DEVELOPING EAST CAIRO SINCE

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1 1 DEVELOPING EAST CAIRO SINCE 1959

2 MNHD at a glance MNHD

3 Corporate History & Structure MNHD is currently positioned as one of the leading real estate developers in Egypt MNHD s history dates back to 1959 when it was established as a government-owned joint stock company that listed on the EGX in 1996 In 2006, B Investments along with co-investors acquired a 31.2% stake in MNHD (the single largest shareholder collectively) BPE via its controlling stake has managed MNHD s successful turnaround, positioning the company as one of the top real estate developers in Egypt The company historically developed the majority of Nasr City district in East Cairo, covering an area of over 40mn sqm with 3 million inhabitants MNHD currently has two main developments; Taj City- 3.5mn m 2 mixed use development in East Cairo (in front of Cairo Airport) Sarai- 5.5mn m 2 mixed use development in East Cairo (strategically located next to the new administrative capital) 45.3% SHAREHOLDING STRUCTURE 19.9% 7.5% KEY STATISTICS CONTRACTED SALES (FY 2018) EGP 5.5BN 15.2% LAND BANK (m 2 ) LAND BANK LIABILITIES 9MN MINIMAL NET PROFIT MARGIN (9M18) 41% MARKET CAP (31-DEC-2018) EGP 8.1BN 1.7% 3.2% 3.5% 3.7% BIG Investment Group (BPE Managed Vehicle) B Investments (BPE Managed Vehicle) Holding Company for Construction and Development National Investment Bank Olayan Saudi Investment Company Banque Misr Schroder International Free Float 3

MNHD Proposition Outstanding Taj City land disputes resolved Changed the business model to include off plan sales 2 3 Turnaround Sarai master plan developed by renowned British master planners and

4 MNHD Proposition Outstanding Taj City land disputes resolved Changed the business model to include off plan sales 2 3 Turnaround Sarai master plan developed by renowned British master planners and approved via a Ministerial decree MNHD was positioned as a top tier real estate developer Another wave of corporate restructuring that brought in new talent in key positions 2006/ BoD reshuffled and control assumed New CEO appointed, stronger team brought in (multinational background) Launched Tag Sultan in 2012; a 1,700-unit project in Taj City where sales exceeded EGP 2.1 bn Signed a codevelopment agreement with a major private sector developer to develop 433,000 sqm in Sarai Launched Sarai Reached EGP 5bn in Contracted Sales Approved the new and improved master plan for Taj City Achievements Resolved Disputes on 9mn sqm of land Market Cap (EGP bn) c. 5x Growth 8.1 Changed management and developed master plan for land bank Dec-18 Launched and sold mega projects (aborted raw land sales model) Revenue (EGP mn) c. 12x Growth 2,428 Expanded positioning to upper middle income market

MNHD Project Segmentation Gross Land Area (K sqm) 752 551 458 806 700 811 5,623 3,555 618 3,056 Launched & Sold Launched & Unsold Unlaunched

5 MNHD Project Segmentation Gross Land Area (K sqm) ,623 3, ,056 Launched & Sold Launched & Unsold Unlaunched Residential Unlaunched Commercial Capital Gardens 1,426 Launched & Sold Launched & Unsold Unlaunched Residential Unlaunched Commercial Taj City Sarai 5

6 MNHD Stock Performance Outstanding Shares 1,200,000,000 Price (31-Dec-18) 6.73 Market Cap (31-Dec-18) 8.1bn FY2018 Price High/Low 11.96/6.25 FY2018 AVG Volume 2,239,422 FY2018 Volume High 16,682,312 FY2018 Volume Low 200, Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

7 FINANCIAL Updates PRE-SALES (EGP MN) NET REVENUES (EGP MN) DEBT (EGP MN) CAGR: 52% 3,425 5,163 5,495 CAGR: 48% 2,014 2,428 1,710 2, , M2017 9M2018 2Q18 3Q % 39% CAGR: 60% EBITDA (EGP MN) MARGIN (%) 1,031 1,195 51% 49% 1,007 59% 1,210 59% M17 9M % 262 NET INCOME (EGP MN) MARGIN (%) CAGR: 66% 34% % 38% % 41% M17 9M18 EQUITY (EGP MN) ,877 2Q18 3,129 3Q18 Debt/Equity

8 MNHD Developments since 2010 Management is at the helm of MNHD following the implementation of the turnaround plan Operations Solved all outstanding land disputes and got land bank ready for Human development Resources Used, for the first time, external / international master planners for Taj City and Sarai Hired a new top management team Business Obtained approval on Sarai master plan (5.5mn m 2 ) and working on finalizing Taj City s master plan in the next 90 days Launched the first large scale development project in the history of MNHD, Tag Sultan MNHD started unlocking value in its prime Sarai land through a codevelopment agreement and is in the process of starting its own development on Sarai Secured recurring income by partnering up with Fawaz Al Hokair Group to develop a mall in Taj City from multinational firms and regional developers to lead the company Attracted young talent from top universities to join the company Reduced the company hierarchy to be much more efficient Introduced a matrix based organization to support different real estate projects Introduced a new Development Department responsible for on going projects and Properties Department responsible for the remaining land bank Model Introduced off-plan sales Reduced construction time of Waha buildings from 36 month to 14 months Followed the market by introducing semi-finished units instead of finished ones Marketing Upgraded the MNHD logo to give a more modern feel to the brand For the first time in the company s history, started airing TV ads to secure MNHD s place among top real estate developers 8

9 Real Estate Market MNHD.

10 Real Estate Market Overview The ever growing population is primarily composed of individuals under the age of 40 The annual average number of marriages are increasing each year, estimated at 1,000,000 per year There is a growing middle class which are seeking out more moderate-high end housing options which can only be provided for by the private sector Egypt has strong demographics supporting the increase in real estate demand Egypt Age Demographics GDP per Capita (USD) Egypt Population Growth (millions) 44% 3,181 3,213 3,327 3,547 3, Below Above % 32% 10

11 Land Bank MNHD.

12 Taj City 5 th Settlement SARAI New Administrative Capital 9mn m 2 of Strategically Located Land Bank

One of the largest land plots inside Cairo across from Cairo International Airport Up to 40% foot print Master plan approved in January 2018 Launched first project, Tag Sultan, in

5 million m 2 of prime land bank inside Cairo Master plan approved in January 2018 MASTER PLAN SPECIFICATIONS GLA: 3,5 million BUA: 3,1 million Downtown Apartment Buildings 33%

13 One of the largest land plots inside Cairo across from Cairo International Airport Up to 40% foot print Master plan approved in January 2018 Launched first project, Tag Sultan, in October 2012 (sold out) Launched phase two of Taj City (T ZONE) in 4Q2015 (phase 1 sold in 4Q2015, phase 2 launched in May 2016) Infrastructure for Taj City is in final stages 3.5 million m 2 of prime land bank inside Cairo Master plan approved in January 2018 MASTER PLAN SPECIFICATIONS GLA: 3,5 million BUA: 3,1 million Downtown Apartment Buildings 33% Landmark Apartments 2% Residential Apartment Buildings 7% Duplex 4% Strip Mall 2% Medical 2% Auto Mall 2% Luxury Residential Apartment 14% Offices 16% Villas 3% Large Villas 1% Commercial 14% Hotels 2% 13

Master plan approved (designed by Benoy) and Egyptian ministerial decree issued approving the master plan Up to 30% foot print Infrastructure and

Electricity Company) Hydrogeology studies and investigation finalized to inspect natural water feature Co-Development agreement signed with Palm

Project launched in 4Q2015 sold 565 units to date MNHD launched S1 in November with phase 1 selling out in 24hours (EGP 1.

14 Master plan approved (designed by Benoy) and Egyptian ministerial decree issued approving the master plan Up to 30% foot print Infrastructure and utilities are under discussions with New Urban Communities Authority (water and sewage approved, electricity under discussion with the North Cairo Electricity Company) Hydrogeology studies and investigation finalized to inspect natural water feature Co-Development agreement signed with Palm Hills Development on 433,643 m 2 for 36% of revenues. Project launched in 4Q2015 sold 565 units to date MNHD launched S1 in November with phase 1 selling out in 24hours (EGP 1.0bn) MNHD launched S2 in February with phase 2 selling out within 1 week (EGP 1.7bn) 5.5 million m 2 closest to the new administrative capital MASTER PLAN SPECIFICATIONS GLA: 5.5 million BUA: 5.2 million Commercial & Facilities 11% Retail Area 7% Leisure 2% 14 Residential Area 80%

15 Development Projects MNHD.

16 MNHD Project Segmentation Zone T Zone B Unlaunched Residential Unlaunched Commercial Total Total BUA (SQM) 304, , ,000 1,318, ,100 2,898,275 Date of Launch Total # of Units 1,763 1,521 3,341 8,786¹ - % Sold 98% 90% 4% - - Avg. EGP/SQM 7,295 18,975 19,452 19,254² 45,000 Value of Inventory EGP 2.2bn EGP 5.2bn EGP 8.0bn EGP 54bn EGP 51bn ¹ Assuming an average unit size of 150sqm ² Weighted Average of BUA sold in

MNHD Project Segmentation S1 S2 S3 Capital Gardens Unlaunched Residential Unlaunched Commercial Total Total BUA (SQM) 229,365 645,000 65,000 484,100 2,909,000 1,028,700 5,361,165 Date of Launch 2016

17 MNHD Project Segmentation S1 S2 S3 Capital Gardens Unlaunched Residential Unlaunched Commercial Total Total BUA (SQM) 229, ,000 65, ,100 2,909,000 1,028,700 5,361,165 Date of Launch Total # of Units 1,208 3, ,393¹ - % Sold 48% 36% 7% Avg. EGP/SQM 15,603 14,689 30,400-14,430 30,000 Value of Inventory EGP 3.6bn EGP 9.5bn EGP 2.0bn - EGP 162bn EGP 68bn ¹ Assuming an average unit size of 150sqm 17

MNHD Project Segmentation FULL SPECTRUM OF OFFERING

Income (A+ / A / A-) Upper Middle Income (A-) Middle

1,000K 6,000K EGP 300K 1,000K EGP 60K - 300K EGP 15K -

18 MNHD Project Segmentation FULL SPECTRUM OF OFFERING Company Developments Target Market Socio-Econ Upper Income (A+ / A / A-) Upper Middle Income (A-) Middle Income (B) Low Income (B-/C) Yearly Income Range EGP 1,000K 6,000K EGP 300K 1,000K EGP 60K - 300K EGP 15K - 60K Range of Price / m 2 EGP 18K - 22K EGP 11K - 15K EGP 6K - 7K EGP 2K - 2.4K Estimated Price / Unit EGP 1,600K 7,000K EGP 750K 3,500K EGP 800K 1,000K EGP 125K - 135K 18

19 MNHD Latest Developments 60,000 SQM RESIDENTIAL CLUSTER INSIDE SHALYA 60SQM 185SQM AREA RANGE OF UNITS 42,429SQM OF TOTAL BUA 67,384SQM SOLD AVG. SQM PRICE OF 19,100EGP TOTAL SALES AND PRE SALES OF EGP 1.8BN (24% OF TOTAL INVENTORY)

20 MNHD Latest Developments HOME TO CAIRO S BIGGEST LAGOON 56SQM 181SQM AREA RANGE OF UNITS TOTAL OF 344 UNITS OFFERED TOTAL PRE SALES AND SALES OF EGP 238MN (49% OF TOTAL INVENTORY) AVG. SQM PRICE OF 14,672EGP

21 The S Villa New Innovative Product Offered by MNHD in SARAI The S Villa is a new product offered by MNHD in SARAI The S Villa uses one plot of land to host 2 villas Each Villa has its own garden and view while the top villa also has a penthouse S Villas give the convenience and privacy of villas but at the price of town houses 21

22 MNHD Latest Developments 82,517SQM. TOTAL BUA INSIDE SARAI OVERLOOKS 50,000SQM. LAGOON SPREAD ACROSS SARAI 257 TOTAL NUMBER OF UNITS INVENTORY WORTH EGP 2,536MN AVG. SQM PRICE OF EGP 30,517

The compound is spread over 10,322m² with various unit sizes # of Units: 392 units (90% Sold) Apartment Area Range:

23 392 Units in the First Gated Compound in Nasr City (Hayy Al Waha) Quick Facts: Type: Primera is the first gated community located in the heart of Nasr City (in Hayy Al Waha) close to the ring road. The compound is spread over 10,322m² with various unit sizes # of Units: 392 units (90% Sold) Apartment Area Range: 85m²-185m² Avg. Price/m²: EGP 4,600 Construction Period: from months Delivery Date: October 2015 Completion Date: 2016 Installment Period: Up to 9 years

24 2,040 Low Income Housing Units Quick Facts: Type: Low income housing apartment buildings (G+5 floors) # of Units: 708 units constructed Average Unit Area: 63m² Avg. Price/m²: EGP 2,300 Delivery Date: Starting 2016 Completion Date: 2017 Infrastructure: government resumed infrastructure connections 24

25 Strategic Planning & Turnaround Highlights MNHD.

26 Impact on short term profitability MNHD Strategic Planning Matrix High Max Asset Use Capture Value Chain Performance Management SALES Enter into strategic planning for the turn around phase from 2010 MHND focused on generating sales Boosting sales will help short term profitability as well as long term goals for MNHD Improving Subsidiaries Penetrate Low Income Housing Expand Land Bank Other areas to consider are improving the profitability of subsidiaries as well as expanding the land bank Low Impact on long term profitability High 26

27 MNHD Subsidiaries Overview Brief Overview Nasr Civil Works The company was founded in 1965 Executes civil construction work 1st class in civil works It is a listed company with a total market cap of EGP 100 Million (as of 10th August 2015) Nasr Utilities & Installations The company was founded in 1964 Specialized in civil construction, supply and installation of mechanical equipment for sewage and water plants MNHD Ownership 51% 98% MNHD Ownership It contributes around EGP million of net income to MNHD consolidated books It acts as an in-house contractor Current contribution to net income is negligible Acts as the in-house infrastructure contractor to MNHD MNHD Ownership Plan to improve the human capital through an active hiring strategy and training programs Performance management system and salary restructuring will be implemented soon 27 A new management team has been put in place to lead the turnaround process under close supervision and support by MNHD s management I. Cash management II. Weekly meetings III.MNHD committee to lead the turnaround IV.Awarding the company with projects that will improve their financial position (close supervision to ensure quality and improve operations) V.New organizational structure with new experienced hires to the turnaround

28 Financial Summary MNHD.

29 MNHD Consolidated Income Statement EGP Thousands M M 2018 Net Revenues 718, , ,466 2,014,425 2,428,257 1,710,435 2,059,866 Growth 45% 4% 4% 161% 21% - 20% COGS (391,316) (355,242) (365,416) (658,584) (840,532) (539,221) (672,107) Gross Profit 327, , ,050 1,355,841 1,587,725 1,171,214 1,387,759 Gross Profit Margin 46% 52% 53% 67% 65% 68% 79% Selling and Marketing Expenses (37,275) (34,822) (47,158) (133,937) (252,810) (136,423) (144,355) General and Administrative Expenses (45,554) (55,815) (60,699) (68,133) (98,354) (51,582) (61,419) Depreciation (3,656) (3,897) (4,482) (2,762) (3,596) (6,173) (7,715) BOD Expenses (4,280) (4,829) (8,731) (5,197) (10,212) (6,070) (6,547) Provisions (4,827) 1,057 13,446 (117,423) (31,320) (4,566) (9,210) Operating Profits 231, , ,426 1,028,389 1,191, ,400 1,158,513 Finance Costs (7,177) (9,050) (10,319) (11,076) (28,371)(17,483) (91,627) Capital Gain Investment Income (Loss) - 7,317 17,118 12,651 6, Other Costs (6,030) (5,440) (4,645) (29,265) (38,669) (33,414) (14,112) Interest Income 8,976 13,581 11,378 7,799 25,965 22,503 27,990 Other Income 19,719 4,011 17,285 23,010 46,226 32,733 37,878 Net Profit Before Tax 247, , ,245 1,031,683 1,202, ,789 1,118,694 Income Tax (60,019) (88,066) (68,980) (264,668) (272,442) (213,602) (247,083) Deferred Tax (220) 511 (1,571) 1,887 2,778 (36) (2,539) Net Profit After Tax 186, , , , , , ,073 Minority Interest (10,904) (10,409) (5,988) (2,325) (1,432) (1,763) (28,770) Net Profit After Minority 175, , , , , , ,302

30 MNHD Consolidated Balance Sheet EGP Thousands Q Cash 122, , , , , ,052 Investments and Marketable Securities 83, , , , , ,765 Inventory 427, , ,926 1,073,748 1,412,190 1,418,740 Receivables 942, ,689 1,201,343 1,576,872 2,296,377 2,737,324 Letter of Guarantee Coverage 12,927 14,905 9,962 10,865 10,330 10,291 Debtors and other Debit Balances 31, , , , , ,379 Total Current Assets 1,620,387 1,930,551 2,648,093 3,362,144 4,606,051 5,418,551 Work in Progress 16,384 17,224 18,255 15,746 12,927 17,263 Long-Term Receivables and Debit Balances 1, ,431 2,972,920 5,144,995 5,950,950 Deferred Tax 8,354 8,866 7,295 9,182 11,960 9,421 Total Long-term Investments 15,287 15,286 12,157 14,871 15,722 17,839 Net Fixed Assets 29,790 31,446 45,741 49,716 54,661 54,941 Total Long-Term Assets 71,553 72,822 1,003,879 3,062,435 5,240,265 6,050,414 Total Assets 1,691,940 2,003,373 3,651,972 6,424,579 9,846,316 11,468,965 Banks - Credit Facilities & Short Debt 6,472 22,636 35,533 44, , ,003 Current Portion of Long Term Loans 4,239 4,258 4,278 4, , ,648 Provision for Claims 67,165 60,999 46, , , ,988 Completion Liabilities 50,024 83, , , , ,114 Deferred Profits & Interests 355, , , , ,811 - Dividends Payable 4,289 3,839 4,320 3,706 6,962 19,585 Creditors & Other Credit Balances 381, ,798 1,455,542 87,177 79,188 49,538 Tax Authority , , , ,199 Liabilities For Project Maintenance , , , ,379 ST Notes Payable 33,164 84,885 88,752 55, ,411 92,079 Accounts Payable 110, , , , , ,162 Total Current Liabilities 1,012,518 1,144,741 2,550,413 1,530,219 2,065,436 1,804,695 Long Term Notes Payable 26, ,942,735 5,119,127 6,332,434 Long Term Debt 16,460 37,269 68, , , ,703 Long Term Liabilities 42,695 37,269 68,969 3,202,018 5,326,280 6,436,137 Paid-in-capital 135, , , , ,100 1,200,000 Treasury Shares (74,633) - - Reserves 57,398 65,387 74,725 86, , ,479 Net Profit of the year 175, , , , , ,303 Retained earnings 211, , , , , ,232 Minority Interest 56,627 65,186 68,301 69,672 70,527 99,119 Shareholders' Equity 636, ,363 1,032,588 1,692,340 2,454,598 3,228,133 Total Liabilities and Equity 1,691,943 2,003,373 3,651,970 6,424,577 9,846,314 11,468,965

31 31 Thank You

MNHD Brief MNHD BRIEF

February 2015 MNHD MNHD Brief MNHD BRIEF MNHD (Medinet Nasr for Housing & Development) is a leading Real Estate Development Company in Egypt founded in 1959. Was offered in the Egyptian Exchange through