HarbourVest Global Private Equity Limited Presentation at - - PowerPoint PPT Presentation

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HarbourVest Global Private Equity Limited

Presentation at HarbourVest Partners Private Equity Seminar

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Disclaimer

STRICTLY CONFIDENTIAL This document and this presentation have been prepared and issued by HarbourVest Global Private Equity Limited (the “Company”) for information purposes only and may not be used in making any investment decision. None of the Company, its investment manager, HarbourVest Advisers, L.P. (the “Investment Manager”) or HarbourVest Partners, LLC (“HarbourVest”) has independently verified the information contained in this document and this presentation. This document and this presentation contain only summary information and no representation or warranty, express or implied, is or will be made in relation to the accuracy or completeness of the information contained herein and no responsibility, obligation or liability (whether direct or indirect, in contract, tort or otherwise) is or will be accepted by the Company, HarbourVest, the Investment Manager or any of their respective affiliates or by any of their respective officers, employees or agents in relation to it. Each of the Company, HarbourVest, the Investment Manager and their respective affiliates and officers, employees or agents expressly disclaims any and all liability which may be based on the document and any errors therein or omissions therefrom. In particular, no representation or warranty is given as to the achievement or reasonableness of future projections, management targets, estimates, prospects or returns, if any. Any views contained herein are based on financial, economic, market and other conditions prevailing as of the date of this document and this presentation. The information contained in this document and this presentation will not be updated. Further information

• n the Company, its Investment Manager and HarbourVest can be found in the prospectus published on 2 November 2007, in connection with the listing of the

Company’s A ordinary shares on Euronext Amsterdam by NYSE Euronext (available at no cost from www.euronext.com), and on the Company’s website at www.hvgpe.com and HarbourVest’s website at www.harbourvest.com, including in announcements available on those sites. This document and this presentation do not constitute any form of financial opinion or recommendation on the part of the Company, HarbourVest or the Investment Manager or any of their respective affiliates and are not intended to be an offer, or the solicitation of any offer, to buy or sell any securities in any jurisdiction. This document and this presentation contain track record data in relation to the performance of funds of funds managed by HarbourVest and its affiliates. When considering such track record data, investors should bear in mind that past performance is not necessarily indicative of future results and, as a result, the Company’s actual returns may be greater or less than the amounts shown herein. Investment returns will depend on the increase or decrease in the trading price

• f the Company’s shares. In addition the Company is a closed-end investment company and the performance data presented herein for HarbourVest, as well as

the private equity index performance data, relates principally to funds structured as self-liquidating partnerships and in which investor contributions were made

• nly when the underlying fund made an actual investment.

Neither this document, nor this presentation, nor any copy of either may be taken or transmitted into the United States of America, its territories or possessions or distributed, directly or indirectly, in the United States of America, its territories or to any US person (as defined in Rule 902 of Regulation S under the US Securities Act of 1933 (the “Securities Act”)). The distribution of this document and this presentation in other jurisdictions may be restricted by law and persons into whose possession this document comes should inform themselves about, and observe, any such restrictions. This document and this presentation are being distributed in the United Kingdom only to (a) persons who have professional experience in matters relating to investments who fall within Article 19(5) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005 (the “Order”) or (b) high net worth entities, and other persons to whom it may otherwise lawfully be communicated, falling within Article 49(2) (a) to (d) of the Order (all such persons together being referred to as “relevant persons”). Any person who is not a relevant person should not act or rely on this presentation or any of its contents. Any investment or investment activity to which the presentation and these slides relate is available only to relevant persons and will be engaged in only with relevant persons. The Company has been registered with the Netherlands Authority for the Financial Markets (Autoriteit Financiële Markten) as a collective investment institution which may offer participations in the Netherlands pursuant to article 2:66 of the Dutch Financial Markets Supervision Act. By participating in this presentation or by accepting any copy of this document, you agree to be bound by the foregoing limitations. 14 October 2008

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HarbourVest Global Private Equity Limited (“HVPE”) www.hvgpe.com

• A Guernsey-registered, publicly-listed, closed-end investment

company

• Designed to offer shareholders superior long-term capital

appreciation by investing in a diversified private equity portfolio

• $830 million offering in December 2007 at $10.00 per share;

Listing on Euronext Amsterdam Company Overview “HVPE” Key Investment Highlights NAV Update as at 30 September 2008

• Estimated Net Asset Value

$817 million

• Estimated NAV of Investments

$838 million (103% invested)

• Total Private Equity Exposure

$1,562 million

• Estimated Net Asset Value per Share

$9.84

• HarbourVest expertise and stability
• Diversified portfolio
• Proven investment strategy
• Shareholder friendly structure
• $500 million credit facility enhances financial flexibility

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Portfolio Composition

• Interests in 20

HarbourVest-managed funds

• Comprised of 538 fund

interests across multiple high-quality managers

• Exposure to 5,612

company investments (directly or indirectly)

• NAV split approximately

64% primary, 20% secondary and 16% direct investments at 30 September 2008

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Fund VII 2003-06 NON-U.S. FUND OF FUNDS SECONDARY FOCUSED

HVPE Provides Access to a Full Selection

• f HarbourVest Funds

Fund II 1986-89 Fund III 1989-93 Fund IV 1993-96 Fund V 1996-1999 Fund VI 1999-03 Fund I 1982-86 U.S. FUND OF FUNDS HIPEP II 1995-98 HIPEP III 1998-01 HIPEP 1990-95 HIPEP IV 2001-05 Dover II 1994-96 Dover III 1996-99 Dover IV 1999-02 Dover Ia 1991-94 Dover V 2002-05 2004 Direct 2004-07 DIRECT/ CO- INVEST 2007 Direct 2007-10

Note: Dotted element represents history of investments in respective private equity strategies. Before dedicated funds were formed, investments were made from existing funds.

HIPEP V 2005-08 HIPEP VI 2008-11 Dover VI 2005-07 Dover VII 2007-09

Represents funds in which HVPE has an interest.

'80 '81 '82 '83 '84 '85 '86 '87 '88 '89 '90 '91 '92 '93 '94 '95 '96 '97 '98 '99 '00 '01 '02 '03 '04 '05 '06 '07 '08 '09 '10 '11

Fund VIII 2006-09

Initial Portfolio at IPO New Commitments

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Key Figures From Listing to 30 September 2008

Note: * Unconditional listing on 11 December 2007. Initial purchase based on 30 June 2007 NAV of the relevant HarbourVest fund interests, adjusted for contributions and distributions prior to listing.

30 September 08 At Listing* Change Estimated Net Asset Value of Investments $838.2 $754.8 $83.4 Cash and Cash Equivalents 24.0 75.2 (51.2) Net Other Assets (Liabilities) (45.3) 0.0 (45.3) Estimated Net Asset Value of HVPE $816.9 $830.0 ($13.1) Ordinary Shares Outstanding 83.0 83.0

• Estimated Net Asset Value per Share

$9.84 $10.00 ($0.16) Estimated Net Asset Value of Investments $838.2 $754.8 $83.4 Unfunded Commitments 723.8 668.5 55.3 Total Investments + Unfunded Commitments $1,562.0 $1,423.3 $138.7 % Invested (relative to HVPE NAV) 103% 91% 12% % Committed (relative to HVPE NAV) 191% 171% 20% Summary of Net Asset Value (in millions except per share data) Summary of Commitments

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Key Figures From Listing to 30 September 2008

30 September 08 At Listing* Change Estimated Net Asset Value of Investments $838.2 $754.8 $83.4 Cash and Cash Equivalents 24.0 75.2 (51.2) Net Other Assets (Liabilities) (45.3) 0.0 (45.3) Estimated Net Asset Value of HVPE $816.9 $830.0 ($13.1) Ordinary Shares Outstanding 83.0 83.0

• Estimated Net Asset Value per Share

$9.84 $10.00 ($0.16) Estimated Net Asset Value of Investments $838.2 $754.8 $83.4 Unfunded Commitments 723.8 668.5 55.3 Total Investments + Unfunded Commitments $1,562.0 $1,423.3 $138.7 % Invested (relative to HVPE NAV) 103% 91% 12% % Committed (relative to HVPE NAV) 191% 171% 20% Summary of Net Asset Value (in millions except per share data) Summary of Commitments

Unfunded Commitments $281 million unfunded and uncommitted to underlying partnerships* $443 million unfunded, but committed to underlying partnerships 157% committed to underlying partnerships only

Note: * Unconditional listing on 11 December 2007. Initial purchase based on 30 June 2007 NAV of the relevant HarbourVest fund interests, adjusted for contributions and distributions prior to listing.

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U.S. 62% Europe 30% Asia- Pacific 3% ROW 5%

Diversification of Portfolio Based on NAV at 30 September 2008

Vintage Industry Strategy Geography

• Portfolio provides

access to a broad cross-section of private equity investments

• 40% venture
• 62% U.S.
• Minimal exposure to

large buyouts

• Well-diversified by

vintage year and industry

• No concentration in

recent vintages

• 14% in publicly-listed

securities (at 31 July)

Venture / Growth Equity 13% Early Stage Venture 14% Other 2% Large Buyouts 9% Small Buyouts 21% Medium Buyouts 28% Balanced Venture 13% 2000 11% 2001 14% 2004 10% 2006 11% 2003 10% 2002 5% 2005 11% 1999 9% 2008 5% 2007 9% 1993 - 1998 5% Financial 5% Tech Services 5% Tech Other 13% Consumer Products 9% Media / Telecom 11% Medical / Biotech 16% Industrial 10% Business Services 6% Software 12% Other 8% Consumer Other 5%

Note: As reported in HVPE’s Monthly Update for 30 September 2008 The diversification analysis is based on the fair value of the underlying investments, as estimated by the Investment Manager. Strategy, vintage, and geography diversification are based on the estimated net asset value of partnership investments within HVPE’s fund-of-funds and company investments within HVPE’s direct funds. Industry diversification is based on the reported value of the underlying company investments. Some of the funds held in HVPE have not been fully invested. The composition of investments by strategy, vintage, industry, and geography may change as additional investments are made and existing investments are realised. Large buyout includes funds of more than $7 billion in size, medium buyout includes those between $1 billion and $7 billion in size, and small buyout includes those less than $1 billion in size. Direct investments in operating companies are categorised by deal size.

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Comparison of HVPE Portfolio with Listed Private Equity Fund of Funds Peer Group

HVPE Vintage1 HVPE Strategy1 HVPE Geography1

* Note: As reported in HVPE’s Monthly Update for 30 September 2008, peer reporting dates range from 31 March 2008 to 30 September 2008 1. See note related to diversification analysis on previous page. 2. Peer group includes: Absolute Private Equity AG, AIG Private Equity Ltd, Bear Stearns Private Equity Ltd, Castle Private Equity AG, Conversus Capital LP, F&C Private Equity Trust PLC, Graphite Enterprise Trust PLC, Lehman Brothers Private Equity Partners Ltd, Pantheon International Participations PLC, Princess Private Equity Holdings Ltd, Standard Life European Private Equity PLC, and SVG Capital PLC

Peer Average Strategy2 Peer Average Geography2 Peer Average Vintage2

Buyout 58% Venture 40% Other 2% U.S. 62% Europe 30% ROW 8% Buyout 74% Venture 10% Other 16% U.S. 38% Europe 53% ROW 9% 2000- 2004 32% 2005- 2007 59% Pre-2000 6% 2008 3% Pre-2000 14% 2005- 2007 31% 2008 5% 2000- 2004 50%

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2.5 0.5 2.0 15.5 580 150150 0.7 2.0

$8.00 $8.50 $9.00 $9.50 $10.00 $10.50 $11.00 $11.50 $12.00 30 Nov 2007 30 Dec 2007 30 Jan 2008 29 Feb 2008 30 Mar 2008 30 Apr 2008 30 May 2008 30 Jun 2008 30 Jul 2008 30 Aug 2008 30 Sep 2008 25 50 75 100 125 150 175 200 Volume Closing Price per Share Estimated NAV per Share

Historical Trading

Volume (000’s) Per Share

580

4.0% Discount 13.1% Discount

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HVPE’s Solid Corporate Governance

• Independent chairman – Sir Michael Bunbury
• Four additional independent directors
• Two senior HarbourVest professionals

Strong Board Investors’ Rights Lock-up

• Right to approve (with 75% majority of shareholders):

Amendments to Memorandum or Articles of Association Material change to investment strategy

• Investors that contributed interests in HarbourVest funds at listing

Locked up until December 2008 (50% of holding), June 2009 (25%) and December 2009 (remaining 25%) Board Approval Process

• Single parallel investments exceeding 5% of HVPE NAV
• Secondary investments in HarbourVest funds greater than 5% of HVPE NAV or

105% of NAV of such secondary investment in HarbourVest funds

• Any deviation from 5% - 35% investment in future HarbourVest funds

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Investment Manager’s Outlook

• Tightening credit markets and weakened economic growth are beginning to slow

new private equity investments

▪ Venture investment activity less affected than buyouts

• Liquidity events reduced in the current environment
• Secondary activity is increasing as certain financial services investors seek cash
• Cash invested may exceed distributions received in the near term based on current

market conditions

▪ Expect to use a portion of HVPE’s $500 million 7-year credit facility to bridge

differences in the timing of cash flows

• Private equity managers are expected to focus on supporting portfolio company

growth and positioning investments for exits in an improved market environment

• HVPE’s diversified portfolio is well positioned to withstand market changes within a

volatile global environment

• Investment Manager remains optimistic about the long-term potential of private

equity markets and HVPE

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HVPE – A Comprehensive Private Equity Solution

Shareholder Friendly Structure HarbourVest Expertise Diversified Portfolio Proven Investment Strategy

• 91% invested at listing, 103% invested at 30 September 2008
• Diversified by manager, vintage, strategy, industry and geography
• Unique opportunity to acquire high quality portfolio of 1993-2008 vintage assets
• Largest PE fund-of-funds manager, with access to leading private equity sponsors
• Experienced, stable, and independent team located in Boston, London, Hong Kong
• 25-year track record and demonstrated upper quartile investment performance

Financial Flexibility

• Consistent strategy and performance
• Strong platform for NAV growth
• Incremental value added under HVPE structure
• Alignment of investor and management interests
• No duplication of fees on investments in HarbourVest funds
• Independent board
• $500 million credit facility in place through 2014
• Ability to support over-commitment strategy even in slower economic

environment

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HVPE Fact Sheet

• Structure

▪ Guernsey-registered closed-end investment company

• Currency denomination

▪ U.S. dollar

• Listing

▪ NYSE Euronext Amsterdam

• Trading information

▪ Ticker – HVPE ▪ Bloomberg – HVPE NA ▪ ISIN – GG00B28XHD63

• Investment Manager

▪ HarbourVest Advisers L.P., an affiliate of HarbourVest Partners, LLC

• Registration

▪ Netherlands Authority for the Financial Markets

• Fund Consent

▪ Guernsey Financial Services Commission

• Corporate Broker

▪ UBS Limited

• Investor Communications Calendar

▪ Monthly NAV – within 15 days of month end ▪ Audited annual report – late May ▪ Semi-annual report – late September / early October

• Management fee

▪ The Investment Manager does not charge HVPE management fees or performance fees, except with respect to parallel investments ▪ As an investor in HarbourVest funds, HVPE is charged the same management fees and is subject to the same performance allocations as other investors in HarbourVest funds

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HVPE Contact Info

Tel +44 20 7567 8000 Fax +44 20 7568 7024 London, U.K. EC2M 2PP

• St. Peter Port, Guernsey GY1 4AF

1 Finsbury Place 14 New Street UBS Limited Ernst & Young LLP Corporate Broker Auditors registrars@ anson-group.com Fax +44 1481 729 829 Attn: Steve Belgrad Tel +44 1481 722 260 Fax +1 617 348 0305 St Peter Port, Guernsey GY1 3WX Tel +1 617 348 3707 La Charroterie U.S.A. Mill Court Boston, MA 02111 Anson Place One Financial Center PO Box 426 c/o HarbourVest Partners, LLC Anson Registrars Limited HarbourVest Advisers L.P. Registrar Investment Manager reception@ anson-group.com Fax +44 1481 729 829 Fax +44 1481 729 829 Tel +44 1481 722 260 Tel +44 1481 722 260 St Peter Port, Guernsey GY1 3GF St Peter Port, Guernsey GY1 1EJ La Charroterie La Charroterie Mill Court Mill Court Anson Place Anson Place PO Box 405 Company Registration Number: 47907 Anson Fund Managers Limited HarbourVest Global Private Equity Limited Company Secretary and Fund Administrator Registered Office

www.hvgpe.com

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Forward-Looking Statements

This report contains certain forward-looking statements. Forward-looking statements relate to expectations, beliefs, projections, future plans and strategies, anticipated events or trends and similar expressions concerning matters that are not historical facts. In some cases, forward- looking statements can be indentified by terms such as ‘‘anticipate,’’ ‘‘believe,’’ ‘‘could,’’ ‘‘estimate,’’ ‘‘expect,’’ ‘‘intend,’’ ‘‘may,’’ ‘‘plan,’’ ‘‘potential,’’ ‘‘should,’’ ‘‘will,’’ and ‘‘would,’’ or the negative of those terms or other comparable terminology. The forward-looking statements are based on the Investment Manager’s beliefs, assumptions, and expectations of future performance and market developments, taking into account all information currently available. These beliefs, assumptions, and expectations can change as a result of many possible events or factors, not all of which are known or are within the Investment Manager’s control. If a change occurs, the Company’s business, financial condition, liquidity, and results of operations may vary materially from those expressed in forward-looking statements. Some of the factors that could cause actual results to vary from those expressed in forward-looking statements include, but are not limited to:

▪ the factors described in this report; ▪ the rate at which HVPE deploys its capital in investments and achieves expected rates of return; ▪ HarbourVest’s ability to execute its investment strategy, including through the identification of a sufficient number of appropriate

investments;

▪ the ability of third-party managers of funds in which the HarbourVest funds are invested and of funds in which the Company may invest

through parallel investments to execute their own strategies and achieve intended returns;

▪ the continuation of the Investment Manager as manager of the Company’s investments, the continued affiliation with HarbourVest of its

key investment professionals and the continued willingness of HarbourVest to sponsor the formation of and capital raising by, and to manage, new private equity funds;

▪ HVPE’s financial condition and liquidity, including its ability to access or obtain new sources of financing at attractive rates in order to fund

short term liquidity needs in accordance with the investment strategy and commitment policy;

▪ changes in the values of, or returns on, investments that the Company makes; ▪ changes in financial markets, interest rates or industry, general economic or political conditions; and ▪ the general volatility of the capital markets and the market price of HVPE’s shares.

By their nature, forward-looking statements involve known and unknown risks and uncertainties because they relate to events, and depend on circumstances, that may or may not occur in the future. Forward-looking statements are not guarantees of future performance. Any forward- looking statements are only made as at the date of this document, and the Investment Manager neither intends nor assumes any obligation to update forward-looking statements set forth in this document whether as a result of new information, future events, or otherwise, except as required by law or other applicable regulation. In light of these risks, uncertainties, and assumptions, the events described by any such forward-looking statements might not occur. The Investment Manager qualifies any and all of its forward-looking statements by these cautionary factors. Please keep this cautionary note in mind while reading this report.