ALTAMIR_REGISTRATION_DOCUMENT_2017

PRESENTATION OF THE COMPANY AND ITS ACTIVITIES

Business description

1.3.7 APAX PARTNERS’ INVESTMENT PROCESS

LBO/GROWTH CAPITAL OPERATIONS

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Acquiring a company through an LBO-type operation is generally performed through one or more holding companies specifically created to carry out the acquisition. The acquisition is financed through a combination of long-term debt (generally with a seven-year minimum term) and equity. The majority of the debt is repayable at maturity, and a portion of the interest is also paid on the sale of theCompany. The assets or shares of the underlying Company are the only security provided to creditors, the funds themselves provide no guarantee. Consequently, in the case of default, only the equity invested in the operation is at risk. The other assets held by the private equity funds are not at risk, as the debt is “non-recourse”.

Apax Partners SAS and Apax Partners LLP are entrepreneurial firms that use proven internal procedures. At least 90% of their capital is held, directly or indirectly, by their partners. They are managed via Permanent Committees responsible for definingand tracking strategy, implementing the investment and divestment process and managing operations. They also have integrated IT systems refinedover the years andbasedonhigh-quality software solutions. Apax Partners SAS andApax Partners LLP haveCommittees that are distinct but similar in purpose. „ The Strategy Committee, composed of all the partners, meets once a year to define the strategic orientation. In particular, it studies the overall performance of the funds, the investment strategy and evaluates the skills of the investment teams. „ The Operations Committee includes the three or four principal shareholder-partners of Apax Partners. The Committeemeets once a month and on an ad hoc basis to ensure the continued operational management of the Company. The investment process is managed by three Committees: „ the Investment Committee, which makes all investment decisions. Beforebeingpresentedto the InvestmentCommittee, all investment opportunities are examined by the Approval Committee, a sub-Group of the Investment Committee; „ the Divestment Committee, which makes all exit decisions; „ the Monitoring Committee. In addition, there are two annual reviews of the portfolio. The Monitoring Committee tracks the performance of all companies in the portfolio, according to a pre-determined schedule. One or more outside specialists might be invited to sit on this Committee. COMMITTEES

POSITION OF MAJORITY OR LEAD SHAREHOLDER

Apax Partners always focuses on taking significant majority or minority ownership stakes. As a result, it is in a strong position for negotiating terms of entry, exercises better control over the strategy of the Company and significantly influences the nature and timing of the exit process. Apax Partners considers that this approach facilitates value creation.

AMBITIOUS VALUE-CREATION OBJECTIVES

The partners can leverage their in-depth industrial and business experience to offer practical support to the executives of the companies in the portfolio as they address challenges and exploit opportunities. The sector investment teams use their in-depth knowledge of their respective sectors to develop advice on the main strategic and operational initiatives. Within Apax Partners LLP, they benefit from the support of the Operational Excellence and Digital teams, whose management skills are complementary and who offer a vital contribution to Apax’s value creation strategy, in particular in areas such as strengthening the management teams, improving operational efficiency, and optimising IT systems and digital transformation. Furthermore, the Company has a Capital Markets team, which creates innovative financing solutions for portfolio companies. Within Apax Partners SAS, the sector investment teams rely on a debt director and a Chief Digital Officer, who is responsible for supporting portfolio companies in their digital transformation.

INVESTMENT PROCESS

Origination Investment opportunities can be identified:

„ principally byApax Partners’ sector teams, owing to their skills, their experience, and their contacts in the field, with the help of specific marketing programmes and tools; „ but also through the network of intermediaries set up and cultivated by Apax Partners.

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• ALTAMIR 2017

REGISTRATION DOCUMENT