NAXS — Interim / Quarterly Report 2015

Apr 24, 2015

NAXS Nordic Access Buyout Fund AB (publ) Interim Report January-March 2015

First quarter 2015

• Net profit for the first quarter amounted to MSEK 23.8 (33.3).
• Earnings per share amounted to SEK 1.60 (2.24).
• Net asset value amounted to MSEK 772 (SEK 51.94 per share) at March 31, 2015, compared to MSEK 751 (SEK 50.53 per share) at year-end 2014.
• Net cash amounted to MSEK 206 (SEK 13.86 per share) at March 31, 2015, compared to MSEK 167 (SEK 11.26 per share) at year-end 2014.

Comments by the CEO

NAXS stayed on a steady growth path during the first quarter of 2015. As market conditions remained favorable to exits, the quarter saw several new liquidity events. Together with a positive value development of the private equity fund investments, these liquidity events contributed to a NAV increase of 2.8% during the quarter, despite negative currency effects. NAXS' balance sheet remains therefore robust and the Company's well positioned to take advantage of future opportunities.

NAXS' share price also experienced a sustained strong development during the quarter, and we are happy to note that the number of

shareholders has continued to increase.

Lennart Svantesson

Financial summary

	2015	2014
	1/1–03/31	1/1–03/31
Net profit/loss for the period, KSEK	23 777	33 291
	2015 03/31	2014 12/31
Private equity fund investments, KSEK	568 319	587 105
Private equity fund investments in % of equity	74	78
Remaining commitments, KSEK	132 354	137 019
Total exposure to private equity fund investments, KSEK	700 673	724 124
Net cash, KSEK	206 151	167 447
Private equity fund investments per share, SEK	38.22	39.48
Net cash per share, SEK	13.86	11.26
Net asset value per share, SEK	51.94	50.53
Share price, SEK	59.50	49.90

Operations

NAXS Nordic Access Buyout Fund AB (publ) ("NAXS" or the "Company") is an investment company listed on the NASDAQ OMX Stockholm exchange and focusing on investments in Nordic buyout funds.

The objective is to make the Nordic private equity market accessible for a broader range of investors, while offering liquidity through the Company's publicly traded shares. Operations commenced on April 17, 2007, and the Company was listed on First North on May 14, 2007, where it traded until its change of listing to the NASDAQ OMX Stockholm on June 8, 2010.

NAXS is the Group's parent company and is headquartered in Stockholm. In addition to the parent company, the Group consists of an operational Danish subsidiary, NAXS Nordic Access Buyout A/S, headquartered in Copenhagen, and a Norwegian subsidiary, NAXS Nordic Access Buyout AS, headquartered in Oslo. The Danish subsidiary operates as the holding company for the Group's private equity fund investments.

Naccess Partners AB has been contracted as the investment advisor to the Danish subsidiary.

Market review

Private equity activity during the first quarter of 2015 was clearly focused on divestments, supported in particular by the continued attractiveness of initial public offerings as an exit route for buyout managers. This trend was reflected in NAXS' portfolio, where 2 companies were listed during the quarter.

Fund portfolio

As of March 31, 2014, NAXS had commitments to 8 underlying funds.

At the end of the reporting first quarter:

• private equity fund investments amounted to MSEK 568, which corresponds to 74 percent of the Company's equity;
• remaining commitments amounted to MSEK 133, which can be used by the underlying funds for new investments;
• total exposure to private equity fund investments amounted to MSEK 701, which corresponds to 91 percent of the Company's equity.

Equity MSEK 772

Total exposure to private equity fund

74% 17% 0% 25% 50% 75% 100% 125% 74% 26% 0% 25% 50% 75% 100% investments 91% (MSEK 701 ) Remaining commitments 17% (MSEK 133) Net cash 27% (MSEK 206) Private equity fund investments 74% (MSEK 568) Private equity fund investments 74% (MSEK 568)

Evolution of private equity fund investments (in % of equity)

Private equity fund investments Cash

The net asset value (NAV) per share increased by 2.8% during the first quarter 2015, and by 16.9% over 12 months (including the dividend paid).

NAV per share in SEK

Acquisitions and liquidity events

Acquisitions

1 new acquisition was made during the first quarter of 2015, with Valedo Partners Fund II acquiring a majority stake in Rapunzel of Sweden, a company offering hair extensions and related products and services.

Portfolio Company	Sector	Country	Fund
Rapunzel of Sweden	Consumer goods & services	Sweden	Valedo II

Liquidity events

3 partial exits took place during the quarter, two of which through initial public offerings.

Auto Trader Group, a digital automotive marketplace owned Apax Europe VII, was listed on the London Stock Exchange, while Troax, a provider of mesh panels protections owned by FSN Capital III, was listed on NASDAQ Stockholm.

FSN Capital III also divested part of the business of a portfolio company active in the IT & telecom industry, which was acquired in 2009.

As of March 31, 2015, NAXS underlying funds had acquired a total of 106 companies, 28 of which had been fully divested. These 28 exits have generated an average gross IRR of 22%.

No. of portfolio companies acquired per year (exited companies in grey)

• 106 portfolio companies acquired since inception
• 28 companies fully exited
• Average holding period of the remaining 78 portfolio companies is approx. 3.75 years

	2007	2008	2009	2010	2011	2012	2013	2014	2015	Total
No of new portfolio companies	12	16	12	18	16	15	9	7	1	106
No of exits during the year				4		4	11	9		28
No of companies acquired in the year that are now fully exited	7	9	4	5	2	1				28

March 31, 2015

• Total exposure to private equity fund investments: 91 % of total equity
• Private equity fund investments: 74% of total equity
• Number of full exits since inception: 28
• Average gross IRR generated by the 28 full exits since inception: 22%

Portfolio composition/diversification

As of March 31, 2015, NAXS provided the following exposure to the private equity buyout sector:

8 funds from 6 managers

Fund	Commitment Year	Commitment Currency	Initial Commitment Amount (in 000s)
Apax Europe VII LP	2007	EUR	15,000
FSN Capital III LP	2008	EUR	10,000
Herkules Private Equity Fund III LP	2008	NOK	40,000
Intera Fund I KY	2007	EUR	7,000
Intera Fund II KY	2011	EUR	7,250
Nordic Capital Fund VII LP	2008	EUR	20,000
Valedo Partners Fund I AB	2007	SEK	60,000
Valedo Partners Fund II AB	2011	SEK	65,000

3 different fund vintages and a diversification in terms of size segments, with small cap being the largest, as illustrated below (based on current commitments):

78 portfolio companies (remaining after 28 exits) acquired over a period of approx. 8 years, with the 10 largest holdings accounting for less than 26% of the total equity and no single portfolio company accounting for more than 8% of the total equity.

a diversification per geography and sector as illustrated below (based on the fair value of the current portfolio companies):

Underlying funds

Summary information regarding NAXS' underlying funds is provided below:

Fund	Fund size	Segment	Vintage	Geographic focus	# of portfolio companies	# of exited portfolio companies
Valedo I	MSEK 1,000	small cap	2007	Sweden	4	5
Intera I	MEUR 125	small cap	2007	Finland	5	2
Apax VII	MEUR 11,000	large cap	2008	Europe /Global	22	13
FSN III	MEUR 375	mid cap	2008	Norway /Nordic	8	2
Herkules III	MNOK 6,000	mid cap	2008	Norway /Nordic	8	3
Nordic Capital VII	MEUR 4,300	mid/large cap	2008	Primarily Nordic	16	2
Intera II	MEUR 200	small cap	2011	Finland	9	0
Valedo II	MSEK 2,000	small cap	2011	Sweden	6	1

Group

Financial performance, January-March 2015

Operating profit/loss

The operating profit/loss amounted to KSEK 23,648 (32,798) for the first quarter. The operating profit/loss includes a change in value of private equity fund investments of KSEK 26,652 (35,798). The currency effects are included in the changes in value, and amounted to KSEK -12,321 (1,383) for the first quarter. Operating expenses amounted to KSEK 3,004 (3,000).

January 1–March 31, 2015

Changes in value of private equity fund investments: KSEK 26,652, whereof currency effects on private equity fund investments KSEK -12,321.

Financial items

Financial items net totaled KSEK 129 (325) for the first quarter. Interest income amounted to KSEK 108 (233). Exchange rate profit/loss amounted to KSEK 21 (93).

Tax and net profit

The Group's profit/loss after financial items for the first quarter amounted to KSEK 23,777 (33,123). Income taxes amounted to KSEK 0 (168). Net profit/loss after tax amounted to KSEK 23,777 (33,291). Earnings per share were SEK 1.60 (2.24).

Investments, financing and liquidity

Private Equity Fund Investments

During the first quarter, net repayments from private equity funds amounted to KSEK 5,227 (10,807). As of March 31, 2015, private equity fund investments amounted to KSEK 568,319 (527,722).

March 31, 2015

Private equity fund investments per share: SEK 38.22

Financing

The Group is financed with shareholders' equity. Shareholders' equity amounted to KSEK 772,252 (751,319) at the end of the first quarter, corresponding to SEK 51.94 (50.53) per share and an equity/asset ratio of 100 (100) percent.

March 31, 2015 Equity per share: SEK 51.94

Net cash

At the end of the first quarter, net cash amounted to KSEK 206,151 (167,447), which corresponds to SEK 13.86 (11.26) per share. During the first quarter, cash and cash equivalents were invested in interest-bearing instruments or held on interest-bearing bank accounts, in accordance with the Company's policy.

March 31, 2015

Net cash per share: SEK 13.86

Significant risks and uncertainty factors

Significant risks and uncertainty factors are described in the Annual Report 2014. There has been no significant change in relation to risks and uncertainty factors since the publication of the Annual Report.

Future prospects

NAXS anticipates that market conditions and portfolio developments during the next few of quarters will remain largely similar to the ones seen during the first quarter.

Parent company

The parent company has not had any sales during the first quarter. The profit/loss after financial items amounted to KSEK -1,518 (-779). The net interest income amounted to KSEK 191 (247) and exchange rate profit/loss amounted to KSEK -666 (2). Income tax amounted to KSEK 0 (168). The net profit/loss amounted to KSEK -1,518 (-611).

Organization

The Company's CEO is Lennart Svantesson. The Board of Directors consists of John D. Chapman (chairman), Tony Gardner-Hillman, Ramanan Raghavendran and Andrew Wignall.

The share

The NAXS share was initially listed on First North on May 14, 2007. Since June 8, 2010, the share is traded on the NASDAQ OMX Stockholm. The share trades under the designation "NAXS".

The number of outstanding shares in the Company at the beginning and end of the first quarter was 14,869,552.

At the end of the first quarter, the NAXS share price was SEK 59.50 and the total shareholders' equity per share was SEK 51.94. The Company's market capitalization was MSEK 885 and the number of shareholders was 706.

Evolution of the share price during Q1 2015

Accounting principles

The condensed consolidated financial statements have been established in accordance with the International Financial Reporting Standards (IFRS), as recognized by the EU. This report has been prepared in accordance with IAS 34 Interim Financial Reporting and the Swedish Annual Reporting legislation.

The accounting principles applied in this report are described in the Annual Report 2014. The Parent Company follows the Swedish Annual Reporting legislation and the Swedish Financial Reporting Board RFR 2 for legal entities, which provides that the IFRS principles shall apply.

Financial information Contact persons

Annual General Meeting: June 1, 2015 Interim Report (6 months): July 17, 2015 Interim Report (9 months): October 22, 2015

Ticker codes

NAXS SS in Bloomberg NAXS.ST in Reuters

Lennart Svantesson, CEO +46 73 311 00 11 lennart.svantesson@naxs.se

Gösta Lundgren, CFO +46 70 710 47 88 gosta.lundgren@naxs.se

NAXS Nordic Access Buyout Fund AB discloses the information provided herein pursuant to the Swedish Securities Markets Act. The report was submitted for publication at 8:30 CET on April 24, 2015.

This report is an in-house translation of the original report in Swedish

Interim Report Jan-March, 2014 Page 13 of 18

Stockholm, April 24, 2015

John D. Chapman Chairman

Tony Gardner-Hillman Director

Ramanan Raghavendran Director

Andrew Wignall Director

Lennart Svantesson Chief Executive Officer

This report has not been subject to review by the Company's auditors.

This report and other information are available on www.naxs.se

NAXS Nordic Access Buyout Fund AB (publ) Corp. Reg. No. 556712-2972 Grev Turegatan 10 114 46 Stockholm, Sweden Tel: +46 8 611 33 25, E-mail: info@naxs.se

Consolidated Income Statement

Amounts in SEK 000s

	2015	2014
	1/1-03/31	1/1-03/31
Change in value	26 652	35 798
Operating costs Note 1	-3 004	-3 000
Operating profit/loss	23 648	32 798
Net financial items	129	325
Profit/loss after financial items	23 777	33 123
Income taxes	0	168
Net profit/loss	23 777	33 291
Earnings per share, SEK*	1,60	2,24
Average number of shares, 000s*	14 870	14 884
* Basic and diluted

Consolidated Statement of Comprehensive Income Amounts in SEK 000s

	2015	2014
	1/1-03/31	1/1-03/31
Net income	23 777	33 291
Other comprehensive income
Items which will be reversed to the income statement
Exchange differences	-2 844	-913
Total comprehensive income	20 933	32 378
Consolidated Balance Sheet
Amounts in SEK 000s
	2015	2014
	03/31	12/31
Assets
Private equity fund investments	568 319	587 105
Total non-current assets	568 319	587 105
Other receivables	436	201
Cash and cash equivalents	206 151	167 447
Total current assets	206 587	167 648
Total assets	774 906	754 753
Equity	772 252	751 319
Current liabilities	2 654	3 434
Total equity and liabilities	774 906	754 753

Consolidated Net cash

Amounts in SEK 000s

	2015	2014
	03/31	12/31
Cash, bank and short-term investments	206 151	167 447
Total net cash	206 151	167 447

Consolidated Statement of Changes in Equity Amounts in SEK 000s

	2015	2014	2014
	1/1-03/31	1/1-12/31	1/1-03/31
Equity at the beginning or the year	751 319	653 803	653 803
Repurchase of own shares	-	-778	-334
Dividend	-	-29 759	-
Total comprehensive income for the period	20 933	128 053	32 378
Shareholder's equity at the end of the period	772 252	751 319	685 847

Consolidated Statement of cash flows analysis

Amounts in SEK 000s

	2015	2014
	1/1-03/31	1/1-03/31
Profit/loss after financial items	23 777	33 123
Adjustment for non-cash items, etc.	10 693	-16 192
Income tax paid	-	-
Cash flow from operating activities before changes
in working capital	34 470	16 931
Cash flow changes in working capital	-1 014	-857
Cash flow from operating activities	33 456	16 074
Acquisitions/disposals of private equity fund
investments, net	5 227	10 807
Cash flow from investing activities	5 227	10 807
Repurchase of own shares	-	-334
Cash flow from financing activities	-	-334
Cash flow during the period	38 683	26 547
Cash and cash equivalents, beginning of the year *	167 447	131 008
Exchange-rate differences in cash and cash
equivalents	21	-821
Cash and cash equivalents at the end of the period	206 151	156 734

* Including short-term investments

Parent Company Income Statement

Amounts in SEK 000s

	2015	2014
	1/1-03/31	1/1-03/31
Operating costs	-1 043	-1 028
Operating profit/loss	-1 043	-1 028
Net financial items	-475	249
Profit /loss after financial items	-1 518	-779
Income taxes	-	168
Net profit/loss for the period	-1 518	-611

Parent Company Statement of Comprehensive Income Amounts in SEK 000s

Total comprehensive income for the period	-1 518	-611
Net profit/loss for the period	-1 518	-611
	1/1-03/31	1/1-03/31
	2015	2014

Parent Company Balance Sheet

Amounts in SEK 000s

	2015	2014
	03/31	12/31
Assets
Shares in subsidiaries	481 802	481 802
Receivables on group companies	23 789	24 455
Total non-current assets	505 591	506 257
Other receivables	519	201
Cash and cash equivalents	99 687	100 616
Total current assets	100 206	100 817
Total assets	605 797	607 074
Equity	604 938	606 456
Current liabilities	859	618
Total equity and liabilities	605 797	607 074

Parent Company Statement of Changes in equity Amounts in SEK 000s

	2015	2014	2014
	1/1-03/31	1/1-12/31	1/1-03/31
Equity at the beginning of the year	606 456	578 252	578 252
Repurchase of own shares	-	-778	-334
Dividend	-	-29 759	-
Total comprehensive income for the period	-1 518	58 741	-611
Shareholder's equity at the end of the period	604 938	606 456	577 307

Note 1

Operating costs Amounts in SEK 000s

	2015	2014
	1/1-03/31	1/1-03/31
Fee to the investment advisor	-1 864	-1 642
Carried interest to the investment advisor	-	-244
Personnel expenses	-414	-380
Other operating costs	-726	-734
	-3 004	-3 000

No related party transaction occurred during the period, except for remunerations to the board members and the managing director.

Note 2

Financial assets and liabilities

NAXS' financial instruments consist of fund investments, cash and cash equivalents and accounts payable. Level 3 investments includes only the Company's publicly traded share of the fund holdings / securities of unlisted companies (in some cases, also listed companies). When observable prices are not available for these securities, the fund manager uses one or more valuation techniques (e.g. yield methods or income-based methods), or a combination of techniques, for which sufficient and reliable data are available. Within Level 3, the market approach generally uses earnings multiples of comparable companies, while the income-based approach generally uses the present value of estimated future cash flows, adjusted for liquidity, credit, market and/or other risk factors.

For NAXS, the book value of all financial assets and liabilities corresponds to fair value. All amounts are shown in the reported balance sheets.

Definitions

Cash & cash equivalents Cash, bank and short-term investments

Cash per share Cash & cash equivalents in relation to the number of shares

Commitment

The maximum amount that a limited partner agrees to invest in a fund

Current commitments

Acquisition cost for private equity fund investments, plus remaining commitments to private equity funds

Gross IRR

The internal rate of return generated annually at the underlying private equity funds' level, before the deduction of the management fees and carried interest

Net asset value

The fair value of total assets, less net debt (corresponds to equity)

Net cash/Net debt

Cash and cash equivalents, short-term investments and interest-bearing current and longterm receivables, less interest-bearing current and long-term liabilities

Private equity fund investments

Fair value of investments in private equity funds

Total assets

All assets and liabilities not included in net debt or net cash, which is the same as the balance sheet total, less asset items included in net debt or net cash and less non-interestbearing liabilities

Total exposure to private equity fund investments Private equity funds investments and remaining commitments to private equity funds