
Ability to Repay
Willingness to Repay
Smaller credit
Higher cost
Larger credit
Lower cost
No credit
high risk medium risk low risk

21. OUTLOOK
Good access to credit Good access to credit

22. Join our team!
kreditech.com/careers
facebook.com/kreditech
twitter.com/kreditech
kreditech.com
Alexander Graubner-Müller
FOUNDER & CEO
alexander@kreditech.com
+49 176 41458468

23. Focus on Leading European Internet companies
Covering over 400 companies across 25
online verticals, a broad range of over 500
investors as well as 100+ online-focused
corporates
Deep understanding of industry dynamics
Ability to add value beyond banking advice
Facilitates overall process and minimizes
management distraction
NOAH Advisors is globally well connected
and has direct access to virtually all key
players in the industry
Knowledge of and strong relationships
with potential buyers’ key decision makers
Proactively finds and unlocks attractive
investment opportunities for leading
investors
Annual NOAH Conference in its 8th year
Over 40 years of combined relevant M&A
experience
Routine execution of M&A and financing
transactions with sizes of several billion
euros
22 successfully completed NOAH Advisors
transactions underline successful transfer of
M&A competencies to the Internet sector
Entrepreneurial mind-set, focused on growing the
business and establishing a reputation for
excellence
Ability to deliver top results in short time frames
Highly success-based compensation structures
align interests of clients and NOAH Advisors,
and demonstrate conviction to deliver top results
Creative deal solutions
September 2015
December 2014
September 2014
October 2014
May 2014
February 2013 May 2012
Sale of a 70% stake in
to
Exclusive Financial Advisor to
Drushim and its Shareholders
Sale of 100% of
for $800m to
Exclusive Financial Advisor to
Fotolia and the Selling Shareholders
Sale of 100% of
for €80m to
Exclusive Financial Advisor to
Trovit and its Shareholders
Sale of controlling stake in
to
Exclusive Financial Advisor to
Facile.it and its Shareholders
sold 100% of
for $228m to a joint venture between
Exclusive Financial Advisor to Yad2
and its Shareholders
Growth equity investment from
for a 30% stake alongside Softonic’s Founders
and Angel Investors at a valuation of €275m
Exclusive Financial Advisor to
Softonic and its shareholders
150 million growth equity investment from
for a 50% stake alongside Fotolia’s Founders and
Additional $150 million senior debt financing
Total $300 million investment
Financial Advisor to Fotolia and its Shareholders
Selected Completed
NOAH Transactions
Unique Industry Know-How
Unmatched Network and Relationships
Strong Investment Banking Competence
Full Commitment - We Are Entrepreneurs!
EUROPE’S LEADING INTERNET CORPORATE FINANCE BOUTIQUE
May 2016
Investment in
by
Exclusive Financial Advisor to
10Bis and its Shareholders
®