P2P Group offering SME, short & long term consumer financing 1 - - PowerPoint PPT Presentation

P2P Group offering SME, short & long term consumer financing

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Disclaimer

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This presentation has been prepared by TrustBuddy International AB (“TB” or “TBDY”) in connection with the application for admission of a further issue of ordinary shares

• f TB (the "Ordinary Shares") to trading on the First North Exchange, a market operated by NASDAQ OMX and a placing of Ordinary Shares of TB (the "Placing").

This presentation has been prepared solely to provide a basis for potential investors to consider whether to pursue an acquisition of Ordinary Shares in TB. This presentation does not constitute a prospectus or admission document relating to TB, nor does it constitute or form part of any offer or invitation to purchase, sell or subscribe for, or any solicitation of any such offer to purchase, sell or subscribe for, any securities in TB nor shall this presentation or any part of it, or the fact of its distribution, form the basis of,

• r be relied on in connection with, any contract therefor.

Persons who wish to subscribe for Ordinary Shares pursuant to the Placing are reminded that any such subscription should only be made on the basis of the information contained in the announcement to be published in connection with the Placing and not on the information contained in this presentation. No reliance may be placed, for any purposes whatsoever, on the information contained in this presentation or on its completeness and this presentation should not be considered a recommendation by TB, its advisers or any of their respective affiliates in relation to any subscription for securities of TB. No representation or warranty, express or implied, is given by or on behalf of TB or any of its respective directors, partners, officers, employees, advisers or any other persons as to the accuracy, fairness or sufficiency of the information or opinions contained in this presentation and none of the information contained in this presentation has been independently verified by any other person. In particular, certain information has been provided by Prestiamoci and Geldvoorelkaar and not all of that information has been subject to independent verification by TB. Save in the case of fraud, no liability is accepted for any errors, omissions or inaccuracies in such information or opinions. This presentation is being made and is directed only at (i) persons having professional experience in matters relating to investments, i.e. investment professionals within the meaning of Article 19(5) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005, as amended (the "FPO"), (ii) persons in the business of disseminating information within the meaning of Article 47 of the FPO and (iii) high net-worth companies, unincorporated associations and other bodies within the meaning of Article 49 of the FPO, and (iv) persons to whom it is otherwise lawful to make the presentation. The investment or investment activity to which this presentation relates is available only to such persons and will be engaged in only with such persons. Persons who fall outside categories (i) - (iii) above must check that they fall within category (iv). If they do not, they may not attend this presentation. Any person who does not fall within categories (i) - (iv) above may not rely on or act upon the matters communicated at this presentation. Any person falling outside categories (i) - (iv) who has received any document forming part of this presentation must return it immediately. Neither this presentation nor any copy of it may be (i) taken or transmitted into the United States of America, (ii) distributed, directly or indirectly, in the United States of America or to any US person (within the meaning of regulations made under the Securities Act 1933, as amended), (iii) taken or transmitted into or distributed in Canada, Australia, the Republic of Ireland or the Republic of South Africa or to any resident thereof, or (iv) taken or transmitted into or distributed in Japan or to any resident thereof. Any failure to comply with these restrictions may constitute a violation of the securities laws or the laws of any such jurisdiction. The distribution of this document in other jurisdictions may be restricted by law and the persons into whose possession this document comes should inform themselves about, and observe, any such restrictions. This presentation is being made on the basis that the recipients keep confidential any information contained herein or otherwise made available, whether orally or in writing, in connection with TB. This presentation is confidential and must not be copied, reproduced, published, distributed, disclosed or passed to any other person at any time without the prior written consent of TB. Any person attending this presentation should seek their own independent legal, investment and tax advice as they see fit. November 2014

TrustBuddy – creating a leading diversified P2P platform

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Introduction New TrustBuddy post acquisitions GVK acquisition Prestiamoci acquisition Current trading & update Summary Appendix

TrustBuddy – creating a leading diversified P2P platform

• TrustBuddy acquiring two European P2P companies*

– Geldvoorelkaar, SME, Netherlands – Prestiamoci, long-term consumer loans, Italy

• Group Strategy

– Diversified product mix: Consumer short-term; Consumer long-term (LTP); SME – Improved regulatory position - acquire a license for all EEA markets – Become market leader in existing markets for all three products – Enhance the SME and LTP lending platforms by using TB’s developed platform – Utllise the infrastructure TB has today to scale up Revenue from the two new products

• Acquiring Geldvoorelkaar (GVK): EUR10.6m (Cash EUR3m / EUR4m shares / EUR3.6m vendor loan)

– Growing revenue base: 2014e – EUR1.6m, with c80% 2014-16 CAGR from Netherlands alone – Profitable: 2014e - 49% EBIT margins / EUR0.7m in EBIT (source: Management accounts, unaudited) – SME product: Group to take SME lending into existing Nordic territories – Management: experienced team in SME segment

• Acquiring Prestiamoci – conditional on PSD licence: EUR5.3m (Cash EUR1.5m / balance in shares) plus TrustBuddy warrants

– Regulatory: Path to PSD licence approval; opening the door to pan-European rollout – Long term product: Group to take long-term consumer lending into existing Nordic territories – Management: experienced financial services team – Potentially sizeable New market: Italy

• Board considering equity raise along with other financing options

– Indications of support received from existing and new investors

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*Acquisitions remain subject to the satisfaction of certain conditions. In particular, the acquisition of Prestiamoci is conditional upon receiving a PSD license.

TrustBuddy – In Brief…

• The world's largest P2P short term lender

– A diversified international p2p group

• Three products following the acquisition of Geldvoorelkaar &
• Prestiamoci

– Consumer loans short-term; 30 day loans, EUR50 – 600 – Consumer loans long-term;1 to 60 months, EUR1,000-30,000 – SME, 12 to 80 months, EUR1,000 to 1,000,000

• The world's only listed diversified P2P lending company

– TBDY SS, Stockholm Stock Exchange

• Lending volumes – c.EUR90m 2014 YTD proforma*

– Consumer loans short-term: EUR70.0m – SME: EUR17.0m – Consumer loans long-term; EUR0.2m

• Revenue – c.EUR11m 2014 YTD proforma*

– Consumer loans short-term: EUR9.6m – SME: EUR1.1m – Consumer loans long-term; EUR0.01m

• Local presence in 10 countries, following completion of

acquisitions – Sweden, Norway, Denmark, Italy, Netherlands, Finland, Estonia, Poland, Spain and UK

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• 22nd of May 2014

– Q114: +52% Net Revenues, +88% Loan origination, 190m SEK lent out

• 2nd of June 2014

– TBDY shares becomes part of MSCI Micro Cap Index

• 9th of June 2014

– TB launches new Generation Platform / new [SMART] Website

• 30th of June 2014

– TB announces its intention to launch Long-Term P2P across markets

• 1st of July 2014

– TB announces its first significant Institutional Investor – TrustBuddy was initially declined for a credit facilitator license

• 21st of August 2014

– Q214: +31% Net Revenues, +50% Loan origination, 207m SEK lent out

• 25th of September 2014

– TB announces it’s a complete new board – CEO will enter a new role within TrustBuddy

• 13th of October 2014

– TB announces the merger of TrustBuddy International and TrustBuddy AB – Create a simpler structure

• 12th of November 2014

– TB announces conditional acquisitions of Geldvoorelkaar and Prestiamoci – New diversified P2P group

TrustBuddy – [recent] News…

*Source: Management accounts, unaudited to end Q3 2014

TrustBuddy – creating a leading diversified P2P platform

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Introduction New TrustBuddy post acquisitions GVK acquisition Prestiamoci acquisition Current trading & update Summary Appendix

Becoming a leading diversified peer-to-peer group

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Diversified P2P Lending Platform across Europe

+ +

76% 9% 15%

Revenues 2015e*

Short-term loans Long-term loans SME loans

Higher revenue visibility/reduced regulatory risk

35% 30% 35%

Revenue Mid-term Target*

Short-term Loans Long-term Loans SME

• Estimate / target revenues are indicative only and are based on management forecasts and certain assumptions, including completion of the acquisitions . The actual revenues in the

relevant periods may differ materially from those set out above and investors should have no expectation that actual revenues will be the same as, or similar to, the estimates and targets.

New Expanded Product Range – Overview

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• Average loan size: eur350
• Average loan duration:

3.2 months

• Min – eur500 loan
• Max – eur1,000 loan
• Fees; 0% for lenders, 12% for

borrowers and a TB origination fee (source: TrustBuddy)

• Average loan size: eur5,000
• Average loan duration: 34 months
• Min – eur1,500 loan
• Max – eur25,000 loan
• Fees; 1% for lenders, from 0.5%-3%

for borrowers (source: Prestiamoci)

• Average loan size: eur65,000
• Average loan duration: 48 months
• Min – eur2,500 loan
• Max – eur750,000 loan
• Fees; 0.9% for lenders, 1.25% initial +

0.95% annual for borrowers (source: Geldvoorelkaar)

Short-term consumer loans (TrustBuddy) Long-term SME loans (Geldvoorelkaar) Long-term consumer loans (Prestiamoci)

TrustBuddy – creating a leading diversified P2P platform

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Introduction New TrustBuddy post acquisitions GVK acquisition Prestiamoci acquisition Current trading & update Summary Appendix

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Why Geldvoorelkaar (GVK)

• First crowdfunding platform with a credit licence issued by

the Dutch Financial Authority (AFM)

• Team: Significant financial experience
• Growing revenue base and profitable: 2014e - EUR1.6m,

with c80+% 2014-16 CAGR

• Opens up European SME market opportunity

– Introduce product across Nordic and European market – Management believes there to be substantial demand for alternative lending sources in the Nordic region

• Diversifying TrustBuddy product mix towards longer term

products

11 Profitable, New Product, Netherlands, Experienced Management Team

Loan Sizes €2,500 - €750,000 Average Loan Size € 65,000.00 Average Funding Period 5 to 7 days Average Loan Duration 48 months Default rate (current estimate) c2% (Source: GVK)

GVK KPIs:

Geldvoorelkaar – “Money for each other”

• Dutch SME P2P lending

– c60-65% estimated market share – Fully operational since 2012 – Holds license to conduct SME and consumer lending – First crowdfunding platform with an integration to Bureau Krediet Registratie (BKR), a credit agency that all retail banks use in Netherlands

• Funded EUR42m to date

– EUR20m has been funded in 2014 (YTD) – Funded 590 loans since launch – Average loan size EUR65,000 – Revenue margin on funded loans approaching 6% – Borrower rejection rate of 85% – Gross lender return, 6.5-8.1% (APR)

• All traffic is organic

– No active marketing currently done – 14m page views

• Acquisition consideration: EUR10.6m

– Cash EUR3m – Shares EUR4m issued at 20% premium to pre-announcement – Vendor loan EUR3.6m - 50% redeemed in each of Jan 2016 and Jan 2017 – Shares locked-up - 50% to each of Jan 2016 and Jan 2017

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EUR 000s Forecast* Forecast* Forecast* 2013 2014 2015e 2016e Lent Out Capital € 8,680 € 22,000 € 46,700 € 83,700 Number of Loans 209 300 580 1,050 Sales € 651 € 1,600 € 2,800 € 5,200 Total Costs € 469 € 900 EBIT € 182 € 700 EBIT Margin % 31% 44%

Source: GVK accounts for 2013 / unaudited forecasts

*Notes: Total Costs forecast in 2014 includes a provision of EUR330k (EUR190k 2013) for payments to lenders by GVK against loan payment defaults; which the existing GVK management have chosen to do as a marketing strategy. This strategy is expected to be discontinued subsequent to completion of the acquisition. The indicative revenue scenarios are based on the existing Netherlands business only. Past performance is not a guide to future performance. The above revenue scenarios are indicative only and the actual revenues achieved may differ materially from those set out above and investors should have no expectation that actual revenues will be the same as,

• r similar to, any of the target revenue scenarios.

Geldvoorelkaar – In graphs

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1 2 3 4 5 6 201012 201102 201104 201106 201109 201111 201201 201203 201205 201207 201209 201211 201301 201303 201305 201307 201309 201311 201401 201403 201405 201407 201409

Fee terms changed

100 200 300 400 500 600 700 201012 201102 201104 201106 201109 201111 201201 201203 201205 201207 201209 201211 201301 201303 201305 201307 201309 201311 201401 201403 201405 201407 201409 Monthly Number of Funded Loans € 0 € 5,000,000 € 10,000,000 € 15,000,000 € 20,000,000 € 25,000,000 € 30,000,000 € 35,000,000 € 40,000,000 € 45,000,000 100 200 300 400 500 600 700 2010-12 2011-03 2011-06 2011-09 2011-12 2012-03 2012-06 2012-09 2012-12 2013-03 2013-06 2013-09 2013-12 2014-03 2014-06 2014-09 Number of Loans Volume 10000 20000 30000 40000 50000 60000 € 0 € 500,000 € 1,000,000 € 1,500,000 € 2,000,000 € 2,500,000 € 3,000,000 2010-12 2011-03 2011-06 2011-09 2011-12 2012-03 2012-06 2012-09 2012-12 2013-03 2013-06 2013-09 2013-12 2014-03 2014-06 2014-09 Volume Amount of investments 2 per. Mov. Avg. (Amount of investments)

Average revenue margin %

Source: Geldvoorelkaar

ACTION Points / financial scenarios – Geldvoorelkaar & SME

• Speed up growth in the Netherlands
• Start up new business in Belgium

– Market entry into Belgium is already being planned, on a preliminary basis, by GVK – 59% of the population is Dutch speaking – Build business with strong support from the existing “credit manager team” – ING bank is present in Belgium (Bank integration with ING is already in place in the Netherlands)

• Enter the Nordic markets with the SME product

– Progress license applications in the Nordic markets

• Indicative revenue scenarios for GVK / SME product

– Base case assumes c80% 2014-16e revenue CAGR in Netherlands only – Bull case also assumes roll-out commenced in new markets

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GVK indicative revenue scenarios* EURm 2013 2014e 2015e 2016e Base case 0.7 1.6 2.8 5.2 Bear case 0.7 1.4 2.2 4.1 Bull case 0.7 1.8 3.7 7.2

* Past performance is not a guide to future performance. The above revenue scenarios are indicative only and are based on the assumptions described above. The actual revenues achieved may differ materially from those set out above and investors should have no expectation that actual revenues will be the same as, or similar to, any of the target revenue scenarios set out in this slide.

TrustBuddy – creating a leading diversified P2P platform

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Introduction New TrustBuddy post acquisitions GVK acquisition Prestiamoci acquisition Current trading & update Summary Appendix

Why Prestiamoci

• Regulatory benefit

– 106 license (senior license to PDS license) [?] – Applying for Payment Distribution License - Option to withdraw if not achieved – Potential for 107 license, equivalent to a light banking license

• Experienced management team

– CEO, Michele Novelli – Chairman, Daniele Loro

• Long term product acceleration

– Prestiamoci has already built the LTP product offering TB is building (market based lending, like Lending Club) – Increase product offering across TB markets – Additional revenue stream on little additional costs

• Diversifying product mix into lower rate long term product

– Huge market in Italy but additionally in the current TB markets – Reduces cost of loan capital funding

• High barriers to entry in Italy

16 License, New Product, Italy, Experienced Management Team

Why Prestiamoci – “Lend together to ourselves”

• Regulatory licence - Acquisition conditional on PSD licence approval

– Enabling European roll-out – Financial Company (art. 106) License held, enabling access to highly regulated Italian market

• Consumer instalment loans

– Transparent, simple fee revenue model – Market place product similar to Lending Club model – Long-term product can be rolled out across existing TBDY markets

• Management: Seasoned team
• Robust credit scoring system

– Built in-house by Federico Provinciali (board member) who has significant credit risk experience

• Acquisition adds diversification & product with lower regulatory risk and increased revenue visibility
• Re-launched in May 2014

– Funded EUR175k since re-launch – Average loan size EUR5,000 – Average revenue margin of 4% (source: Prestiamoci)

• Acquisition: subject to successful approval of PSD license

– Consideration: EUR5.3m (Cash EUR1.5m / EUR3.8m balance in shares*) plus options – Option to acquire 10m shares at 60% premium to share price on closing – Expected to close by 1st of April 2015

17 Valuable license, New exportable Product, Access to highly regulated Italian market, Management Team

*Based on average share price in month prior to closing

ACTION Points/ financial scenarios – LTP & Prestiamoci

• Speed up growth in Italy

– Utilise the TB experience in consumer loans, infrastructure and technical expertise

• Start new long term business in Sweden
• Effective credit scoring in place in the Nordic/Swedish market

– Electronic ID (BankID) is widely issued and used

• Indicative revenue scenarios for LTP / Prestiamoci product

– Base case assumes roll-out commenced in new markets in 2015 – Base case assumes cEUR90m loan volume in 2016 (80% Nordic region)

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Prestiamoci indicative revenue scenarios* EURm 2014e 2015e 2016e Base case 0.2 1.7 3.2 Bear case 0.2 1.4 2.2 Bull case 0.3 2.2 4.5

*Past performance is not a guide to future performance. The above revenue scenarios are indicative only and the actual revenues achieved may differ materially from those set out above and investors should have no expectation that actual revenues will be the same as, or similar to, any of the target revenue scenarios set out in this slide.

TrustBuddy – creating a leading diversified P2P platform

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Introduction New TrustBuddy post acquisitions GVK acquisition Prestiamoci acquisition Current trading & update Summary Appendix

Strengthened Board – increased financial expertise reduces regulatory risk for Group

• New TrustBuddy board members

– Well received by investors and expected to assist in regulatory approvals – Skills expected to support international expansion of the business – Increases operational experience

• Simon Nathanson Chairman

– Manager in various companies and organizations, mainly in finance and IT over the last 25 years. Simon also has extensive experience in board work as President, Chairman and Director of both small and large listed companies: OM Stockholm Stock Exchange, Burgundy AB, Reforce International, Nordnet Bank AB and Neonet

• Torsten Ortengren Board Member

– Board member on companies that have completed over 150 IPOs and 100 public and private transactions in Sweden and Internationally in aggregate. Leading positions within: NASDAQ, Svensk FöretagsFörmedling, PR Vård Holding AB, Danske Bank, Arkios AB

• Tove Mette Dramstad Board Member

– Wide experienced in retail banking in Norway. Recently CFO of Jernbanepersonalets Savings Bank. Senior Lecturer in Nordea for the business & consumer finance including on scoring solutions on the internet and the credit framework.

• Søren Brinkmann Board Member

– Qualified Danish lawyer and an experienced board member with directorships including a bank, a real estate fund as well as other commercial

• enterprises. Heads the Banking and Finance practice of law firm Magnusson in Copenhagen
• Other actions to address regulatory risks

– Management strengthening: Planning to appoint a new CEO with financial services background – Key licenses to be acquired via acquisitions – Lower regulatory-risk product mix: Diversification into more mainstream long term consumer and SME loan products – Preparing TB for a Swedish Operating License: Operational Procedures / Key Hires

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TrustBuddy PLATFORM – is BRAND NEW

• In-house developed platform

– Built on Microsoft Technology (.NET C-Sharpe) as a base – More reliable and scalable – Capacity for 100,000 transactions a day with further upgrades

• Highly skilled development team of 20 people
• Automated application process

– Less human interaction in the lending / application process

• Increased security

– Improved access control system – Highly encrypted web interface

• Flexible

– Can accommodate new products – Allow more third parties

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Current trading – Why 4th quarter is expected to show improvement on 3rd quarter

• Capital commitment from two institutional investors; EUR44m in total

– USD$40m, announced 1st of July 2014 / EUR12m, announced 23rd of October 2014 – First actual deployment of institutional funds at beginning of Q4, i.e did not impact Q3

• Q3 revenues slightly better than Q2, cost and profit in-line*

– Q3 revenue of SEK30m / Earnings after tax SEK - 6.6m – Q4 trading to date – October revenue cSEK10m

• IT Platform fully operational

– Launched in June 2014, had some operational issues, all are solved today

• Debt Collection

– Finnish Debt Selling agreement

• Anything past 11 days due - Shortens duration

– New Debt Collection partners across the group – Improved collection routines – Acquisition of long-term debt

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*Source: Management accounts, unaudited

TrustBuddy – creating a leading diversified P2P platform

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Introduction New TrustBuddy post acquisitions GVK acquisition Prestiamoci acquisition Current trading & update Summary Appendix

Becoming a leading diversified peer-to-peer group

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Diversified P2P Lending Platform across Europe

+ +

76% 9% 15%

Revenues 2015e*

Short-term loans Long-term loans SME loans

Higher revenue visibility/reduced regulatory risk

35% 30% 35%

Revenue Mid-term Target*

Short-term Loans Long-term Loans SME

• Estimate / target revenues are indicative only and are based on management forecast and certain assumptions, including completion of the acquisitions . The actual revenues in the

relevant periods may differ materially from those set out above and investors should have no expectation that actual revenues will be the same as, or similar to, the estimates and targets.

TrustBuddy – creating a leading diversified P2P platform

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Introduction New TrustBuddy post acquisitions GVK acquisition Prestiamoci acquisition Current trading & update Summary Appendix

TrustBuddy – In graphs

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5,000 10,000 15,000 20,000 25,000 30,000 Sweden Finland Denmark Norway Spain Poland

• Expon. (Sweden)

10,000 20,000 30,000 40,000 50,000 60,000 70,000 80,000 90,000 Sweden Finland Denmark Norway Spain Poland Free Loans New Loans Renewals Paid 15-60 2,000,000 4,000,000 6,000,000 8,000,000 10,000,000 12,000,000 14,000,000 16,000,000 Fee from New Loans Fee from Renewals Lenders Fee 50,000,000 100,000,000 150,000,000 200,000,000 250,000,000 300,000,000 Lent out Volume Lent out Free Loan

Source: Trustbuddy International AB

Lenders – Return*

• Minimum amount deposited

SEK 500 / EUR 100

• No upper limit
• Borrowed amount is allocated in units of

SEK 100 /EUR 10 and the risk is spread

• ver multiple borrowers
• TB aims at giving our lenders 12% return
• pa. (net of fees and bad debts)

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Country Denmark Finland Norway Poland Spain Sweden Total Return 24% 23% 57% 14% 10% 54% YTD Return 7% 9% 8% 7% 4% 7% 2013 Return 8% 8% 9% 7% 6% 9% 2012 Return 7% 5% 12% N/A N/A 16% 2011 Return N/A N/A 13% N/A N/A 13% 2010 Return N/A N/A 6% N/A N/A 2%

0% 2% 4% 6% 8% 10% 12% 14% 16% 18% Denmark Finland Norway Poland Spain Sweden YTD Return 2013 Return 2012 Return 2011 Return 2010 Return * Calculated as the average annual return on entire portfolio in the relevant year. YTD is for period to end Q2 2014 Source: Trustbuddy International AB

Regulation – TrustBuddy Country Developments

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Norway TB is not allowed to do business in Norway without registration at the FSA, but Norwegians are allowed to use TB’s services. Norwegian FSA has recognised that they can not refuse Norwegian citizens of using TB services. Sweden New regulations from 1st of July 2015. The new regulations require a license for TrustBuddy and other similar businesses. TB will have until the 31st of December to apply for the license. In the preparation of the new regulations in Sweden, the Swedish FSA has discussed both restrictions on interest and restrictions against renewal fees, but they decided not to make any changes with the new regulation. Finland New regulations in 2013 that subjects payday lenders to restrictions on interest they can add on loans (effective 50% APR). As a P2P platform, TB is not under this regulation for now, since TB is not considered to give "consumer loans". There have been court cases about whether loans should fall under the new regulation but the most recent court verdicts rule against this approach. A few have been concluded differently but they were successfully appealed. Denmark On the 23rd of June 2014, TB received a written statement from the Danish financial authorities classifying the TB activity in Denmark as coming under Danish credit regulations. Finanstilsynet, the Danish FSA, instructed that TB should be brought in compliance with local regulation before the end of August 2014, giving TB sufficient time to adjust. TB has come to an agreement with the Danish FSA that TB can continue to operate the platform in Denmark, but that funding cannot come from Danish lenders, so the funding has to come from lenders outside Denmark. TB has appealed the decision of the Danish FSA. This decision is only for short-term lending and does not apply to longer-dated consumer loans nor SME loans. Spain Spain is working on new regulations for P2P and crowd funding, which will probably be adopted by the end of this year. In preparation TB is in the final stages in updating its business model, T&C's and webpage to comply with the new regulations. Poland Authorities have briefly started to discuss changes to applicable regulations, including discussion in connection with an interest cap, but it is too early to say what the outcome will be. Italy Operate under a 106 license for longer dated consumer loans. TB cannot offer the short term loan product in Italy, since there is a maximum interest rate of 18% APR. Netherlands Operate under credit license for SME and consumer loans. TB cannot offer the short term loan product in the Netherlands, since there is a maximum interest rate of 15% APR.

Regulation – Key focus for TrustBuddy

• The TB organisation is built for growth in the European market.
• We believe regulations will give TB a competitive edge in the European market. We expect to be able to adjust and do what is expected/required from us.
• Applying for PSD license

– Expect decision early 2015 – Allows TB to passport its operations into any EEA Country

• Preparing TB for a Swedish Operating License

– Operational Procedure – Key Hires

• Risk and Compliance Officer
• Legal team
• Internal Control team

– Anti-money Laundering procedures – Anti-Fraud procedures

• Legal Advisor

– TB has decided to use new more experienced legal advisors in order to be sure that TB is adhering to all regulations (and to be preparing for it)

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Country License Requirement Status TB Market Status Expected Regulatory Change TB Preparation % of Total Revenue* Denmark License OK Live None Yes, WIP 23% Finland No License OK Live None N/A 32% Italy License, 106 OK Live Yes, June 2015, 106 moves into 107 Yes, WIP N/A Netherlands License, SME, Consumer OK Live None N/A 10% Norway Bank License Waiting for Bank License Live None N/A 12% Poland No License OK Live None N/A 1% Spain No License OK Live Yes, P2P & Crowdfunding, end of 2014 Yes, WIP 1% Sweden No License OK Live 1st of January 2015 Yes, WIP 21%

* As at end Q3 2014, based on combined revenues of TBDY, Prestiamoci and Geldvoorelkaar

TrustBuddy Group Management

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TrustBuddy Geldvoorelkaar Prestiamoci

• Mr. Jens Glasø (1971)

Founder & CEO

• Mr. Glasø has been a stock broker, trader and advisor for SMEs and wealthy individuals. Started in 2005 as

Executive Vice President for Optimum ASA and was head of the offices in Kristiansand and Brussels. While at Optimum the revenues and AUM (2bn NOK) increased substantially. Jens commenced as CEO for TrustBuddy AB November 2009.

• Mr. Sebastian Hagman (1983)

CIO Mr Hagman is currently based in London where he has enjoyed most of his career with employers such as CALYON and Credit Suisse. Mr. Hagman joined TrustBuddy in September 2013 and is responsible for equity and lending capital for TrustBuddy as well as strategic expansion in products and countries

• Mr. Marius Gabrielson (1976)

CTO Mr Garielson joined TrustBuddy September 2014, and was formerly head of Business Development and Products in the Norwegian bank Sparebanken Sør. He has a broad experience within financial services, from experience within technology and management consulting

• Mr. Linus L. Lönnroth (1970)

CFO

• Mr. Lönnroth has worked his entire career in the finance industry. Between 1999-2007 as the leader of the derivatives

market at the Oslo Stock Exchange. Between 2007-2013 in asset management with senior management and specialist positions. Has been a member of the TrustBuddy Board of Directors since 2011 and holds the position of CFO since November 2013

• MR. Bård Bjerkås (1971)

COO Mr Bjerkås holds a degree in law from the University of Oslo and has been working actively with TrustBuddy more or less from the start, and full-time since August 2010. Before TrustBuddy, Mr. Bjerkås participated as a founding member of several IT and real estate companies

• Mr. Edwin Adams (1968)

Founder & co-CEO

• Mr. Adams has a background in retail banking but most of his career he was an entrepreneur in financial services

focussing on mortgage financing as well as insurance products. Edwin advises the Dutch financial authorities on alternatives for bank financing.

• Mr. Martijn van Schelven

(1974) Founder & co-CEO

• Mr. van Schelven built a substantial experience during a strong career within retail banking. Was selected to become
• ne of the first owners of an ING Franchise. Martijn maintains strong relationships with the Dutch financial authorities

and as pioneer in the crowdfunding business advises the authorities on further developments in the Dutch crowdfunding industry.

• Mr. Michele Novelli (1971)

CEO Michele has over 20 years of experience in startups and venture capital with a focus on Internet, mobile communications and broadband

• Mr. Daniele Loro (1967)

Chairman Daniele has extensive experience in corporate finance, former Andersen partner and managing director of the boutique financial Arche

Organisational Structure

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TrustBuddy AB Stockholm, Sweden (10 employees) TrustBuddy AB Eesti Filiaal Tallinn, Estonia (6 employees) Prestiamoci Milano, Italy (7 employees,) TrustBuddy AB S A Oddzial W Polsce Gdynia, Poland (10 employees) TrustBuddy AS Kristiansand, Norway (16 employees) TrustBuddy Distribution AS Kristiansand, Norway (2 employees) Trustbuddy Denmark, Filial Af Trustbuddy Ab Copenhagen, Denmark (8 employees) TrustBuddy Spain SL Barcelona, Spain (5 employees) Geldvoorelkaar Amsterdam, Netherlands (7 employees,) TrustBuddy UK London, United Kingdom (1 employee)

Listed on Nasdaq OMX First North

100% 100% 100% 100% 100% 100% 100% 100% 100% Michele Novelli CEO Martijn Van Schelen Edwin Martin Co-CEOs David Goday William Veselind Michal Konopka Erik Arnetz Glenn Sundhagen Sebastian Hagman Tommy Olsen CTO Marius Gabrielsen CFO Linus Lonnroth CIO Sebastian Hagman CEO Jens Glaso Internal Audit Ernst & Young Compliance Risk Management Samuel Tawadros, Risk & Compliance Manager

Control Functions

Board of Directors

Smarter Payments – Launching Soon

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Debit Card Payments allows TB to pull back the money owed if no payment has been made. This should improve loan losses

Debit Cards…

Thank you for listening

Jens & Sebastian

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