GILD Bankers
Corporate Profile
September 2008
GILD Bankers – Partnership
GILD Bankers is the leading Baltic investment bank launched in 1999 Six offices in Estonia, Latvia, Lithuania, Ukraine, Bulgaria and UK, employing around 80 people Partnership structure, fully owned by 12 active partners GILD Bankers – professional expertise, dedication and independence Regulated by Estonian Financial Supervision Authority
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ALTERNATIVE FUNDS INVESTMENT BANKING PRIVATE BANKING
Regional Reach of GILD Bankers
GILD Bankers Estonia
Alternative Funds Investment Banking Private Banking
GILD Bankers Latvia
Alternative Funds Investment Banking
GILD Bankers Lithuania
Alternative Funds Investment Banking Private Banking
GILD Bankers Ukraine
Alternative Funds Investment Banking
GILD Bankers Bulgaria
Alternative Funds
GILD Bankers United Kingdom
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Investment Banking Merchant Banking
Relationship Network
Relationship network
Extensive contact network among Baltic and CEE industry and opinion leaders. Long-term relations with Baltic private and institutional investors. Co-operation with foreign financial institutions is strengthening.
AIMA
GILD Alternative Funds is a member of the Alternative Investment Management Association (AIMA). AIMA's members represent over 75% of global hedge fund assets and over 70% of global fund of funds assets. AIMA has 1,280 corporate members in 49 countries. www.aima.org
INREV
Since Sept 2008 GILD Real Estate is also a member of European Association for Investors in Non-listed Real Estate Vehicles (INREV). INREV joins together more than 300 leading institutions and other market players. www.inrev.org
M&A International
GILD Investment Banking is a member of M&A International Inc. (MAI), a global alliance of 41 independent M&A advisory and investment banking firms in 40 countries. www.mergers.net
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GILD Alternative Funds
GILD Alternative Funds
Specialized alternative investment manager in Emerging Europe, serving both institutional investors and high-net-worth individuals.
Our family of funds consists of GILD Arbitrage, Emerging Europe multi-strategy hedge fund, GILD Long Haul private equity funds and GILD Real Estate funds. We manage close to EUR 160 mln in assets and our active investment funds have provided Investors with consistent average annual return of 23-31%. Today a majority of our Investors reside in the Baltics, but co-operation with ambitious Nordic and Western European institutional investors is on the rise. Investment team of approximately 20 talented people with different skills and experiences.
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GILD Alternative Funds – Partners
Taavi Lepmets – Partner of GILD Bankers and Head of Alternative Funds with more than 14 years of experience with Baltic and CEE alternative investments.
Joel Aasmäe – Partner and Principal of private equity fund GILD Long Haul II. More than 14 years of M&A experience in the Baltic countries. Tõnis Haavel – Partner, specialized on syndicated deals with asset based lending and investing. More than 15 years of experience in investment management. Kimmo Irpola – Partner and Principal of private equity fund GILD Long Haul II, more than 10 years of M&A and private equity experience in Europe, including the Baltic countries. Head of new private equity team. Tõnno Vähk – Partner and Fund Manager of hedge fund GILD Arbitrage. More than 10 years of experience in investment management.
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GILD Alternative Funds – Fund Managers
Tõnno Vähk, Partner and Fund Manager of hedge fund GILD Arbitrage
In 2004-2007 Co-manager of GILD Global Opportunity multi-strategy fund of hedge funds Previously Fund Manager of 6 LHV pension funds, in 1997-2000 worked Derivatives Department of Swedbank, whereas last 2 years as Head of Department BSc in Economics and Business from Stockholm School of Economics in Riga
Kimmo Irpola, Partner and Principal of private equity fund GILD Long Haul II
More than 10 years of M&A and PE experience Europe, including the Baltic countries, 7 years in 3TS Capital Partners, one of the leading PE houses in CEE region Over 15 years of Nordic and CEE technology and communication business experience M.Sc. from Helsinki University of Technology
Joel Aasmäe, Partner and Principal of private equity fund GILD Long Haul II
More than 14 years of M&A experience in Baltic countries Previously Head of Legal Department of Hansabank Markets MBA from NYU Stern School of Business
Urmas Laur, Fund Manager of real estate fund EEREIF
Urmas is one of the shareholders and founders of Uus Maa Real Estate Group, he has been working as a top executive in real estate firms since 1991 8 Urmas was founder and CEO of the Baltic largest real estate portal City24 in 2000 BSc from Tallinn Technical University
GILD Alternative Funds – AUM 2001-2008
Growth of assets under management starting from 2001 until June 2008
160 140 120 100 80 60 40 20 0
2001
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2002
2003
2004
2005
2006
2007
June 2008
GILD Alternative Funds
GILD Arbitrage • Multi-strategy hedge fund active in Emerging Europe with leading position in Baltic States taking advantage of local capital market inefficiencies. • Fund size: EUR 93 mln • Total net asset value: EUR 67 mln • Average net return since inception in April 2001 more than 23% p.a.
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New in 2008 GILD Long Haul II • Successor to success – we have proven achievement record and know-how from managing New Economy Ventures (GILD Long Haul I), our previous private equity fund. • The launch is planned in Q3-Q4 2008. • Target return: 30% p.a.
EEREIF (Eastern Europe Real Estate Investment Fund) • Closed-end real estate fund looking for hidden upsides in Emerging Europe commercial real estate market, both cash flow and development projects. • Fund size: EUR 65 mln • Total net asset value: EUR 38 mln • Average net return since inception in May 2005 25% p.a.
GILD Alternative Funds – GILD Arbitrage
Investment Objective Long-term maximum capital appreciation independent of the performance of equity and fixed income markets. Investment Strategy Opportunistic, focusing on short-term investment opportunities in countries / niches where the fund has strong market position. Target Return Market-neutral absolute net return of 20-25% p.a.
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GILD Arbitrage Fund Unit NAV
35 EUR 30 EUR 400% 25 EUR 20 EUR 15 EUR 200% 10 EUR 5 EUR Apr'01 Dec'01 Jun'02 Dec'02 Jun'03 Dec'03 Jun'04 Dec'04 Jun'05 Dec'05 Jun'06 Dec'06 Jun'07 Dec'07 Aug'08 100% 300% 500%
GILD Alternative Funds – GILD Long Haul II
GILD Long Haul II is the second private equity fund succeeding our previous successful private equity fund New Economy Ventures (GILD Long Haul I). New Economy Ventures (GILD Long Haul I) was established in 1999 by GILD partners. It was focusing on new media and technology. Over the last 9 years the fund has provided its investors with average yearly return of more than 31%. GILD Long Haul II will focus on small to medium size Baltic and CEE companies with big growth potential. The aimed fund size is EUR 50 mln and target annual net return is 30%. The launch of GILD Long Haul II is planned in Q3-Q4 2008.
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EEREIF – New Europe Commercial Real Estate
Investment Objective Long-term maximum capital appreciation on real estate investments.
Growth of Investment Value
Investment Strategy EEREIF is focused on adding value through professional property management in cooperation with tenants, partners and investors. Target Return Annual net return of 15-20%.
200% 180% 160% 140% 120% 100% Q1'05 Q2'05 Q4'05 Q2'06 Q2'06 Q2'07 Q4'07 Q2'08
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GILD Alternative Funds – Investor Relations
Today we have more than 320 investors from 9 countries Historically most of our investors have been and still are „friends and family” In 2007 the share of institutional investors in our funds grew considerably and today it is more than 40% Already today more than 25% of investors are from outside Estonia and we expect this number to increase dramatically this year
Natural persons (HNWI) 15% GILD 8%
Institutional investors 42%
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Investment firms (HNWI) 35%
GILD Alternative Funds – Achievements 2007
GILD Arbitrage was the first risk capital fund registered in Estonia by Financial Supervision Authority More structured investment process Two new Partners in Alternative Funds department New Sales & Investor Relations team established Refined Middle & Back Office processes Geographical shift of investments – more than 50% of fund investments are outside Baltics Considerable growth of GILD Arbitrage and EEREIF fund sizes
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GILD Alternative Funds – Milestones 2008
Swapping Investors from AS GILD Arbitrage notes into fund units of GILD Arbitrage Risk Capital Fund In March 2008 the legal structure of EEREIT (Eastern Europe Real Estate Investment Trust) was changed to regulated real estate fund EEREIF (Eastern Europe Real Estate Investment Fund), since then we have been swapping Investors from their current notes into fund units New private equity fund GILD Long Haul II to be launched in Q4 2008 In Sept 2008 GILD Bankers acquired additional 50% share of the company from Uus Maa, becoming the sole shareholder of GILD Real Estate Expanding our Investor base to new foreign markets
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Implementing new CRM (Customer Relations Management) system
GILD Investment Banking
GILD Investment Banking
Highly skilled and motivated team of 30 professionals across the Baltics, Ukraine and UK.
MERGERS & ACQUISITIONS
Personal experience from major Baltic transactions. Extensive contacts among Baltic industrial and opinion leaders.
CAPITAL RAISING
Completed over 130 transactions with a combined value around EUR 3 bln. Providing a wide range of tailor-made solutions. In 2008 prominent international finance magazine Euromoney awarded GILD Bankers as the Best M&A House in Estonia in the Euromoney Awards for Excellence 2008
ADVISORY SERVICES
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GILD Investment Banking
Investment Banking experience
Transaction experience • • • • • • • • M&A IPO Bonds Securitization Mezzanine Private equity Bank loans Syndicated loans Sector knowledge • • • • • • • • • IT Food Transport Utilities Construction Retail Health care Media Telecom
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Additional value to our customers and partners
GILD Private Banking
GILD Private Banking
Service philosophy Exclusive specialization in investment management and advisory services for high-net worth individuals Combine private wealth management with existing in-house expertise in investment banking (corporate finance) and alternative asset management Maintain full independence – 100% open investment architecture (focused on “best in class” product selection) Solutions driven – addressing specific personal needs and high degrees of customization GILD seeks to become a leading independent Baltic private bank, offering high degrees of flexibility and an arms-length ”boutique” feel towards offered services
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GILD Private Banking Services
Customized investment portfolio management and investment advisory services Tailored investment strategies (model portfolios) with different risk/return profiles Advice and access to alternative asset classes Investment strategies with capital protection and tailored return profiles Independent evaluation and advice on third party investment products Second opinion on client’s existing investments Availability of consultations with senior corporate finance staff on e.g. company ownership issues
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GILD Bankers Contacts
Tallinn Office Ph: +372 6 800 401 Fax: +372 6 800 410 City Plaza, Tartu mnt 2, 19th floor Tallinn 10145, Estonia Riga Office Ph: +371 7 502 000 Fax: +371 7 502 001 Brivibas iela 40-31 Riga LV- 1050, Latvia Vilnius Office Ph: +370 52 685179 Fax: +370 52 791598 Tilto g. 35/4 Vilnius LT-01101, Lithuania Kiev Office Ph: +380 44 235 7991 Puskinska 27 Kiev, Ukraine
Sofia Office Ph: +359 2 9264 260/261 Fax: +359 2 9264 262 Saborna 2a Sofia 1000, Bulgaria London Office Ph: +44 777 581 31 07 London, United Kingdom
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www.gildbankers.com
GILD Bankers Contacts
Departments Alternative Funds
Tallinn office Ph: +372 6 800 408 Fax: +372 6 800 403 Riga office Ph: +371 6721 8510 Fax: +371 6721 8511 Vilnius office Ph: +370 5262 9789 Fax: +370 52629729 Sofia office Ph: +359 2 9264 260/261 Fax: +359 2 9264 262 Kyiv office Ph: +380 44 235 7991 24
Investment Banking
Tallinn office Ph: +372 6 800 401 Fax: +372 6 800 410 Riga office Ph: +371 7 502 000 Fax: +371 7 502 001 Vilnius office Ph: +370 52 685179 Fax: +370 52 791598 Kyiv office Ph: +380 44 235 7991 London office Ph: +44 777 581 31 07
Private Banking
Tallinn office Ph: +372 6 800 401 Fax: +372 6 800 410 Vilnius office Ph: +370 686 45590 Fax: +370 52 791598
www.gildbankers.com