ALTAMIR_REGISTRATION_DOCUMENT_2017

CONVERSATIONWITH THE CHAIRMAN AND CEO OF THE MANAGEMENT COMPANY, MAURICE TCHENIO

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investor base. We still trade at a higher discount than most peers but, on the positive side, that gives us room to make additional gains.

The second factor contributing to weak NAV-growth was a decline in comparable multiples. Over 2016 and 2015 NAV significantly benefited from multiple expansion. By comparison, multiples shrunk over 2017, leading to a negative impact on our NAV of €0.55 per share. If you make both those factors neutral, then Altamir would have generated NAV growth of 7.4%. That doesn’t hide that the NAV result for 2017 is disappointing, but I prefer to have those explanations to the inverse, which would be weaker EBITDA growth papered over by multiples expansion and forex contributions. What of shareholder return? Total shareholder return over 2017, including capital gains and dividend payments of €0.65 per share, was an excellent 24%. Much of that was due to our success reducing the Company’s equity discount to NAV, which fell from about 40% to 30%. That improvement was primarily due to active promotion of the Company, which resulted in the addition of amajor U.K. broker, Jefferies, to our existing roster of HBSC and Oddo. That was a major breakthrough as the U.K. is an important potential

In what way did the wider market conditions drive the outcomes over 2017?

It was a good 12-months for the economy. Growth was balanced across the world, while the stock market had an exceptional year and debt remained cheap and available. Economic sentiment in France turned bullish with the arrival of President Macron, who clearly understands that France must change to compete in the global market. His workplace and taxation reforms, some of which have been enacted while others are still underway, have made France an attractive investment destination – and more so given fallout from Brexit and continued uncertainty about the U.S. administration. For private equity, 2017 was an all- time record year for fund raising with $453 billion taken in across the globe, capping fiveyearsof exceptional capital inflows. European funds amassed $108 billion, down on a record $121 billion in 2016, but still a very robust result.

“In a highly competitive market, two

of the key drivers of value creation are build-up operations and digital transformation.”

4 REGISTRATION DOCUMENT

• ALTAMIR 2017

www.altamir.fr