Voltabox AG — Investor Presentation 2018

Mar 13, 2018

Financial Year 2017

March 2018

Agenda

• Introduction of Voltabox
• Business Overview
• Financials

Corporate Development

paragon founded by Klaus Dieter Frers (private ownership)

Certification as automotive Tier 1 for electronics

IPO of paragon AG (now: Prime Standard Frankfurt)

Market entry in the field of Lithium-Ion: E-Mobility launched as new business segment of paragon

Foundation of Voltabox Deutschland GmbH & Voltabox of Texas, Inc., both as subsidiaries of paragon

Transition into Voltabox AG with Voltabox of Texas, Inc. as a subsidiary

IPO of Voltabox as strategic success factor to accelerate the growth path of E-Mobility activities and to strengthen business & financial flexibility

Voltabox IPO (Oct. 13, 2017)

• Placement at € 24 per share (order book 10 times covered)
• Net proceeds for Voltabox AG: € 133.5m
• Net proceeds for paragon AG: € 11.5m (plus €15m shareholder loan repayment)
• Current market capitalization*: € 370.6m
• paragon AG holds 60% of Voltabox shares
• Bankhaus Lampe acted as Sole Global Coordinated and together with Hauck & Aufhäuser as Joint Bookrunner

BÖRSE FRANKFURT	Börsengang der Voltabox AG im Prime Standard
Erster Preis 09:29:19 Erster Preis 30,00		Unternehmen Voltabox AG Branche Industrie $Land \nightharpoonup$ Deutschland
Emissionspreis 24,00€	Bookbuilding-Spanne 20,00€ - 24,00€	Designated Sponsors Bankhaus Lampe Hauck & Aufhäuser
Homi Almoni Lao	Beno

Management Team

Management Board

Jürgen Pampel, CEO

• Former Head of Electromobility business unit at paragon
• Various leadership positions at paragon since 2004
• Six Sigma Master Black Belt; expert for business process development and optimization
• Design Engineering graduate

Andres Klasing, CFO

• Joined Voltabox in 2017
• Former Head of Accounting & Controlling at paragon since 2016
• Various positions as Head of Controlling / Finance inter alia for Bertelsmann group
• Business administration (VWA) / Engineer (FH) graduate

Klaus D. Frers, Chairman

• Founder / majority owner & CEO of Automotive Tier 1 paragon AG
• Former CEO of Voltabox
• Received numerous awards for entrepreneurial activities
• Leadership positions at AEG-Telefunken and Nixdorf Computer
• Mechanical Engineering graduate

Supervisory Board

Prof. Dr. Martin Winter (Deputy Chairman)

• Professor at the Institute of Physical Chemistry at the University of Münster
• One of the most renowned German scientists in the energystorage field with a focus on Lithium-Ion batteries

Hermann Börnemeier

• Shareholding director of Treu-Union Treuhandgesellschaft mbH, a tax consultancy
• Long-term advisor to the parent company paragon AG

Agenda

• Introduction of Voltabox
• Business Overview
• Financials

E-Mobility Pure Play

Value Contribution

Solution	 Tailored configuration  Configuration of best solution (given the customer use case), based on own simulation tool  Design and development of customer-specific battery systems, based on modular kits  Project management  After Sales: service and customer support, refurbishment schedule offered
System	1,860 mm EXAMPLE Battery Modules w/BMS Sensors m m 1,180 Resistors, Resistors, Fuses Fuses Evaporator Interfaces DC/DC Condenser Fuse Aircon Electronics Box Converter Box Compressor w/ Master BMS	 Proprietary, highly sophisticated Battery Management System (BMS)  Own Temperature Management System  Proprietary safety concept  Cell-agnostic approach:  Prismatical cells; 26650 cylindrical cells; pouch cells to follow end of 2017  Cell chemistries: NMC, LFP, LTO  Different cell suppliers: Samsung SDI, Toshiba, K2, A123, Valence, CATL, and XALT

Market Penetration by Voltabox

Today:	€ 1.007bn*

• Q2 2014: First major US-contract for battery systems in trolleybuses
• Q1 2015: Strategic partnership to enter the fragmented forklift market (intralogistics)
• Q2 2016: Exclusive strategic partnership with leading mining equipment provider
• Q4 2016: Expansion of intralogistics market with batteries for Automated Guided Vehicles
• Q3 2017: First selected mass market entry with starter batteries for motorbikes
• Q4 2017: First strategic partnership in the area of agriculture and construction
• Significant future growth prospects already backed by strong lifetime order backlog of

* As of Dec. 31, 2017 (thereof 77% signed framework contracts).

Market Potential for Voltabox

Overall usage of batteries will increase due to e-mobility mega trend Ongoing substitution of lead acid batteries resp. diesel generators by lithium-ion batteries in occupied submarkets 11% global market growth expected for battery systems in current Voltabox end markets in 2018 Current Voltabox end markets HEV/PHEV buses over 5 meters, forklift/intralogistics, mining vehicles/equipment Future Voltabox end markets Construction & agriculture, Pure Electric Buses over 5 meters, Airport, Car (hybrid) – PHEV, microEV, etc. Further potential Voltabox end markets Delivery trucks & other onroad excl. buses, indoor cranes/platform lifters, pedelecs/e-bike, motorbike, etc. Others Pure electric cars (premium & mainstream), microEV – 3 wheel & rickshaw, wearables, consumer, military, etc. *Partly lead acid and Li ion Source: IdTecEx (2017)

Voltabox Growing Into a New Dimension

New facilities	 Space expansion for R&D / office & production  in Kunshan, China (3,400m2 Foundation of Voltabox space)
More engineering	
resources	R&D staff to increase to 70 employees in FY 2018
New products	 Expanding product portfolio into selected mass markets  Entering into new market segments (i.e. agriculture)
Filled	
M&A pipeline	Working on attractive M&A opportunities (short list)

Multiple Growth Paths

5-Year Order Backlog* (2018 – 2022)

• €1.007bn. (thereof +77% signed framework contracts)
• Estimated order backlog is weighted according to the expected lifetime and the probability of occurrence
• Consistent evaluation system in place since inception in 2011

Agenda

• Introduction of Voltabox
• Business Overview
• Financials

Highlights of the Financial Year 2017

Top Line Growth with Increasing Profitability

March │ 2018 Financial Year 2017 │ Analyst/Investor Presentation 17

Well Balanced Net Assets and Financial Position

• Noncurrent assets € 31.1m

• Current assets € 139.6m

• Equity € 155.0m

• Noncurrent provisions and liabilities € 8.4m

• Current provisions and liabilities € 7.4m

• Voltabox invested in the further expansion of business activities

• Development work capitalized: € 5.2m
• Sufficient liquid funds of € 102.7m due to the IPO

Balance Sheet Total

(Accounting date: Dec. 31, 2017)

Assets + equity and liabilities € 170.8m (2016: € 39.0m)

• Capital reserve increased to € 126.4m
• Significant reduction of noncurrent provisions and liabilities

Investments as a Key Factor for Expansion of the business

Free

Cashflow:

€ -20.9m (2016: € 0.4m)

Cash Flow

• Significant increase in trade receivables owing to strong revenue in Q4/17
• Reduction in trade payables as planned in consequence of the IPO
• Increase in payments for investments in intangible assets by 9.0% amounting to € 5.3 million (prior year: € 4.9 million)
• Increased amortization of noncurrent fixed assets
• Cash and cash equivalents increased to € 102.7 million as of the end of the reporting period (prior year: € 0.9 million)

Development of Revenues and EBITDA

• Jump in revenue about 88.2 % to € 27.273 million
• EBITDA up 240.9 % to € 3.008 million
• EBITDA margin at 11.0 % (previous year: -14.7 %)

Investment Plan 2018

• Total investment volume of € 13.4 million in 2018
• Thereof € 10.9 million in Germany and € 2.5 million in the US
• Capitalized development costs expected to increase by 6.6%

Performance of Voltabox Share (VBX)

Forecast and Analyst Consensus

Financial performance indicators of Voltabox AG	2017		2018
[in € million / as indicated]	Forecast	Results	Forecast
Group revenue	25	27*	Approx. 60
EBIT margin	Slightly positive	2.1%	Approx. 10%
Analyst estimates	2017		2018
Group revenue	25.5		58.2
EBIT margin		0.8%

* Thereof around € 2 million with parent company paragon AG.

Financial Calendar

	Jan. 11/12,	Oddo Forum, Lyon
	Feb. 1	Bankhaus Lampe German Corporate Conference, London
	Feb. 21/22,	12. Oddo-BHF German Corporate Conference, Frankfurt am Main
	Mar. 13,	Annual report 2017
	Apr. 18-20,	Bankhaus Lampe Deutschlandkonferenz, Baden-Baden
	May 8,	Interim release as of March 31 – 3 months
	May 9,	Annual general meeting, Delbrück
	May 16,	Berenberg Investor Forum at The Battery Show, Hannover
	Jun. 7,	quirin Champions 2018, Frankfurt am Main
	Jun 21/22	Berenberg Pan-European Discovery Conference
	Aug. 21,	Interim release as of June 30 – 6 months
	Sep. 3/4	Equity Forum Herbstkonferenz, Frankfurt am Main
	Nov. 13,	Interim release as of September 30 – 9 months
	Nov. 26-28,	Deutsches Eigenkapitalforum 2018, Frankfurt am Main

Disclaimer

This presentation is given to you in strict confidence. By attending the presentation, you agree that no part of this presentation or disclaimer may be disclosed, distributed or reproduced to any third party without the consent of Voltabox AG ("Voltabox").

This presentation is being provided for the sole purpose of providing the recipients with background information about Voltabox's business. This presentation, including the information contained in this disclaimer, does not constitute an offer, invitation or recommendation to subscribe for or purchase any security and neither the presentation, disclaimer nor anything contained in them forms the basis of any contract or commitment. This presentation does not purport to summarize all information that an investor should consider when making an investment decision. It should be read in conjunction with Voltabox's other continuous disclosure announcements. Before making an investment decision you should consider whether it is suitable for you in light of your own investment profile and objectives and financial circumstances and the merits and risk involved.

No representation, express or implied, is made as to the fairness, accuracy, completeness or correctness of information, opinions and conclusions contained in this presentation, including the accuracy, likelihood of achievement or reasonableness of any forecasts, prospects, returns or statements in relation to future matters contained in the presentation ("forward-looking statements"). Such forward-looking statements are by their nature subject to significant uncertainties and contingencies and are based on a number of estimates and assumptions that are subject to change (and in many cases are outside the control of Voltabox and its Directors) which may cause the actual results or performance of Voltabox to be materially different from any future results or performance expressed or implied by such forward-looking statements. Forward looking statements are provided as a general guide only and should not be relied upon as an indication or guarantee of future performance.

To the maximum extent permitted by law, neither Voltabox nor its related corporations, directors, employees or agents, nor any other person, accepts any liability, including, without limitation, any liability arising from fault or negligence, for any loss arising from the use of this presentation or its contents or otherwise arising in connection with it.

You represent and confirm by attending and/or retaining this presentation, that you accept the above conditions.

Company Contact

Voltabox AG

Investor Relations

Dr. Kai Holtmann

Artegastraße 1

D-33129 Delbrück

Phone: +49 (0) 5250 9930-964

Email: kai.holtmann@voltabox.ag