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Huddlestock Fintech

Investor Presentation Apr 15, 2021

3624_rns_2021-04-15_cb929ece-d15c-44c2-8ce9-106e4ea33444.pdf

Investor Presentation

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1Q 2021 Earnings Presentation Group CEO John E Skajem

April 15, 2021

We enable the Capital Markets & Wealth Management industry to become digital

Unique software as a service solutions Transparent end-to-end cloud-based API solutions Saving time and cost while improving customer quality Agenda

1Q 2021 Earnings Report

Highlights in 1Q 2021

AGENDA Highlights YTD 2021

Global footprint with strong client connectivity in Europe and Asia

  • Our partnership with BNP Paribas is progressing in line with our expectations. BNP Paribas launched Bedrock and Apex stage 1, on January 20th 2021
  • • Baader Bank, MHX to go live in Q2
  • • New letters of intent and contracts signed with 2 clients for Bedrock (DonauCapital, Tradegate), 1 client for Apex (Pecunia)
  • We are finalising customization for Huddlestock's Bedrock solution for DonauCapital and Tradegate, and expect to go live in Q2.
  • • Pecunia GmbH is finalising testing of our Apex solution and is expected to go live in Q2
  • Named 2021 Fintech Innovator by Corporate Vision's Technology Innovator Awards.
  • Awarded Best Nordic Fintech IPO 2020 (CFI.co)

Agenda

1Q 2021 Earnings Report

Financials

1Q21 P&L statement (unaudited)

Intra-group upfront fees
Wages
Audit, mostly software
development costs, lawyer
fees, stock exchange fees,
external consultants
The Group has entered into a
Share Purchase Agreement
with Opera Financial
Technologies Limited on 22
September 2020 regarding the
sale of all issued shares in
Dovre Forvaltning UAB

1Q21 Balance sheet (unaudited)

Consolidated Financial position (in NOK) 1Q21 2020 Consolidated Financial position (in NOK) 1Q21 2020
ASSETS Equity
Intangible assets Paid-in capital
Research and development 19,308,253 19,308,253 Share capital 208,371 208,371
Licenses 45,952,204 45,952,204 Share premium 64,524,308 66,965,000
Total intangible assets 65,260,457 65,260,457 Total paid-in capital 64,732,679 67, 173, 371
Total non-current assets 65,260,457 65,260,457 Total equity 64,732,679 67, 173, 371
Receivables Liabilities
Trade receivables 499,895 0 Other long-term liabilities
Other short-term receivables 627,037 762,000 Liabilities at financial institutions 2,500,000 $\mathbf 0$
Total receivables 1,126,932 762,000
Bank deposits, cash and cash equivalents 2,175,978 2,958,000 Short-term liabilities
Accounts payable
66,424 1,206,000
Net assets discontinued operations 2,233,000 2,233,000 Payroll taxes, VAT etc. 419,039 169,000
Other short-term liabilities 2,867,225 2,454,086
Total current assets 5,535,909 5,953,000 Total short-term liabilities 3,352,688 3,829,086
Total assets 70,796,366 71,213,457 Net liabilities discontinued operations 211,000 211,000
Total liabilities 6,063,688 4,040,086

Agenda

1Q 2021 Earnings Report

Huddlestock since listing

Stock market recognition

  • • Market cap NOK 664m
  • • Average traded volume 393k
  • • +163% return since listing November 2020

Huddlestock Fintech AS: Unique solutions

• Digitizing work processes for custody banks, asset managers and trading venues.

  • • Apex links custody services with asset managers and individual investors.
  • • Bedrock a unique white label solution taking trading to the next level, customizing front end applications via ultra-fast API hooks for a low-cost and efficient trading offering.
  • • Open, end-to-end digital and proprietary software as a service solutions, offering KYC, on boarding, client reporting, order execution and portfolio management.
  • • Real-time compliance optimized and data-centric product offering, reducing costs, increasing efficiency.
  • • Regulatory licensed with Bafin for complete offering in trading and asset management.
  • • Listed on Euronext Growth Market 26. November 2020, Norway's first fintech company. +185% since listing.

High quality and stable shareholders base

Rank Investor Holding no. of
shares
Stake, %
$\mathbf 1$ Euroclear Bank S.A./N.V. 21,333,746 19.5%
$\overline{2}$ VISION INVEST STAVANGER AS 8,151,715 7.4%
3 RETROPI LIMITED 7,607,608 6.9%
4 BERKER GROUP AS 6,847,189 6.2%
5 GRUNNFJELLET AS 5,310,000 4.8%
6 GENTLE INVEST AS 4,091,000 3.7%
7 HUDDLE AS 3,242,622 3.0%
8 SAAMAND AS 3,064,332 2.8%
9 E HOLDING AS 3,013,395 2.7%
10 SAA INVEST AS 3,000,000 2.7%
11 HOGNAN INVEST AS 2,494,512 2.3%
12 STEIN HEGRE HOLDING AS 2,400,000 2.2%
13 GJEDREM AS 2,135,623 1.9%
14 VALINOR AS 1,563,852 1.4%
15 BILL INVEST AS 1,536,847 1.4%
16 STOKK INVESTERING AS 1,315,790 1.2%
17 SIRIUS AS 1,200,000 1.1%
18 GJEDREM HOLDING AS 1,150,000 1.0%
19 PEBRIGA AS 1,129,541 1.0%
20 NORDNET LIVSFORSIKRING AS 1,117,303 1.0%
21 Nordea Bank Abp 1,021,587 0.9%
22 SANDNES INVESTERING AS 1,000,000 0.9%
23 ALA AS 913,395 0.8%
$24 - 25$ HEDEN HOLDING AS 800,000 0.7%
24-25 KRISTIANS AND AS 800,000 0.7%
Total Top 25 86,240,057 79%
Total 109,668,729 100%

Management and the Board of Directors own circa 40% of outstanding shares

Huddlestock has invested approximately NOK 100m since 2014. The funding has come from both institutional and individual investors, along with public grants from institutions like Innovation Norway and "Skattefunn".

Management Team & Board of Directors

John E. Skajem, Group CEO

John E. Skajem is the Chief Executive Officer of Huddlestock Fintech AS. John E. joined Huddlestock with a long carrier and experience from the financial industry. Over the years John E. has gained a thorough understanding of all aspects of the financial services industry. John E. has hands on experience from Investments Banks, Asset Managers to large global universal banks with management position while working in Chicago, NYC, London, Paris, and Oslo.

Øyvind Hovland, Chairman.

Øyvind is a serial entrepreneur with more than 20 years of experience in starting and scaling companies in various industries. Notably Cyviz AS – with offices globally, and Vision Io AS, a leading optic camera provider to the Oil and gas industry.

Peter van Kleef, CEO of Huddlestock Systems

Peter van Kleef is co-founder of Huddlestock Systems GmbH which developed Huddlestock's B2B platform for BNP Paribas. Peter has extensive experience in the asset management industry having initiated and supervised numerous large scale projects in the asset management and banking industry.

Murshid Ali, Board Member.

Murshid is an Executive Director and co-founder of Huddlestock. He is a PhD candidate in Economics, and holds a master's degree from Grenoble Ecole de Management, and a degree from NTNU. He has almost a decade of experience as an entrepreneur, primarily within the energy and financial industry.

Nith Vegaya, CEO APAC

Nith is responsible for the business development and expansion in APAC. He holds a degree in B.Com (Accounting and Information Systems) from the University of New South Wales, Australia. He has worked in the Australian banking system and has spent 15 years in South East Asia founding startups and working in technology companies.

Per Øyvind Berge, Board Member.

Per Øyvind is an investor and entrepreneur in Norway, founding PXO, Quickflange and other successful companies. He has more than 20 years of experience from developing businesses and growing companies in various industries. He holds a Bachelor's degree in Financial Management from BI Business School.

A digital breakthrough for custodian banking in symphony with wealth management. The partnership provides for superior and cost-effective client services through the Apex and Bedrock solutions

A digital and commercial opportunity for custody banks, asset managers and investors

Through Qinfen, a private label solution based on the Apex platform, asset managers can access and offer BNP customers a flexible, professional and future ready digital interface.

Bedrock is an out of the box trading platform

Gives you direct market access to a universe of 12,000 equity instruments and countless financial products

Financial Calendar 2021/22

Contacts

John E. Skajem CEO +47 4188 7412 [email protected]

Øyvind Hovland Chairman +47 9096 6151 [email protected]

Disclaimer

This presentation has been prepared by Huddlestock Fintech AS (the Huddlestock) solely for the use of presenting the company. This presentation is being made only to and is only directed at person to whom such presentation may lawfully be communicated (Recipients). Any person who is not a Recipient should not act or rely on this presentation or any of its contents. This presentation is provided to the Recipients for information purposes only. This presentation is strictly confidential and may not be reproduced or redistributed, in whole or in part to any other person.

This presentation speaks only as of their date, and the views expressed are subject to change based on a number of factors, including, without limitation, macroeconomic and equity market conditions, investor attitude and demand, the business prospects of the Huddlestock and other specific issues. This presentation and the conclusions contained herein are necessarily based on economic, market and other conditions as in effect on and the information available to the Huddlestock as of their date. This presentation does not purport to contain a complete description of the Huddlestock or the market(s) in which the Huddlestock operates, nor do they provide an audited valuation of the Huddlestock. The analyses contained in this presentation are not, and do not purport to be, appraisals of the assets, stock or business of the Huddlestock or any other person. Moreover, this presentation is incomplete without reference to, and should be viewed and considered solely in conjunction with the oral briefing provided by an authorised representative of Huddlestock in relation to this presentation.

The Huddlestock strongly suggests that each Recipient seeks its own independent advice in relation to any financial, legal, tax, accounting or other specialist advice. In particular, nothing herein shall be taken as constituting the giving of investment advice and this presentation are not intended to provide, and must not be taken as, the exclusive basis of any investment decision or other valuation and should not be considered as a recommendation by the Huddlestock (or any of its affiliates) that any Recipient enters into any transaction. This presentation comprises a general summary of certain matters in connection with the Huddlestock. This presentation does not purport to contain all of the information that any Recipient may require to make a decision with regards to any transaction. Any decision as to whether or not to enter into any transaction should be taken solely by the relevant Recipient. Before entering into such transaction, each Recipient should take steps to ensure that it fully understands such transaction and has made an independent assessments of the appropriateness of such transaction in the light of its own objectives and circumstances, including the possible risks and benefits of entering into such transaction.

This presentation has been provided to the Recipients on the basis that each Recipient and such Recipient's representatives, directors, officers, employees and professional advisers keep this presentation (and any other information that may be provided to such Recipient) confidential. This presentation (and any other information which may be provided to any Recipient) may not be disclosed, in whole or in part, or summarized or otherwise reproduced, distributed or referred to, in whole or in part, without the prior written consent of the Huddlestock. The information used in preparing this presentation was obtained by the Huddlestock and its representatives from public sources and is subject to change without notice. Neither the Huddlestock nor any of its affiliates assumes any responsibility for the independent verification of any such information and has relied on such information being complete and accurate in all material respects. Neither the Huddlestock nor any of the affiliates (nor any of its or their respective directors, officers, employees, professional advisers or representative) makes any representation or warranty, express or implied, with respect to the fairness, correctness, accuracy, reasonableness or completeness of such information, this presentation (including, without limitation, any opinion contained therein), any of their contents or any of the results that can be derived from this presentation. Without limiting a person's liability for fraud, no responsibility or liability (whether in contract, tort or otherwise) is or will be accepted by the Huddlestock or any of its affiliates or any of its or heir respective directors, officers, representatives, employees, advisers or agents) as to, or in relation to, this presentation, its contents, the accuracy, reliability, adequacy or completeness of the information used in preparing this presentation, any of the results that can be derived from this presentation or any written or oral information provided in connection therewith (including, without limitation, any responsibility or liability (i) in relation to the distribution of possession of this presentation in any jurisdiction or (ii) for any loss or damage of any kind whatsoever arising as a result of the use or misuse of this presentation) and any such responsibility, liability or obligations is expressly disclaimed, except to the extent that such responsibility, liability or obligations cannot be excluded by law. Analyses and opinions contained herein may be based on assumption that, if altered, can change the analyses or opinions expressed. No audit of this presentation has been undertaken by an independent third party.

Disclaimer

Any statement, estimate or projections included in this presentation (or upon which any of the conclusion contained herein are based) with respect to anticipated future performance (including, without limitation, any statement, estimate or projection with respect to the condition (financial or otherwise), prospects, business strategy, plans or objectives of the Huddlestock and/or any of its affiliates) may prove not to be correct. No representation or warranty is given as to the completeness or accuracy of any forward-looking statement contained in this presentation or the accuracy of any of the underlying assumptions. Nothing contained herein shall constitute any representation or warranty as to the future performance of the Huddlestock, any financial instrument, credit, currency rate or other market or economic measure. Information about past performance given in this presentation is given for illustrative purposes only and should not be relied upon as, and is not, an indication of future performance. Neither the Huddlestock not any of its affiliates has verified the achievability of any estimate or forecast of future financial performance contained herein (including, without limitation, any estimate of potential cost savings and synergies, nor of any of the methods underlying the preparation of any such estimate of forecast.

The Huddlestock does not accept or will not accept any responsibility, duty of care, liability or obligations for providing any Recipient with access to additional information, for updating, modifying or otherwise revising this presentation or any of their contents (including, without limitation, any estimate or forecast of future financial performance), for correcting any inaccuracy in this presentation or their contents (or any other written information or oral information provided in connection therewith) which may become apparent, or for notifying any Recipient or any other person of any such inaccuracy.

This presentation shall not be construed as a prospectus or an offer to sell, or a solicitation of an offer to buy, any security or any business or assets, nor to enter into any agreement or contract with any Recipient, the Huddlestock (or any of their respective affiliates) or any other person. Any potential transaction that may be related to the subject matter of this presentation will be made pursuant to separate and distinct documentation and in such case the information contained herein will be superseded in its entirety by such documentation in final form. This presentation do not create any obligation on the part of the Huddlestock to consider any offer from any Recipient or any other person. The Huddlestock reserves the right, without prior notice and without giving reasons, to vary or terminate the contemplated transaction, to reject any or all proposals and/or to negotiate with any Recipient or any other person and any terms (and whether individually or simultaneously with any other person or persons) with respect to any transaction involving the Huddlestock.

An investment in the Huddlestock involves risk, and several factors could adversely affect the business, legal or financial position of the Huddlestock or the value of its securities. An investment in the Huddlestock is suitable only for investors who understand the risk factors associated with this type of investment and who can afford a loss of all or part of their investment.

This Presentation speaks as at the date set out on its front page. Neither the delivery of this Presentation nor any further discussions of the Huddlestock or the Managers with the Recipient shall, under any circumstances, create any implication that there has been no change in the affairs of the Huddlestock since such date. Neither the Huddlestock nor the Managers assume any obligation to update or revise the Presentation or disclose any changes or revisions to the information contained in the Presentation (including in relation to forward-looking statements).

The contents of this presentation are not to be construed as legal, business, investment or tax advice. Each recipient should consult with its own legal, business, investment and tax adviser as to legal, business, investment and tax advice.

By accepting this presentation, each Recipients represents and warrants that it is able to receive them without contravention of an unfulfilled registration requirements or other legal or regulatory restrictions in the jurisdiction in which such Recipients resides or conducts business. By accepting this presentation each Recipient agrees to be bound by the foregoing limitations.

Declaration of no objection from BaFin

Each person who holds, acquires or increases a qualifying holding in a bank or investment firm, as a result of which certain thresholds are reached or passed, or exercises voting power (or similar control) related to such qualifying holding, requires a declaration of no objection from the BaFin (The Federal Financial Supervisory Authority in Germany)

'Qualifying holding'

A 'qualifying holding' is a direct or indirect holding of 10% or more of the issued share capital of an enterprise, or the ability to exercise directly or indirectly 10% or more of the voting rights in an enterprise, or the ability to exercise directly or indirectly a comparable degree of control in an enterprise

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