Quest for Growth by yaoyufang

VIEWS: 3 PAGES: 63

									   Quest for Growth
Annual results June 30, 2005
      Analyst meeting
         July 29, 2005


                               1
    Agenda


Introduction
Annual results & performance QfG
Comments on quoted portfolio
Comments on unquoted portfolio
  Overview of QfG’s unquoted portfolio
  Overview of the European PE/VC market
EGM on September 15th, 2005
Q&A                                       2
3
    Agenda


Introduction
Annual results & performance QfG
Comments on quoted portfolio
Comments on unquoted portfolio
  Overview of QfG’s unquoted portfolio
  Overview of the European PE/VC market
EGM on September 15th, 2005
Q&A                                       4
                       Valuation QUEST FOR GROWTH

         Stock Price                             Net asset value/share

        30/06/2005               30/06/2005           31/12/2004            30/06/2004

    stock: 7.90 EUR              11.74 EUR*            11.17 EUR            10.89 EUR

    warrant: 0.14 EUR                      Source: Quest for Growth's estimate
       * If all warrants were exercised at 8 EUR per share, the net asset value per share
       would be 9.87 EUR.
  The full portfolio overview at the end of June is available on the website.
www.questforgrowth.com                                          e-mail: quest@questforgrowth.com




                                                                                               5
                           Balance Sheet at June 30, 2005

                                           2005             2004                                                    2005              2004
                                                 th               th                                                      th
ASSETS                                 June 30          June 30        LIABILITIES                              June 30           June 30th
                                                 €                €                                                       €               €
Fixed Assets                         62,868,370       52,501,463       Capital and Reserves                  63,597,611        58,998,051
Formation expenses                      144,869          349,796       Issued capital                        117,227,567       117,227,567
Financial assets                      62,723,501       52,151,667      Profit / Loss carried forward         (53,629,955)      (58,229,516)
   Shares                              54,995,169
   Amounts receivable                   7,728,332

Current Assets                         903,671         6,566,458       Amounts payable                          174,430            69,870
Amounts receivable within one year      120,678              702       Amounts payable within 1 year              49,707            69,870
   Financial debts                               0           702           Financial debts                                0               0
   Trade debts                          120,678                   0        Trade debts                             6,002            12,454
Term Deposits                                    0      6,259,778          Taxes                                          0               0
Cash at Bank and in hand                264,071          153,347           Other amounts payable                  43,705            57,416


Deferred charges and accrued            518,922          152,631       Accrued charges and deferred income       124,723                  0
        income

TOTAL ASSETS                         63,772,041       59,067,921       TOTAL LIABILITIES                     63,772,041        59,067,921
                                                                                                                                      6
                               Profit and loss account at June 30, 2005

                                                         2005          2004            2003           2002           2001         2000
                                                     June 30th     June 30th       June 30th      June 30th      June 30th    June 30th
                                                                           €              €              €              €              €


Operating income and charges
Gross operating income                               6,603,843    15,424,831    (10,878,677)   (45,340,117)   (18,206,833)   60,462,882
Depreciation and other amounts written off           (204,927)     (204,923)      (199,593)      (182,201)      (118,110)        (4,407)
Other operating charges                             (1,662,256)   (1,876,765)    (2,623,904)    (2,680,930)    (2,572,382)   (1,605,142)

Operating profit / Loss                              4,736,660    13,434,143    (13,702,174)   (48,203,248)   (20,897,325)   58,853,333

Financial income                                       293,088       328,747      1,191,970        694,714      2,629,872     1,217,971
Financial charges                                    (430,187)     (897,215)     (1,688,735)    (1,802,602)    (1,256,123)   (3,645,226)

Profit / Loss on ordinary activities before taxes    4,599,561    12,774,675    (14,198,939)   (49,311,136)   (19,523,576)   56,426,078

Income taxes                                                 0             0              0              0              0              0

Profit / Loss for the period                         4,599,561    12,774,675    (14,198,939)   (49,311,136)   (19,523,576)   56,426,078

                                                                                                                                   7
                           Quest for Growth profit/(loss) contribution by
                           investment category (€ m)




                                                                    2004-2005
                                        FY 2003 - 2004                                            FY 2004 - 2005
                                                            Q1       Q2           Q3       Q4

Quoted unquoted :                                 1,87    (0,23)    0,49        (0,16)   (0,22)            (0,11)
Unquoted :                                       (0,19)   (0,07)    0,05         1,69    (1,89)            (0,23)
VC Funds :                                       (0,34)   (0,27)   (0,04)        0,30    (0,20)            (0,21)

Total unquoted :                                 1,33     (0,57)   0,51         1,83     (2,32)            (0,55)
Quoted portfolio :                              14,09     (2,95)   4,63         3,69      2,24              7,60
Other (incl. Intrest, Currency hedge,
Management fee, general costs)                   (2,65)   (0,23)   0,11         (1,24)   (1,09)            (2,45)

Quest for Growth :                              12,77     (3,76)   5,24         4,28     (1,17)            4,60




                                                                                                               8
                      Quest for Growth profit/(loss) contribution by
                      investment category (€ m)


             8 mio    Resultaat per beleggingscategorie per kwartaal
             6 mio
             4 mio
             2 mio
€ miljoen




             0 mio
            -2 mio
            -4 mio
            -6 mio
            -8 mio
            -10 mio
            -12 mio
                      Q1   Q2    Q3    Q4    Q1       Q2       Q3    Q4        Q1       Q2   Q3     Q4


                           Genoteerd    Genoteerd - Niet genoteerd        Niet genot eerd    Durfkapitaalfondsen



                                                                                                                   9
      Performance of QfG NAV compared to
      Market Indices to June 30, 2005

25%       QfG Net Asset Value
         Nasdaq (in euro)
         New Markets 50
20%      NextEconomy



15%



10%



5%



0%
       Since December 31st, 2004   Since June 30th, 2004
                                                           10
QfG shares compared to the markets




                                     11
                                 Quest for Growth share price discount to intrinsic
                                 value remains high
                                 QfG Discount, Discount to fully diluted and Average Stock price discount

65,00%                                                                                                                                                     Highest Discount:
                                                                                                                                                            Highest Discount:
                                 Discount 32,72%                                                                                                           07 Oct 02: 57.66%
                                                                                                                                                            07 Oct 02: 57.66%
                                 Average Discount
55,00%                           Discount to fully diluted 19,97%



45,00%



35,00%



25,00%



15,00%
                                                                                                                                                             30 June 04
                     Lowest Discount:                                                                                                                         30 June 04
                      Lowest Discount:                                                                                                                    Discount: 32.03%
5,00%               25 Nov 1998: -3.64%                                                                                                                    Discount: 32.03%
                     25 Nov 1998: -3.64%                                                                                                            Discount Fully Diluted: 21.64%
                                                                                                                                                     Discount Fully Diluted: 21.64%
         11/98
                 02/99
                         05/99
                                 08/99
                                         11/99
                                                 02/00
                                                         05/00
                                                                 08/00
                                                                         11/00
                                                                                 02/01
                                                                                         05/01
                                                                                                 08/01
                                                                                                         11/01
                                                                                                                 02/02
                                                                                                                         05/02
                                                                                                                                 08/02
                                                                                                                                         11/02
                                                                                                                                                 02/03
                                                                                                                                                         05/03
                                                                                                                                                                 08/03
                                                                                                                                                                         11/03
                                                                                                                                                                                 02/04
                                                                                                                                                                                         05/04
                                                                                                                                                                                                 08/04
                                                                                                                                                                                                         11/04
                                                                                                                                                                                                                 02/05
                                                                                                                                                                                                                         05/05
-5,00%




                                                                                                                                                                                                                                 12
Quest for Growth: Warrant 2002-2005


 Eigenschappen:

  –   1 warrant voor 1 aandeel

  –   Geeft het recht om in te schrijven op een nieuw
      gewoon aandeel Quest for Growth;

  –   Laatste uitoefenperiode:
      vanaf 3 oktober tot 20 oktober 2005;

  –   Uitoefenprijs: 8 €



                                                        13
Quest for Growth: Warrant 2002-2005


   Factoren die de koers van de warrant
   bepalen:

    – Intrinsieke waarde

    – De tijdsfactor

    – De volatiliteit




                                          14
Quest for Growth: Warrant 2002-2005
Interactie tussen het aandeel en de warrant


 Indien de warrant afloopt zonder waarde, zal de koers stijgen:
     Omdat gans de waarde van Quest for Growth dan terug
     geconcentreerd zit op het aandeel alleen;
     Omdat de notie “discount fully diluted” dan wegvalt en de
     gewone discount dan wellicht terugkeert naar circa 20%.
 Indien de warrant wordt uitgeoefend is dit ook positief voor de
 beurskoers want:
     Dit zal slechts gebeuren indien de koers duidelijk boven de 8
     euro staat;
     Dit geeft een aantal postitieve effecten:
        Minder discount op inflow cash,
        Kosten per aandeel verminderen
        Hogere market cap & hogere liquiditeit.

                                                                     15
        QfG’s fund structure at June 30, 2004




  At June 30th, 2005 Quest for Growth was fully
compliant with the investment rules as presented in
   the prospectus, which was approved by the
  Banking, Finance and Insurance Commission




                                                      16
                          Evolution of QfG fund structure

                                            Quest for Growth per Investment Category




           95%


           75%
Euro (m)




           55%


           35%


           15%


           -5%
                                                                                mei/04




                                                                                                                                                                                            mei/05
                                                              mrt/04




                                                                                                                                                                          mrt/05
                                                                                                  jul/04
                                            jan/04




                                                                       apr/04



                                                                                         jun/04




                                                                                                                                                        jan/05




                                                                                                                                                                                   apr/05



                                                                                                                                                                                                     jun/05
                 okt/03

                          nov/03




                                                     feb/04




                                                                                                           aug/04

                                                                                                                    sep/04

                                                                                                                             okt/04

                                                                                                                                      nov/04




                                                                                                                                                                 feb/05
                                   dec/03




                                                                                                                                               dec/04




                           Cash                  Quoted                         Quoted Unquoted                                  Commitments                               Unquoted                           17
                Distribution of the portfolio by sector
                June 30, 2005

               Quoted Option
      Cash & Other Net Assets
Funds & Diversified Companies
              Semiconductors
                  IT Services
         Telecommunications
                    Software
                       Other
        Technology Hardware
            Pharma & Biotech
                            0



                                         0



                                                      0



                                                                   0



                                                                                00



                                                                                              00



                                                                                                            00
                                     0.00



                                                  0.00



                                                               0.00



                                                                            00.0



                                                                                          00.0



                                                                                                        00.0
                                2.50



                                             5.00



                                                          7.50



                                                                       10.0



                                                                                     12.5



                                                                                                   15.0
                                                                                                                 18
                 Sector split evolution (quoted companies)


100%


80%



60%


40%



20%


 0%
   06/2003     09/2003     12/2003   03/2004     06/2004 09/2004   12/2004   03/2005       06/2005

   Technology Hardware                IT Services                    Pharma & Biotech
   Semic onductors                    Software                       Telec ommunications
   Funds & Diversified Companies      Other                          OTC Options

                                                                                                     19
              Distribution of the portfolio by geography
                        Invested part of the portfolio by country
                                    at June 30, 2005

         P ortu gal
           C an ad a
           N orw ay
           Fin lan d
           Ire lan d
          Sw e d e n
             Sp ain
      Lu x e m b u rg
                 US
        G e rm an y
           Fran ce
    N e th e rlan d s
U n ite d K in gd om
          Be lgiu m
                                                              0.000



                                                                       0.000



                                                                                0.000



                                                                                         0.000



                                                                                                  0.000



                                                                                                           0.000



                                                                                                                    0.000
                              .000



                                          .000



                                                      .000
                    0


                         2.500



                                     5.000



                                                 7.500



                                                             10.00



                                                                      12.50



                                                                               15.00



                                                                                        17.50



                                                                                                 20.00



                                                                                                          22.50



                                                                                                                   25.00
                                                                                                                            20
    Agenda


Introduction
Annual results & performance QfG
Comments on quoted portfolio
Comments on unquoted portfolio
  Overview of QfG’s unquoted portfolio
  Overview of the European PE/VC market
EGM on September 15th, 2005
Q&A                                       21
                                                                                                     0%
                                                                                                     5%
                                                                                                    10%
                                                                                                    15%
                                                                                                    20%
                                                                                                    25%
                                                                                                    30%
                                                                                                    35%
                                                                Au           Te
                                                                                 ch
                                                                     tom            no
                                                                          ob             log
                                                                              ile              y




                                                                                                    3%
                                                                                 s&
                                                                                        pa
                                                                                             r ts




                                                                                                    4%
                                                                    Fo               Me
                                                                        od
                                                                             &              dia




                                                                                                     5%
                                                                                Be
                                                                                    ve
                                                                                         rag
                                                                                               e




                                                                                                     5%
                                                                      Tra            Re
                                                                                            tai
                                                            Pe             vel                  l



                                                                                                     5%
                                                                 rso            &L
                                                                      na             e is
                                                                          l&                ure

                                                                                                          8%
                                                                               Hh
                                                                                   .G
                                                                                        oo
                                                                               Ins           ds
                                                                                   ura




     source : DJ Stoxx, Bloomberg, Quest Management
                                                                                          nc
                                                                Te          He                e
                                                                                                                                                                                                                                  Sector performances




                                                      Ind           lec          alt
                                                                                     hC
                                                          us            om                  are
                                                             tria            mu
                                                                                                               12% 12% 12%




                                                                  lG              nic
                                                                      oo
                                                                                                                                                                                                                                                        Market environment




                                                                                      a ti
                                                                           ds               on
                                                                                                s
                                                                                                                12%




                                                                               &S
                                                                                    erv
                                                                           DJ              ice
                                                                                Sto             s
                                                                                     xx
                                                                                           60
                                                                                                0
                                                                                     Ba
                                                                                           nk
                                                                              Ch               s
                                                                                                                        14% 15% 16%




                                                                      Ba           em
                                                                           sic          ic a
                                                                                              ls
                                                                                                                                17%




                                                                   Fin          Re
                                                                       an           so
                                                                                        urc
                                                                           c ia
                                                                                lS             e
                                                                                                                                      23%




                                                                                   erv
                                                                                          ice
                                                                                               s
                                                                                                                                       24%




                                                                                Oil
                                                                                     &G
                                                                                                                                                            DJ STOXX (Europe) sector performances from 30/06/2004 to 30/06/2005




                                                          Co                                 as
                                                              ns
                                                                  tru              Ut
                                                                      cti              iliti
                                                                          on                 es
                                                                              &M
                                                                                                                                            26% 26%




                                                                                    a te
                                                                                           ria
                                                                                               ls
                                                                                                                                                      30%




22
                 Market environment
                 Economic outlook improving ?
                         Leading indicators US & Germany
   110                                                                65

   105                                                                60

   100                                                                55

     95                                                               50

     90                                                               45

     85                                                               40
       1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005

                                 IFO Germany Business Climate (LHS)
                                 US - ISM Manufacturing (RHS)
source : IFO, ISM, Bloomberg, Quest Management
                                                                           23
                Technology sector
                Changing characteristics : valuation


                DJ STOXX (Europe) Technology 12 month forward P/E
                            + premium versus market
    70                                                                                       250%

    60                                                                                       200%
    50
                                                                                             150%
    40
                                                                                             100%
    30

    20                                                                                       50%

    10                                                                                       0%
     95


              96


                       97


                                98


                                        99


                                                00


                                                        01


                                                                02


                                                                        03


                                                                                04


                                                                                        05
  19


           19


                    19


                             19


                                     19


                                             20


                                                     20


                                                             20


                                                                     20


                                                                             20


                                                                                     20
             P/E DJ Stoxx Tech (LHS)                 premium (%) vs DJ STOXX (RHS)
source : JCF, Quest Management
                                                                                                    24
                Technology sector
                Changing characteristics : financial situation


             European & North American Technology :
                        financial situation
    100                                                                   3%
         0                                                                0%
   -100                                                                   -3%
   -200                                                                   -6%
   -300                                                                   -9%
                1999        2000     2001   2002   2003   2004 E 2005 E

                                 Net debt in bn $ (LHS)
                                 Net debt as % market cap (RHS)
source : JCF, Quest Management

                                                                                25
              Technology sector
              Tech stocks outperforming the market again since May

                Relative performance technology stocks
 1.05
 1.00
 0.95
 0.90
 0.85
 0.80
D 04
S e 04

O 4




Ja 4
N 04




M 5
M 05

Ap 5
Fe 05




       05
Ju 5
Au 4




        5
     -0
       0




     -0




    r-0
     -0
    l-0




    l-0
      -
     -




   b-
   n-




   n-
   g-
   p-


  ov




  ar


  ay
   ct


  ec
 Ju




 Ju
                            DJ Stoxx Tech relative to DJ Stoxx
                            Nasdaq Composite relative to S&P500
source : Bloomberg, Quest Management
                                                                     26
                 Technology sector
                 Semiconductor sector anticipating (modest) recovery

                             Semiconductor y-o-y sales growth &
                              SOX (Phila. Semiconductor) index
   120%                                                                           1200
   100%
                                                                                  1000
    80%
    60%                                                                           800
    40%
                                                                                  600
    20%
     0%                                                                           400
   -20%
                                                                                  200
   -40%
   -60%                                                                           0
       91

       92

       93

       94

       95

       96

       97

       98

       99

       00

       01

       02

       03

       04

       05
    19

    19

    19

    19

    19

    19

    19

    19

    19

    20

    20

    20

    20

    20

    20
                      y-o-y (3m avg.) semi sales growth (LHS)   SOX Index (RHS)

source : SIA, Semicon Exchange, Bloomberg, Quest Management
                                                                                         27
                      Telecom sector
                      Attractive valuation based on free cash flow generation

                                   P/E            FCF yield        Dividend yield
                              2005 e   2006 e   2005 e    2006 e   2005 e    2006 e
   Belgacom                     13.5     13.9    11.0%      9.8%     4.7%       4.7%
   BT                           12.8     11.4     7.7%      8.4%     4.9%       5.7%
   Deutsche Telecom             11.2      7.8    13.4%     12.9%     4.9%       5.5%
   Eircom                        8.3      7.1    17.0%     18.0%     6.0%       7.6%
   France Telecom               12.2     10.3    14.7%     15.3%     4.1%       4.3%
   KPN                          10.8     10.1    13.5%     13.8%     5.9%       6.9%
   Swisscom                     13.7     13.9     9.1%      8.6%     3.6%       3.6%
   Telecom Italia               14.9     13.3     9.1%     10.2%     4.8%       5.0%
   Telefonica                   16.0     12.8    10.8%     12.9%     4.4%       5.4%
   Incumbent median             13.2     11.6    10.9%     11.6%     4.6%       4.9%
   Cosmote                      14.9     14.4     6.7%      7.7%     4.9%       5.4%
   O2                           15.3     15.6     4.0%      4.9%     2.8%       3.2%
   Mobistar                     15.8     14.8     5.4%      6.5%     3.8%       5.0%
   TEM                          20.1     14.6     6.7%      9.4%     2.5%       4.1%
   Vodafone                     12.0     10.9     8.5%      9.7%     3.2%       3.6%
   Mobile median                15.3     14.8     6.7%      8.0%     2.9%       3.6%
   Sector median                14.0     13.1     8.9%      9.8%     4.0%       4.7%
source : Lehman 4 July 2005
                                                                                       28
               Telecom sector
               M&A activity accelerating

RECENT ACQUISITIONS IN EUROPEAN TELECOM (announced or completed)
    date   operator         acquisition              price (€m)
 27-Jul-05 France Telecom   Amena (80%)                    6400
 25-Jul-05 Eircom           Meteor                          420
 21-Jul-05 Swisscom         Antenna Hungary (75%)           183
 18-Jul-05 Tele2            Versatel                       1340
 14-Jul-05 Tele2            Comunitel (Spain)               257
 13-Jul-05 Telecom Austria  Mobiltel (Bulgaria)            1600
 12-Jul-05 Telefonica       China Netcom (3%)               320
 08-Jul-05 Elisa            Saunlalahti                     320
 08-Jul-05 Cosmote          CosmoRom (70%)                  120
 08-Jul-05 Telenor          B2 (Sweden)                      654
 28-Jun-05 KPN              Telfort                        1200


source : Bloomberg, Deutsche Bank, Quest Management

                                                                   29
                      Portfolio quoted equity
                      Largest holdings

                 country        sector/activity                                                   % 30/06/05

Option           Belgium        mobile data communications products                                    5.4%

EVS              Belgium        digital image-processing systems for television broadcasters           4.9%

Neteller         UK             online money transfer services                                         3.0%

Plethora         UK             specialty pharmaceutical co. focused on urological disorders           2.8%

Vodafone         UK             telecommunication services                                             2.6%

ASM International Netherlands   semiconductor equipment                                                2.4%

O2               UK             telecommunication services                                             2.4%

Mobistar         Belgium        telecommunication services                                             2.2%

Prostrakan       UK             specialty pharmaceutical co.                                           2.2%

Philips          Netherlands    semicond., lighting, healthcare, cons. electronics & appliances        2.1%
                                                                                                        30
Transactions quoted equity
4th quarter 04/05




                             31
                  Examples of introductions
                  Grenkeleasing

• Germany’s leading small ticket IT leasing company with 35-40% market share
• Increasing penetration of office equipment leasing
• Foreign expansion becoming important growth driver
• High efficiency


                                                                                    2004 pre-tax profit
Price at 25 July 05                Growth                                 Switzerland Other
                                                                              6%       1%
Price (€)               37.2       EPS growth 04 :          20%        France
                                                                        13%
Market cap €m :          506       EPS growth 05 :          27%
                                   EPS growth 06 :          17%                                       Germany
                                                                                                        80%
Valuation
P/E 05 :                  17       Financial strength                                2004 pre-tax profit
P/E 06 :                  14       ROE 04 :                 17%                                             Internet leasing
Dividend yield 04 :      1%        EBIT margin 04 :            -                                                  48%

                                                                   Conventional
FCF yield 04 :           6%        Net debt / equity 04 :   -37%     leasing
                                                                       52%

source : Bloomberg, company data, Quest Management
                                                                                                                               32
                  Examples of introductions
                  ICT Automatisering

• Leader in the market of embedded software in the Netherlands
• Above average margins with strong operational leverage
• Significant cash position & generous dividend policy
• Uncertainty contract with Siemens mobile phones unit created buying opportunity


Price at 25 July 05                Growth                                          2004 sales

Price (€)              13.36       EPS growth 04 :          40%
Market cap €m :          113       EPS growth 05 :          35%
                                                                   ICT Solutions                ICT Embedded
                                   EPS growth 06 :          20%        44%                           56%

Valuation
P/E 05 :                  16       Financial strength
P/E 06 :                  13       ROE 04 :                 15%
Dividend yield 04 :      4%        EBIT margin 04 :         10%
FCF yield 04 :          neg.       Net debt / equity 04 :   -66%

source : Bloomberg, company data, Quest Management
                                                                                                               33
    Agenda


Introduction
Annual results & performance QfG
Comments on quoted portfolio
Comments on unquoted portfolio
  Overview of QfG’s unquoted portfolio
  Overview of the European PE/VC market
EGM on September 15th, 2005
Q&A                                       34
                           Direct investments in unquoted companies –
                           Technology

Active portfolio companies - Technology
Valuation in EUR
(incl. Exch. Rate variations)
                              30/06/2005 30/06/2004                                   Comments
Clear2Pay               1.999.970          n/a        QfG invested € 2 million in Clear2Pay in October 2004. Clear2Pay is a
                                                      software vendor, specialized in next generation payment solutions.
Concept Group            741.620           n/a        In March 2005, QfG invested £500,000 into Concept Group Holdings, a
                                                      private company based in Coventry, U.K. that is active in automotive
                                                      design and development services and technology.
Metris                  1.000.003          n/a        On April 14, 2005 QfG announced the investment of € 1,000,000 in Metris
                                                      NV/SA, a Leuven (Belgium) based private technology company providing
                                                      integrated solutions for 3D laser scanning, dimensional quality control and
                                                      reverse engineering.Metris provides total solutions for 3D digitizing, 3D
                                                      inspection and reverse engineering targeting the design and manufacturing
                                                      community.
Welcome RT               484.662           n/a        In april 2005, QfG invested € 485,000 in Welcome, a private software
                                                      company based in Aix-en-Provence and specializing in enhanced EMV
                                                      smart card software.



                                                                                                                             35
     QfG invested €2 million in Clear2Pay


QfG invested €2 million in a €6.1 million round in which
also Koceram (Belgium) and Technology Venture Partners
(Australia) participated.
Clear2Pay is a next generation payment software provider
Clients include global and major regional financial
institutions such as ING, SEB Kort, LuottoKunta, VISA
Europe, MasterCard, ANZ, National Australia Bank, ABN
AMRO, Commonwealth Bank and Reserve Bank of
Australia.
Clear2Pay operates out of Belgium, the Netherlands,
Spain, United Kingdom, Australia and Singapore and
currently employs over 120 staff.

                                                           36
      QfG invested £500,000 into Concept Group


Concept Group is an independent automotive and product
design company which uses unique technology and
processes to accelerate the time from concept to production
ready prototypes. The company is based in Coventry, U.K.
Automotive producers are increasingly keen to move from
in-house design to specialist outside capability. Concept
Group can offer a much faster process, which means
significant cost changes. As an example, the recent project
completed for Jaguar moved from clay model to fully
working production car in 100 days, compared to an
industry standard practice of 270 days.
QfG invested £ 500,000 through a convertible loan note.

                                                              37
      On April 14th, QfG announced a € 1 million
      investment into Metris

Metris provides total solutions for 3D digitizing, 3D
inspection and reverse engineering targeting the design and
manufacturing community. Metris is primarily focusing on
the automotive and aerospace industry. Metris has acquired
Krypton (Belgium) and MetricVision (US), two companies
active in the same sector. The two acquisitions will more than
double Metris’ annual turnover, raising it from 10 to 25
million euro, and the number of its employees will grow from
61 to 130.
To finance the two takeovers, Metris has raised more than 20
million euro. All current shareholders, including lead investor
GIMV as well as Dexia, Fortis, KBC, Privast, NIF Ventures
and the management underwrote the investment round Quest
for Growth entered Metris’ capital as a new shareholder.          38
      QfG invested €485,000 into Welcome RT, a
      private french software company

On May 3rd, 2005 QfG announced the investment of €
485,000 in Welcome, a private software company based in
Aix-en-Provence and specializing in enhanced EMV smart
card software.
Welcome is the world’s leading provider of payment
software that utilizes the full capabilities of EMV standard
(Europay-MasterCard-Visa) chip credit and debit cards.
Welcome’s XLS software helps banks use EMV to combat
fraud and commoditization at the same time.
Welcome works with major banks and financial institutions
around the world.
 The Company is headquartered in Aix-en-Provence, France,
with offices and R&D facilities in Singapore, Philadelphia
and Sao Paulo.                                                 39
                               Direct investments in unquoted companies –
                               Life Sciences
Active portfolio companies - Life Sciences
Valuation in EUR
(in cl. Ex ch . R at e vari ati on s) 30/06/2005 30/06/2004                              Comments
Cyclacel                    1.483.237        1.490.866
                                                       Cyclacel is a biopharmaceutical company that designs and develops small
                                                       molecule drugs that act on key cell regulators to stop uncontrolled cell
                                                       division in cancer and other diseases involving abnormal cell proliferation.
Idea                         695.630            n/a    Idea is a dermatology company based in Munich. In February, QfG invested
                                                       € 695 into the company and has reserved already € 1,3 million for a follow
                                                       on investment later during the year.
Omrix                       1.653.986            0     Omrix Biopharmaceuticals is a marketing stage biotechnology company
                                                       that develops and markets a unique surgical sealant, Quixil, as well as a
                                                       suite of immunology and hemophelia products.
Oxagen                        6.198           93.180   Oxagen is a genomics company with a broad technology base that uses
                                                       collections of genetic data from large-scale family studies. QfG did not take
                                                       part in its last financing round, which was a downround.
Plethora Solutions          1.776.046        1.490.868 QfG invested an additional £ 400,000 into Plethora Solutions on March 8,
                                                       2005. The company obtained a listing on AIM as of March 24th, 2005.
ProStrakan Group            1.368.288           n/a    QfG invested £ 2 million into ProStrakan in October 2004, , a specialty
                                                       pharmaceutical company. The company went public in June 2005.
Wilex                       1.000.001           n/a    Wilex AG, based in Munich (Germany), is a European biopharmaceutical
                                                       company that is developing novel cancer therapies for the treatment of
                                                       various tumors. QfG invested €1 million in Wilex in April 2005, and did
                                                                                                                                40
                                                       commit to invest another €1 million later in 2005.
     IDEA AG


IDEA is a product company that develops therapeutics
using self-optimising carriers for targeted and non-
invasive delivery of drugs, including proteins. The
Company aims to establish itself as a specialty pharma
company in dermatology, supported by milestones and
royalties from its pain product development and
commercialisation. Each of IDEA’s product candidates is
targeting a large market with > 35m patients, using
established, low risk drugs and innovative delivery
technology platforms.
Year of Investment: 2005
Co-investors: Life Science Partners, 3i, MPM
                                                          41
     Revaluation of
     Omrix Biopharmaceuticals

On January 13th Omrix Biopharmaceuticals completed a
recapitalisation, removing the vast majority of outstanding
debt.
In addition it signed a major marketing and distribution deal
(USA & Europe) with Johnson & Johnson.
Post this restructuring QfG has 4% of the restructured
company, with all shareholders having common stock.
The board of Quest for Growth approved the restatement of
value of Omrix shares into the NAV at the original investment
value of $2,000,000 (€ 0.28 per share).
The Board decided however that there was not enough
certainty to additionally revalue the company.
                                                                42
     Plethora Solutions:
     follow-on investment and listing

In the beginning of March 2005, QfG made a follow on
Investment of £400,000 in Plethora Solutions. This
investment was specifically to allow the company to take
advantage of an in-licensing opportunity.
From March 24th, Plethora Solutions has a listing on AIM.
The company raised £ 10 million Raised at 135p per share
leading to a market capitalisation of about £ 30 million.




                                                            43
         Prostrakan


Based in the UK, Prostrakan is an independent emerging specialty
pharmaceutical company engaged in the research, development and
commercialisation of prescription medicines for the treatment of
unmet therapeutic needs in major markets. The focus of our activities
is mainly, but not exclusively, on bone and skin disorders - including
osteoporosis, onychomycosis and acne as well as HRT and angina.
Year of Investment: 2004
Co-investors: Warburg Pinkus, 3i
The company decided to follow an IPO strategy to allow it to have
liquid paper to pursue its strategy of growth by acquisition. This led
to a an IPO taking place at a pricing not of the approval of Quest.

                                                                    44
                         Applied discount for lock-up agreements

                                                                                                 Applied discount

                     Valuation in €                 Lock-up
                                         IPO                     Current     31/10/2005   30/11/2005    31/12/2005   31/01/2006   28/02/2006 31/03/2006
                     at 30/6/2005                  agreement

                                                                  25%         25%          20%           15%          10%          5%           0%

Plethora Solutions    1.776.046       24/03/2005   12 months     592.015     592.015      473.612       355.209      236.806      118.403        -

ProStrakan Group      1.368.288       15/06/2005   9 months      456.096     456.096      364.877       273.658      182.438       91.219        -

                                                       Total:   1.048.111   1.048.111     838.489       628.867      419.245      209.622        -




                                                                                                                                                45
        Wilex


Wilex AG has an attractive late-stage oncology portfolio.
Wilex has two products in clinical development - Rencarex®
in Phase III and WX-UK1 in Phase Ib/IIa.. In addition, the
Company has several antibody and small-molecule pre-
clinical programs targeting various cancer types. Wilex has a
pipeline of six development programs and is concentrating its
development efforts in oncology on therapeutic antibodies
and targeted small molecules. Wilex owns the global
commercialization rights for all of its major development
programs.
Year of Investment: 2005
Co-investors: Quintiles, Karlinska Fund
                                                                46
                           Direct investments in unquoted companies –
                           Inactive Portfolio

Inactive Investments
Valuation in EUR
(incl. Exch. Rate variations)
                              30/06/2005 30/06/2004                                   Comments
Angiosonics                 0              0          The company is only a shell company.
Easdaq                      0              0          Easdaq has ceased its activities.
Equator                   7.068          45.907
                                                      Equator is a fabless semiconductor company that provides programmable
                                                      system-on-chip processors for video and image processing applications.
                                                      Pixelworks will purchase all outstanding shares of Equator Because of the
                                                      extreme dilution and sales preferences of the last financing rounds, QfG
                                                      expects to receive no more than € 7,068. Once we have received this
                                                      payment, Equator will be taken out of QfG’s books.
Galileo                   20.343         20.238       QfG received shares in Galileo after the company acquired the platform of
                                                      Phytera.
Phytera                      0              0         The company is only a shell company for the residual assets after a platform
                                                      sale to Galileo.



                                                                                                                             47
                      Investments in Venture Funds


                                                          Capital call   Payout      Outstanding
Valuation in EUR (incl. Exch. Rate   30/06/2005 30/06/2004 during         during   commitment per
variations)
                                                            period        period     31/12/2005
Kiwi Ventura Serviços I                99.413    570.499       0            0             0
Netfund Europe*                       196.437    155.532       0         27.283           0
Schroder Ventures LSF II              753.310 1.074.576     69.627       707.495      225.234
Ventech II                            680.970    643.600   200.000       54.500       800.000

              During the fiscal year, QfG has bought an additional 9,132 shares of
              Netfund Europe for a total consideration of € 15,159




                                                                                              48
    Agenda


Introduction
Annual results & performance QfG
Comments on quoted portfolio
Comments on unquoted portfolio
  Overview of QfG’s unquoted portfolio
  Overview of the European PE/VC market
EGM on September 15th, 2005
Q&A                                       49
                                              European Investment Stabilizes in 2005

                                                                Equity into European Venture-Backed Companies
                                                                                                                                                                                                            1200
                       €6
Amount Invested (€B)




                                                                                                                                                                                                                Number of Deals
                                                                                                                                                                                                            1000
                       €5
                                                                                                                                                                                                            800
                       €4

                                                                                                                                                                                                            600
                       €3

                       €2                                                                                                                                                                                   400


                       €1                                                                                                                                                                                   200

                       €0                                                                                                                                                                                   0
                             1Q99
                                    2Q99
                                           3Q99
                                                  4Q99
                                                         1Q00
                                                                2Q00
                                                                       3Q00
                                                                              4Q00
                                                                                     1Q01
                                                                                            2Q01
                                                                                                   3Q01
                                                                                                          4Q01
                                                                                                                 1Q02
                                                                                                                        2Q02
                                                                                                                               3Q02
                                                                                                                                      4Q02
                                                                                                                                             1Q03
                                                                                                                                                    2Q03
                                                                                                                                                           3Q03
                                                                                                                                                                  4Q03
                                                                                                                                                                         1Q04
                                                                                                                                                                                2Q04
                                                                                                                                                                                       3Q04
                                                                                                                                                                                              4Q04
                                                                                                                                                                                                     1Q05
                                                                   Amount Invested (€B)                                                      Number of Deals
                                                                                                                                                                                                                50
                       Source: Dow Jones VentureOne/Ernst &Young
                              Later stage VC rounds still accounts for most
                              of the financing rounds
                                           European Deal Flow Allocation by Round Class
                       100%

                              28%
                       80%                                                        45%     41%    Later
% of Total VC Rounds




                       60%                                                                       Second
                               33%   36%
                                                                                          28%
                       40%                                                                       First


                       20%    *40%           *40%
                                                                                          *31%   Seed


                        0%
                              1Q02 2Q02 3Q02 4Q02 1Q03 2Q03 3Q03 4Q03 1Q04 2Q04 3Q04 4Q04 1Q05


  Source: Dow Jones VentureOne/Ernst &Young
                                                                                                         51
                   The number of insider only rounds is still
                   getting higher

                        Insider Only Rounds By Region:2003 vs. 2004
                                       25%
    US
                                             31%


                                                                 50%
 France
                                                                             61%          2003
                                                          46%
                                                                                          2004
Germany
                                                                                   65%


                                                                       58%
Sweden
                                                                                   64%


                                                           47%
    UK
                                                                                    65%




Source: Dow Jones VentureOne/Ernst &Young                                                    52
                                     Median round sizes double in the first quarter
                                     of 2005

                                      Median Amount Invested in European Venture-Backed Companies
                                                                                                                     €3.0
                              €3
Median Amount Invested (€M)




                              €2                                                                €1.8
                                                                           €1.7                        €1.6
                                          €1.5 €1.6                                      €1.5
                                                                    €1.4                                      €1.4
                                   €1.3
                                                      €1.2
                                                             €1.1                 €1.1
                              €1




                              €0
                                   1Q02 2Q02 3Q02 4Q02 1Q03 2Q03 3Q03 4Q03 1Q04 2Q04 3Q04 4Q04 1Q05


                   Source: Dow Jones VentureOne/Ernst &Young                                                                53
                                                  European Venture Valuations Spike Upward


                                                     Median Premoney Valuation of European Venture-Backed Companies
                                   € 10
Median Premoney Valuation (€M)




                                    €8                                          € 7.3 € 7.2
                                                                                              € 7.0                                                                                                                                 € 6.8
                                                                        € 6.1                         € 6.1
                                                                                                              € 5.9
                                    €6                                                                                € 5.6
                                                                                                                                              € 5.3
                                                                                                                                      € 4.9           € 5.0
                                                          € 4.5 € 4.6                                                         € 4.3                                           € 4.3
                                                                                                                                                                                                            € 4.6
                                                  € 4.0                                                                                                               € 3.8                   € 4.0 € 4.0
                                    €4    € 3.5                                                                                                               € 3.5                   € 3.6                         € 3.5
                                                                                                                                                                                                                            € 3.0


                                    €2


                                    €0
                                          1Q99 3Q99 1Q00 3Q00 1Q01 3Q01 1Q02 3Q02 1Q03 3Q03 1Q04 3Q04 1Q05

                                 Source: VentureSource
                                                                                                                                                                                                                                            54
                Biopharm & Software take the lion’s share
                of investments

       Equity Investment in European Venture-Backed Companies by Industry, 1Q‘05
                                                Products
                                  Retail Services
                                            3%     1%
                                  0.5%


                       Software
                         18%

                                              Prod. & Serv.
                                                   6%                      Biopharmaceuticals
                                                       Healthcare                 44%
                                         Info. Tech.      45%
                                             49%
               Semiconductors
                    14%


              Information Services
                       5%
                            Electronics
                                                                 Medical Devices
                                3%     Communications Medical IS       5%
                                            7%          0.4%
       Source: Dow Jones
VentureOne/Ernst &Young                                                                         55
                             IPO offering size is increasing

                             Amount Raised through IPOs by European Venture-Backed Companies
                                                                           € 264                13
                                                                                                       € 254
                     € 250                                                                                     12
Amount Raised (€M)




                                                                                                                    Number of IPOs
                     € 200                                                                     € 190

                                                                            7      7    7                7     8
                     € 150
                                                                     6
                                                                                € 131 € 126
                              5
                     € 100         4
                                                                    € 77                                       4
                             € 43 € 37   2      2
                      € 50
                                                      1   1   1
                                         €2     € 7 € 23 € 21 € 8
                       €0                                                                                      0
                             1Q02 2Q02 3Q02 4Q02 1Q03 2Q03 3Q03 4Q03 1Q04 2Q04 3Q04 4Q04 1Q05
                                              Euros (M)                            # of IPOs
              Source: Dow Jones
       VentureOne/Ernst &Young
                                                                                                                                     56
                    The M&A market is doing well with
                    valuations going up

                           Return of the € 100m+ M&A Exit


                                                                                           Post Value
 Name                       Industry                                         Close Date    (EUR M)
 Oxxio                      Online electrical billing                         06-Jun-05          137
                            Online technology-driven media & research
 Ciao                       services                                          06-Apr-05          119
 Inventel                   Designer and provider of wireless products        29-Mar-05         >100
 Entific Medical Systems    Therapeutic Devices-Implantable                   07-Mar-05          116
 Alphamosaic                Application-Specific Integrated Circuits          27-Sep-04          101

 Active Hotels              Online hotel reservations                         22-Sep-04          132
                            Supplier of software for managing unstructured
 KVS                        information and data                              20-Sep-04          184
 Espotting Media            Provider of a search engine that introduces
                            consumers to advertisers                           01-Jul-04         141
                                                                                                        57
Source: Dow Jones VentureOne/ Ernst & Young
    Agenda


Introduction
Annual results & performance QfG
Comments on quoted portfolio
Comments on unquoted portfolio
  Overview of QfG’s unquoted portfolio
  Overview of the European PE/VC market
EGM on September 15th, 2005
Q&A                                       58
59
        EGM & AGM



EGM 1   scheduled on Tuesday August 16th, 2005    10.00 AM
        when quorum not reached


EGM 2   scheduled on Thursday, September 15th, 2005 10.30 AM


AGM     scheduled on Thursday, September 15th, 2005 11.00 AM




                                                               60
                                                                                                  EGM
            1 /07 /0 4

                         1 /08 /0 4

                                      1 /09 /0 4

                                                                  1 /10 /0 4


                                                                               1 /11 /0 4

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                                                                                                                                                                                                                                                                                                                                                           1 /04 /0 6

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                                                                                                                                                                                                                                                                                                                                                                                                                                                                                1 /01 /0 7
                                                   1 6/0 9 /0 4




                                                                                                                                                                                                                   1 6/0 8 /0 5


                                                                                                                                                                                                                                               1 5/0 9 /0 5




                                                                                                                                                                                                                                                                                                                                            1 6/0 3 /0 6
Boekjaar:                                                                                   Boekjaar2004-2005                                                                                                                       Boekjaar 2005                                                                                                                                    Boekjaar 2006

Uitoefeningsperiode warrants:                                                                                                                                                                                                                                              ▌

aandeelhoudersvergaderingen:                                                                                                                                                                                       BAV1                        BAV2
                                                                                                                                                                                                                                               verkorting boekjaar
                                                                                                                                                                                                                                                   (07/07/2005 - 31/12/2005)
                                                                                                                                                                                                                                               kapitaalvermindering
                                                                                                                                                                                                                                                   Ter aanzuivering van geleden verliezen
                                                                                                                                                                                                                                               Machtiging inkoop eigen aandelen (periode 18 maanden -vork (€ 6,00 - € 12,00)
                                                                                                                                                                                                                                                   periode 18 maanden
                                                                                                                                                                                                                                                   Vork: € 6,00 - € 12,00
                                                                                                                                                                                                                                               Statutaire wijzigingen in kader van deugdelijk bestuur




                                                                                                                                                                                                                                                                                                                                                                                                                                                                     61
    Agenda


Introduction
Annual results & performance QfG
Comments on quoted portfolio
Comments on unquoted portfolio
  Overview of QfG’s unquoted portfolio
  Overview of the European PE/VC market
EGM on September 15th, 2005
Q&A                                       62
Thank you for your attention!




                                63

								
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