NB Private Equity Partners Ltd. — Net Asset Value 2016

Aug 10, 2016

FUND OBJECTIVE

NB Private Equity Partners Limited ("NBPE" or the "Company") is a closed-end investment company registered under the laws of Guernsey managed by NB Alternatives Advisers LLC (the "Investment Manager"), an indirect wholly owned subsidiary of Neuberger Berman Group LLC.

Our investment objective is to produce attractive returns on capital by investing directly into Private Equity backed companies with a focus on capital efficient strategies while managing risk through portfolio diversification. NBPE pursues diversification across capital structure, asset class, vintage year, geography, industry and sponsor.

FUND MANAGER: NB ALTERNATIVES

• 29 years private equity investing experience
• Over \$35 billion of commitments managed
• Stable team with ~100 investment professionals with global presence
• Investments with over 200 private equity firms

MANAGER COMMENTARY

NBPE received \$16.6 million of distributions from investments during July. Approximately \$14.3 million was received from direct yielding investments, of which \$11.0 million was from the exit of MediMedia second lien debt and \$3.3 million was from principal and interest, primarily from Funding Circle and OnDeck small business loan programs. NBPE received \$1.7 million from fund investments. In addition, Patheon, an equity co-investment, completed an IPO on the NYSE during July. Year to date, NBPE has generated \$45.5 million from the exit of seven direct yielding investments and \$35.7 million from the exit of six equity co-investments.

During July, NBPE funded \$1.4 million of contributions, primarily consisting of follow-on investments to two healthcare credits. Year to date, NBPE has completed ten new equity co-investments and three new direct yielding investments. NBPE also committed \$50 million to the NB Credit Opportunities Program during July. This program focuses on purchasing the debt of private equity backed companies in the secondary market at discounts to their face value, offering the potential for capital appreciation as well as current income. Also during July, NBPE declared a \$0.25 per Share dividend, payable on 31 August 2016.

PORTFOLIO ACTIVITY ⁵ BALANCE SHEET DEVELOPMENT

Trading Symbol: NBPE Exchanges: Euronext & LSE Euronext Admission Date: 25 July 2007 LSE Admission Date: 30 June 2009 Base Currency: USD

Bloomberg Ticker: NBPE NA, NBPE LN Reuters Ticker: NBPE.AS, NBPE.L ISIN: GG00B1ZBD492 Common: 030991001 Semi-annual Dividends:³ \$0.25 per share

Annualised Dividend Yield:³ 4.8% on share price, 3.5% on NAV

Trading Symbol: NBPZ Exchanges: LSE & CISE Admission Date: 1 December 2009

ZDP SHARE INFORMATION

Base Currency: GBP Bloomberg Ticker: NBPEGBP LN Reuters: NBPEO.L ISIN: GG00B4ZXGJ22 SEDOL: B4ZXGJ2 GRY at Issuance: 7.3%

Share Life: 7.5 years to 31 May 2017 Capital Entitlement: 169.73 pence

NET ASSET VALUE DEVELOPMENT

(\$ in millions, except per share data)
	31 July 2016	30 Jun 2016
Summary o f N A V o f Ordinary Shares	(Unaudited)	(Unaudited)
Direct Investments
Direct Equity Investments	\$363.2	\$360.9
Income Investments	\$251.9	\$262.7
Total Direct Investments	\$615.1	\$623.6
Fund Investments	\$161.5	\$160.1
T o tal P rivate Equity Investments	\$ 776.6	\$ 783.7
Cash and Cash Equivalents	\$78.8	\$67.4
Credit Facility Outstanding	(\$70.0)	(\$70.0)
ZDP Share Liability	(\$69.9)	(\$69.9)
Dividend Payable	(\$12.2)	-
Net Other Assets (Liabilities), incl. M inority Interest	(\$4.2)	(\$6.9)
Net Asset Value	\$ 699.1	\$ 704.3
N et A sset Value per Share *	\$ 14.33	\$ 14.43
N et A sset Value per Share Including 2016 D ividends *	\$ 14.83	\$ 14.68
C lo sing Share P rice (Euro next A msterdam)	\$ 10.40	\$ 9.86
P remium (D isco unt)	(27.4%)	(31.7%)
Summary o f P rivate Equity Expo sure
Estimated Fair Value of Private Equity Investments	\$776.6	\$783.7
Adjusted Unfunded Private Equity Commitments**	\$47.9	\$47.9
A djusted T o tal P rivate Equity Expo sure	\$ 824.5	\$ 831.6
Private Equity Investment Level	111%	111%
Cash + Undrawn Committed Credit Facility	\$158.8	\$147.4
Adjusted Commitment Cover Ratio**	332%	308%
(In £)
Summary o f the Z D P Shares
Z D P N et A sset Value per Share ***	160.05p	159.10p
C lo sing Z D P Share P rice (LSE)	163.75p	163.25p
P remium (Discount)	2.3%	2.6%

*As of 31 July and 30 June 2016, there were 48,790,564 class A ordinary shares and 10,000 class B ordinary shares outstanding, with 3,150,408 class A ordinary shares held in treasury. ** Unfunded commitments are adjusted for amounts the Manager believes are unlikely to be called. As of 31 July (30 June ) 2016 , unadjusted unfunded commitments are \$276.6 million (\$229.8 million), total private equity exposure is \$1.1 billion (\$1.0 billion) and the unadjusted commitment coverage ratio is 57.4% (53.3%). *** As of 31 July and 30 June 2016, there were 32,999,999 ZDP shares outstanding.

Note: Numbers may not sum due to rounding.

ASSET CLASS AND INVESTMENT TYPE BY FAIR VALUE

YEAR OF INVESTMENT BY FAIR VALUE

INDUSTRY BY FAIR VALUE

GEOGRAPHY BY FAIR VALUE

Healthcare 16% Energy 6% Consumer Discretionary 13% Industrials 13% Business Services Comm. / M edia 4% Financial Services 11%

LTM ORDINARY SHARE PRICE AND NAV PERFORMANCE (TOTAL RETURN) AND TRADING VOLUME

VALUATION METHODOLOGY

The Company carries its private direct equity investments on its books at fair value using the best information it has reasonably available to determine or estimate fair value. Publicly traded securities are valued based on quoted prices as of the last day of the relevant period less discounts to reflect legal restrictions, if any, that affect marketability. The Company determines such values for publicly traded securities held directly as well as known public positions held in the underlying private direct equity investments on a look-through basis. The Company estimates fair value for private interests based on a methodology that begins with the most recent information available from the general partner of the underlying fund or the lead investor of a direct equity investment, and considers subsequent transactions, such as drawdowns or distributions, as well as other information judged to be reliable that reports or indicates valuation changes, including realizations and other portfolio company events. The Company proactively re-values its investments before it has received updated information from the fund manager or lead investor if it becomes aware of material events that justify a change in valuation. If the Company concludes that it is probable an investment will be sold, the Company will adjust the fair value to the amount the Company expects to realize from the sale, net of transaction costs.

For debt investments, the Company estimates the enterprise value of each portfolio company and compares such amount to the total amount of such portfolio company's debt, as well as the level of debt senior to our interest in such portfolio company. Estimates of enterprise value are based on a specific measure (such as EBITDA, free cash flow, net income, book value or NAV) believed to be most relevant for the given portfolio company and compares this metric in relation to comparable company valuations (market trading and transactions) based on the same metric. In determining the enterprise value, the Company will further consider the portfolio companies' acquisition price, credit metrics, historical and projected operational and financial performance, liquidity as well as industry trends, general economic conditions, scale and competitive advantages along with other factors deemed relevant. Valuation adjustments are made if estimated enterprise value does not support the value of the debt security in which the Company is invested and securities senior to NBPE's position.

If the principal repayment of debt and any accrued interest is supported by the enterprise value analysis described above, the Company will next consider current market conditions including pricing quotations for the same security and yields for similar investments. To the extent market quotations for the security are available, the Company will take into account current pricing and liquidity. Liquidity may be estimated by the spread between bid and offer prices and other available measures of market liquidity, including number and size of recent trades and liquidity scores. If the Company believes market yields for similar investments have changed substantially since the pricing of our security, the Company will perform a discounted cash flow analysis, based on the expected future cash flows of the debt securities and current market rates. The Company will also consider the maturity of the investment, compliance with covenants and ability to pay cash interest when estimating the fair value of our debt investment.

NBPE expects to issue its quarterly report for the six month period ended 30 June 2016 in August. The quarterly report will include unaudited financial information prepared in accordance with accounting principles generally accepted in the United States. NBPE is required to consider, and will consider, all known material information in preparing such interim financial report, including information that may become known subsequent to the issuance of this monthly report. Accordingly, amounts included in the quarterly reports may differ from this monthly report.

TRADING VOLUME AND SHARE REPURCHASE ACTIVITY

During the month of July, NBPE's aggregate trading volume on Euronext Amsterdam, the London Stock Exchange, and over-the-counter trading platforms was 398,568 Class A ordinary shares, which represents an average daily trading volume of approximately 18,979 Class A ordinary shares.

On 22 October 2010, NBPE launched a new Share Buy-Back Programme in order to begin implementing the Capital Return Policy. The Share Buy-Back Programme expired on 31 May 2016; however, the programme remains an option to the Company in future periods, if deemed suitable by the Directors at a later time. As of 30 June 2016, there were 48,790,564 class A ordinary shares and 10,000 class B ordinary shares outstanding, with 3,150,408 class A ordinary shares held in treasury.

INVESTMENT MANAGER REGISTERED OFFICE

NB Alternatives Advisers LLC	Email: IR_NBPE@nb.com	NB Private Equity Partners Limited	St. Peter Port, Guernsey GY1 4HY
325 N. Saint Paul Street	Tel: +1.214.647.9593	P.O. Box 225	Channel Islands
Suite 4900	Fax:+1.214.647.9501	Heritage Hall, Le Marchant Street	Tel.+44-(0)1481.716.000
Dallas, TX 75201		www.nbprivateequitypartners.com	Fax.+44-(0)1481.728.452

• 1. Figures provided are unaudited and subject to change. Certain numbers may not total due to rounding.
• 1. Other includes realised gains, investment income not classified as yield income, expenses, the ZDP liability and value changes to other assets and liabilities.
• 1. NBPE declared a \$0.25 per Share dividend on 12 July 2016, payable on 31 August 2016. On an annualised basis, this dividend payment represents a dividend yield of 3.5% based on the estimated July 2016 NAV and 4.8% based on the Euronext closing price of \$10.40 on 29 July 2016.
• 1. The diversification analysis by asset class and investment type is based on the fair value of underlying fund investments and direct/co-investments. The diversification analysis by year of investment, geography and industry is based on the diversification of underlying portfolio company investments at fair value as estimated by the Investment Manager. The year of investment is calculated at the portfolio company level and is defined as the date of capital deployment into a particular underlying investment. The diversification by year of investment also includes an allocation of net cash flows and valuation adjustments made since financial statements were last received from the investment sponsor. Accordingly, the actual diversification of the Company's investment portfolio and the diversification of the Company's investment portfolio on an ongoing basis may vary from the foregoing information.
• 1. Direct equity investment diversification includes all equity, including associated equity from income investments.

This document is not intended to be an investment advertisement or sales instrument; it constitutes neither an offer nor an attempt to solicit offers for the securities described herein. This report was prepared using financial information contained in NBPE's books and records as of the reporting date. This information is believed to be accurate but has not been audited by a third party. This report describes past performance, which may not be indicative of future results. None of NBPE or the Investment Manager accepts any liability for actions taken on the basis of the information provided.

NBPE is registered with the Dutch Authority for the Financial Markets as a collective investment scheme which may offer participations in The Netherlands pursuant to article 2:66 of the Financial Markets Supervision Act (Wet op het financieel toezicht). All investments are subject to risk. Past performance is no guarantee of future returns. Prospective investors are advised to seek expert legal, financial, tax and other professional advice before making any investment decision. The value of investments may fluctuate. Results achieved in the past are no guarantee of future results.