Eurazeo / 2019 Universal Registration Document

Risk management Risk factors

4.2.1 Crisis linkedto Covid-19 pandemic 4.2.1.1

STRATEGICAND OPERATIONALRISKS LINKED TO ACTIVITY

SIGNIFICANT Risk that thecrisis linkedto theCovid-19 pandemic (i) negatively affects theperformanceof Eurazeoportfoliocompanies and/or (ii) alters the portfolio companies’ investment, ransformation, enhancement and divestment conditions. Generallyspeaking, an adverse change in the political and economic environment anda deterioration in the business climate, particularly in Europe, can alter investment conditions. Unfavorable economic prospects are also liable to have an adverse impact on the future p rformance ofcertain investments, which for Eurazeo could be reflected in the consolidated financial statements and NAV. As regards the geographic spread of the current portfolio, investments operate mainly in Europeandthe United States, making their performance particularlysensitiveto economic growth in these regions. Depending on their businessmodel, the activities of Eurazeo'smajority-owned investments have differing levels of sensitivityto changesin the economic environment. In thesefirst fewmonths of2020, the crisis linked to the Covid-19 epidemic, which isnow worldwide,will havesignificant consequences for the global economy. As of thedate ofthisUniversal Registration Document, the lock-down a dsocial distancingmeasuresimposed byan increasing number of States (notably in Europe and North America) have led to the slowdown andeven temporary closure of numerous businesses. Theeconomies of countries like Italy andSpainhave practically come to a standstill. It is difficultto predict when the Covid-19 epidemic will peak in Europe andthen North America. In the countries where Eurazeo’sinvestments operate, the governments have announced a certain number of measuresto support companiesduring the slow period imposed bythe propagation of the virusandthento kick-start the economy. From the beginningof the crisis,Eurazeo hasset up proceduresto constantlymonitor the impacts thatthe Covid-19 epidemic could have on its portfolio companies, particularly thoseexposedto tourismandtransport.As ofthe date ofthis Universal Registration Document, the Executive Board andall Eurazeo teams are mobilized to monitor the position f our investments and propose the best responses.Depending on the duration of lock-down measures andthe post-crisisrecovery period, the revenue, profitability and cash positionof these companiesmaybe impacted. Eurazeo has elected to favor investment in growing companies with a resilient businessmodel. Severalavenuesof growth have been identified: targets benefiting from major societal trends(ageing population,developmentof healthcare andrenewableenergies,riseof themiddle classes in emergingmarkets, changing consumer patterns) uchas healthcare,luxuryandbrands,technologyanddigital, financial services, the environment andenergy transition.

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Potentialeffects Change in the ability to transform, monetize anddivest our portfolio • companiesin line with the investment vision Reducedfundperformance • Decline in portfolio companies’ performance, likelyto be reflected • in Eurazeo’sfinancialstatements andNAV. Liquidityproblems for someportfoliocompanies •

Examples of risk mitigation measures Investment strategy partially in resilient businessmodels • Diversified portfolio • Geographic balance of portfoliocompanyactivity • Cautious debt ratio and/or level of covenants • Procedurestomonitor the impacts of COVID-19 •

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2019 UNIVERSAL REGISTRATION DOCUMENT