Kinnevik

Quarterly Report • Apr 22, 2021

INTERIM REPORT FIRST QUARTER 2021

DISTRIBUTING ZALANDO IS A STEP-CHANGE IN OUR TRANSFORMATION

Kinnevik started 2021 from a position of strength across our portfolio, and we continued to build on that platform during the first quarter. Our planned distribution of our shares in Zalando will enable Kinnevik to take a step-change in our strategic transformation, further increasing our focus on our younger growth portfolio.

Georgi Ganev, CEO of Kinnevik

Key Strategic Highlights

• We proposed distributing Zalando to Kinnevik's shareholders
• We participated with USD 30m in Cityblock's funding round
• Material uplift in the valuation of Cedar in connection with the company's USD 200m fundraise
• Material uplift in the valuation of VillageMD as a result of strong operational performance and expanding multiples
• We invested USD 70m into Vivino, the leading online wine marketplace and wine app
• Our NAV was negatively impacted by lower valuations in emerging markets and soft share price performance in Zalando
• Kinnevik ranked as #1 in Sweden and #62 globally in Equileap's Global Report on Gender Equality, and we published our TCFD Report including a scenario analysis on climate change

Investment Management Activities

• We invested SEK 1,006m in the quarter, including:
  • SEK 586m into Vivino
  • SEK 255m into Cityblock
  • SEK 66m into TravelPerk
• Further, we released SEK 196m from the divestment of shares in Alliance Data that was received as part of the sale of Bread in Q4 2020, generating a realized IRR in excess of 30 percent

Financial Position

• NAV of SEK 117.8bn (SEK 424 per share), up SEK 6.1bn or 5% in the quarter
• Net cash position of SEK 3.9bn, corresponding to 3.4% of portfolio value by quarter-end

Events After the Quarter

• In April, Kinnevik announced its participation with NOK 200m in a funding round by Kolonial.no / Oda, emerging as the largest shareholder and introducing new partners Softbank and Prosus

Annual General Meeting

• Chairman Dame Amelia Fawcett and Deputy Chairman Henrik Poulsen have decided not to seek re-election to the Board after captaining Kinnevik's transformation over the last years, and Wilhelm Klingspor has elected to step down after a tenure of more than 20 years as Board Director
• James Anderson proposed as new Chairman of the Board, and Harald Mix proposed as new Director of the Board

Key Financial Data

SEKm	31 Mar 2021	31 Dec 2020	31 Mar 2020
Net Asset Value	117 752	111 671	64 925
Net Asset Value per Share, SEK	423.91	402.02	234.72
Share Price, SEK	425.15	417.35	164.35
Net Cash / (Debt)	3 895	4 817	-1 468
SEKm	Q1 2021	Q1 2020	FY 2020
Net Profit / (Loss)	6 072	-8 372	40 274
Net profit/loss per share before dilution	21.86	-30.27	145.29
Net profit/loss per share after dilution	21.86	-30.27	145.22
Change in Fair Value of Financial Assets	6 136	-8 296	39 850
Dividends Received	-	-	1 689
Dividend Paid	-	-	-1 928
Investments	1 006	403	2 329
Divestments	-207	-1	-8 871

Net Asset Value (SEK) 117.8bn

Change in NAV Q/Q 5%

163%

Five-Year Annualised TSR

26%

CHIEF EXECUTIVE'S REVIEW

Dear Shareholders, Kinnevik started 2021 from a position of strength across our portfolio, and we continued to build on that platform in the first quarter. In the quarter, we saw significant operational traction and investor interest in our companies and several of them, including Budbee, Cedar, Cityblock and Kolonial, attracted capital from new partners. This will enable them to continue to grow their businesses as the shift to digital across our sectors continues at a high pace. Our planned distribution of our shares in Zalando is a step-change in our strategic transformation, dramatically increasing our relative exposure to our younger growth portfolio.

innevik's Q1 Results

Kinnevik's Net Asset Value amounted to SEK 117.8bn, or SEK 424 per share at the end of the first quarter, up by SEK 6.1bn or 5 percent compared to year-end. The strong ope-

rational development in the portfolio was further underpinned by the equity market's continued appreciation of digital consumer companies. The valuation increases in our private portfolio were widely distributed across companies but concentrated to healthcare with material uplifts in Cityblock, Cedar and VillageMD. The NAV was negatively impacted by a weaker share price performance in Zalando and lower valuations of our emerging markets companies. Currency tailwinds provided a positive impact on our unlisted portfolio of SEK 1.2bn and our financial position remained strong with a net cash position of SEK 3.9bn at the end of the quarter.

The Zalando Distribution

In February Kinnevik announced that we intend to distribute our entire shareholding in Zalando to our shareholders. This distribution means that we significantly increase our portfolio's focus on younger, high-growth business.

The Zalando transaction represents a distribution of value to our shareholders of around SEK 46bn, or SEK 168 per Kinnevik share, as at the end of the quarter. We invested early in Zalando and during our 10-year ownership we have consistently and actively supported the team as they have grown their business from a small start-up to Europe's leading fashion platform, generating a return of 7.4 times our invested capital – a fantastic journey of value creation, a strong example of how we work as an investor, and an inspiration for our younger companies. Following Zalando's strong While I am excited to observe as Zalando continues to execute on its growth strategy and create significant value for its shareholders going forward, I am even more excited by the transformation of Kinnevik that the distribution entails.

performance in 2020, we believe this is the right time to give our investors the option of staying invested in Zalando, or divesting to realise cash – which they may choose to re-invest in Kinnevik. We believe Zalando will continue its strong trajectory underpinned by consumers' accelerated shift to digital, and while I am excited to observe as Zalando continues to execute on its growth strategy and create significant value for its shareholders going forward, I am even more excited by the transformation of Kinnevik that the distribution entails.

Further Proof-Points For Our Food Vision

Food, health, and sustainability goes hand in hand. As Kinnevik strongly believes in delivering both economic and social value, food and groceries fit squarely with our investment thesis and has emerged as an important part of our consumer services portfolio in the past three years. Food and groceries also represent the largest share of a consumer's wallet, and is the last big consumer category to undergo a material offline-to-online shift.

Following our investments in Nordic online groceries with MatHem and Kolonial, we have started to apply our sector expertise globally and across the ecosystem. We are building a portfolio of upstream, downstream and vertically integrated food businesses, starting with investments in HungryPanda and Simple Feast, and followed in February with our USD 70m investment in Vivino, the leading online wine marketplace and wine app.

Three years ago, Kolonial was our first investment in the food and groceries space, and the development we have seen in the company since firmly confirms out thesis. The company has delivered on its promises of high growth, consumer excellence and efficiency, and has become an online grocery leader. In April, we were excited to participate in the latest funding round by Kolonial,

CHIEF EXECUTIVE'S REVIEW

now renamed Oda, supporting the company's international expansion plans, bringing their outstanding online grocery experience to millions of customers outside of Norway. This latest investment makes Kinnevik Oda's largest investor, owning 21% of the company, and our partnership with the firm is a great example of the work and ambition of our team to identify changes in consumer trends ahead of the curve.

Exceptional Healthcare Performance

This past year has once again demonstrated the fundamental importance, and enormous inequality, of healthcare systems across the world. Everywhere, demand and costs are increasing, while efficiency and outcomes seem to be falling behind. Kinnevik has a broad and exciting healthcare portfolio of companies that clearly demonstrate the potential for technology and digital innovation to improve this gloomy picture.

In the first quarter, Cityblock attracted new capital which will be used to accelerate deployment of its community and value-based care model across the US. Our investment in Cityblock has so far rendered a 3.3x return, and we currently value our stake at SEK 2.1 bn.

VillageMD has performed strongly in the past 12 months, as the company was able to keep its clinics open during the pandemic, while the situation pushed the company to another level of innovation and technology adoption. The reduction in hospital and emergency room use also led to positive developments of risk-based contracts, driven by VillageMD providing highly accessible primary care. On page 13 of this report, you will find an interview with Tim Barry, co-founder and CEO of the company.

Cedar, the patient engagement and financial technology platform that Kinnevik first invested in during 2018, raised additional capital, demonstrating significant growth on the back of its high levels of patient satisfaction and digital engagement. With a return on our invested capital in Cedar of more than 9 times to date, the company is yet another example of how Kinnevik backs the business models that underpin a rapidly changing healthcare sector.

Exciting Enabler Opportunities

Although we have deployed less capital in financial services in the past three years, we are convinced that this sector still has a long runway for disruption and has a place in Kinnevik's investment strategy as it fulfils an important core need in people's lives. 5%

Kinnevik's Net Asset Value increased by 5% during Q1 2021

Kinnevik offers a rare opportunity for investors to gain access and exposure to a portfolio of fast-growing, innovative and, to a significant extent, private companies.

While the business to consumer space within financial services has become increasingly crowded, we have had a string of particular successes in business-to business-to-consumer (B2B2C) companies that enable companies in our other sectors to deliver a superior customer experience. We call these 'enablers'. We already have great examples of enabler businesses in our portfolio such as Budbee, Cedar and Pleo. Another example is Bread – an investment with a realized IRR in excess of 30%.

Going forward, we will look to deploy more capital in these types of exciting enabler businesses that leverage our insights, expertise and networks across our core sectors.

Sustainable Returns, 30 Years From Now

Our deeply embedded sustainability principles, with clearly articulated targets driving diversity & inclusion and environmental sustainability are key for long-term returns. Recently, we published our second TCFD report, this time taking the analysis a step further as we assessed how our investment strategy likely would perform in two different climate scenarios; one in which emissions are reduced in line with the Paris Agreement, and one in which emissions continue to rise at current rates.

Concluding Remarks

Kinnevik offers a rare opportunity for investors to gain access and exposure to a portfolio of fastgrowing, innovative and, to a significant extent, private companies. Our priorities remain clear – we will continue to evolve the portfolio towards a higher proportion of growth companies in our target sectors and markets, strengthen the portfolio balance across sectors, stages and time to liquidity, and reallocate capital dynamically.

Following the proposed Zalando distribution, our younger businesses will come to the fore and shine in their own right. Under our current Capital Allocation Framework, which can be found on page 16, we expect to invest somewhere between SEK 2.3bn and SEK 4.6bn during 2021. We are likely to again be slightly overweight in new investments relative to the framework, as we continue to build a more balanced Growth Portfolio across sectors, stages and business models.

I would like to thank you, our shareholders, for your support on this exciting journey!

Georgi Ganev, CEO of Kinnevik

KINNEVIK IN SUMMARY

Kinnevik's ambition is to be Europe's leading listed growth investor and we back the best digital companies to make people' lives better and deliver significant returns. We understand complex and fast-changing consumer behaviours, and have a strong and expanding portfolio in healthtech, consumer services, foodtech and fintech. As a long-term investor, we strongly believe that investing in sustainable business models and diverse teams will bring the greatest returns for shareholders. We back our companies at every stage of their journey and invest in Europe, with a focus on the Nordics, and in the US. Kinnevik was founded in 1936 by the Stenbeck, Klingspor and von Horn families. Kinnevik's shares are listed on Nasdaq Stockholm's list for large cap companies under the ticker codes KINV A and KINV B.

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NET ASSET VALUE

Investment (SEKm)	Kinnevik's Ownership	Net Invested Capital	Fair Value Q1 2021	Fair Value Q4 2020	Fair Value Q1 2020	Total Return 2021 YTD
Budbee	28%	337	948	769	348	23%
Common	11%	226	245	173	-	14%
Global Fashion Group	37%	6 920	9 067	7 688	911	18%
Omio	5%	560	462	438	495	5%
TravelPerk	14%	453	799	380	467	79%
HungryPanda	11%	311	343	300	-	14%
Karma	20%	68	43	43	62	-
Kolonial.no / Oda	21%	711	1 610	1 087	610	44%
MatHem	37%	1 071	1 490	1 315	1 039	13%
Simple Feast	11%	105	113	96	-	8%
Vivino	11%	586	641	-	-	9%
Other	-	-	-	-	260	-
Total Consumer Services		11 348	15 761	12 290	4 193	21%
ADS	-	-	-	168	-	16%
Betterment	15%	1 065	1 008	970	1 224	4%
Bread	-	-	-	-	333	-
Deposit Solutions	6%	273	262	247	250	2%
Monese	28%	447	427	429	441	-1%
Pleo	13%	152	434	407	355	7%
Total Financial Services		1 937	2 131	2 221	2 603	4%
Babylon	16%	804	2 680	2 525	2 675	6%
Cedar	9%	270	2 431	572	210	325%
Cityblock	8%	634	2 116	841	-	93%
Joint Academy	19%	131	131	131	-	-
Teladoc / Livongo	5%	197	11 868	12 302	3 577	-4%
Town Hall Ventures	-	74	65	62	74	5%
VillageMD	9%	986	7 280	4 842	887	50%
Total Healthcare Services		3 097	26 571	21 275	7 423	23%
Total Emerging Markets		2 109	1 323	1 835	2 643	-28%
Other	-	-	322	140	-	130%
Total Growth Portfolio		18 491	46 108	37 761	16 862	20%
whereof Unlisted Assets		11 374	24 851	17 462	12 113	35%

Note: Total return includes investments and divestments.

Net invested capital in Teladoc corresponds to aggregate investments into Livongo net of cash proceeds received in connection with the merger that closed in October 2020.

NET ASSET VALUE (CONT'D)

Investment (SEKm)	Kinnevik's Ownership	Fair Value Q1 2021	Fair Value Q4 2020	Fair Value Q1 2020	Total Return 2021 YTD
Tele2	27%	22 073	20 450	24 849	8%
Zalando	21%	46 310	49 346	24 625	-6%
Total Portfolio Value		114 490	107 556	66 336	6%
Gross Cash	-	6 902	7 800	3 804	-
Gross Debt	-	-3 007	- 2 983	- 5 272	-
Net Cash / (Debt)	-	3 895	4 817	- 1 468	-
Other Net Assets / (Liabilities)	-	- 633	- 702	57	-
Total Net Asset Value	-	117 752	111 671	64 925	5%
Net Asset Value Per Share, SEK	-	423.91	402.02	234.72	5%
Closing Price, Class B Share, SEK	-	425.15	417.35	164.35	2%

Note: Total return includes investments and divestments.

Based on the revised rules for accounting for uncertain tax positions in IFRIC 23, Kinnevik has made a reservation of SEK 832m pertaining to a potential capital gains tax liability relating to the merger between Teladoc and Livongo. Kinnevik considers that the transaction falls under one of the applicable exemptions and therefore should be considered tax neutral and relevant tax returns will be filed accordingly.

ASSESSMENTS OF FAIR VALUE OF UNLISTED INVESTMENTS

In assessing the fair value of our unlisted investments, we apply IFRS 13 and the International Private Equity and Venture Capital Valuation Guidelines, whereunder we make a collective assessment to establish the valuation methods and points of reference that are most suitable and relevant in determining the fair value of each of our unlisted investments. Read more in Note 4 on pages 23-25.

CONSUMER SERVICES

Customer centric last-mile logistics platform specialised for e-Commerce businesses Fair Value SEK 948m Kinnevik Stake 28%	Number of New Merchants 203 189 121 114 71 Q1 Q2 Q3 Q4 Q1 202 202 202 202 202 0 0 0 0 1
The largest multi-modal The leading solution travel platform in Europe for businesses to book operating in 15 countries corporate travel online	Residential brand and Number of Units Signed tech-enabled managed March 2021 rental housing market place in the US
Fair Value SEK 462m Fair Value SEK 799m Kinnevik Stake 5% Kinnevik Stake 14%	20.0 Fair Value SEK 245m k Kinnevik Stake 11%

Number of units signed refers to the number of rooms that Common has signed up to manage, many of these are under development.

Fair Value SEK 1.6bn Kinnevik Stake 21%

CONSUMER SERVICES

The leading online grocery store in Norway, with the ambition to make grocery shopping an effortless activity

In April, Kolonial.no rebranded to Oda and raised NOK 2.2bn, of which NOK 1.2bn in primary equity, in a funding round co-led by Softbank and Prosus, where Kinnevik participated with NOK 200m. Out of Kinnevik's approximate NOK 200m participation in the new funding round, some 170m were injected already in 2019 in the form of a convertible bridge note, converting into shares at a customary discount to the valuation in the funding round.

After the round, Kinnevik emerged as the largest shareholder in Oda, owning 21% of the company and the newly raised capital will be used to fund Oda's international expansion plans beginning with Finland, with a new fulfilment center due to open in Helsinki later this year.

The company is further in the earlier stages of preparing a 2022 launch in the EUR 220bn German grocery market.

Oda's mission is to be the most effective online grocer in the world, and it has world leading picking efficiency of 212 UPH (units processed per labor hour at the warehouse), compared to 169 UPH of the leading UK online grocer in 2020.

Its unique business model is built on Nordic principles of employee wellbeing and a commitment to sustainability, as well as proprietary warehouse automation and data-driven processes.

Note: Number of completed deliveries LTM for Oda refers to the number of orders delivered to customers in the last twelve months.

Number of Completed Deliveries

1.8

2.1

1.2 1.3 1.5

LTM (m)

CONSUMER SERVICES

Revenues LTM (SEKm)

1 542 1 606 1 825 2 024 2 319

Sweden's leading independent online grocery retailer, reaching more than half of all Swedish households

Fair Value SEK 1.5bn Kinnevik Stake 37%

A global leader in online Asian food delivery

Fair Value SEK 343m Kinnevik Stake 11%

A leading plant-based meal kit provider

Fair Value SEK 113m Kinnevik Stake 11%

Marketplace platform that connects consumers with local restaurants and grocery stores that have surplus food

Fair Value SEK 43m Kinnevik Stake 20%

The world's leading wine app

Fair Value SEK 641m Kinnevik Stake 11%

In February, Kinnevik invested USD 70m in Vivino. Vivino is the world's largest online wine community and most downloaded wine app with over 50 million users. The new capital will enable Vivino to improve its core technology and artificial intelligence platform to create better and more personalized recommendations for its users. The company will also deepen its focus on select markets with the greatest potential for growth, including the US, Germany and the UK.

Note: Number of completed deliveries LTM for MatHem refers to the number of orders delivered to customers in the last twelve months. Number of meals saved for Karma refers to the number of meals bought through Karma's platform during the period.

FINANCIAL SERVICES

Note: Betterment's AUM is as of the period end, and customers are those with an AUM balance greater than zero at the end of the period. Betterment has updated its methodology for calculating number of customers and thus, some of the historical numbers have been restated. Monese's Signed-up Customers are those that have started the registration process by providing some form of identification.

HEALTHCARE SERVICES

HEALTHCARE SERVICES

Managed Lives February 2021

A leading US based provider of primary care and a pioneer in the delivery of value-based care

Fair Value SEK 7.3bn Kinnevik Stake 9%

"We have launched over 65 Village Medical clinics so far. We are now launching over 2 clinics a week."

Interview with Tim Barry, Cofounder and CEO of VillageMD

We are more than one year into the Covid pandemic. How has this impacted VillageMD's operations and growth?

First, I would like to acknowledge that the pandemic caused enormous devastation across the globe, lost lives and people going through significant health issues, not just physical but also in mental health.

For VillageMD, it had a profound impact as the pandemic forced us to push ourselves to another level of innovation and technology adoption. We were able to go from single digit telehealth utilisation across our clinics to 80-90 percent during the early days of the pandemic.

We did something that was frankly quite unique in the industry. We knew that most people would not want to go into a physical healthcare setting; but at the same time, chronic diseases would not just go away because of Covid. These patients now had to wrestle with a whole other variable in the management of their diseases. Our response was to keep our clinics open. We created an incredible triage process where caregivers, clinicians, nurses, and social workers worked alongside each other. It was breathtaking to see them, day in and day out making sure that those patients that physically needed to be seen, would be seen.

Second, we saw a significant reduction in the total cost of care. The reduction in hospital and emergency room utilisation led to great success in our risk-based contracts, partly also driven by us providing highly accessible primary care.

Third, many independent physicians struggled to make ends meet as the pandemic created more financial stress for them. Joining VillageMD became a phenomenal option for those practices. As a result, we have enjoyed strong growth and a very healthy provider pipeline.

The investment market for healthcare in the US is heating

up – is that a challenge for VillageMD in terms of competing for physician practices?

474 k

There is no question that the marketplace is heating up with a lot of investments flowing into the market. One of the things that differentiated VillageMD from the start is that our model is all about better patient care. At the end of day, clinicians decide where they want to work – in a non-mission driven operation, or with VillageMD where 100 percent of the focus is about making life better for doctors and patients?

At the same time, the market size is huge, and we have decades of growth in front of us. For example, we are now the largest primary care provider in Houston, the fourth largest city in the US, and yet that's a sub-5 percent market share. So, while we are growing incredibly fast, we still only capture a small fraction of the total market opportunity today.

We saw the Walgreens cooperation accelerate, could you elaborate on why this partnership is so successful?

We believe the integration between primary care and pharmacy is one of the most powerful clinical innovations that will happen over the next ten years. It is the best way to take care of patients with chronic diseases, and those drive the bulk of the medication spend. There is no better partner for this than Walgreens. They have one of the most trusted healthcare brands in America and the best real estate in healthcare.

Active markets February 2021

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We have proven that when you put the doctor and the pharmacist together you can create better outcomes. The statistic that I am most proud of is that the patients we care for in the Medicare programme have 5-star levels of quality in terms of medication adherence for people that are diabetic, hypertensive and with high cholesterol. Consumers are giving us net promoter scores of nearly 90, stating that it is an incredible experience.

We have launched 65 Village Medical-clinics so far. We are now launching over two clinics a week. We expect this to go on for the better part of the next five years in over 30 states around the US.

What is Village MD's longterm goals and vision?

In the next 5-10 years, we will be 5-10 years closer to our 100-year vision of transforming how care is delivered in America, delivering much needed improvements in quality and reductions in costs.

Note: Managed lives for VillageMD refer to the number of patients attributed to a VillageMD primary care doctor.

TMT

Note: The definitions of Tele2's KPIs are available on the company's website. Q1 numbers have not yet been reported.

CLIMATE AND D&I REMAINS TOP OF MIND AT KINNEVIK

TCFD Report for 2020

The effects of climate change are clearly visible and will have an increasingly tangible impact on Kinnevik and our portfolio. Implementing the recommendations of the Task Force on Climate-related Financial Disclosures (TCFD) enables us to identify, assess and manage our most material climate-related risks and opportunities.

This quarter we released our TCFD report for 2020, where we for the fist time have modelled our investment strategy against two potential climate scenarios, one in which emissions are reduced in line with the Paris Agreement and one where emissions continue to rise at current rates.

We believe companies that operate in a responsible and sustainable manner will be able to remain the preferred choice for consumers, as well as to recruit the best employees, thereby outperforming their competitors in the long run. Read more at https://www.kinnevik.com/sustainability/tcfd

Kinnevik ranked one of the best 100 companies globally for gender equality

In March, our focus on and work within diversity and inclusion was highlighted when the Global Report on Gender Equality by Equileap ranked Kinnevik as the top company in Sweden and number 62 globally. The motivation reads as following:

"Kinnevik is the top-performing Swedish company, and ranks 62 globally with a gender equality score of 63%. Kinnevik has achieved gender balance (40-60% women) at the board, executive, and workforce levels, falling short at the senior management level. The company has a flexible work arrangements policy covering both hours and locations, and a global parental leave policy offering 39 weeks of fully paid leave to all employees. Kinnevik is one of two Swedish companies to have all 8 policies that contribute to gender equality."

FINANCIAL REVIEW

Capital Re-Allocation Activity

Investee (SEKm)	Q1 2021
Cityblock	255
Common	42
Deposit Solutions	10
Kolonial.no / Oda	33
Simple Feast	9
TravelPerk	66
Vivino	586
Other	5
Investments	1 006
Alliance Data	-196
Other	-11
Divestments	-207
Net Investments / (Divestments)	799

Capital Allocation Framework

Over 2019-23, Kinnevik is aiming to systematically invest its capital under a capital allocation framework which entails:

• Investing one-third of our capital into first round investments, and two-thirds of our capital into followon investments in the high-performing companies of our growth portfolio, on average per year
• Adding one or two international, later-stage companies, and one or two Nordic earlier-stage companies on average per year
• Distributing our capital evenly across our focus sectors
• Aiming to accrete 15-25 percent ownership stakes
• Targeting a portfolio of 30 companies, with a more even distribution of value across investments and sectors, as well as levels of risk and stages of maturity

During the first quarter, we invested a total of SEK 1,006m.

SEK 420m was deployed into our existing businesses. Our largest followon investments in the quarter were SEK 255m into Cityblock and SEK 66m into TravelPerk.

We added one new company to the portfolio during the quarter in the intersection of our Consumer Services and Food & Groceries strategies when we invested SEK 586m for an 11% ownership stake in Vivino, the world's largest online wine community.

During the quarter, we also divested the shares in Alliance Data which was received in late 2020 as part of the divestment of Bread, generating a realised IRR in excess of 30 percent.

Since the start of 2019, Kinnevik has invested SEK 7.9bn into its Growth Portfolio. Some 43 percent of this capital has been invested into 8 new companies and 57 percent has been invested into follow-on investments - fairly in line with Kinnevik's capital allocation framework.

In 2021, Kinnevik is looking to invest between SEK 2.3-4.6bn with a slight overallocation into new investments relative to our framework, adding 4-6 new companies to our Growth Portfolio.

CAPITAL MARKETS DAY 2021

Kinnevik hosted a digital Capital Markets Day on 24 February 2021. It included an update on Kinnevik's strategy, financial position and capital allocation framework. Read more and rewatch the broadcast on kinnevik.com.

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Capital Structure

As at 31 March 2021, Kinnevik had a net cash position of SEK 3.9bn, corresponding to 3.4% of portfolio value. This net cash position was made up of SEK 6.7bn in cash and short-term investments and SEK 2.9bn in senior unsecured bonds with a remaining tenor exceeding 12 months.

Financial Targets

Attractive Returns

Kinnevik's objective is to generate a long term total return to our shareholders in excess of our cost of capital. We aim to deliver an annual total shareholder return of 12-15% over the business cycle.

Low Leverage

Given the nature of Kinnevik's investments, our goal is to carry low leverage, not exceeding 10% of portfolio value.

Shareholder Remuneration Policy

Kinnevik generates shareholder returns primarily through capital appreciation, and will seek to return excess capital generated by its investments to shareholders through extra dividends.

TOTAL COMPREHENSIVE INCOME

Condensed Consolidated Income Statement and report concerning Total Comprehensive Income

SEKm	Note	Q1	Q1	FY
		2021	2020	2020
Change in fair value of financial assets	4	6 136	-8 296	39 850
Dividends received	5	-	-	1 689
Administration costs		-69	-40	-404
Other operating income		3	2	12
Other operating costs		0	0	-4
Operating profit/loss		6 070	-8 334	41 143
Financial net		2	-38	-37
Profit/loss after financial net		6 072	-8 372	41 106
Tax		0	0	-832
Net profit/loss for the period		6 072	-8 372	40 274
Total comprehensive income for the period		6 072	-8 372	40 274
Net profit/loss per share before dilution		21.86	-30.27	145.29
Net profit/loss per share after dilution		21.86	-30.27	145.22
Outstanding shares at the end of the period		277 775 037	276 604 474	277 775 037
Average number of shares before dilution		277 775 037	276 604 474	277 189 756
Average number of shares after dilution		277 775 037	276 806 068	277 337 897

Consolidated Earnings for the First Quarter

The change in fair value of financial assets amounted to a profit of SEK 6,136m (loss of 8,296) for the first quarter of which a loss of SEK 440m (loss of 7,402) was related to listed holdings and a profit of SEK 6,576m (loss of 894) was related to unlisted holdings. See note 4 for further details.

Of the SEK 69m (40) in administration costs incurred during the quarter, SEK 17m (positive 5) pertained to Kinnevik's outstanding long-term incentive programs.

The improved financial net is mainly attributable to positive exchange rate differences.

CASH FLOW STATEMENT

Condensed Consolidated Cash Flow Statement

SEKm	Note	Q1	Q1	FY
		2021	2020	2020
Dividends received	5	-	-	1 689
Cash flow from operations		-103	-107	-311
Interest, received		0	0	1
Interest, paid		-28	-28	-52
Cash flow from operations		-130	-135	1 327
Investments in financial assets		-975	-329	-2 170
Sale of shares and other securities		207	1	8 383
Cash flow from investing activities		-768	-328	6 213
Repayment of loan		-	-1 141	-3 410
Borrowing		-	1 500	1 500
Dividend paid to equity holders of the Parent company		-	-	-1 928
Cash flow from financing activities		-	359	-3 838
Cash flow for the period		-899	-104	3 702
Cash and short term investments, opening balance		7 589	3 887	3 887
Cash and short term investments, closing balance		6 690	3 784	7 589
SUPPLEMENTARY CASH FLOW INFORMATION
Investments in financial assets	4	-1 006	-403	-2 329
Investments not paid		107	74	147
Prior period investments, paid in current period		-76	0	0
Exchange differences on investments not paid		-		12
Cash flow from investments in financial assets		-975	-329	-2 170
Sale of shares and other securities		207	1	8 871
Divestments with no cash flow		-	-	-464
Exchange differences on divestments not paid		-	-	-24
Cash flow from sale of shares and other securities		207	1	8 383

BALANCE SHEET

Condensed Consolidated Balance Sheet

SEK m	Note	31 Mar 2021	31 Mar 2020	31 Dec 2020
ASSETS
Fixed assets
Financial assets accounted at fair value through profit and loss	4	114 490	66 336	107 556
Tangible fixed assets		50	49	50
Right of use asset		9	11	9
Other fixed assets		215	27	214
Total fixed assets		114 764	66 423	107 829
Other current assets		344	63	329
Short term investments		3 883	3 039	3 878
Cash and cash equivalents		2 807	745	3 711
TOTAL ASSETS		121 798	70 270	115 747
SHAREHOLDERS' EQUITY AND LIABILITIES
Shareholders' equity attributable to equityholders of the Parent Company		117 752	64 925	111 671
Interest bearing liabilities, long term		2 935	2 923	2 941
Interest bearing liabilities, short term		0	2 275	0
Non interest bearing liabilities		1 111	147	1 135
TOTAL EQUITY AND LIABILITIES		121 798	70 270	115 747
Key Ratios		31 Mar	31 Mar	31 Dec
Ratio	Note	2021	2020	2020
Debt/equity ratio		0.02	0.08	0.03
Equity ratio		97%	92%	96%
Net cash/Net debt, for the Group, including net loans to investee companies	6	4 080	-924	5 283
Net cash/Net debt, for the Group, excluding net loans to investee companies	6	3 895	-1 468	4 817
Leverage, excluding net loans to investee companies		-	2.2%	-

CHANGES IN EQUITY

Condensed Report of Changes in Equity for the Group

SEK m	Q1	Q1	FY
	2021	2020	2020
Opening balance	111 671	73 295	73 295
Profit/loss for the period	6 072	-8 372	40 274
Total comprehensive income for the period	6 072	-8 372	40 274
Transactions with shareholders
Effect of employee share saving programme	9	2	30
Cash dividend	-	-	-1 928
Closing balance for the period	117 752	64 925	111 671

NOTES FOR THE GROUP (SEKM)

Note 1 Accounting Principles

The consolidated financial statements are prepared in accordance with the International Financial Reporting Standards (IFRS), as adopted by the EU. This report was prepared in accordance with the Annual Accounts Act and IAS 34, Interim Financial Reporting. Information in accordance with IAS 34, Interim Financial Reporting is provided in the notes as well as in other places in the interim report. The accounting principles are the same as described in the 2020 Annual Report.

Note 2 Risk Management

Kinnevik's management of financial risks is centralized within Kinnevik's finance function and is conducted based on a Finance Policy established by the Board of Directors. The policy is reviewed continuously by the finance function and updated when appropriate in discussion with the Audit Committee and as approved by the Board of Directors. Kinnevik has a model for risk management that aims to identify, control and reduce risks. The output of the model is reported to Kinnevik's Risk, Compliance & Sustainability Committee and Board of Directors on a regular basis. Kinnevik is mainly exposed to financial risks in respect of:

• Valuation risk, in relation to negative changes in the value of the portfolio
• Liquidity and financing risk, in relation to increased cost of financing, and difficulties in refinancing maturing loans and facilities, ultimately leading to payment obligations not being met
• Foreign exchange rate risk, in relation to transaction and translation currency exposure
• Interest rate risk, having an adverse impact on financing costs

For a more detailed description of Kinnevik's risks and uncertainties, as well as risk management, refer to Note 17 for the Group in the 2020 Annual Report.

Note 3 Related Party Transactions

Related party transactions for the period are of the same character as the transactions described in the 2020 Annual Report.

Note 4 Financial Assets Accounted at Fair Value Through Profit & Loss

In assessing the fair value of our unlisted investments, we apply IFRS 13 and the International Private Equity and Venture Capital Valuation Guidelines, whereunder we make a collective assessment to establish the valuation methods and points of reference that are most suitable and relevant in determining the fair value of each of our unlisted investments. While a valuation in a recent transaction is not applied as a valuation method as such, it can typically provide an important point of reference and basis for the valuation of a specific investment, especially as it pertains to Kinnevik's younger investee companies where traditional valuation techniques tend to be less applicable and accurate. For new share issues, consideration is taken to whether newly issued shares have preferential rights, such as liquidation preferences to the company's assets. Valuation methods include forward and trailing revenue, GMV, and profit multiples. When performing valuations based on multiples, consideration is given to differences in size, historic and future growth, profitability and cost of equity capital. In its valuations, Kinnevik also considers the strength of a company's financial position, cash runway, and funding environment.

The valuation process for Kinnevik's unlisted holdings is led by a valuation team independently from the respective holding's investment manager. Accuracy and reliability of financial information used in the valuations is ensured through continuous contacts with the management teams of each investee company and regular reviews of their financial and operational reporting. Information and opinions on applicable valuation methods are obtained periodically from our investment managers and well-renowned investment banks and audit firms. The valuations are approved by Kinnevik's CFO and CEO after which a proposal is presented and discussed with the Audit Committee and Kinnevik's external auditors. After their scrutiny and potential adjustments, the valuations are approved by the Audit Committee and included in Kinnevik's financial reports.

When establishing the fair value of other financial instruments, methods that in every individual case are assumed to provide the best estimation of fair value are used. For assets and liabilities maturing within one year, a nominal value adjusted for interest payments and premiums is assumed to provide a good approximation of fair value.

Information in this note is provided per class of financial instruments that are valued at fair value in the balance sheet, distributed in the levels stated below:

Level 1: Fair value established based on listed prices in an active market for the same instrument.

Level 2: Fair value established based on valuation techniques with observable market data, either directly (as a price) or indirectly (derived from a price) and not included in Level 1.

Level 3: Fair value established using valuation techniques, with significant input from data that is not observable in the market.

For the companies that are valued based on multiples an increase in the multiple by 10% would have increased the aggregate assessed fair value by SEK 2,315m. Similarly, a decrease in the multiple by 10% would have decreased the aggregate assessed fair value by SEK 2,321m.

Liquidation Preferences

Kinnevik's unlisted investee companies adopt different financing structures and may at times issue shares with liquidation preference rights.

Liquidation preferences determine how proceeds from a liquidity event are allocated between shareholders. This allocation may become increasingly complex over time, and Kinnevik's share of proceeds may significantly deviate from its percentage ownership of the investee company's issued equity. Accordingly, an increase or decrease in value of an investee company's equity where liquidation preferences are applicable may result in a disproportionate increase or decrease in the fair value of Kinnevik's shareholding. Liquidation preferences may also entail that the fair value of Kinnevik's investment remains unchanged in spite of the assessed value of a particular investee company as a whole changing materially.

An unlisted investee company's transition into a publicly listed company may also affect the value of Kinnevik's shareholding due to the dismantling of such provisions.

Consumer Services

Since the outbreak of the coronavirus in early 2020, the Nordic online food and grocery market as well as the last-mile logistics market have experienced a surge in demand, which has led to many of our businesses leapfrogging their business plans by 12-18 months with overperformance exceeding previously forecasted annual growth rates.

The fair value of Kinnevik's 28 percent shareholding in Budbee amounts to SEK 948m, and is based on a total value of Budbee's equity of SEK 3.4bn. The valuation is based on near-term forward-looking multiples of a peer group of more mature logistics companies with reference to InPost, a next generation last mile delivery company that completed its initial public offering during the quarter. The multiple used in the valuation is roughly in line with the valuation in the company's Series C funding round during the fourth quarter of 2020, in which Kinnevik invested, and hence the value increase is driven primarily by expected revenue growth in combination with Budbee consistently delivering on or above plan. Budbee continues to perform strongly, and is planning to triple its topline during 2021 – a growth rate exponentially faster than its more mature logistic businesses – all while retaining healthy gross margins.

The fair value of Kinnevik's 37 percent shareholding in MatHem amounts to SEK 1,490m. The total value of MatHem's equity amounts to SEK 4.0bn, and is based on trailing revenue multiples of a composite peer group of inventory holding e-commerce retailers and meal kit businesses. The assessed valuation implies a multiple of 1.7x the company's last twelve months' revenues as at 31 December 2020. The corresponding implicit multiple per 31 March 2021, the relevant date of our valuation assessment,

has come down considerably, and corresponds to a 30 percent discount to our composite peer group's average multiple in consideration of MatHem's earlier stage of operational efficiency and profitability compared to the peer group.

The fair value of Kinnevik's 21 percent shareholding in Kolonial.no / Oda amounts to SEK 1,610m. The total value of the company's equity amounts to NOK 7.5bn and is based on trailing revenue multiples of a composite peer group corresponding to that of MatHem. The assessed valuation implies a multiple of 3.3x the company's last twelve months' revenues as at 31 December 2020, and corresponds to the valuation in the company's funding round in the first quarter of 2021. As for MatHem, the corresponding implicit multiple of last twelve months' revenues has come down considerably per 31 March 2021, the relevant date of our valuation assessment. The implicit multiple is at a premium of around 15-25 percent to the stronger performers in our composite peer group, reflective othe company's longer-term growth potential, stronger secular tailwinds, and exceptional operational efficiency of its proprietary technology.

The fair value of Kinnevik's 11 percent shareholding in Simple Feast amounts to SEK 113m, and is based on forward looking revenue and contribution profit multiples of a peer group of meal kit businesses. The assessed valuation is in line with the one at hand in the company's funding round in the fourth quarter of 2020.

The fair value of Kinnevik's 11 percent shareholding in HungryPanda amounts to SEK 343m, and is based on forwardlooking GMV multiples of a peer group of food delivery businesses. The assessed valuation is slightly above the valuation at which Kinnevik invested in the company's funding round in the fourth quarter of 2020, due to positive changes in the valuation of the peer group.

The fair value of Kinnevik's 11 percent shareholding in Vivino amounts to SEK 641m, and is based on forwardlooking GMV multiples of a peer group of global online marketplaces with high user engagement. The assessed valuation is in line with the valuation at which Kinnevik invested in the company's funding round

Method & Investee Companies Fair Value (SEKm) % of Key Unlisted

	Financial Assets
12 496	53%
9 983	42%
984	4%
65	< 1%

in the first quarter of 2021.

The global outbreak of the coronavirus continues to cause significant uncertainty in the travel industry with the new waves of the outbreak putting a crippling pressure on consumer demand. Forwardlooking consensus estimates remained flat during the first few months of 2021 - after being downgraded by almost half during 2020 – and share prices of online travel agencies traded strongly through the first quarter. We continue to seek to reflect the development in public equity markets in assessing the fair value of our investees active within the travel sector, whilst taking a conservative approach in forecasting the trajectory of our businesses and the recovery of the travel sector at large.

The fair value of Kinnevik's 5 percent shareholding and other interest in Omio amounts to SEK 462m, and is based on 2021 revenue multiples of a peer group of online travel agencies such as Trainline and Booking. A discounted multiple is applied on a revenue assessment incorporating recently estimated effects of the coronavirus on the underlying travel market, including the effect of the roll-out of vaccines. Omio is performing broadly in line with restated forecasts, and the company has quickly adapted to the unprecedented crisis for the global travel industry. In the third quarter of 2020, the company strengthened its financial position by raising convertible debt to take the company through the current shape of the crisis. Our assessed fair value of the company as a whole amounts to a level where our equity investment no longer fully benefits from downside protection from the preferential terms of our investment in the company's 2018 equity fundraise.

The fair value of Kinnevik's 14 percent shareholding in TravelPerk amounts to SEK 799m and is based on 2022 revenue multiples of a peer group of online travel booking platforms, such as Corporate Travel Management and Serko, with reference to SaaS companies, such as Atlassian and Salesforce. The valuation is corroborated by an ongoing financing round, in which Kinnevik has invested, and reflects the company's continued strong acquisition of new clients and their travel budgets, and its potential in a more normalized market environment where TravelPerk's SaaS-like characteristics will re-surface.

The fair value of Kinnevik's 11 percent shareholding in Common amounts to SEK 245m, and is based on forwardlooking revenue and profit multiples of a peer group consisting primarily of property managers and hospitality franchise brands. The assessed valuation is in line with the valuation at which Kinnevik invested in the first quarter of 2021 as part of a second close of the company's 2020 funding round.

Financial Services

The fair value of Kinnevik's 15 percent shareholding in Betterment amounts to SEK 1,008m, and is based on 2021 revenue multiples of three peer groups consisting of financial technology companies, digital wealth managers, and SaaS businesses with similar financial profiles to that of Betterment. The slight increase in assessed fair value is due to currency tailwinds. Betterment's revenues remain in part correlated with the development of the US and global stock market which has continued to be supportive through the first quarter, and we continue to believe that the attractiveness of Betterment's products relative to more expensive and less consumer centric incumbents increases during periods of market volatility.

The fair value of Kinnevik's 6 percent shareholding and other interests in Deposit Solutions amounts to SEK 262m and is based on forward-looking revenue multiples of a peer group of SaaS, software licensing, and financial technology companies.

The fair value of Kinnevik's 28 percent shareholding and other interests in Monese amounts to SEK 427m and is based on forward-looking revenue multiples of a peer group of financial brokers and subscription businesses.

The fair value of Kinnevik's 13 percent shareholding in Pleo amounts to SEK 434m and is based on forward-looking revenue multiples of a peer group of SaaS companies. The increase in fair value reflects a contracting discount to the average peer group multiple in consideration of Pleo's robust operational performance and strong growth trajectory coming out of the trough of the pandemic's effect on people's working conditions and way of business life.

Healthcare Services

During the second half of 2020, the IPO of Oak Street Health provided a strong indication of investors' interest in valuebased care delivery operators, such as VillageMD and Cityblock. Meanwhile, despite some rotation out of stocks that have gained significantly through the pandemic, operators of virtual health and telemedicine services continue to be ascribed material premiums to inperson primary care peers. In valuing our businesses within these sectors, we continue to focus on achieved financial performance in assessing our fair values. As the companies we are invested in are growing at materially higher growth rates than their listed comparables, this entails that we are implicitly conservative on a forward-looking multiples basis compared to peers.

The fair value of Kinnevik's 16 percent shareholding in Babylon amounts to SEK 2,680m, and is based on a sumof-the-parts valuation model of Babylon's different revenue streams. Our valuation uses revenue multiples derived from comparable listed businesses such as Oak Street Health, Teladoc and One Medical, and takes a conservative approach to the conversion and timing of the contracts in the company's pipeline. The increase in the assessed fair value is primarily due to currency appreciation.

The fair value of Kinnevik's 9 percent shareholding in Cedar amounts to SEK 2,431m, and is based on a total value of Cedar's equity of USD 3.2bn, corresponding to the valuation in the company's funding round in the first quarter of 2021. The valuation implies a material premium to the average peer multiple of a healthcare software and analytics companies on a 2021 basis, with multiples normalizing when looking into 2022 and 2023.

The fair value of Kinnevik's 8 percent in Cityblock amounts to SEK 2,116m, and is based on trailing revenue multiples of a peer group of different types of care providers and outsourced services companies, including One Medical and Oak Street Health, and incorporates the latest available twelve months' revenues. The valuation is in line with the company's funding round that closed in March, in which Kinnevik participated. Whilst the upwards change in valuation in this quarter is substantial, the applied multiple remains at a material discount to the aforementioned comparable companies considering primarily Cityblock's maturity profile and more complex target population.

The fair value of Kinnevik's 19 percent shareholding in Joint Academy amounts to SEK 131m, and is based on near-term forward looking revenue multiples of a peer group of disruptive healthcare and healthcare IT companies, as well as offline physiotherapy companies. The assessed valuation is in line with the capital Kinnevik invested in the company's recent funding round.

The fair value of Kinnevik's 9 percent shareholding in VillageMD amounts to SEK 7,280m and is based on trailing revenue multiples of a peer group of different types of care providers and outsourced services companies, including One Medical and Oak Street Health, and incorporates the latest available last twelve months' revenues. The valuation of the company as a whole exceeds USD 10bn. The acceleration of the partnership with Walgreens Boots Alliance, the future outlook for VillageMD, and the trading of the company's listed comparable companies, all provide support for a material expansion of the revenue multiple applied in the previous quarter. With this quarter's fairly significant increase in multiple, we mark the business at a slight premium to the aforementioned comparable companies on an trailing basis, but our valuation remains at a material, albeit shrinking, discount on a 2021 basis, as VillageMD is expected to grow materially faster than the aforementioned peers. As the company continues to perform the discount to peers on a future-looking basis should continue to contract over time, but at a lower pace than in recent quarters, and the valuation will be increasingly driven by VillageMD's achieved results and forward outlook.

Change in fair value of financial assets (SEKm)	Q1	Q1	FY
	2021	2020	2020
Alliance Data	28	-	47
Global Fashion Group	1 379	- 1 034	5 743
Home24	-	- 71	59
Livongo	-	609	11 033
Qliro Group	-	- 127	- 69
Teladoc	- 434	-	- 502
Tele2	1 623	- 591	-4 991
Zalando	- 3 036	- 6 189	25 257
Total Listed Holdings	-440	- 7 402	36 577
Babylon	155	- 133	- 283
Betterment	38	- 91	- 345
Bread	-	18	180
Budbee	179	18	334
Cedar	1 859	13	293
Cityblock	1 021	-	461
Common	30	-	- 11
Deposit Solutions	5	- 35	- 38
HungryPanda	43	-	- 11
Joint Academy	-	-	-
Karma	-	-	- 25
Kolonial.no / Oda	490	- 78	392
MatHem	175	-	244
Monese	- 3	- 5	- 47
Omio	23	27	- 145
Pleo	27	12	64
Simple Feast	8	-	- 1
Town Hall Ventures II	3	-	- 12
TravelPerk	354	- 39	- 163
VillageMD	2 438	150	3 845
Vivino	55	-	-
Emerging Markets & Other	- 504	- 750	-1 581
Total Unlisted Holdings	6 394	- 894	3 151
Other Contractual Rights	182	-	122
Total	6 136	-8 296	39 850

Fair value of financial assets (SEKm)	Class A	Class B	Capital/Votes	31 Mar	31 Mar	31 Dec
	shares	shares	(%)	2021	2020	2020
Alliance Data	-	-	-	-	-	168
Global Fashion Group	79 093 454	-	36.8/36.8	9 067	911	7 688
Home24	-	-	-	-	91	-
Livongo	-	-	-	-	3 577	-
Qliro Group	-	-	-	-	169	-
Teladoc	7 491 124	-	4.9/4.9	11 868	-	12 302
Tele2	20 733 965	166 879 154	27.2/42.0	22 073	24 849	20 450
Zalando	54 047 800	-	20.9/20.9	46 310	24 625	49 346
Total Listed Holdings				89 317	54 223	89 954
Babylon			16/16	2 680	2 675	2 525
Betterment			15/15	1 008	1 224	970
Bread			-	-	333	-
Budbee			28/28	948	348	769
Cedar			9/9	2 431	210	572
Cityblock			8/8	2 116	-	841
Common			11/11	245	-	173
Deposit Solutions			6/6	262	250	247
HungryPanda			11/11	343	-	300
Joint Academy			19/19	131	-	131
Karma			20/20	43	62	43
Kolonial.no / Oda			21/21	1 610	610	1 087
MatHem			37/37	1 490	1 039	1 315
Monese			28/28	427	441	429
Omio			5/5	462	495	438
Pleo			13/13	434	355	407
Simple Feast			11/11	113	-	96
Town Hall Ventures II			-	65	74	62
TravelPerk			14/14	799	467	380
VillageMD			9/9	7 280	887	4 842
Vivino			11/11	641	-	-
Emerging Markets & Other			-	1 323	2 643	1 835
Total Unlisted Holdings				24 851	12 113	17 462
Other Contractual Rights				322	-	140
Total				114 490	66 336	107 556

Investments in financial assets (SEKm)	Q1	Q1	FY
	2021	2020	2020
Alliance Data	-	-	121
Total Listed Assets	-	-	121
Babylon	-	-	-
Budbee	-	106	211
Cedar	-	-	82
Cityblock	255	-	380
Common	42	-	184
Deposit Solutions	10	-	-
HungryPanda	-	-	311
Joint Academy	-	-	131
Karma	-	-	6
Kolonial.no / Oda	33	2	9
MatHem	-	150	182
Monese	1	63	93
Omio	1	-	116
Pleo	-	-	-
Simple Feast	9	-	96
Town Hall Ventures II	-	74	74
TravelPerk	66	-	38
VillageMD	-	-	260
Vivino	586	-	-
Emerging Markets & Other	3	7	34
Total Unlisted Holdings	1 006	403	2 207
Total	1 006	403	2 329
Changes in unlisted assets (level 3)	Q1	Q1	FY
	2021	2020	2020
Opening balance	17 602	12 605	12 605
Investments	1 006	403	2 207
Disposals / Exit proceeds	- 11	- 1	- 501
Reclassification	-	-	18
Change in fair value	6 576	- 894	3 273
Closing balance	25 173	12 113	17 602

Note 5 Dividends Received

SEKm	Q1	Q1	FY
	2021	2020	2020
Tele2	-	-	1 689
Total dividends received	-	-	1 689
Of which ordinary cash dividends	-	-	1 032

Note 6 Interest Bearing Assets and Liabilities

Kinnevik was in a net cash position of SEK 4,080m as at 31 March 2021, including loans to investee companies and debt for unpaid investments (5,283m as at 31 December 2020). Net cash

excluding loans to portfolio companies amounted to SEK 3,895m (SEK 4,817m as at 31 December 2020).

Kinnevik's total credit facilities (including issued bonds) amounted to SEK 9,030m as at 31 March 2021 whereof SEK 6,000m related to unutilised revolving credit facilities and SEK 2,900m related

SEKm 31 Mar 31 Mar 31 Dec

to bonds.

The Group's available liquidity, including short term investments and available unutilized credit facilities, totalled SEK 12.820m as at 31 March 2021 (SEK 13,719m as at 31 December 2020).

2021 2020 2020

Total interest bearing assets	7 087	4 348	8 266
Other interest bearing assets	212	20	211
Cash and cash equivalents	2 807	745	3 711
Short term investments	3 883	3 039	3 878
Loans to investee companies	185	544	466
Interest bearing assets

Interest bearing long term liabilities

Corporate bonds	2 900	2 900	2 900
Accrued borrowing cost	-7	-14	-9
Other interest bearing liabilities	42 2 935 - - - 2 935 4 152 -72	37	50
		2 923	2 941
Interest bearing short term liabilities
Corporate bonds		1 815	-
Commercial papers	460	-
		2 275	0
Total interest bearing liabilities		5 198	2 941
Net interest bearing liabilities (-) / assets (+)		-850	5 325
Debt, unpaid investments/divestments		-74	-42
Net cash/(Net debt) for the Group, including net loans to investee companies	4 080	-924	5 283
Net cash/(Net debt) for the Group, excluding net loans to investee companies	3 895	-1 468	4 817

Kinnevik currently has no bank loans outstanding, and its bank facilities when drawn carry variable interest rates. Debt capital market financing consist of commercial paper and senior unsecured bonds. Commercial paper is issued with a maximum tenor of 12 months under Kinnevik's SEK 5bn commercial paper program, and senior unsecured bonds are issued with a minimum tenor of 12 months under Kinnevik's SEK 6bn medium term note program. In order to hedge interest rate risks, Kinnevik has entered into a number of interest rate swap agreements whereby it pays a fixed annual interest rate also on bonds with a floating rate coupon. The derivatives had a negative market value of SEK 9m at the end of the quarter and are marked to market based on discounted cash flows with observable market data. The derivatives are covered by ISDA agreement. As at 31 March 2021, the average interest rate for the outstanding commercial paper and senior unsecured bonds amounted to 0.6% and the weighted average remaining tenor for all Kinnevik's credit facilities amounted to 2.0 years.

CONDENSED PARENT COMPANY INCOME STATEMENT

SEKm	Q1	Q1	FY
	2021	2020	2020
Administration costs	-57	-37	-386
Other operating income and costs	0	0	5
Operating loss	-57	-37	-381
Result from subsidiaries	570	-478	58 463
Result from other financial assets	75		189
Financial net	15	-40	-71
Profit/loss after financial items	603	-555	58 200
Group contribution	-	-	-88
Profit/loss before taxes	603	-555	58 112
Taxes	-	-	-
Net profit/loss for the period	603	-555	58 112
Total comprehensive income for the period	603	-555	58 112

CONDENSED PARENT COMPANY BALANCE SHEET

SEKm	31 Mar	31 Mar	31 Dec
	2021	2020	2020
ASSETS
Tangible fixed assets	4	3	4
Financial fixed assets	97 540	49 279	97 091
Long term receivables	17 600	30 253	17 595
Short term receivables	306	23	336
Short term investments	3 883	3 039	3 878
Cash and cash equivalents	2 607	68	3 454
TOTAL ASSETS	121 940	82 665	122 358
SHAREHOLDERS' EQUITY AND LIABILITIES
Equity	112 966	55 588	112 354
Provisions	19	20	20
Long term interest bearing liabilities	2 902	2 889	2 908
Short term interest bearing liabilities	0	2 275	0
Other short term liabilities	6 053	21 893	7 076
TOTAL SHAREHOLDERS' EQUITY AND LIABLITIES	121 940	82 665	122 358

The Parent Company's liquidity, including short-term investments and unutilized credit facilities, totalled SEK 12,804m (9,412) per 31 March 2021. The Parent Company's interest bearing external liabilities amounted to SEK 2,902m (5,164) on the same date. Investments in tangible fixed assets amounted to SEK 1m (0) during the period.

Distribution by Share Class per 31 March 2021

	Number of shares	Number of votes	Par value (SEK 000s)
Outstanding Class A shares, 10 votes each	33 755 432	337 554 320	3 375
Outstanding Class B shares, 1 vote each	241 718 279	241 718 279	24 172
Outstanding Class D-G shares (LTIP 2018), 1 vote each	539 636	539 636	54
Outstanding Class D-G shares (LTIP 2019), 1 vote each	695 970	695 970	70
Outstanding Class C-D shares (LTIP 2020), 1 vote each	1 065 720	1 065 720	107
Class C-D shares (LTIP 2020) shares in own custody	153 080	153 080	15
Class B shares in own custody	192 927	192 927	19
Registered number of shares	278 121 044	581 919 932	27 812

The total number of votes for outstanding shares amounted at 31 March 2021 to 581,573,925 excluding 192,927 class B treasury shares and 153,080 Class C-D shares from LTIP 2020.

DEFINITIONS OF ALTERNATIVE PERFORMANCE MEASURES

Kinnevik applies the Esma Guidelines on Alternative Performance Measures (APM). An APM is a financial measure of historical or future financial performance, financial position, or cash flows, other than a financial measure defined or specified in the applicable financial reporting framework. For Kinnevik's consolidated accounts, this typically means IFRS.

APMs are disclosed when they complement performance measures defined by IFRS. The basis for disclosed APMs are that they are used by management to evaluate the financial performance and in so believed to give analysts and other stakeholders valuable information. Definitions of all APMs used are found below. Reconciliations of a selection of APMs can be found on Kinnevik's corporate website www.kinnevik.com.

APMs in Kinnevik's interim report include:

Debt/equity ratio	Interest-bearing liabilities including interest-bearing provisions divided by shareholders' equity
Equity ratio	Shareholders' equity including non-controlling interest as percentage of total assets
Internal rate of return, IRR	The annual rate of return calculated in quarterly intervals on a SEK basis that renders a zero net present value of (i) fair values at the beginning and end of the respective measurement period, (ii) investments and divestments, and (iii) cash dividends and dividends in kind
Investments	All investments in listed and unlisted financial assets, including loans to portfolio companies
Leverage	Net debt divided by portfolio value
Net asset value, NAV	Net value of all assets on the balance sheet, equal to the shareholders' equity
Net cash/(net debt)	Interest bearing receivables (excluding net outstanding receivables relating to portfolio companies), short-term investments and cash and cash equivalents less interest-bearing liabilities including interest-bearing provisions and unpaid investments/ divestments
Net investments	The net of all investments and divestments in listed and unlisted financial assets
Portfolio value	Total book value of fixed financial assets accounted at fair value through profit and loss
Total shareholder return, TSR	Annualized total return of the Kinnevik B share on the basis of shareholders reinvesting all cash dividends, dividends in kind, and mandatory share redemption proceeds into the Kinnevik B share, before tax, on each respective ex-dividend date. The value of Kinnevik B shares held at the end of the measurement period is divided by the price of the Kinnevik B share at the beginning of the period, and the resulting total return is then recalculated as an annual rate

COMING UP

Kinnevik's Annual General Meeting 2021

The Annual General Meeting will be held on 29 April 2021. Further details on how and when to register, inlcuding the notice, is available at kinnevik.com.

Financial reports

Dates for 2021 reporting: 12 July Interim Report January-June 20 October Interim Report January-September

Stockholm, 22 April 2021

Georgi Ganev Chief Executive Officer

This Interim Report has not been subject to specific review by the Company's auditors.

This information is information that Kinnevik AB (publ) is obliged to make public pursuant to the EU Market Abuse Regulation and the Securities Markets Act. The information was submitted for publication, through the agency of the contact person set out below, at 08.00 CET on 22 April 2021.

For further information, visit www.kinnevik.com or contact:

Torun Litzén

Director Investor Relations Phone +46 (0)70 762 00 50 Email press@kinnevik.com

Kinnevik's ambition is to be Europe's leading listed growth investor, and we back the best digital companies to make people' lives better and deliver significant returns. We understand complex and fast-changing consumer behaviours, and have a strong and expanding portfolio in healthtech, consumer services, foodtech and fintech. As a long-term investor, we strongly believe that investing in sustainable business models and diverse teams will bring the greatest returns for shareholders. We back our companies at every stage of their journey and invest in Europe, with a focus on the Nordics, and in the US. Kinnevik was founded in 1936 by the Stenbeck, Klingspor and von Horn families. Kinnevik's shares are listed on Nasdaq Stockholm's list for large cap companies under the ticker codes KINV A and KINV B.

For further information, visit www.kinnevik.com or contact:

Torun Litzén Director Investor Relations Phone +46 (0)70 762 00 50 Email press@kinnevik.com