Presentation on South Asia IFU Investment Fund for

Presentation on South Asia IFU – Investment Fund for Developing Countries 9/19/2021

IFU IN BRIEF Independent government-owned fund, operating on commercial terms Promotes economic and social progress in developing countries Provides risk capital and advice for projects having a Danish interest 146 investment countries Total contracted investments of more than Established in 1967 20 bn DKK invested in share capital and loans 184 bn DKK Leverage/mobilisation of capital: factor 8 -9 PAGE 2 9/19/2021 Presentation on South Asia

IFU’s INVESTMENTS AND RETURNS 40 – 50 annual investments New and additional financing Active portfolio of 208 projects Average commitment of 5 - 7 years 10. 9 % The average annual gross return on share capital (2013 - 2017) PAGE 3 9/19/2021 Presentation on South Asia 1260 Investments in more than 100 countries Contracted investments in 2016 DKK 1, 296 m DKK 9. 1 Capital under management bn

IFU AS FUND MANAGER Danish SDG Investment Fund • IFU and six Danish pension funds have established Danish SDG Investment Fund, which will contribute to meeting the sustainable development goals through commercial private sector investments in developing countries. • The current capital commitment is DKK 4. 1 billion. The total objective is a fund of up to DKK 5 billion. It is expected that the remaining capital commitments will be made in a second closing in the second half of 2018 PAGE 4 9/19/2021 Presentation on South Asia

IFU IN SOUTH ASIA Pakistan Active projects: 1 Exited projects: 13 India NEW DELHI Active projects: 17 Exited projects: 79 Bangladesh Active projects: 1 Exited projects: 8 SINGAPORE Sri Lanka Active projects: 2 Exited projects: 6 IFU, KIF and DAF presence SIDE 5 9/19/2021 Presentation on South Asia

PAGE 6 Financing Advice • • • • Risk sharing and long-term Investment horizon Share capital Loans Guarantees Investment period 6 -8 years Agreed exit FOUR ELEMENTS IN IFU’S VALUE CREATION Evaluation of business plan Financial structure Legal set-up Partner negotiations Governance/Sustainability Access to local authorities Finding premises Strategic partner Network & local presence • • • Experience from 1, 260 investments in 100 countries • Ten regional offices in Africa, Asia and Latin America • 30 local and regional advisers • Experienced investment teams Board work Strategic advice Additional financing Sustainability reporting SDG impact 19 -09 -2021 Event: Add event via 'View' / 'Header & Footer'. Max one line

IFU IN INDIA Experienced investment team in India, Singapore and Copenhagen Regional office since 1997; since 2001 in New Delhi 96 investments made by IFU Total contracted investments of more than 34 years of experience 12 bn DKK 1 bn invested in share capital and loans SIDE 7 9/19/2021 Presentation on South Asia Project Pipeline • • • Fertilizer Municipal waste management Renewable energy (solar, wind) Microfinance Media Dairy

IFU IN BANGLADESH Experienced investment team in India, Singapore and Copenhagen 9 Regional office since 1997; since 2001 in New Delhi investments made by IFU Total contracted investments of more than 32 years of experience 3 bn DKK 119 m. DKK invested in share capital and loans SIDE 8 9/19/2021 Presentation on South Asia Project Pipeline • • Ice cream factory SME finance company

IFU IN PAKISTAN Experienced investment team in Copenhagen and Kiev 40 SIDE 9 years of experience 14 Total contracted investments of more than Total investments in share capital and loans 10 bn DKK 313 m DKK 9/19/2021 Presentation on South Asia investments made by IFU Project Pipeline • • Cement Renewable energy (Wind)

IFU – INVESTMENT MODEL (Pre-2016) o IFU had a restrictive mandate allowing it to only invest in projects with a Danish company as a coinvestor o Over the last 50 years, IFU invested alongside approximately 800 Danish companies in setting up subsidiaries / JVs in 100+ developing countries Danish Partner IFU Equity (USD 1 to 15 mn) Local bank Local investor PAGE 10 9/19/2021 Loan Equity Presentation on South Asia Project company Equity

IFU – INVESTMENT MODEL (Post-2016) o IFU’s new investment model emerged, wherein Equity participation from the Danish partner has been replaced by an “Interest” o This will allow multiple new collaboration opportunities wherein IFU will now be able to provide risk capital to customers, suppliers, or vendors of Danish Companies Danish Partner IFU Equity (USD 1 to 40 mn) Local bank Local investor Loan Equity Interest* Project company Interest • Danish investor • Danish company supplying goods, technology, know-how, management or services; • Indirect financial participation to the project company; • Danish company sourcing products from the project company; • Danish participation on the board or in the management team of the project company; • Use of state-of-the-art Danish technology in the project; • Direct or indirect job creation in Denmark PAGE 11 9/19/2021 Presentation on South Asia

CASE: ROSERVE, INDIA KEY FACTS Project type Water treatment Country India Status Signed Fund participation DKK 16 m Expected total investment DKK 95 m CO 2 savings over project life 2, 817, 090 t • Roserve provides Industrial Effluent recycling plants on an operating lease (6 years) to industries required by law to have a zero liquid discharge (ZLD) from their operations. Approx 20% of the plant cost is pumps from Grundfos. • The customers will be from industries such as pharmaceuticals, chemicals, distilleries, yeast, tanneries and textiles. • Waste water recycle market in India is still at a nascent stage, however growing at a compounded annual growth rate of 16%. PAGE 12 9/19/2021 Presentation on South Asia

CASE : SARAF FOODS, INDIA KEY FACTS Project Type Country Status Fund Participation Expected total investment Freeze dried fruits and vegetables India Signed DKK 15 m DKK 65 m • Saraf Foods is a 25 year old food processing company engaged in the production of freeze dried fruits and vegetables. The Company supplies its products to various FMCG companies globally. • Through IFU’s investment, the Company expanded its operations by nearly doubling its freeze drying capacity, adding a segment of air dried vegetables and backward integrated by adding a IQF line. • Saraf Foods buys freeze drying equipment from GEA Process Engineering A/S, a reputed Danish equipment supplier to food processing industry. PAGE 13 9/19/2021 Presentation on South Asia

CASE : POWER CEMENT, PAKISTAN KEY FACTS Project Type Country Status Fund Participation Expected total investment Cement production Pakistan Signed DKK 71 m DKK 1, 914 m • Power Cement is a cement factory, established in 1981 in Jamshoroo, Pakistan. The Company is supplying the increasing demand for cement in Pakistan. Furthermore, it has a location allowing for export of excess production. • IFU’s investment is part of an operation expansion, by constructing a third production line and thereby increasing the cement capacity by 7, 700 tpd to a total of 10, 700 tpd. • FLSmidth is providing engineering, procurement, equipment and is in negotiations to supervise the expansion. PAGE 14 9/19/2021 Presentation on South Asia

Thank you! SIDE 15 9/19/2021 Presentation on South Asia