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Your Aquaculture Technology and Service Partner

Company presentation

Your Aquaculture Technology and Service Partner

Important Information About this Company Presentation

This Company Presentation has been prepared by AKVA group ASA ("AKVA group" or the "Company") for information purposes only, and does not constitute investment advice

• r an offer to sell or a solicitation of an offer to buy any securities in any jurisdiction to any person. Any recipient or reader of this Company Presentation contemplating to make

an investment in the Company must rely on their own examination of the Issuer, including the merits and risks involved. Each recipient and reader of this Company Presentation should consult with its own legal, credit, business or tax adviser as to legal, credit, business and tax advice. By receiving

• r accessing this Company Presentation you acknowledge that you will be solely responsible for your own assessment of the market and the market position of the Company and

that you will conduct your own analysis and are solely responsible for forming your own opinion of the potential future performance of the Company’s business. The information contained in this Company Presentation has not been independently verified. No representation or warranty (express or implied) is made as to the accuracy or completeness of any information contained herein, or any oral information provided in connection therewith, and it should not be relied upon as such. The Company accepts no liability whatsoever arising directly or indirectly from the use of this Company Presentation. This Company Presentation is current as of 10 March 2016. Nothing herein shall create any implication that there has been no change in the affairs of AKVA group since such

• date. This Company Presentation contains forward-looking statements relating to the Company's business, the Company's prospects and other forward-looking statements.

Forward-looking statements concern future circumstances and results and other statements that are not historical facts, sometimes identified by the words "believes", "expects", "predicts", "intends", "projects", "plans", "estimates", "aims", "foresees", "anticipates", "targets", and similar expressions. The forward-looking statements contained in this Company Presentation, including assumptions, opinions and views of the Company or cited from third party sources, are solely opinions and forecasts which are subject to risks, uncertainties and other factors that may cause actual events to differ materially from any anticipated development.

Your Aquaculture Technology and Service Partner

AKVA group highlights

• Undisputed #1 supplier of technology and services to the

aquaculture sector

• Salmon farming is driven by high demand, high prices and

increased technological sophistication

• New salmon farming growth to come from land-based and

more exposed locations with higher technological requirements

• AKVA group is well positioned for continued growth and

margin improvement – active dividend policy

Your Aquaculture Technology and Service Partner

Agenda

Company Market & trends Financials 1 2 3

Your Aquaculture Technology and Service Partner

AKVA group – uniquely positioned for future growth

Cage-based Land-based

• Plastic

and steel cages Infra- structure Feed systems, sensors and cameras Technology and farming services

• Land-based

facilities Land-based equipment

1 2 4

Software

3

CAPEX based revenue OPEX based revenue Leading technology solutions and service partner to the global aquaculture industry Global presence - subsidiaries in 8 countries 670 employees Market cap of NOK ~1250m and net debt of NOK 134m

Your Aquaculture Technology and Service Partner

Presence in all main farming regions

Map of activities Revenue per region 2015

Nordic Americas Export

Nordic 68 % Americas 18 % Export 14 %

Your Aquaculture Technology and Service Partner

AKVA group serves all salmon farmers in the World

Customer examples Revenue per customer 2015

Customer 1 Customer 2 Customer 3 Other

Your Aquaculture Technology and Service Partner

Strategic priority to increase the proportion

• f software and service-related revenue

Revenue reoccurring vs technology 2015 Comments

• Introduction of rental business model in Norway. Already

successfully introduced in UK and Canada

• Rental is an “all inclusive service” providing for instance light
• r picture for an agreed period of time (2 to 5 years duration)
• reduced CAPEX and reducing operational work from the

customer

• Acquisition of YesMaritime in 2014, a provider of diving, ROV

and other services to the salmon farming sector (Farming services)

• Development of Farming Services still in an early stage –
• pportunity for consolidation
• Aim of delivering more than 30% of revenue through software

and services – by developing software, farming services, technology services and rental further

CAPEX based revenue; 73 % OPEX based revenue; 27%

Your Aquaculture Technology and Service Partner

Agenda

Company Market & trends Financials 1 2 3

Your Aquaculture Technology and Service Partner

Strong demand for salmon - high and stable salmon prices expected going forward

Annual harvest volumes of Atlantic salmon Salmon price history and forecast, NOK/kg

2.5 1.0 0.0 2.0 0.5 1.5 2005 2010 +9% 2000 1995 Million tonnes 2017e 48 52 42 39 38 26 2016e1) 2017e1) 2015 2014 2013 Avg 1996- 2012

Source: Fish Pool, broker research reports, Arctic Securities Notes: 1) Actual prices and Fish Pool forwards

Your Aquaculture Technology and Service Partner

Aquaculture is becoming increasingly technology-intensive

Source: Salmon farmer annual reports Notes: 1) Based on reported farming capex and harvest volumes for Marine Harvest, Salmar, Cermaq, Lerøy, Grieg, NRS and Bakkafrost, 2015 figures are based on company guidance

Farming capex, NOK/kg harvested 1) Comparison of cage in 1980 to cage in 2014

4,0 1,6 2006 2015 +2.5x

Your Aquaculture Technology and Service Partner

Driving forces – salmon industry

SHORELINE

The exponential challenge of the coastal zone

• SALMON LICE
• CONCENTRATION OF STAKEHOLDER INTEREST
• WATER QUALITY
• AVAILABLE SPACE FOR EXPANSION
• ENVIRONMENTAL IMPACTS OF CONCENTRATED ACTIVITIES

EXPOSED SITES FARMING LAND BASED FARMING

Your Aquaculture Technology and Service Partner

Industry entering into a stagnant phase – with rapidly increasing costs

• 200 000

400 000 600 000 800 000 1 000 000 1 200 000 1 400 000

1992 2015 Sales volume

• M. Tons live weight (WFE)

Production cost (NOK/kg) 5 10 15 20 25 30 35 40 45 50

CAGR 12-15

+0,1 %

Source: Deloitte, Directorate of fisheries

Your Aquaculture Technology and Service Partner

Industry stagnant phase

Industry phase development effects on technology demand

Your Aquaculture Technology and Service Partner

Cage farming development

SHELTERED EXPOSED OCEAN FARMING

SHORELINE

INCREMENTAL DEVELOPMENT:

• ENLARGEMENT AND

INCREASED ROBUSTNESS

INCREMENTAL DEVELOPMENT:

• BASED ON EXPERIENCES FROM AQUACULTURE

AND OFFSHORE INDUSTRY

Your Aquaculture Technology and Service Partner

Development of land based and closed containment technologies

SHORELINE

LAND BASED TECHNOLOGY CLOSED CONTAINMENT TECHNOLOGY AT SEA

Your Aquaculture Technology and Service Partner

ATLANTIS SUBSEA FARMING AS

17

• Established in partnership with the companies Sinkaberg-Hansen AS and

Egersund Net AS – 33.3% of the shares each

• Purpose of developing submersible fish-farming facilities for salmon on

an industrial scale

• Has applied for six development licences to enable large-scale

development and testing of the new technology and operational concept

• Through its innovative development work, ATLANTIS aims both to

contribute to better and more sustainable use of current farming sites as well as to enable use of more exposed sites than is currently possible. The goal is to achieve production gains and improve fish welfare by submerging the facilities, as they will be far less exposed to the environmental and physical conditions than in a surface position

• Although ATLANTIS represents a significant leap forward in terms of

innovation, it is also an objective for the concept to keep costs at a level that helps strengthen the industry's competitive position. The aim is also that the technology and operating methods developed through ATLANTIS can be made available and adopted by the industry relatively quickly

Your Aquaculture Technology and Service Partner

The growing global movement to participate in sustainable aquaculture

The progressive regions: Salmon Sea Bass & Sea Bream Other Species – emerging regions

Middle East: Offshore – Saudi , Oman, Iran (Caspian) Lakes/Dams – Iran Land Based – UAE, Saudi, Oman, Iran Sub-Sahara Africa: Offshore – Mauritius, Mozambique Lakes/Dams – Lesotho, Ghana, SE Africa Land Based – SE Africa Asia: Offshore – Indonesia, Malaysia, Japan, South Korea, India, Sri Lanka Lakes/Dams – China, Vietnam Land Based – China, Thailand, Malaysia, Indonesia, Vietnam

Your Aquaculture Technology and Service Partner Cycle development Time

Continued growth expected – still in early stage of development

Cycle development Oil Aqua Growth drivers

• The salmon industry is still the frontier.

Analysts expects limited volume growth in salmon farming in 2014-2020. This implies high salmon prices which is the prime driver for growth in the technology and service industry

• Additional growth from increased

regulation, adding complexity and adding need for compliance

• Additional growth from other species

and regions

• Additional growth from maturation of

the industry – the players are getting more specialized

Your Aquaculture Technology and Service Partner

AKVA group is the undisputed #1 technology and service provider to the aquaculture sector

Cages Aquaculture machinery Water engineering Software & IT Service & Support

• AKVA group is the

undisputed #1 supplier to the aquaculture industry

• Complete offering

increasingly seen as positive by customers

• Scale provides

technological advantage

• Holds the most well-

known brands in the industry

• Present in all main

markets Revenue, NOKm

Your Aquaculture Technology and Service Partner

Agenda

Company Market & trends Financials 1 2 3

Your Aquaculture Technology and Service Partner

AKVA group has seen operational revenue growth of 77% from 2012 to 2015

Notes: 1) 2012 for software is excluding a one of gain of MNOK 29 related to the sale of the Norwegian Maritech business

AKVA group revenue Comments

803 98 97 724 1 071 2014 657 132 2013 94 52 2012 1) 919 973 1 425 1 246

• Growth in cage-based driven both technology sales and

reoccurring revenues

• Growth in land based due to high activity in the market. The

acquisition of Plastsveis AS in April 2013 and Aquatec Solutions AS in September 2015 also contribute to growth

• Software with steady organic profitable growth

Cage-based Land-based Software 167 106 2015 222

CAGR +21%

Your Aquaculture Technology and Service Partner

Target of 10% near-term EBITDA margin – further potential longer term

Notes: 1) 2012 FY for software is excluding a one of gain of MNOK 29 related to the sale of the Norwegian Maritech business

AKVA group EBITDA-margin across segments Comments

• Near-term target of 10% EBITDA margin
• Land-based margins should increase due to restructuring of

business and recent acquisitions of new companies

• AKVA group margins set to increase with increasing portion of

Software and Services

9%

• 11%
• 3%

Cage-based 9% 4% 3% Group 8% 5% 4% Software 14% 20% 15% Land-based 0% 2014 2013 2012 1) 10% 2015 6% 20%

Your Aquaculture Technology and Service Partner

Operational leverage is a driver for increased margins

Notes: 1) 2012 is excluding a one of gain of MNOK 29 related to the sale of the Norwegian Maritech business

AKVA group gross margin and SG&A 1) Comments

• Relative cost base has been improved over the last 4 years
• Hands on in all operations constantly challenging cost

development in all units

• The number of FTE’s decreased in 2013 and 2015 due to cost

focus and controlled reduction of exposure in Chile

• The number of FTE’s has increased in 2014 due to the

acquisition of YesMaritime and due to increased activity in the Nordic and Chilean market

Figures in '000 NOK

2012 2013 2014 2015 Revenue 802 530 918 670 1 246 059 1 425 338 COGS 587 833 674 770 928 395 1 041 212 Gross margin 214 697 243 900 317 664 384 127 GM in % 26,8 % 26,5 % 25,5 % 26,9 % OPEX 185 881 196 995 214 299 248 967 EBITDA 28 816 46 905 103 365 135 159 EBITDA in % 3,6 % 5,1 % 8,3 % 9,5 % # FTE 650 566 726 670 OPEX/Revenue 23,16 % 21,44 % 17,20 % 17,47 %

Your Aquaculture Technology and Service Partner

Order backlog is all-time high

AKVA group order backlog Comments

• Order backlog increasing over the last years
• Delivery time of backlog is 1 to 18 months with most of the

delivery in the first six months

• Increased portion of land based gives a longer duration in the
• rder backlog
• Some seasonal pattern of increasing backlog in Q4 and Q1 and

decreasing backlog in Q2 and Q3

200 100 600 300 400 500 4Q 3Q 2Q NOKm 1Q 2015 2013 2012 2014 700

Your Aquaculture Technology and Service Partner

Strong financial profile

Equity, Working Capital and ROCE % Comments

• Bank debt refinanced in January 2014 with improved terms

and conditions

• Low financial gearing
• Strong balance sheet KPIs
• Focus on improving ROCE

323 771 325 274 338 856 389 252 428 432

WC % ROCE %

0,00 % 5,00 % 10,00 % 15,00 % 20,00 % 25,00 % 50 000 100 000 150 000 200 000 250 000 300 000 350 000 400 000 450 000 2011 2012 2013 2014 2015 Equity WC % ROCE %

Your Aquaculture Technology and Service Partner

Launch of new dividend policy in AKVA group ASA in 2014

27

• The Company’s main objective is to maximize the return on the investment

made by its shareholders through both increased share prices and dividend payments

• A dynamic dividend policy was launched in 2014. Based on the financial

performance and outlook the company aims to pay out dividend according to the two step policy. The policy enables dividend distribution twice every year if the two step criteria's are fulfilled

• Pay out according to new dividend policy has so far been:
• NOK 1.00 per share / total NOK 25.8 million in Q4 2014
• NOK 1.00 per share / total NOK 25.8 million in Q4 2015
• A two step policy:
• The dividend level shall reflect the

present and expected future cash generating potential of AKVA group. AKVA group will target a net interest- bearing debt/equity ratio of less than 0.5x

• When the target debt vs. equity level

is met, at least 60% of the annual free cash flow after operational and financial commitments is intended to be distributed as dividend Applicable statutory restrictions shall be

• bserved

Your Aquaculture Technology and Service Partner

More than 1000 shareholders from 20 countries

28

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Share development

No of shares % Account name Type Citizenship 13 203 105 51,1 % EGERSUND GROUP AS NOR 3 900 000 15,1 % WHEATSHEAF INVESTMENT GBR 814 886 3,2 % VERDIPAPIRFONDET ALFRED NOR 539 300 2,1 % MP PENSJON PK NOR 518 000 2,0 % SKANDINAVISKA ENSKILDA LUX 489 417 1,9 % EIKA NORGE NOR 397 904 1,5 % STATOIL PENSJON NOR 390 000 1,5 % VERDIPAPIRFONDET DNB NOR 301 700 1,2 % VPF NORDEA KAPITAL NOR 300 000 1,2 % MERTOUN CAPITAL AS NOR 238 692 0,9 % OLE MOLAUG EIENDOM AS NOR 208 100 0,8 % VERDIPAPIRFONDET EIKA NOR 196 300 0,8 % DAHLE BJØRN NOR 180 000 0,7 % VPF NORDEA AVKASTNING NOR 173 550 0,7 % ROGALAND SJØ AS NOR 166 000 0,6 % HAVBRUKSCONSULT AS NOR 146 537 0,6 % UBS (LUXEMBOURG) S.A NOM LUX 130 000 0,5 % SIX SIS AG NOM CHE 123 000 0,5 % AKVA GROUP ASA NOR 114 752 0,4 % MOLAUG OLE NOR 22 531 243 87,2 % 3 303 060 12,8 % Other 25 834 303 100,0 % Total number of shares as per 31.12.2015 No of shares % Origin No of shareholders 20 419 531 79,0 % Norway 800 4 013 502 15,5 % Great Britain 12 675 577 2,6 % Luxembourg 3 251 280 1,0 % USA 8 215 225 0,8 % Switzerland 5 259 188 1,0 % Other 41

20 000 000 40 000 000 60 000 000 80 000 000 100 000 000 120 000 000 10 20 30 40 50 60

• jan. 15 feb. 15 mar. 15 apr. 15 mai. 15 jun. 15
• jul. 15 aug. 15 sep. 15 okt. 15 nov. 15 des. 15

Last 12 months

Trading Share price

30 000 000 60 000 000 90 000 000 120 000 000 150 000 000 180 000 000 20 40 60 2011 2012 2013 2014 2015

Last 5 years

Trading volume Share price

Origin of shareholders, 5 largest countries 20 largest shareholders

Your Aquaculture Technology and Service Partner

AKVA group highlights

• Undisputed #1 supplier of technology and services to the

aquaculture sector

• Salmon farming is driven by high demand, high prices and

increased technological sophistication

• New salmon farming growth to come from land-based and

more exposed locations with higher technological requirements

• AKVA group is well positioned for continued growth and

margin improvement – active dividend policy