“PRIMEVEST SMART CITY FUND” IMPACT INVESTMENT IN SOCIAL INFRASTRUCTURE

Utrecht, July 2018

WHY INVESTING IN THE PRIMEVEST SMART CITY INFRASTRUCTURE FUND?

• Cash Flows driven by essential communication services resilient to the economic cycle• Urban areas increasingly depend on mobile communication infrastructure (5G) and the Internet of Things

• Assets with long economic life cycle & high barriers to entry• SMART City infrastructure comprises SMART streetlights of which a part is connected to an inner-city fiber backhaul network (the latter referred to as SMART

Public Nodes) • Average lifetime of SMART streetlights / SMART Public Nodes 20-35 years• Long-term lease agreements with municipalities (minimum 15-20 years) that control city lighting and climate measurement

• Long-term stable cash flow return combined with upside potential • Investing in SMART Lighting provides a long term stable cash return with (fixed revenues & fixed OPEX) • Higher estimated return resulting from investing in further upgrade assets to SMART Public Nodes; extra revenues shared with municipalities

• Diversified end-user base reduces operator risk• Higher risk-profile of the active and content & services business layers mitigated by only investing in the passive infrastructure components• Open-access infrastructure model with diversified tenant base

• Impact investments with important social return• Investors together with municipalities can play important role in realizing sustainability (Climate Treaty) & social responsibility targets

• Experienced international Primevest CP communication infrastructure team• In depth fixed & mobile communication infrastructure experience• Extensive network within local governmental organizations and technology partners in public domain

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ABOUT PRIMEVEST CAPITAL PARTNERS - HISTORY

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2 0 1 72 0 0 62 0 0 1 F U T U R E

Further growth on the back of

existing strategy, business principles,

policies and procedures, backed by a

strong equity partner with long term

investment horizon

Management buy out of major

parts of Bouwfonds IM

supported by CommonWealth

Investments

Establishment of

Bouwfonds IM

Rabobank acquires

Bouwfonds IM

ABOUT PRIMEVEST CAPITAL PARTNERS – PAN EUROPEAN PRESENCE

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We manage a portfolio of EUR 1.3 billion across Europe

€ 1.3 billion assets under management

Activities in 10 countries in Europe

Dedicated teams supported by local offices in the

Netherlands and Germany

Total staff of 35 employees based on existing funds &

mandates

IRL28M

NL505MUK

200M

FR101M

ES15M

DE264M

FIN28M

NO26M

DEN126M

AUT

11M

STRATEGIC RATIONALEFROM STREETLIGHT TO SMART PUBLIC NODE

INVESTMENT STRATEGYOUR 3-STEP INVESTMENT APPROACH

NEXT STEPS

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A NEW ERA IN MOBILE COMMUNICATIONS BEGINS WITH THE ROLL-OUT OF 5G

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“As the telecommunications sector continues to build on the momentum of 2017, a new mobile era will emerge with the initial commercial rollout of fifth generation wireless network technology (5G). One of the most anticipated mobile technology platforms, 5G will be the connective tissue that blends nascent uses of mobile technology, such as the Internet of Things (IoT), autonomous vehicles, and mobile media, just to name a few”.

Industry Outlook, Deloitte, 2018

CONVERTING 4G MOBILE NETWORKS TO 5G LTE NETWORKS REQUIRES EXTENSIVE EXPANSION OF INNER-CITY ACCESS POINTS…

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Introduction of 5G will transform the public space of cities:

• Up to 8 times more mobile access points in inner city areas

• Mobile access points placing needed every 500 - 800 meters (versus 6.000 meters for 4G macro towers)

• Connection to sufficient electricity is needed (24/7 instead of switched power grid)

• Connection to fiber fixed internet access is needed to deliver high-bandwidth speeds

• Data transfer speeds up to 1 Gb/s (versus 50-100 Mb/s based on 4G networks)

…AND ACCELERATES THE GROWTH OF INTERNET OF THINGS BY CONNECTING OBJECTS IN THE INNER-CITY THROUGH SENSORS AND ANTENNAS

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1 BN.

22 BN.

50 BN.

1992 2018 2022

TO IMPLEMENT 5G AND CONNECTING OBJECTS IN THE PUBLIC DOMAIN, A MOBILE NETWORK INFRASTRUCTURE OF SMART PUBLIC NODES IS NEEDED

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What is a SMART PUBLIC NODE?

Like macro communication towers used for 4G, Smart Public Nodes are outdoor inner-city access points for mobile communication (5G & Wi-Fi) enabling at the same time connectivity for various devices including cameras, wireless broadband radios, and IoT sensors for SMART City applications and can be considered as an expansion of today’s mobile communications network

TODAY’S CITIES CONTROL MANY EXISTING OBJECTS WHICH CAN BE USED TO TRANSFORM INTO “SMART PUBLIC NODES”

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Existing public assets are crucialin the transition to a smart city and can be used as a ‘node’ between the new digital infrastructure, energy grids and

end-user applications in a city

STREETLIGHTS ARE CONSIDERED TO BE THE MOST APPROPRIATE EXISTING OBJECTS TO CONVERT TO SMART PUBLIC NODES…

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• Density: 3.5 million streetlights in the Netherlands

• Accommodated with electricity

• Always close to communication infrastructure

• Elevation: makes it very suitable for antenna, camera and sensor placement

• Modularity: physically expandable with equipment, sensors, etc.

…SERVICING A BROAD RANGE OF POTENTIAL OF FUTURE SMART CITY APPLICATIONS…

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From single-purpose lighting to multi-purpose SMART Public Node

< Fiber > < Electricity transport network (3*25A) >

… BUT CITIES ARE ACTIVELY ASSESSING AN “OUTSOURCING MODEL” FOR THE PHYSICAL REPLACEMENT OF STREETLIGHTS OFFERING OPPORTUNITIES FOR (SEMI-) INSTITUTIONAL INVESTORS TO INVEST

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• Climate Treaty and End-of-life drive transition to SMART Lighting…

• the Dutch Government and cities agreed a binding Climate Treaty with the objective that 20% of total energy consumption is from sustainable (renewable) sources and energy consumption is lowered by 20% by 2020 → implementing SMART Lighting is a top priority for cities & municipalities

• At the same time municipalities are implementing the new 'Omgevingswet' in 2019 by adding sensors (IoT) to the smart lighting lamppost.

• replacement driven by physical or economical end-of-life of the streetlights (100.000 - 175.000> per year in NL)

• …whereas a combination of the lack of financial resources and knowledge & expertise drives the “outsourcing model”:

• Replacement and transition to ‘smart city’ to make the city more attractive go hand-in-hand to facilitate IoT sensors, autonomous driving, EV-charging, WiFI in city hotspots, 5G mobile internet, security surveillance camera’s, etc.

• However, “smartization” requires specific expertise often not at hand and higher investment budgets (with already many other tasks delegated to cities / municipalities requiring financial budget).

CONCLUSION: INVESTING IN LAMPPOSTS IS A SMART INVESTMENT

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Contributing to the necessary CO2 reduction… …and providing the infrastructure backbone for 5G & Internet of Things

STRATEGIC RATIONALEFROM STREETLIGHT TO SMART PUBLIC NODE

INVESTMENT STRATEGYOUR 3-STEP INVESTMENT APPROACH

NEXT STEPS

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INVESTMENT STRATEGY

SMART LIGHTING SMART Public Nodes SMART CITY

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Building-up a SMART City Asset Portfolio in 3 steps

STEP 1 STEP 2 STEP 3

Replacing traditional lampposts + implement new luminaires for SMART Lighting

Long-term rent contract (20 years) for renting lampposts to city/municipality + renting related services (sensors, billboards) to private companies + fixed maintenance costs

Upgrade approx. xx% of traditional lampposts to SMART Public Nodes for 5G + fiber/electricity to the lamppost and build inner-city fiber-ring

Upgrade to SMART Public Nodes upon signed long term rent agreements with mobile operators + renting related additional services (camera surveillance, EV charging) to municipality / private companies)

Connecting homes and/or office/community buildings (libraries, schools, etc.) to the inner-city fiber-ring

Expand inner-city fiber-ring by connecting new homes and/or buildings

Type of investment

Earnings model

STRATEGIC RATIONALEFROM STREETLIGHT TO SMART PUBLIC NODE

INVESTMENT STRATEGYOUR 3-STEP INVESTMENT APPROACH

NEXT STEPS

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PRIMEVEST HAS BUILT UP STRONG RELATIONSHIPS WITH MUNICIPALITIES, ECONOMIC BOARDS AND TECHNOLOGY PARTNERS….

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Acquisition pipeline

Municipalities

Technology Partners

Application

Partners

… TO INTRODUCE THE PRIMEVEST’S “SMART CITY” BUSINESS PROPOSITION

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“Primevest Smart City Fund”

Public & Private tenants Technology & Service partners

• Long-term rent agreements for Smart lighting, Telecommunication (5G), Electric vehicle charging, Wifi, Camera surveillance, Billboards, etc.

• Infrastructure separated from services

• Best-in-class technology partners for maintenance

Smart City Asset Portfolio

Rent agreements Supplier/partner agreements

Investors

KEY STRENGHTS BUSINESS PROPOSITION - SUMMARY

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1. Open Business Model: long-term investments in open access infrastructure create an open ‘platform’ for a wide variety of revenue generating activities, with the benefit of cost-sharing across them.

2. The city as concessionaire and tenant for public functions: the city is concessionaire to the business partners and tenant for public functions.

3. Revenue sharing & common objective to maximise utilisation: incentive for all parties to share open access infrastructure as all parties can benefit from higher utilisation.

4. Operational strength: in a multi-tenant (partnership) framework, all partners (small or big, public or private) work from their strength, delivering and maintaining their specific part of the smart city eco-system.

Multi-tenant business model

reduces risk

Incentive to maximise utilisation

Operational strength & experience

The cityas reliable long-

term tenant

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PRIMEVEST COMMUNICATION INFRASTRUCTURE TEAM (1)

HEIMEN VISSER

Heimen Visser (1972) joined the company in 2015. He has an

extensive background of the past 16 years in the telecom and

ICT sector. He worked for the Dutch incumbent telecom

operator KPN Telecom, internet service provider Planet

Internet GmbH in Germany and Austria, for ICT company

Getronics and Gemnet BV (the Dutch Government network

company connecting 400 local government organizations to the

central government for all vital public services in The

Netherlands). He has experience in Sales, Business

Development, Project management and Operations. Since 2012

he was overall responsible as Vice President for the

Government segment of KPN servicing more than 1000 clients

of KPN in The Netherlands with his team. Heimen has a title

Master of Law at the University of Leiden in The Netherlands

Fund & Acquisition Management

BAS VAN DONGEN

Bas van Dongen (1975) is responsible for managing the

communication infrastructure activities and is fund manager

of the Primevest Communication Infrastructure Fund (“PCIF”).

Prior to Primevest CP, Bas was Managing Director for

Communication Infrastructure in Germany at Bouwfonds IM

and member of the management team. In 2008, Bas was

appointed as Head of Strategy & Marketing. In this role he

was responsible for the strategy and positioning of

Bouwfonds IM in the market. Prior to joining Bouwfonds, Bas

acquired profound knowledge in the area of Corporate

Finance and Mergers & Acquisitions at merchant bank

Kempen & Co and Twynstra Gudde Corporate Strategy and

Finance. Bas holds a Master degree in Business Economics

from Tilburg University, the Netherlands.

Fund Management

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PRIMEVEST COMMUNICATION INFRASTRUCTURE TEAM (2)

WALTER KUPPENS

Walter Kuppens (1959) has over 23 years’ experience in

European real estate development. Walter is responsible for

finance and risk management. He has been working

consecutively for Ernst & Young (10 years), as a finance

director for Multi Development Corporation (11 years) and as

CFO for Foruminvest B.V., an European shopping centre

developer. In the last 5 years Walter has been active as

interim-director for large Family Offices in the Netherlands.

Walter studied accountancy (NOvAA) for small and mid-sized

companies.

Partner Finance & Risk

DR. PETER SELGERT

Acquisition & Asset Management (Germany)

Peter Selgert (1952) is responsible for acquisition and

asset management for the communication

infrastructure funds in Germany. Prior to joining

Bouwfonds IM in 2014, Mr. Selgert held various senior

management positions in the communication industry

as managing director or regional director sales &

marketing at Technetix Ltd., C-COR Inc., Arris Inc. and

Philips Broadband Networks for more than 15 years.

Before he moved to the communication industry Mr.

Selgert served as managing director at Philips

Recordable Media GmbH in Wiesbaden, a subsidiary of

Philips Consumer Electronics and as research scientist

in the material science department of Hoechst AG. He

graduated in physics Frankfurt University and holds a

PhD in Physics. He successfully completed an executive

education program at INSEAD.

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PRIMEVEST COMMUNICATION INFRASTRUCTURE TEAM (3)

JENS LOSSIN

Jens (1975) is responsible as senior fund analyst for the

operational fund and risk management of PCIF as well as the

implementation of the investment strategy. Due to his more

than 20 years of experience in banking, real estate (open and

closed special funds) and investment, he will also take

advantage of the optimization of his debt collection and

liquidity management in his area of responsibility.

His many years of expertise in fund, risk and financial

management as well as Treasury, i.a. at the Berlin Hyp, Dexia,

LB Immo Invest, HSH Real Estate, PATRIZIA GewerbeInvest.

Jens Lossin has also held leading positions with and for

telecommunications and infrastructure companies, i.a. Rail

Power Systems and Balfour Beatty.

Fund Management PCIF

KLAUS LECKELT

Klaus Lecklet (1968), (Certified Real Estate Specialist,

Telecommunications Engineer) has more than 20 years’

experience in the telecommunications industry. Mr. Leckelt

held various senior management positions in the

communication industry. As technical business manager and

managing director for a Fiber network ISP he was responsible

for project acquisition, market introduction of products and

services and technical operations. Prior to this position he had

various assignments as project manager and acquisition

manager at national and international telecommunication

service providers and system integrators. His area of expertise

covers all areas of telecommunication networks and services

including construction management and commissioning of

PoPs and other communication network nodes. NN graduated

in communications engineering and is a certified technical

property expert and a certified Prince 2 Practioner. Next to his

mother language German, he speaks fluently English, Spanish

and French.

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Acquisition & Asset Management (Germany)