Masterflex SE — Investor Presentation 2017

Mar 7, 2017

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At a glance –Masterflex Group

Technology leader for high-tech hoses and connection systems

• 1987 established in Germany/Ruhr region
• 13 sites in Europe, North & South America and Asia
• Excellent leader in technology for hoses
• Sustainable good EBIT margin
• Solide balance sheet
• Since 2000 listed in the Prime Standard segment
• 48% Freefloat, more than 50% with 6 major shareholders (thereof a good 6% to the Executive Board)
• Prelimanery financial figures 2016: Turnover € 66.5 million, EBIT € 6.1 million

At a glance –APT

Our new subsidiary

• APT Advanced Polymer Tubing GmbH was established in 2011 by Holger Heuser and Erich Kipping
• Product portfolio: tubing from 0.2 to 130 mm diameter and shrink tubing
• Sales especially in the 'DACH' region
• Sale to Masterflex Group effective as per1st January 2017 because of improved possibilities for sale and production
• Property rented in Neuss; approx. 30 employees
• Mid-single digit million of revenue in 2016 combined with a double-digit EBIT margin
• Continuity in the management of APT

The market for hoses

Data: ProdCom/Eurostat; own survey

Masterflex Group products –a one stop shop

The market with polymers

Segmentation by materials in the polymer processing * Masterflex Group and APT

Our extended product portfolio

Brand	Product	Materials	Market Participants
		PU, PVC, textiles	Schauenburg, Norres, Merlett
		VMQ (silikone), CMS (Hypalon®)	Hutchinson, MST, Flexfab
		PU, PVC, PA, PE	Modenplast, Medi-Line, Raumedic
		PC ABS, PVC	Borla, Promepla, diverse
		PU, PVC, metals	Hi-tech Duravent, Flexhaust, Kanaflex
		FEP, PFA, PTFE	Optinova, Saint Gobain

APT –our new expertise

The business model

Production and sales of tubing and shrink tubing made from fully or partly fluorinated high performance polymers

• Special features of APT hoses:
• Substantially broader temperature range (- 200 Grad until + 260 Grad Celsius)
• Long-lasting resistance against nearly all chemicals
• Significantly higher price level in purchase and sales
• Raw materials: In particular FEP (fluorinated ethylene propylene), PFA (perfluoralkoxy) and PTFE (polytetrafluoroethylene)
• Processing: extrusion of FEP and PFA at higher temperatures; cold extrusion of PTFE with subsequent sintering
• Previous customer cluster: industry (robots, food, automotive), analysis- and laboratory equipment
• Now, access to the medical market; sales now also outside of the DACH region
• Potential markets for APT hoses: highly developed economies

The logic of the acquisition

Five Synergies of the Integration of APT into Masterflex Group

© Masterflex SE 8

The extended Masterflex Group

Organization chart of the Group

Our growth strategy

Criteria for further acquisitions on the hose market

Business model: target company developes or produces hoses, hose systems or connection systems respectively primary products or components

Material expertise: focus on hightech plastics and other synthetical polymers

Regional focus: regions of our globalisation strategy

Customer cluster: focus on so called 'white' industries (medical technique, food, pharmacy)

Profitability: focus on sustainable good EBIT-margin

Products: good addition to Masterflex Groups portfolio

Annex

Financial calendar 2017

27th March	Financial press conference
31th March	DFVA Analyst's conference
th 5 May	Release to Q1/2017
27th June	AGM, Gelsenkirchen
th 7 August	Half year report 2017
th 6 November	Release to Q3/2017
27th 29th until November	German Equity Forum
Contact – ir@masterflexgroup.com
CFO	Mark Becks
IR	Dr. Annette Littmann

Annex –Corporate Bodies of the Masterflex SE

Executive Board

Dr. Andreas Bastin CEO

Mark Becks CFO

Supervisory Board

Dr. Gerson Link Deputy Chairman

Member

Annex –our customer sectors

* Prelimary figures 2016

Annex –Shareholder Structure

Stockholders: Largely stable together with slightly Decreasing Free Float

Free flow (51.7%)

• SVB GmbH & Co. KG/ Family Schmidt (19.9%)
• Stichting Administratiekantoor Monolith (14.4%)

BBC GmbH/ Dr. Bastin, Becks (6.1%)

Families Bischoping (3.3%)

J.F. Müller & Sohn (3.1%)

Treasury shares (1.5%)

Annex –Disclaimer

This report contains forward-looking statements regarding future developments which are based on current assessments and planning of the management. Such forward-looking statements are characterised by words such as "expect", "would", "up to", "possible", "anticipate"and similar expressions. These statements are subject to risks and uncertainties. Should one of these factors of uncertainty or other imponderables occur or should the assumptions underlying the statements prove to be incorrect, the actual developments could differ significantly from the possible developments specified or implied in these statements. The Company does not intend to and assumes no obligation to update forward-looking statements on an ongoing basis, as these statements are based exclusively on the circumstances at the date of their publication.

Picture credits: All pictures © Masterflex SE except

Slide 4 © zoja-Fotolia.com

Slide 14 Automotive: © Nataliya Hora–Fotolia.com, Rail industry © Petair–Fotolia.com,

Aviation: © arquiplay77–Fotolia.com , Renewable energy: © F.Schmidt–Fotolia.com