Q2 2026 Antin Infrastructure Partners SAS Earnings Call

September 9, 2026

Speaker #1: Good morning. This is the conference operator. Welcome, and thank you for joining the Ontal Half Year 2026 Results Conference Call. As a reminder, all participants are in listen-only mode.

Operator: Good morning. This is the conference operator. Welcome, and thank you for joining the Antin H1 2026 Results Conference Call. As a reminder, all participants are in listen-only mode. After the presentation, there will be an opportunity to ask questions. Should anyone need assistance during the conference call, they may signal an operator by pressing star and zero on their telephone. At this time, I would like to turn the conference over to Ms. Ludmilla Binet, Head of Shareholder Relations of Antin. Please go ahead, madam.

Speaker #1: After the presentation, we will have an opportunity to ask questions. Should anyone need assistance during the conference call, they may signal an operator by pressing star and zero on their telephone.

Speaker #1: At this time, I would like to turn the conference over to Ms. Ludmilla Binet, Head of Shareholder Relations at Antin. Please go ahead, madam.

Speaker #2: Good morning, everyone, and thank you for joining the call today. Earlier this morning, we issued a press release announcing our results for the first half of 2026.

Ludmilla Binet: Good morning, everyone, and thank you for joining the call today. Earlier this morning, we issued a press release announcing our results for the H1 2026. A copy of this release, the presentation, and the half-year report are available on the shareholder section of our website. For today's presentation, I am joined by Alain Rauscher, Chairman and CEO, and Walid Damou, Partner and CFO. Mélanie Biessy, Managing Partner and COO, is also with us today and will join the Q&A session. Let me now hand over to Alain.

Speaker #2: A copy of this release, the presentation, and the half-year report are available in the shareholders' section of our website. For today's presentation, I am joined by Alain Rauscher, Chairman and CEO, and Waleed Ed Dami, Partner and CFO.

Speaker #2: Mélanie Biessy, Managing Partner and COO, is also with us today and will join the Q&A session. Let me now hand over to Alain.

Speaker #3: Thank you, Ludmilla, and good morning, everyone. I am pleased to welcome you to today's call to present our half-year results and activity update. Our commercial dynamics are clearly positive, with good momentum across exits, deployment, and fundraising preparation.

Alain Rauscher: Thank you, Ludmilla, and good morning, everyone. I am pleased to welcome you on today's call to present our half-year results and activity update. Our commercial dynamics are clearly positive, with good momentum across exits, deployment, and fundraising preparation. Let me run you quickly through the main highlights. First, exits have resumed, which is an important milestone for Antin and for our clients. We made good progress on several exit processes in the H1 of the year and signed over the summer two of the largest European exits made to date in Europe. This will allow us to distribute significant amounts of capital to our clients in the coming quarters. Second, we have continued to deploy capital in a disciplined manner while maintaining the differentiated exposure that is central to our strategy. Third, our asset management platform continues to deliver a solid performance.

Speaker #3: Let me run you quickly through the main highlights. First, exits have resumed, which is an important milestone for Antin and for our clients. We made good progress on several exit processes in the first half of the year, and saw over the summer two of the largest European exits made to date in Europe.

Speaker #3: This will allow us to distribute significant amounts of capital to our clients in the coming quarters. Second, we have continued to deploy capital in a disciplined manner while maintaining the differentiated exposure that is central to our strategy.

Alain Rauscher: This will allow us to distribute significant amounts of capital to our clients in the coming quarters. Second, we have continued to deploy capital in a disciplined manner while maintaining the differentiated exposure that is central to our strategy. Third, our asset management platform continues to deliver a solid performance. Over the last 12 months, our three main funds delivered performance around or above 15%. Fourth, the good progress on deployment enabled us to launch fundraising for Mid Cap II with Mid Cap I now fully committed.

Speaker #3: Third, our asset management platform continues to deliver a solid performance over the last 12 months. Our three main funds delivered performance at or above 15%.

Alain Rauscher: Over the last 12 months, our three main funds delivered performance around or above 15%. Fourth, the good progress on deployment enabled us to launch fundraising for Mid Cap II with Mid Cap I now fully committed. Regarding our own financial performance, the transition between fundraising cycles is visible in our numbers. In this context, we delivered an EBITDA margin of 50%, entirely fee related, which reflects the strength and quality of our business. Finally, we remain committed to our dividend policy, with attractive distributions to shareholders and an implied dividend yield around 8%. Over the past quarters, we have launched several exit processes, and these are now coming to fruition. The transactions we signed over the summer mark an important step forward for Antin. First, we signed the sale of 30% of Sølvtrans. Second, we signed the full sale of Idex.

Speaker #3: Fourth, that good progress on deployment enabled us to launch fundraising for Mid Cap II, with Mid Cap I now fully committed. Regarding our own financial performance, the transition between fundraising cycles is visible in our numbers.

Alain Rauscher: Regarding our own financial performance, the transition between fundraising cycles is visible in our numbers. In this context, we delivered an EBITDA margin of 50%, entirely fee related, which reflects the strength and quality of our business. Finally, we remain committed to our dividend policy, with attractive distributions to shareholders and an implied dividend yield around 8%. Over the past quarters, we have launched several exit processes, and these are now coming to fruition. The transactions we signed over the summer mark an important step forward for Antin.

Speaker #3: In this context, we delivered an EBITDA margin of 50%, entirely fee-related, which reflects the strength and quality of our business. Finally, we remain committed to our dividend policy, with attractive distributions to shareholders and an implied dividend yield of around 8%.

Speaker #3: Over the past quarters, we have launched several exit processes, and these are now coming to fruition. The transactions we signed over the summer mark an important step forward for Ontal.

Speaker #3: First, we signed the sale of 30% of Soltrans. Second, we signed the full sale of EDEX. These two exits, with multi-billion valuations, mark some of the largest realizations made in Europe so far this year.

Alain Rauscher: First, we signed the sale of 30% of Sølvtrans. Second, we signed the full sale of Idex. These two exits, with multi-billion valuation, mark some of the largest realization made in Europe so far this year. They are expected to return around EUR 2.1 billion to our fund investors. This is a very substantial level of distribution in a short period of time. In terms of DPI, we will have returned over 90% of the invested capital to our Flagship Fund III investors, with more than a third of the portfolio of Flagship Fund III yet to be realized. Importantly, this is not the end of the exit cycle.

Alain Rauscher: These two exits, with multi-billion valuation, mark some of the largest realization made in Europe so far this year. They are expected to return around EUR 2.1 billion to our fund investors. This is a very substantial level of distribution in a short period of time. In terms of DPI, we will have returned over 90% of the invested capital to our Flagship Fund III investors, with more than a third of the portfolio of Flagship Fund III yet to be realized. Importantly, this is not the end of the exit cycle. It is the beginning of a new phase for distributions for several of our funds. We have other exit processes already underway or close to launch or close to close across multiple funds. This gives us strong confidence in our ability to continue increasing distributions to fund investors.

Speaker #3: They are expected to return around €2.1 billion to our fund investors. This is a very substantial level of distribution in a short period of time.

Speaker #3: In terms of DPI, we will have returned over 90% of the invested capital to our Fund Three investors, with more than a third of the portfolio of Fund Three yet to be realized.

Speaker #3: And importantly, this is not the end of the cycle—exit cycle. It is the beginning of a new phase for distributions, for several of our funds.

Alain Rauscher: It is the beginning of a new phase for distributions for several of our funds. We have other exit processes already underway or close to launch or close to close across multiple funds. This gives us strong confidence in our ability to continue increasing distributions to fund investors. The two exits we have signed, Sølvtrans and Idex, are in both cases, textbook examples of what we typically do as an investor. Support growth, drive transformation, and realize value through active ownership.

Speaker #3: We have other exit processes already underway, or close to launch, or close to close, across multiple funds. This gives us strong confidence in our ability to continue increasing distributions to fund investors.

Alain Rauscher: The two exits we have signed, Sølvtrans and Idex, are in both cases, textbook examples of what we typically do as an investor. Support growth, drive transformation, and realize value through active ownership. In both cases, the starting point was to put in place the right team and capacities to execute an ambitious value creation plan. From there, we worked on the same core levers that are central to our approach more broadly. Strengthening the platform, winning market share in core markets, expanding the offering, entering new geographies, and delivering inorganic growth where relevant. This is very much in line with the Antin model of investing in essential infrastructure businesses with resilience and clear value creation potential. Idex is a leading European independent energy infrastructure platform.

Speaker #3: The two exits we have signed, Soltrans and EDEX, are in both cases textbook examples of what we typically do as an investor: support growth, drive transformation, and realize value through active ownership.

Speaker #3: In both cases, the starting point was to put in place the right team and capacities to execute an ambitious value creation plan. From there, we worked on the same core levers that are central to our approach more broadly: strengthening the platform, winning market share in core markets, expanding the offering, entering new geographies, and delivering inorganic growth where relevant.

Alain Rauscher: In both cases, the starting point was to put in place the right team and capacities to execute an ambitious value creation plan. From there, we worked on the same core levers that are central to our approach more broadly. Strengthening the platform, winning market share in core markets, expanding the offering, entering new geographies, and delivering inorganic growth where relevant. This is very much in line with the Antin model of investing in essential infrastructure businesses with resilience and clear value creation potential. Idex is a leading European independent energy infrastructure platform.

Speaker #3: This is very much in line with the Antin model of investing in essential infrastructure businesses with resilience and clear value creation potential. EDEX is a leading European independent energy infrastructure platform.

Speaker #3: This exit at a multibillion euro enterprise value is the largest in Ontal's history, and one of the largest peak transactions in France this year.

Alain Rauscher: This exit at a multi-billion euro enterprise value is the largest in Antin's history and one of the largest deal transactions in France this year. This is a clear demonstration of our ability to build and realize value at scale. Under our ownership, Idex's EBITDA roughly tripled, supported by significant strengthening of the organization and the development of the platform. This led to a realized gross multiple of 2.0 times. Turning to Sølvtrans, this is the world's leading provider of mission-critical wellboats serving the growing aquaculture industry. Under our ownership, Sølvtrans more than doubled its total fleet and increased its shipping capacity by significantly more than that, resulting in a gross multiple for the investment of 2.4 times in Norwegian krone. More broadly, Sølvtrans illustrates how certain high-quality infrastructure assets can be particularly well-suited to minority transactions.

Speaker #3: This is a clear demonstration of our ability to build and realize value at scale. Under our ownership, EDEX's EBITDA roughly tripled, supported by significant strengthening of the organization and the development of the platform.

Speaker #3: This led to a realized growth multiple of 2.0 times. Turning to Soltrans, this is the world’s leading provider of mission-critical well boats, serving the growing aquaculture industry.

Alain Rauscher: Turning to Sølvtrans, this is the world's leading provider of mission-critical wellboats serving the growing aquaculture industry. Under our ownership, Sølvtrans more than doubled its total fleet and increased its shipping capacity by significantly more than that, resulting in a gross multiple for the investment of 2.4 times in Norwegian krone. More broadly, Sølvtrans illustrates how certain high-quality infrastructure assets can be particularly well-suited to minority transactions.

Speaker #3: Under our ownership, Soltrans more than doubled its total fleet and increased its shipping capacity by significantly more than that, resulting in a gross multiple for the investment of 2.4 times in Norwegian krone.

Speaker #3: More broadly, Soltrans illustrates how certain high-quality infrastructure assets can be particularly well suited to minority transactions. This partial exit allows us to crystallize value today through the sale of a minority stake to a new shareholder that recognizes the attractive characteristics of this type of business, while full realization is underway and expected to take place over time.

Alain Rauscher: This partial exit allows us to crystallize value today through the sale of a minority stake to a new shareholder that recognizes the attractive characteristic of this type of business, while full realization is underway and expected to take place over time. Taken together, these two exits show how our model can create value across very different infrastructure subsectors. Let's turn now to deployment. Following a very strong H2 2025, we will maintain that momentum in 2023 across all three of our strategy. Most notably, we finalized the deployment of Mid Cap I in a very selective manner. It is now fully committed, which allows us to launch Mid Cap II. Looking at our investments in H1 2026. Sapphire Gas is a buy and build play focused on the transportation of liquefied renewable gas in the US.

Speaker #3: Taken together, these two exits show how our model can create value across very different infrastructure subsectors. Let's turn now to deployment. Following a very strong second half of 2022, we will maintain that momentum in 2023 across all three of our strategies.

Speaker #3: Most notably, we finalized the deployment of Mid Cap I in a very selective manner. It is now fully committed, which allows us to launch Mid Cap II.

Alain Rauscher: Most notably, we finalized the deployment of Mid Cap I in a very selective manner. It is now fully committed, which allows us to launch Mid Cap II. Looking at our investments in H1 2026. Sapphire Gas is a buy and build play focused on the transportation of liquefied renewable gas in the US. It is positioned in a market where energy demand is growing rapidly and where traditional pipeline infrastructure is not expanding fast enough to meet those needs.

Speaker #3: Looking at our investment in the first half of 2026, Sapphire Gas is a buy-and-build play focused on the transportation of liquefied renewable gas in the US.

Speaker #3: This is positioned in a market where energy demand is growing rapidly, and traditional pipeline infrastructure is not expanding fast enough to meet those needs.

Alain Rauscher: It is positioned in a market where energy demand is growing rapidly and where traditional pipeline infrastructure is not expanding fast enough to meet those needs. Belambra is an opportunity to support a further upgrade and expansion of a unique portfolio of holiday destinations, primarily in France, with potential to expand internationally. NextGen signed its eighth investment, which we will disclose the name of at closing, and that should be imminent. More broadly, what this transaction demonstrates is that we continue to see attractive opportunities, but we remain selective. We are not chasing volume. We are deploying where we see strong infrastructure characteristics, clear value creation plans, and the right level of downside protection. Overall, the investments that we have made over the last 12 months reflect a consistent objective to provide our fund investors with differentiated exposure, avoiding concentration around any single theme, sector, and geography.

Speaker #3: Bell and Bryce are an opportunity to support the further upgrade and expansion of a unique portfolio of holiday destinations, primarily in France, with potential to expand internationally.

Alain Rauscher: Belambra is an opportunity to support a further upgrade and expansion of a unique portfolio of holiday destinations, primarily in France, with potential to expand internationally. NextGen signed its eighth investment, which we will disclose the name of at closing, and that should be imminent. More broadly, what this transaction demonstrates is that we continue to see attractive opportunities, but we remain selective.

Speaker #3: Legend signed its eighth investment, which we will disclose the name of at closing—and that should be imminent. More broadly, what these transactions demonstrate is that we continue to see attractive opportunities, but will remain selective while not chasing volume.

Alain Rauscher: We are not chasing volume. We are deploying where we see strong infrastructure characteristics, clear value creation plans, and the right level of downside protection. Overall, the investments that we have made over the last 12 months reflect a consistent objective to provide our fund investors with differentiated exposure, avoiding concentration around any single theme, sector, and geography.

Speaker #3: We are deploying where we see strong infrastructure characteristics, clear value creation plans, and the right level of planned site protection. Overall, the investments that we have made over the last 12 months reflect a consistent objective.

Speaker #3: To provide our fund investors with differentiated exposure, avoiding concentration around any single theme, sector, or geography. As you can see on slide eight, the portfolio mix across our main funds remains well diversified by both sector and region.

Alain Rauscher: As you can see on slide 8, the portfolio mix across our main funds remains well diversified by both sector and region. We offer a privileged access to the European market, where we continue to deploy the majority of our funds. Let me give you a few examples of how this approach translates into portfolio construction. The rapid development of AI is driving very significant capital needs, creating attractive opportunities for infrastructure investors. Our approach, however, remains selective and disciplined. We are focused on areas where we see durable demand and compelling risk-adjusted returns, notably energy and connectivity. In data centers, we believe the colocation segment is a better way and a safer way to get exposure to AI-related demand, as it offers more defensive characteristics, particularly because of the diversity of its customer base. That was part of the rationale behind our acquisition of NorthC last December.

Speaker #3: We offer privileged access to the European market, where we continue to deploy the majority of our funds. Let me give you a few examples of how this approach translates into portfolio construction.

Speaker #3: The rapid development of AI is driving very significant capital needs, creating attractive opportunities for infrastructure investors. Our approach, however, remains selective and disciplined, well-focused on areas where we see durable demand and compelling risk-adjusted returns, notably energy and connectivity.

Alain Rauscher: Our approach, however, remains selective and disciplined. We are focused on areas where we see durable demand and compelling risk-adjusted returns, notably energy and connectivity. In data centers, we believe the colocation segment is a better way and a safer way to get exposure to AI-related demand, as it offers more defensive characteristics, particularly because of the diversity of its customer base. That was part of the rationale behind our acquisition of NorthC last December.

Speaker #3: In data centers, we believe the co-location segment is a better way to gain exposure—a better and safer way to get exposure to AI-related demand.

Speaker #3: As it offers more defensive characteristics, particularly because of the diversity of its customer base. That was part of the rationale behind our acquisition of North Sea last December.

Speaker #3: In medical equipment leasing, our investment in MCRA allows us to capture exposure to the long-term structural trends of aging populations, but in a way that avoids the development, products, and distribution risk.

Alain Rauscher: In medical equipment leasing, our investment in MCare allows us to capture exposure to the long-term structural trends of aging populations, but in a way that avoids the development, product, and distribution risks. And in Bigge Marine, we identified a business supported by end markets that have historically shown strong resilience over time. This brings an additional layer of diversification to the portfolio and further strengthens the differentiated exposure we aim to provide to our core investors. This disciplined diversification is fully consistent with the approach we maintain over the years, building portfolios that combine resilience and long-term structural growth. Regarding fund performance, our main funds in value creation mode all delivered strong progress over the last 12 months, around or above 15% on a like-for-like basis.

Speaker #3: And in Viggo Marine, we identified a business supported by end markets that have historically shown strong resilience over time. This brings an additional layer of diversification to the portfolio and further strengthens the differentiated exposure we aim to provide to our core investors.

Speaker #3: This disciplined diversification is fully consistent with the approach we have maintained over the years—building portfolios that combine resilience and long-term structural growth. Regarding fund performance, our main funds in value creation mode all delivered strong progress over the last 12 months, at or above 15% on a like-for-like basis.

Alain Rauscher: This disciplined diversification is fully consistent with the approach we maintain over the years, building portfolios that combine resilience and long-term structural growth. Regarding fund performance, our main funds in value creation mode all delivered strong progress over the last 12 months, around or above 15% on a like-for-like basis. As you can see on slide 9, Flagship Fund IV is at 14.5% IRR over the last year, Mid Cap I at 19.6%, and Flagship Fund V at 16.3%.

Speaker #3: As you can see on slide nine, Flagship Four is at 14.4%, 14.5%, higher over the last year. Mid-Cap One at 19.6%, and Flagship Five at 16.3%.

Alain Rauscher: As you can see on slide 9, Flagship Fund IV is at 14.5% IRR over the last year, Mid Cap I at 19.6%, and Flagship Fund V at 16.3%. This reflects the healthy performance of the portfolios. We are particularly encouraged by the consistency of performance across the Flagship Fund V portfolio and by the strong start from the more recent Mid Cap I investment. Overall, this gives us confidence that the health of the portfolios remains solid as we start raising our next step. Let me now take a step back and look more broadly at where each of our funds stands today. Starting with our earlier vintages, Flagship Fund I and Flagship Fund II both delivered outstanding outcome and clearly demonstrate our ability to create value across different market environments. Flagship Fund III and Flagship Fund IV have both faced some macro headwinds, but both funds are now showing improving momentum.

Speaker #3: This reflects the healthy performance of the portfolios. We are particularly encouraged by the consistency of performance across the Flagship Five portfolio, and by the strong start from the more recent Mid Cap One investment.

Alain Rauscher: This reflects the healthy performance of the portfolios. We are particularly encouraged by the consistency of performance across the Flagship Fund V portfolio and by the strong start from the more recent Mid Cap I investment. Overall, this gives us confidence that the health of the portfolios remains solid as we start raising our next step. Let me now take a step back and look more broadly at where each of our funds stands today. Starting with our earlier vintages, Flagship Fund I and Flagship Fund II both delivered outstanding outcome and clearly demonstrate our ability to create value across different market environments.

Speaker #3: Overall, this gives us confidence that the health of the portfolios remains solid as we start raising our next steps. Let me now take a step back and look more broadly at where each of our funds stands today.

Speaker #3: Starting with our earliest vintages, Flagship One and Flagship Two both delivered outstanding outcomes and clearly demonstrate our ability to create value across different market environments.

Alain Rauscher: Flagship Fund III and Flagship Fund IV have both faced some macro headwinds, but both funds are now showing improving momentum. Exits are accelerating again in Flagship Fund III, which is now 63% realized, and where we remain confident in our ability to deliver strong outcome for fund investors. Regarding Flagship Fund IV, we will start to crystallize value very soon. Turning to our more recent vintages, we are well encouraged by the performance of Mid Cap I and Flagship Fund V today.

Speaker #3: Flagship Three and Four have both faced some micro headwinds, but both funds are now showing improving momentum. Exits are accelerating again in Flagship Three, which is now 63% realized, and where we remain confident in our ability to deliver a strong outcome for fund investors.

Alain Rauscher: Exits are accelerating again in Flagship Fund III, which is now 63% realized, and where we remain confident in our ability to deliver strong outcome for fund investors. Regarding Flagship Fund IV, we will start to crystallize value very soon. Turning to our more recent vintages, we are well encouraged by the performance of Mid Cap I and Flagship Fund V today. Both funds have performed well with a good level of consistency across their respective portfolios. Mid Cap I is now fully committed, while Flagship Fund V remains in deployment with strong asset quality. As for NextGen, which is a growth-oriented strategy, as it is precisely geared towards growth, the value creation journey is typically longer. What we are seeing so far is very encouraging. Taken together, this gives us a balanced picture across vintages.

Speaker #3: Regarding Flagship Four, we will start to crystallize value very soon. Turning to our more recent vintages, we are well encouraged by the performance of Mid-Cap One and Flagship Five today.

Speaker #3: Both funds have performed well, with a good level of consistency across their respective portfolios. Mid-cap One is now fully committed, while Flagship Five remains in deployment with strong asset quality.

Alain Rauscher: Both funds have performed well with a good level of consistency across their respective portfolios. Mid Cap I is now fully committed, while Flagship Fund V remains in deployment with strong asset quality. As for NextGen, which is a growth-oriented strategy, as it is precisely geared towards growth, the value creation journey is typically longer. What we are seeing so far is very encouraging. Taken together, this gives us a balanced picture across vintages.

Speaker #3: As for NextGen, which is a growth-oriented strategy, as it is precisely geared towards growth, the value creation journey is typically longer. What we are seeing so far is very encouraging.

Speaker #3: Taken together, this gives us a balanced picture across vintages. Some mature funds are in harvesting mode, some are recovering momentum, and our more recent funds are building what we believe will be the next growth drivers for the platform.

Alain Rauscher: Some mature funds are in harvesting mode, some are recovering momentum, and our more recent funds are building what we believe will be the next growth drivers for the platform. Finally, a word about our platform before handing over to Walid Damou. Over the years, we have invested significantly to build a strong footprint on both sides of the Atlantic. Today, we have scaled investment capabilities across Europe and North America, supported by enhanced global investor coverage and best-in-class operation. We believe this will serve us well in the coming fundraising cycle. In H1 2026, we expanded our presence to Australia with the opening of our Melbourne office, strengthening our access to capital markets in Australia and more broadly in the Asia Pacific region.

Speaker #3: Finally, a word about our platform before handing over to Walee. Over the years, we have invested significantly to build a strong footprint on both sides of the Atlantic.

Speaker #3: Today, we have scaled investment capabilities across Europe and North America, supported by enhanced global investor coverage and best-in-class operations. We believe this will serve us well in the coming fundraising cycle.

Alain Rauscher: Today, we have scaled investment capabilities across Europe and North America, supported by enhanced global investor coverage and best-in-class operation. We believe this will serve us well in the coming fundraising cycle. In H1 2026, we expanded our presence to Australia with the opening of our Melbourne office, strengthening our access to capital markets in Australia and more broadly in the Asia Pacific region.

Speaker #3: In the first half of 2026, we expanded our presence to Australia with the opening of our Melbourne office, strengthening our access to capital markets in Australia and more broadly in the Asia-Pacific region.

Speaker #3: At the same time, we continued to enhance our platform and asset management capabilities, including through the expansion of our performance improvement team with senior hires.

Alain Rauscher: At the same time, we continued to enhance our platform and asset management capacities, including through the expansion of our performance improvement team with senior hires. This is important because it helps us drive greater value creation across the portfolio. Antin now has 254 professionals across its global platform, with teams in Paris, London, New York, and Luxembourg, as well as representation offices in Seoul and Melbourne. The continued investment in the platform reflects our conviction that the next phase of growth is underpinned by the quality and breadth. With that, I will now hand over to Walid Damou to walk you through our financial results.

Speaker #3: This is important because it helps us drive greater value creation across the portfolio.

Speaker #1: Martin now has 254 professionals across its global platform, with teams in Paris, London, New York, and Luxembourg, as well as representative offices in Seoul and Melbourne.

Speaker #1: Continued investment in the platform reflects our conviction that the next phase of growth is underpinned by the quality and breadth of the platform. With that, I will now hand over to Waleed to walk you through our financial results.

Speaker #2: Thank you, Alain, and good morning, everyone. Let me start with a highlight from our financial results for the first half of 2026, on slide 13.

Walid Damou: Thank you, Alain Rauscher, and good morning, everyone. Let me start with the highlights from our financial results for H1 2026 on slide 13. As expected, the beginning of the year reflected a transition between two fundraising cycles, with a 2.9% reduction in fee-paying AUM following the step-down in Mid Cap I in April. Underlying revenue decreased by 4.5% to EUR 138.5 million, reflecting the same dynamic. This flowed through to EBITDA, which was down 12.3% year-on-year to EUR 69.9 million. EBITDA margin remained healthy at 50%, demonstrating the resilience of our model. Finally, we continue to expect the full year shareholder distribution for 2026 to remain stable at EUR 0.71 per share, subject as usual to shareholder approval at the next AGM. Let me now go into a bit more detail, starting with fee-paying AUM and revenues on slide 14.

Speaker #2: As expected, the beginning of the year reflected a transition between two fundraising cycles, with a 2.9% reduction in fee-paying AUM following the step-down in Mid Cap I in April.

Speaker #2: Underlying revenue decreased by 4.5% to €138.5 million, reflecting the same dynamic. This flowed through to EBITDA, which was down 12.3% year on year to €69.9 million.

Walid Damou: This flowed through to EBITDA, which was down 12.3% year-on-year to EUR 69.9 million. EBITDA margin remained healthy at 50%, demonstrating the resilience of our model. Finally, we continue to expect the full year shareholder distribution for 2026 to remain stable at EUR 0.71 per share, subject as usual to shareholder approval at the next AGM. Let me now go into a bit more detail, starting with fee-paying AUM and revenues on slide 14.

Speaker #2: EBITDA margin remained healthy at 50%, demonstrating the resilience of our model. Finally, we continue to expect the full-year shareholder distribution for 2026 to remain stable at €0.71 per share, subject, as usual, to shareholder approval at the next AGM.

Speaker #2: Let me now go into a bit more detail, starting with fee-paying AUM and revenues on slide 14. In the first half, our fee-paying AUM benefited from some modest capital calls in Flagship Four, which were more than offset by the step-down of Mid-Cap One.

Walid Damou: In the H1, our fee-paying AUM benefited from some modest capital calls in Flagship Fund IV, which were more than offset by the step-down of Mid Cap I. On Mid Cap II, as we have said before, activation is expected to coincide with the fund's first investment. We are making good progress with LPs, having already started to gather commitments. On the investment side, we are advancing on several opportunities. That said, the timing of new deals remains difficult to predict, and we now expect the activation of the fund in the Q4 of this year. On revenues, the 4.5% year-on-year decrease was driven by three main factors. First, H1 2025 included EUR 0.9 million of catch-up fees, which did not occur this year. Second, the Mid Cap I step-down reduced management fees by EUR 3.8 million.

Speaker #2: On Mid Cap Two, as we have said before, activation is expected to coincide with the fund's first investment. We are making good progress with LPs, having already started to gather commitments.

Speaker #2: And on the investment side, we're advancing on several opportunities. That said, the timing of new deals remains difficult to predict, and we now expect the activation of the fund in the fourth quarter of this year.

Speaker #2: On revenues, the 4.5% year-on-year decrease was driven by three main factors. First, H1 2025 included €0.9 million of catch-up fees, which did not occur this year.

Walid Damou: On revenues, the 4.5% year-on-year decrease was driven by three main factors. First, H1 2025 included EUR 0.9 million of catch-up fees, which did not occur this year. Second, the Mid Cap I step-down reduced management fees by EUR 3.8 million. This is the mechanical effect of moving to lower FPAUM base and a lower fee rate. Third, investment income was negative in the period. Positive performance across the portfolio for the period was offset mainly by lower valuations in Funds III and Fund III-B.

Speaker #2: Second, the mid-cap one step-down reduced management fees by €3.8 million. This is the mechanical effect of moving to a lower FPAUM base and a lower fee rate.

Walid Damou: This is the mechanical effect of moving to lower FPAUM base and a lower fee rate. Third, investment income was negative in the period. Positive performance across the portfolio for the period was offset mainly by lower valuations in Funds III and Fund III-B. The change in valuations in these relatively concentrated funds reflect a mix of broader market conditions and asset-specific factors. These funds are not yet fully realized, and it is therefore still early to draw firm conclusions on final outcomes. Briefly on headcount and costs on slide 15. Operating expenses increased by 4.9% year-on-year, growth in line with last year and confirming the slower cost growth trajectory relative to prior years. This reflects both the operating leverage we are now starting to see in the platform and our disciplined approach to costs.

Speaker #2: Third, investment income was negative in the period. Positive performance across the portfolio for the period was offset mainly by lower valuations in Funds III and III-B.

Speaker #2: The change in valuations in these relatively concentrated funds reflects a mix of broader market conditions and asset-specific factors. These funds are not yet fully realized.

Walid Damou: The change in valuations in these relatively concentrated funds reflect a mix of broader market conditions and asset-specific factors. These funds are not yet fully realized, and it is therefore still early to draw firm conclusions on final outcomes. Briefly on headcount and costs on slide 15. Operating expenses increased by 4.9% year-on-year, growth in line with last year and confirming the slower cost growth trajectory relative to prior years. This reflects both the operating leverage we are now starting to see in the platform and our disciplined approach to costs.

Speaker #2: Therefore, it is still early to draw firm conclusions on final outcomes.

Speaker #1: Briefly on headcount and costs on slide 15. Operating expenses increased by 4.9% year-on-year, rising in line with last year and confirming the slower cost growth trajectory relative to prior years.

Speaker #1: This reflects both the operating leverage we are now starting to see in the platform and our disciplined approach to costs.

Speaker #2: As Alain mentioned earlier, we have invested consistently in recent years to build a strong and scalable platform, with enhanced capabilities across investment teams, specialist functions, fundraising, and operations.

Walid Damou: As Alain mentioned earlier, we have invested consistently in recent years to build a strong and scalable platform with enhanced capabilities across investment teams, specialist functions, fundraising, and operations. We believe this gives us a very solid foundation from which to support the next growth phase for Antin. in March, we indicated that cost growth for the year was expected to be in the high single digits. We are now aiming for a slightly lower growth rate for costs in 2026. With that in mind, and based on the assumption that Mid Cap II is activated in the Q4 rather than in the Q2, we now expect underlying EBITDA for full year 2026 to be slightly below the 2025 level. This reflects a timing effect only and does not change our confidence in the medium-term growth prospects for the business. Moving on to balance sheet on slide 16.

Speaker #2: We believe this gives us a very solid foundation from which to support the next growth phase for the long term. In March, we indicated that cost growth for the year was expected to be in the high single digits.

Walid Damou: We are now aiming for a slightly lower growth rate for costs in 2026. With that in mind, and based on the assumption that Mid Cap II is activated in the Q4 rather than in the Q2, we now expect underlying EBITDA for full year 2026 to be slightly below the 2025 level. This reflects a timing effect only and does not change our confidence in the medium-term growth prospects for the business. Moving on to balance sheet on slide 16.

Speaker #2: We are now aiming for a slightly lower growth rate for costs in 2026. With that in mind, and based on the assumption that Mid-Cap Two is activated in the fourth quarter rather than in the second quarter, we now expect underlying EBITDA for the full year 2026 to be slightly below the 2025 level.

Speaker #2: This reflects a timing effect only and does not change our confidence in the medium-term growth prospects for the business.

Speaker #1: Moving on to the balance sheet on slide 16.

Speaker #2: Our cash balance decreased to €326 million as of 30 June 2026, from €361 million one year ago. This mainly reflects the deployment of capital into our funds and our continued shareholder distributions.

Walid Damou: Our cash balance decreased to EUR 326 million as of 30 June 2026 from EUR 361 million one year ago. This mainly reflects the deployment of capital into our funds and our continued shareholder distributions. At the same time, our financial assets increased as a result of this capital deployment. Importantly, we continue to have zero financial debt. More broadly, we remain committed to a capital-light model. Our balance sheet is primarily used to support the business through co-investment in our funds and carried interest commitments, creating a strong alignment of interest with our clients. Today, around one-third of our cash balance is earmarked for deployment in our existing funds, mainly Flagship Fund V, Mid Cap I, and NextGen I. As we raise our next vintages, these commitments will increase over time, but we will also expect to receive distributions in parallel as our funds continue to realize assets.

Speaker #2: At the same time, our financial assets increased as a result of this capital deployment. Importantly, we continue to have zero financial debt. More broadly, we remain committed to a capital-light model.

Speaker #2: Our balance sheet is primarily used to support the business through co-investment in our funds and carried interest commitments, creating a strong alignment of interest with our clients.

Walid Damou: Our balance sheet is primarily used to support the business through co-investment in our funds and carried interest commitments, creating a strong alignment of interest with our clients. Today, around one-third of our cash balance is earmarked for deployment in our existing funds, mainly Flagship Fund V, Mid Cap I, and NextGen I. As we raise our next vintages, these commitments will increase over time, but we will also expect to receive distributions in parallel as our funds continue to realize assets.

Speaker #1: Today, around one-third of our cash balance is earmarked for deployment in our existing funds—mainly Flagship V, Mid Cap I, and NextGen I.

Speaker #2: As we raise our next vintages, these commitments will increase over time, but we will also expect to receive distributions in parallel as our funds continue to realize assets.

Speaker #2: The cash balance also provides us with capacity to pursue potential strategic initiatives that can strengthen our capabilities and support long-term value creation.

Walid Damou: The cash balance also provides us with capacity to pursue potential strategic initiatives that can strengthen our capabilities and support long-term value creation. Finally, on shareholder distributions, we remain committed to our policy of a stable or growing dividend per share. For 2026, we intend to maintain an annual dividend of EUR 0.71 per share, in line with last year and including EUR 0.28 per share expected to be paid in late October. Over time, as Mid Cap II ramps up and we launch the next flagship fund, we do expect dividend growth to resume alongside earnings growth. A few words on our shareholding structure on slide 17. It is important to flag that the lock-up mechanism in place since IPO will expire in a few weeks on 27 September.

Speaker #1: Finally, on shareholder distributions, we remain committed to our policy of a stable or growing dividend per share. For 2026, we intend to maintain an annual dividend of €0.71 per share, in line with last year, including €0.28 per share expected to be paid in late October.

Speaker #1: Over time, as Mid Cap II ramps up and we launch the next flagship fund, we do expect dividend growth to resume alongside earnings growth.

Speaker #2: A few words on our shareholding structure on slide 17. It is important to flag that the lock-up mechanism in place since the IPO will expire in a few weeks, on the 27th of September.

Walid Damou: A few words on our shareholding structure on slide 17. It is important to flag that the lock-up mechanism in place since IPO will expire in a few weeks on 27 September. The agreement between the partner shareholders who are acting in concert and collectively own 84% of the company will remain in force after the lock-up expires. This agreement includes several mechanisms allowing to support an orderly increase in the free float.

Speaker #2: The agreement between the partner shareholders, who are acting in concert and collectively own 84% of the company, will remain in force after the lock-up expires.

Walid Damou: The agreement between the partner shareholders who are acting in concert and collectively own 84% of the company will remain in force after the lock-up expires. This agreement includes several mechanisms allowing to support an orderly increase in the free float. In particular, subject to customary exceptions, the concert members have agreed to coordinate with Antin for any transfer of shares above a certain threshold. Therefore, going forward, we continue to expect our free floats to increase gradually, mainly through placements that can be absorbed by the market. Any such transaction would of course be considered in light of market conditions. We now hand back to Alain for some concluding remarks.

Speaker #2: This agreement includes several mechanisms allowing for an orderly increase in the free float. In particular, subject to customary exceptions, the concert members have agreed to coordinate with Antin for any transfer of shares above a certain threshold.

Walid Damou: In particular, subject to customary exceptions, the concert members have agreed to coordinate with Antin for any transfer of shares above a certain threshold. Therefore, going forward, we continue to expect our free floats to increase gradually, mainly through placements that can be absorbed by the market. Any such transaction would of course be considered in light of market conditions. We now hand back to Alain for some concluding remarks.

Speaker #2: Therefore, going forward, we continue to expect our free float to increase gradually, mainly through placements that can be absorbed by the market. Any such transaction would, of course, be considered in light of market conditions.

Speaker #1: We now hand back to Alain for some concluding remarks.

Speaker #2: Thank you, Walid.

Alain Rauscher: Thank you, Walid. In an environment that has been complex and unpredictable for some years, and that looks to remain that way for the foreseeable future, we continue to be confident in our ability to adapt and perform. Opportunities remain numerous in the infrastructure space, underpinned by powerful long-term tailwinds. We remain disciplined in how we capture those opportunities. We are not concentrating the portfolio around a single theme, sector, or geography. We are in the process of building our most diversified funds to date to provide our clients with truly differentiated underlying exposure. We recognize that DPI is especially important to fund investors today. As our mature funds move into harvesting mode and exit activity accelerates, we expect distributions to become more meaningful whilst staying firmly focused on maximizing returns and value creation across the platform.

Speaker #3: In an environment that has been complex and unpredictable for some years, and that looks to remain that way for the foreseeable future, we continue to be confident in our ability to adapt and perform.

Speaker #3: Opportunities remain numerous in the infrastructure space, underpinned by powerful long-term tailwinds. We remain disciplined in how we capture those opportunities. We are not concentrating the portfolio around a single theme, sector, or geography.

Speaker #3: We are in the process of building our most diversified funds to date, to provide our clients with truly differentiated underlying exposure.

Alain Rauscher: We are in the process of building our most diversified funds to date to provide our clients with truly differentiated underlying exposure. We recognize that DPI is especially important to fund investors today. As our mature funds move into harvesting mode and exit activity accelerates, we expect distributions to become more meaningful whilst staying firmly focused on maximizing returns and value creation across the platform.

Speaker #2: We recognize that DPI is especially important to fund investors today. And as our major funds move towards harvesting mode and exit activity accelerates, we expect distributions to become more meaningful, while staying firmly focused on maximizing returns and value creation across the platform.

Speaker #2: To conclude, nothing we see to date changes our confidence in the medium-term growth prospects for Antin. Our model remains resilient, our platform is stronger than ever, and we are entering the next fundraising cycle with solid momentum.

Alain Rauscher: To conclude, nothing we see today changes our confidence in the medium term growth prospect for Antin. Our model remains resilient, our platform is stronger than ever, and we are entering the next fundraising cycle with strong, solid momentum. This concludes this presentation. Walid, Mélanie, and I are now happy to take your questions.

Speaker #2: This concludes the presentation. Walid, Mélanie, and I are now happy to take your questions.

Speaker #4: Thank you, sir. We will now begin the question and answer session. Anyone who wishes to ask a question may press star and one on their touch-tone telephone.

Operator: Thank you, sir. We will now begin the question and answer session. Anyone who wishes to ask a question may press star and one on their touch-tone telephone. To remove your question, press star and two. Please pick up the receiver when asking questions. The first question comes from Nicholas Herman of Citi.

Speaker #4: To remove your question, press star and two. Please pick up the receiver when asking questions. The first question comes from Nicholas Herman of Citi.

Speaker #5: Yes, good morning. Thank you for the update and for taking my questions. A couple from my side, please. Firstly, just a bigger-picture question.

Nicholas Herman: Yes, good morning. Thank you for the updates and for taking my questions. A couple from my side, please. Firstly, just a bigger picture question. Is it fair to assume that you are adjusting down the valuations you are assigning to prospective investments as a result of the increase in interest rates that we've seen, forward rates? Secondly, I guess there's a couple here. I guess presumably you would not disagree with my conclusion that lower marks for the assets in Flagship Fund III and Fund III-B means that the pace of realizations of these funds will be slower than we previously anticipated. I guess the kind of the derivative questions from there are, does that mean that future distributions will be lower than we would have otherwise expected? Presumably that would then impact, why should that not impact the Flagship Fund VI fundraise whenever that happens?

Speaker #5: Is it fair to assume that you are adjusting down the valuations you are assigning to prospective investments as a result of the higher rates that we of the increase in interest rates that we've seen?

Speaker #5: Forward rates. And then secondly, I think there's a couple here. I guess, presumably, you would not disagree with my conclusion that lower marks for the assets in Fund 3 and Fund 3B mean that the pace of realizations of these funds will be slower than we previously anticipated.

Speaker #5: So, I guess that the derivative questions from that are: does that mean that future distributions will be lower than we would have otherwise expected?

Nicholas Herman: I guess the kind of the derivative questions from there are, does that mean that future distributions will be lower than we would have otherwise expected? Presumably that would then impact, why should that not impact the Flagship Fund VI fundraise whenever that happens? Finally, on performance earnings or carry, do you expect us to be able to hit your hurdle rates and generate carry from Fund III-B? Thank you.

Speaker #5: Presumably, that would then impact—I mean, why should that not impact—the Fund VI fundraise whenever that happens? And then finally, on performance earnings, that will carry.

Nicholas Herman: Finally, on performance earnings or carry, do you expect us to be able to hit your hurdle rates and generate carry from Fund III-B? Thank you.

Speaker #5: Do you expect us to be able to hit your hurdle rate and generate carry from Fund Three B? Thank you.

Speaker #2: Yeah. Walid, do you want to answer those questions?

Alain Rauscher: Walid, do you want to answer those questions?

Speaker #1: Maybe I'll start with the last ones, and I'll let you, Alain, comment on the bigger picture one. So, on the pace of exits, I think it's fair to remind everyone on the call that Fund III and III-B—so Fund III is a 2026–2027 vintage—went through quite an exceptional series of events with macro volatility and a few crises globally, as you know.

Walid Damou: Maybe I will start with the last ones, and I will let you, Alain, comment on the bigger picture one. On the pace of exits, I think it is fair to remind everyone on the call that Fund III and Fund III-B, so Fund III is a 2026, 2027 vintage, went through a quite exceptional series of events with macro volatility and a few crises globally, as you know. To answer your question regarding the pace of exits, yes, the pace of exit is slower than initially anticipated. That being said, we do see an acceleration at the moment, and we are very happy with what we saw so far, as Alain said, with Soltrans and with Idex, among other situations that we are working on. In terms of implications of this slower exit pace, I think there are two parts in what you are asking, Nicholas.

Speaker #1: So, to answer your question regarding the pace of exits—yes, the pace of exits is slower than initially anticipated. That being said, we do see an acceleration at the moment.

Walid Damou: To answer your question regarding the pace of exits, yes, the pace of exit is slower than initially anticipated. That being said, we do see an acceleration at the moment, and we are very happy with what we saw so far, as Alain said, with Soltrans and with Idex, among other situations that we are working on. In terms of implications of this slower exit pace, I think there are two parts in what you are asking, Nicholas.

Speaker #1: And we're very happy with what we saw so far, as Alain said, with Solve France and with Hidex, among other situations that we're working on.

Speaker #1: In terms of implications of this slower exit pace, I think there are two parts in what you're asking, Nicholas. So, first, on the crystallization of carried interest, you're pointing to the right impacts.

Walid Damou: First, on the crystallization of carried interest. You are pointing to the right impact. As you know, the more we go, the higher the hurdle rate gets, and this could have implications on the final outcome in terms of carried interest for the fund. That being said, from where we stand today, we think that it is wait worthy to conclude. The teams remain very much focused on maximizing value in the remaining assets and maximizing value in the funds. So we need to wait for the final outcome of the last exit in that fund to reach a conclusion on carried interest. Then the second part of your question regarding exits and the impact on fundraising for Fund VI. As we said consistently, fundraising is a result of many different aspects. DPI is one of them.

Speaker #1: So, as you know, the further we go, the higher the hurdle rate gets. And this could have implications on the final outcome in terms of carried interest for the fund.

Speaker #1: That being said, from where we stand today, we think that it's way too early to conclude. The teams remain very much focused on maximizing value in the remaining assets.

Speaker #1: And maximizing value in the funds, so we'll need to wait for the final outcome of the last exits in that fund to reach a conclusion on carried interest.

Speaker #1: And then the second part of your question regarding exits and the impact on fundraising for Fund VI—as we've said consistently—fundraising is a result of many different aspects.

Walid Damou: Then the second part of your question regarding exits and the impact on fundraising for Fund VI. As we said consistently, fundraising is a result of many different aspects. DPI is one of them. Other performance of the fund is also very important, and I think we are making very good progress across all those parameters.

Speaker #1: DPI is one of them. Broader performance of the fund is also very important, and I think we're making very good progress across all those parameters.

Walid Damou: Other performance of the fund is also very important, and I think we are making very good progress across all those parameters. If you look at the momentum that we are seeing in the more recent funds, I think that is also very important because we are having very engaged discussions with the clients, going very deep in the portfolios, looking at the build-up of the portfolios, and all of that has an influence on fundraising. So I would not draw any conclusions from the pace of exits to mechanical impacts on Fund VI. Maybe, Alain, I let you comment on the valuation.

Speaker #1: And if you look at the momentum that we're seeing in the more recent funds, I think that's also very, very important, because we're having very engaged discussions with the clients, going very deep in the portfolios, looking at the build-up of the portfolios, and all of that has an influence on fundraising.

Walid Damou: If you look at the momentum that we are seeing in the more recent funds, I think that is also very important because we are having very engaged discussions with the clients, going very deep in the portfolios, looking at the build-up of the portfolios, and all of that has an influence on fundraising. So I would not draw any conclusions from the pace of exits to mechanical impacts on Fund VI. Maybe, Alain, I let you comment on the valuation.

Speaker #1: So I wouldn't draw any conclusions from the pace of exit to mechanical impacts on Fund Six.

Speaker #2: Maybe, Alain, I'll let you comment on the valuations.

Alain Rauscher: Yeah. I think as Walid directly said, what is very important for our LPs is first the performance of our previous vintages as the first one. Even though there might be some tougher vintages, and we all have tough vintages. Everybody has got some tougher vintages than others. Certainly, Fund III and Fund III-B are such more challenging vintages. We do everything we can to preserve value, maximize value for our shareholders. As you know, our model is such that the bulk of the return evidently goes to our investors, to our clients, and that is actually our brief to work for their interest, and we do that very much. Then, of course, they might be more or less carried according to other rates being met or not, and sooner rather than later, and value, of course, being higher.

Speaker #1: Yeah. I think as Walid

Speaker #2: Rightly said. What is very important for RLPs is first the performance of our previous vintages, as the first one. And even though there might be some tougher, I would say, vintages—and we all have tougher, everybody's got some tougher vintages than others.

Speaker #2: And certainly, Fund III and Fund III B are much more challenging vintages. We do everything we can to preserve value and maximize value for our shareholders.

Speaker #2: And as you know, our model is such that the bulk of the returns evidently goes to our investors, to our clients. And that's actually our brief—to work for their interests.

Speaker #2: And we do that very, very much. And then, of course, there might be more or less carried according to other rates being met or not, and sooner rather than later.

Alain Rauscher: Then, of course, they might be more or less carried according to other rates being met or not, and sooner rather than later, and value, of course, being higher. But clearly our brief is to continue delivering maximum value for our investors, and I can assure you they are completely aware of all the efforts we do, and in particular, of the fact that when we are faced with some difficult situations, we do not walk away. We deal with the issues.

Speaker #2: And then you, of course, being higher. But clearly, our brief is to continue delivering maximum value for our investors, and I can assure you they are completely aware of all the efforts we make and, in particular, of the fact that when we are faced with some difficult situations, we don't walk away.

Alain Rauscher: But clearly our brief is to continue delivering maximum value for our investors, and I can assure you they are completely aware of all the efforts we do, and in particular, of the fact that when we are faced with some difficult situations, we do not walk away. We deal with the issues. Second thing is DPI. DPI, as you know, is a major theme in our industry. Because in a way with higher interest rates, more uncertainty, we are faced in an industry at large, I would say the private market industry where returns, I would say returns of capitals have been lesser. Clearly, the only thing we control as a GP is how much money we give back to our LPs. This is very important in allowing our LPs, our clients to commit new capital for new funds.

Speaker #2: We deal with the issues. The second thing is DPI. DPI, as you know, is a major theme in our industry. Because, in a way, with higher interest rates and more certainty, we are faced, in the industry at large—I would say the private market industry—with returns, or I would say return of capital, having been lesser.

Alain Rauscher: Second thing is DPI. DPI, as you know, is a major theme in our industry. Because in a way with higher interest rates, more uncertainty, we are faced in an industry at large, I would say the private market industry where returns, I would say returns of capitals have been lesser. Clearly, the only thing we control as a GP is how much money we give back to our LPs. This is very important in allowing our LPs, our clients to commit new capital for new funds.

Speaker #2: Clearly, the only thing we control as a GP is how much money we give back to RLP. And this is very important in allowing RLPs, our clients, to commit new capital for new funds.

Speaker #2: So on this one, as we have explained to you, we have made big progress. And I think, frankly, we are now in an extremely strong position compared to most of our peers because we returned, in nearly all cases, more money than our peers would have done recently.

Alain Rauscher: On this one, as we have explained to you, we have made big progress, and I think frankly we are now in an extremely strong position compared most of our peers because we returned in nearly most cases, in all cases more money than our peers would have done recently. I think this is a very important feature. I do not think you can derive from today's environment the fact that we may face particular difficulties to raise, say, Fund VI because frankly Fund VI is not there today. We first are committing to raise Mid Cap II, and we do things one at a time. To be frank, we are optimistic that things will go well. But first performance, secondly, DPI, return capital, so the people who are LPs, if they are happy, can put more capital at work.

Speaker #2: And so I think this is a very, very important feature. So I don't think you can derive from today's environment the fact that we may face particular difficulties to raise, say, Fund Six, because frankly, Fund Six is not there today.

Speaker #2: We are first committing to raise MidCap II. And we do things one at a time. To be frank, we are optimistic that things will go well.

Alain Rauscher: To be frank, we are optimistic that things will go well. But first performance, secondly, DPI, return capital, so the people who are LPs, if they are happy, can put more capital at work. To be frank, if you look at the performance of Flagship Fund V, the quality of the earning and also the quality of Mid Cap I, frankly, everybody has got some very strong, I would say, incentives to keep the investment going on because clearly we are demonstrating that we use good and differentiated investments.

Speaker #1: But first, performance; secondly, DPI; return capital. So for RLP, they are happy and can put more capital to work. And to be frank, if you look at the performance of Fund Five, the quality of the earnings, also the quality of the midcap one, frankly, everybody has got some very strong, I would say, incentives to keep the investment going on because clearly we are demonstrating that we use good and differentiated investments.

Alain Rauscher: To be frank, if you look at the performance of Flagship Fund V, the quality of the earning and also the quality of Mid Cap I, frankly, everybody has got some very strong, I would say, incentives to keep the investment going on because clearly we are demonstrating that we use good and differentiated investments.

Speaker #3: That's very helpful. Perhaps we can circle back to just the first question. Apologies—I appreciate these are big topics we just discussed.

Nicholas Herman: That is very helpful. Can I just quickly circle back? Just the first question, I apologize, I appreciate those are a big topic we just discussed, but just in terms of how you are kind of reacting to higher rates, are you adjusting the valuations you are assigning to prospective investments? Thank you.

Speaker #3: But just in terms of how you are kind of reacting to higher rates, are you adjusting the valuations you are assigning to prospective investments?

Speaker #3: Thank you.

Speaker #1: Well, the straightforward question is, I mean, it's hard to pretend the different things that are happening in the world are not there. So we're taking into account, obviously, all the different factors that are impacting the economy and the companies we're investing in.

Alain Rauscher: Well, the straight question is, it's hard to pretend the different things that are happening in the world are not there. We're taking into account, obviously, all the different factors that are impacting the economy and the companies we're investing on. So in a way, yes, I think valuations are being impacted by rates, whether it's directly through financing conditions or indirectly in the way we look at risk-adjusted returns. We do adapt to the ongoing environment. As you can appreciate, when we look at a given company, you have typically not one, but several debt instruments which are in place with different schedules of repayment. And evidently, we have to integrate what is going to be the new, I would say, market conditions when they apply. But it's exactly like a company, like a state which has to think about its refinancing cost going forward over 30 years.

Walid Damou: Well, the straight question is, it's hard to pretend the different things that are happening in the world are not there. We're taking into account, obviously, all the different factors that are impacting the economy and the companies we're investing on. So in a way, yes, I think valuations are being impacted by rates, whether it's directly through financing conditions or indirectly in the way we look at risk-adjusted returns. We do adapt to the ongoing environment.

Speaker #1: So in a way, yes, I think valuations are being impacted by rates. Whether it's directly through tightening financing conditions or indirectly in the way we look at risk-adjusted returns, we do adapt to the ongoing environment.

Alain Rauscher: As you can appreciate, when we look at a given company, you have typically not one, but several debt instruments which are in place with different schedules of repayment. And evidently, we have to integrate what is going to be the new, I would say, market conditions when they apply. But it's exactly like a company, like a state which has to think about its refinancing cost going forward over 30 years.

Speaker #2: So, as you can appreciate, Nicolas, when we look at a given company, you typically have several—not one, but several—debt instruments which are in place, with different schedules of repayment.

Speaker #2: And evidently, we have to integrate what are going to be the new, I would say, market conditions when they apply. But it's exactly like a state, which has to think about its refinancing costs going forward over 30 years.

Speaker #2: Evidently, you're not going to mark, for instance, the U.S. public debt by, say, 5.5%, because today you have 10-year debt at 5.5%. It's not correct, because in fact, this new debt you raise is going to be only a fraction of the total debt.

Alain Rauscher: Evidently, you're not going to mark, for instance, the US public debt by, say, 5.5%, because today you have 10-year debt at 5.5%. It's not correct because, in fact, this new debt you raise is going to be only a fraction of the total debt. But clearly, we are completely updating whatever cost of debt we need to adjust.

Speaker #2: But clearly, we are completely updating whatever cost of debt we need to adjust.

Speaker #3: Very helpful. Thanks so much.

Nicholas Herman: Very helpful. Thank you so much.

Speaker #2: We are. And I know it's quite boring, but we are very, very prudent—maybe too prudent. And I read some papers this morning when I was actually taking my coffee.

Alain Rauscher: We are, and I know it's quite boring, but we are very prudent, maybe too prudent. I read some papers this morning when I was actually taking my coffee, and clearly, for instance, we don't rush to make distributions, to make some disposal if we believe that we have to wait a little bit. And clearly it leaves some gap in, I would say, in financial results for the time. And our first brief is to be sure that we do the best investments and exits for the benefit of our shareholders. This is how we believe, essentially. But we are very prudent people.

Speaker #2: And clearly, for instance, we don't rush to make distributions or to make some disposals if we believe that we have to wait a little bit.

Speaker #2: And clearly, it can lead to some gap, I would say, in financial results for the time. And if we think that our first brief is to be sure that we do the best investments and exits for the benefit of our shareholders.

Speaker #2: This is how we live, essentially. But we are very prudent people.

Operator: The next question is from Sharath Kumar of Deutsche Bank.

Speaker #4: The next question is from Sharath Kumar of Deutsche Bank.

Speaker #3: Good morning. Thank you for taking my questions. I have three, please. Firstly, a follow-up on Fund III. I wanted to understand at what point does this fund cease to generate financial fees, given this is a 2016 vintage and it is currently about 65% realized.

Sharath Kumar: Good morning. Thank you for taking my questions. I have three, please. Firstly, a follow-up on Fund III. I wanted to understand at what point does this fund cease to generate management fees, given this is a 2016 vintage and it is currently about 65% realized. Is there a scenario where we can expect to see a step down from management fees without the fund being fully realized? That's the first one. Second, on Flagship Fund VI, just wanted to understand, is there a scenario where the activation slips to 2028? Or other way of asking this is, what progress do we need to see for the fund to be on track for a 2027 activation? Finally, on the Evergreens opportunity. Recently, infrastructure has seen strong interest from private wealth investors. How do you view this opportunity?

Speaker #3: So, is there a scenario where we can expect to see a step-down from management fees without the fund being fully realized? That's the first one.

Speaker #3: Second, on Flagship Fund VI, I just wanted to understand: is there a scenario where the activation flips to 2028? Or, another way of asking this is, what progress do we need to see for the fund to be on track for a 2027 activation?

Sharath Kumar: Or other way of asking this is, what progress do we need to see for the fund to be on track for a 2027 activation? Finally, on the Evergreens opportunity. Recently, infrastructure has seen strong interest from private wealth investors. How do you view this opportunity? Is it a no-go zone for you given that it is fundamentally inconsistent with your investment approach, or do you remain open-minded? Thank you.

Speaker #3: And finally, on the evergreens opportunity: recently, infrastructure has seen strong interest from private wealth investors. So, how do you view this opportunity? Is it a no-go zone for you, given that it is fundamentally inconsistent with your investment approach, or do you remain open-minded?

Sharath Kumar: Is it a no-go zone for you given that it is fundamentally inconsistent with your investment approach, or do you remain open-minded? Thank you.

Speaker #3: Thank you.

Speaker #1: Got it. Yeah. Let me start with the first question on Fund III, and then I'll let Melanie comment on the fundraising more specifically. So you're right to point out that the fund is a 2026 vintage.

Walid Damou: Yeah. Let me start with the first question on Fund III, and then I let Mélanie comment on the fundraising more specifically. You rightly point out that the fund is a 2016 vintage. Indeed, there is a possibility to extend the life of the fund. As the fund continues in its life, what is going to impact the fees coming from Fund III is indeed the reduction in fee-paying AUM as we exit the remaining assets. You should assume that the fund will continue being extended as per the agreements with the clients. The fee rate, I think we've communicated in the past around the fee levels. We can discuss in more details at a later stage what are the precise fees that will be implemented during the extension period.

Speaker #1: Indeed, there is a possibility to extend the life of the fund. And as the fund continues in its life, what is going to impact the fees coming from Fund Three is, indeed, the reduction in fee-paying AUM as we exit the remaining assets.

Speaker #1: So you should assume that the fund will continue being extended as per the agreements with the clients. And then the fee rate—I think we've communicated in the past—around the fee levels.

Speaker #1: So, we can discuss in more detail at a later stage what the precise fees will be that are implemented during the extension period. But you could indeed assume a small decrease in the fee rates as we extend the life of the fund.

Walid Damou: We can discuss in more details at a later stage what are the precise fees that will be implemented during the extension period. But you could indeed assume a small decrease in the fee rates as we extend the life of the fund. And then, I think just to be clear on the carried interest and what would come from that, as I mentioned, we are still working hard to maximize value in these funds. And what we would expect is for the carry, if any, to be towards the end of the life of the fund as we finalize the realizations in that fund.

Alain Rauscher: But you could indeed assume a small decrease in the fee rates as we extend the life of the fund. And then, I think just to be clear on the carried interest and what would come from that, as I mentioned, we are still working hard to maximize value in these funds. And what we would expect is for the carry, if any, to be towards the end of the life of the fund as we finalize the realizations in that fund.

Speaker #1: And then, I think, just to be clear on the carried interest and what would come from that—as I mentioned, we're still working hard to maximize value in these funds.

Speaker #1: And what we would expect is for the carry, if any, to be towards the end of the life of the fund, as we finalize the realizations in that fund.

Mélanie Biessy: As for Flagship Fund VI, our base case today is still an activation in 2027. And what needs to happen by the time we activate this Fund VI is finishing the deployment of Fund V. And as you have seen, and as it has been presented by Alain, the deployment is way ahead. And we anticipate that we would need two to three investments to be able to be in a position to start launching Flagship Fund VI. Of course, it is difficult to predict. As we said, we are very disciplined on the quality of assets and investments that we make, and therefore, we anticipate that it should happen in 2027, meaning that we are full speed, investment team is full speed on continuing deploying a very high-quality pipeline. And we feel that the base case should be that at some stage in 2027, we will be able to activate Fund VI.

Speaker #4: As for Flagship Fund Six, our base case today is still an activation in 2027. What needs to happen by the time we activate this Fund Six is finishing the deployment of Fund Five.

Speaker #4: And as you've seen, and as it's been presented by Alain, the deployment is way ahead. And we anticipate that we would need two to three investments to be able to be in a position to start launching Flagship Fund VI.

Speaker #4: Of course, it's difficult to predict. As we said, we are very disciplined on the quality of assets and investments that we make, and therefore we anticipate that it should happen in 2027. Meaning that we are at full speed; the investment team is full speed on continuing to deploy a very high-quality pipeline, and we feel that the base case should be that at some stage in 2027 we'll be able to activate Fund Six.

Mélanie Biessy: As we said, we are very disciplined on the quality of assets and investments that we make, and therefore, we anticipate that it should happen in 2027, meaning that we are full speed, investment team is full speed on continuing deploying a very high-quality pipeline. And we feel that the base case should be that at some stage in 2027, we will be able to activate Fund VI. We cannot mention much more on size, on timing, because it would be too mechanical. It is binary and we need to still do those investments and make sure that these are the right investments to complement Fund V portfolio.

Speaker #4: We cannot mention much more on size or timing because it would be too mechanical. It's binary, and we still need to do those investments and make sure that these are the right investments to complement Fund Five's portfolio.

Mélanie Biessy: We cannot mention much more on size, on timing, because it would be too mechanical. It is binary and we need to still do those investments and make sure that these are the right investments to complement Fund V portfolio.

Walid Damou: Maybe, Sharath, I will take the last question on the evergreen opportunity. And there, I will cover two points. So first, evergreen with retail or wealth investors, and then second, evergreen on the institutional side. So on the wealth and retail side, I think we have been quite consistent on that topic. We definitely see the substantial potential that we see with increased participation of wealth and retail investors into private markets, and there is a strong appetite in infrastructure in particular. However, we have been extremely prudent, as Alain said. And we also see the potential risks as getting into that area clearly creates some potential reputational and regulatory risk as we have seen in recent months. So we have done a lot of work. We see different avenues to tackle the retail and wealth opportunity.

Speaker #1: Maybe, Sharath, I'll take the last question on the evergreen opportunity. And there, I'll cover two points. So, first, evergreen with retail or wealth investors.

Speaker #1: And then, second, evergreen on the institutional side. So, on the wealth and retail side, I think we've been quite consistent on that topic. We definitely see the substantial potential that comes with increased participation of wealth and retail investors into private markets, and there is a strong appetite in infrastructure in particular.

Speaker #1: However, we have been extremely prudent, as Alain said, and we also see the potential risks, as getting into that area clearly creates some potential reputational and regulatory risk, as we've seen in recent months.

Walid Damou: And we also see the potential risks as getting into that area clearly creates some potential reputational and regulatory risk as we have seen in recent months. So we have done a lot of work. We see different avenues to tackle the retail and wealth opportunity. It can be done through evergreen products, but it can also be done through feeder funds as we have been doing consistently and as we continue doing. It can also be done through partnership and different ways. So we are active in that front.

Speaker #1: So, we have done a lot of work. We see different avenues to tackle the retail and wealth opportunity. It can be done through evergreen products, but it can also be done through feeder funds, as we've been doing consistently and as we continue doing.

Walid Damou: It can be done through evergreen products, but it can also be done through feeder funds as we have been doing consistently and as we continue doing. It can also be done through partnership and different ways. So we are active in that front. We are getting into that area gradually. We are not rushing into it, because we are very much aware of the risks that come with that. So that is on the retail side. Looking at the institutional side, you are right. This is an area where we see a lot of potential in the value add space where we are active, but also on the core side of the investment spectrum. I think we can spend time on Sølvtrans, but that is a good example of assets that fit very well the opportunity that we could see with evergreen products. So we are doing a lot of work.

Speaker #1: And it can also be done through partnerships and in different ways. So we're active on that front. We're getting into that area gradually. We're not rushing into it because we're very much aware of the risks that come with that.

Walid Damou: We are getting into that area gradually. We are not rushing into it, because we are very much aware of the risks that come with that. So that is on the retail side. Looking at the institutional side, you are right. This is an area where we see a lot of potential in the value add space where we are active, but also on the core side of the investment spectrum. I think we can spend time on Sølvtrans, but that is a good example of assets that fit very well the opportunity that we could see with evergreen products. So we are doing a lot of work. We are having very interesting discussions with clients on that topic. So we will keep you posted as we evolve and we progress there.

Speaker #1: So that's on the retail side. Looking at the institutional side, I mean, you're right. This is an area where we see a lot of potential in the value-add space where we're active.

Speaker #1: But also, on the core side of the investment spectrum, I think we can spend time also in France, but that's a good example of assets that fit very well with the opportunity that we could see with evergreen products.

Speaker #1: So, we are doing a lot of work. We're having very interesting discussions with clients on that topic, so we will keep you posted as we evolve and progress there.

Walid Damou: We are having very interesting discussions with clients on that topic. So we will keep you posted as we evolve and we progress there.

Sharath Kumar: Thank you.

Speaker #1: I'd like to, we also would like to add one compliment, especially as it applies to flagship strategies. As you know well, we focus on Europe and North America.

Sharath Kumar: I would also like to add one compliment, especially which applies to Flagship strategies. As you know well, we focus on Europe and North America, with the majority of investment capital deployed in Europe. In fact, this applies to mid-cap investment, mid-size investments, or large-size investments. If you compare what our peers, in particular our US peers, would do, we do it actually in Europe. You will find that few of the very large US investors did make big transactions in Europe, focusing more of the capitals for larger deals in the United States. So I think it is one of the reasons, not the only one, but one of the reasons which in my view underpins the appeal of our Flagship strategy.

Alain Rauscher: I would also like to add one compliment, especially which applies to Flagship strategies. As you know well, we focus on Europe and North America, with the majority of investment capital deployed in Europe. In fact, this applies to mid-cap investment, mid-size investments, or large-size investments. If you compare what our peers, in particular our US peers, would do, we do it actually in Europe. You will find that few of the very large US investors did make big transactions in Europe, focusing more of the capitals for larger deals in the United States. So I think it is one of the reasons, not the only one, but one of the reasons which in my view underpins the appeal of our Flagship strategy.

Speaker #1: We, the majority of investment capital is deployed in Europe. And in fact, this applies to mid-cap investments, mid-size investments, or large-size investments. And if you compare what our peers, and in particular our US peers, would do—what we do actually in Europe—you will find that few of the very large US investors make big transactions in Europe, focusing more of the capital for larger deals in the United States.

Speaker #1: So, I think it is one of the reasons—not the only one, but one of the reasons—which, in my view, underpins the appeal of our flagship strategy.

Speaker #2: The next question is from Greg Simpson of BNP Paribas.

Operator: The next question is from Greg Simpson of BNP Paribas.

Greg Simpson: Hi, good morning. Yeah, three from my side, too. First one is the MOICs on Fund III and Fund III-B came down in the quarter. Just wanted to check, is that because you reflected the exits of Idex and Sølvtrans, or is it sits in the fund? Maybe putting it another way, how do these MOICs change once those exits finally close? Second question is, can you give us any more color about how the Mid Cap II fundraising has been going? What kind of timeline, re-up rates? Is the DPI zero for Mid Cap I an issue here? Finally, bigger picture, I guess we're interested to hear your views on the AI infrastructure opportunity or risks. I guess we've seen some of your peers in infra pivot their business a lot more into digital and data centers and so on.

Speaker #3: Hi, good morning. Yeah, from my side too. First one is the MOEX on Fund 3 and 3B came down in the quarter, and just wanted to check, is that because you reflected the exits of IDEX and SolTrans, or is it—

Speaker #3: In the fund? Or, maybe putting it another way, how do these MOEX change once those exits finally close? Second question is, can you give us any more color about how the midcap II fundraising has been going?

Speaker #3: What kind of timeline, reup rates, is the DPI zero for midcap one an issue here? And then finally, bigger picture, I guess we're interested to hear your views on the AI infrastructure opportunity or risk.

Greg Simpson: What kind of timeline, re-up rates? Is the DPI zero for Mid Cap I an issue here? Finally, bigger picture, I guess we're interested to hear your views on the AI infrastructure opportunity or risks. I guess we've seen some of your peers in infra pivot their business a lot more into digital and data centers and so on. Just interested to hear what you're seeing in the landscape. Thank you.

Speaker #3: So I guess we've seen some of your peers in infra pivot. Their business is a lot more into digital and data centers, and so on.

Speaker #3: So, just interested to hear what you're seeing in the landscape. Thank you.

Greg Simpson: Just interested to hear what you're seeing in the landscape. Thank you.

Speaker #1: Hey Greg, thanks for the questions. I'll start, and then I'll let Melanie and Alain add to the other questions. So, on your question on the evolution of the MOEX for Fund III and III B, as I mentioned, these are relatively concentrated portfolios.

Walid Damou: Hey, Greg, thanks for the questions. I'll start, then I let Mélanie and Alain add to the other questions. On your question on the evolution of the MOICs for Fund III and Fund III-B, as I mentioned, these are relatively concentrated portfolios, and the movement in a limited number of assets in these portfolios do have a visible impact at fund level. As always, we're not going to comment on individual portfolio companies. You're right to point out the fact that some of the recent exits had an impact on the valuation at Q2. More broadly, I think it's important to keep in mind that at each of our valuation exercises, we do take into account the broader environment, in particular the M&A environment, as well as the asset-specific assets. Sorry.

Speaker #1: And the movement in a limited number of assets in these portfolios does have a visible impact at the fund level. So, as always, we're not going to comment on individual portfolio companies.

Speaker #1: But you're right to point out the fact that some of the recent exits had an impact on the valuation at Q2. But more broadly, I think it's important to keep in mind that at each of our valuation exercises, we do take into account the broader environment, in particular the M&A environment, as well as the specific assets.

Walid Damou: More broadly, I think it's important to keep in mind that at each of our valuation exercises, we do take into account the broader environment, in particular the M&A environment, as well as the asset-specific assets. Sorry. If you look at the valuations, again, it is a portfolio that is fairly concentrated with a small number of assets.

Speaker #1: News, sorry. So if you look at the valuations, again, it's a portfolio that is fairly concentrated with a small number of assets. I mean, you know which ones those assets are.

Walid Damou: If you look at the valuations, again, it is a portfolio that is fairly concentrated with a small number of assets. You know which ones are those assets, and at the end, the impact that you see in terms of MOIC, is a combination of adjusted valuation on exits, as well as our revised views on valuation of those assets. I remind you of one thing that I said before. It is not realized yet. The teams are very actively working on the portfolios, and the final outcome for the fund will depend on the exits.

Walid Damou: You know which ones are those assets, and at the end, the impact that you see in terms of MOIC, is a combination of adjusted valuation on exits, as well as our revised views on valuation of those assets. I remind you of one thing that I said before. It is not realized yet. The teams are very actively working on the portfolios, and the final outcome for the fund will depend on the exits.

Speaker #1: And, at the end, the impact that you see in terms of MOEX is a combination of adjusted valuation on exits as well as our revised views on the valuation of those assets.

Speaker #1: But I'll remind you of one thing that I said before: it's not realized yet. The teams are very actively working on the portfolios, and the final outcome for the fund will depend on the exits.

Mélanie Biessy: On Mid Cap II fundraising, some comments as well. We have started the fundraising in Q2 at the end of the investment period of Mid Cap I. We are continuing full speed on working on this fundraising, being in interaction with all our investor base. We have started gathering commitments, so commitments that are in escrow and will be released at the time of the first closing. If you think about the activation, what needs to happen for this activation, and we were mentioning that we are waiting for the first investment in Mid Cap II to activate the fund. Here the objective is very clear. We would like to optimize outcomes for our investors, hence keeping the period between activation and deployment, capital deployment, as efficient as possible.

Speaker #4: On Mid Cap II fundraising, some comments as well. So, we started the fundraising during the investment period of Mid Cap I. We are continuing full speed, working on this fundraising and interacting with all our investor base.

Speaker #4: We have started gathering commitments, so commitments that are in escrow and will be released at the time of the first closing. And if you think about the activation, what needs to happen for this activation—and we were mentioning that we are waiting for the first investment in Midcap 2 to activate the fund.

Speaker #4: And here, the objective is very clear. We'd like to optimize outcomes for investors, hence keeping the period between activation and capital deployment as efficient as possible.

Mélanie Biessy: Here the objective is very clear. We would like to optimize outcomes for our investors, hence keeping the period between activation and deployment, capital deployment, as efficient as possible. It is not like we are totally tied mechanically to the first investment, but we want to make sure that there is capital deployment at the time we start activating Mid Cap and start generating management fees for the firm.

Speaker #4: So, it's not like we are totally tied mechanically to the first investment, but we want to make sure that there's capital deployment at the time we start activating MidCap and start generating management fees for the firm.

Mélanie Biessy: It is not like we are totally tied mechanically to the first investment, but we want to make sure that there is capital deployment at the time we start activating Mid Cap and start generating management fees for the firm.

Alain Rauscher: Yeah. On AI, I think on AI, as you are aware of, it is, of course, a very important theme, and enormous amounts of capital are about to be committed, not just to invest in AI, I would say, companies, but also in AI infrastructure at large, because in fact, the investments required in infrastructure for the deployment of AI are absolutely enormous. I think it is probably the first thing to say is that as opposed to the previous, I would say, digital revolutions, be it the mobile phone revolution, for internet. We are faced with a revolution which is going to require enormous amounts of infrastructure investment. Just to have some quotes in, I think, the next four or five years, the estimate that north of $500 or $600 billion are going to be deployed in the United States only to build some infrastructures in AI.

Speaker #1: Yeah. On AI, I think, as you are aware, it is, of course, a very important theme. And in terms of capital, large amounts are about to be committed.

Speaker #1: Not just to invest in AI, I would say companies, but also in AI infrastructure at large, because in fact, the investments required in infrastructure for the development of AI are absolutely enormous.

Speaker #1: I think it's probably—the first thing to say is that, as opposed to the previous, I would say, revolutions, digital revolutions—be it the mobile phone revolution or internet—we are faced with a revolution which is going to require enormous amounts of infrastructure investment.

Alain Rauscher: I think it is probably the first thing to say is that as opposed to the previous, I would say, digital revolutions, be it the mobile phone revolution, for internet. We are faced with a revolution which is going to require enormous amounts of infrastructure investment. Just to have some quotes in, I think, the next four or five years, the estimate that north of $500 or $600 billion are going to be deployed in the United States only to build some infrastructures in AI.

Speaker #1: Just to have some quotes, in the next four or five years, the estimate is that north of $500 or $600 billion are going to be deployed in the United States only, to build some infrastructures in AI.

Speaker #1: Just to give you a crazy, crazy number. And you can assume that in Europe or in Asia, you will see a similar size of numbers, maybe deployed at a slower pace.

Alain Rauscher: Just to give you this completely crazy number. You can assume that in Europe or in Asia, you will see similar size of numbers may be deployed at a slower pace. The question really is what is the kind of counterparty risks that we take? If you think of, I would say, other industries which have recently required some big infrastructure investment, think about the battery segment, for instance. You can take the view that we have to be very prudent about that, because those investments are going to be funded partly for by equity, but vastly by debt. You want to be sure that the counterparty stands up and stays there, because in fact, you are dealing with one counterparty.

Speaker #1: Now the question really is what is the kind of risk counterparty risk that we take? And if you think of, I would say, other industries which have recently required some big infrastructure investment, I'm thinking about the battery segment for instance, you can basically think that you can take the view that you have to be very prudent about that because those investments are going to be funded partly by equity, but vastly by debt.

Speaker #1: And you want to be sure that the counterparty stands up and stays there because, in fact, you are dealing with one counterparty. And that's why we are very prudent not to take too risky investments on the risk-that-you-see basis.

Alain Rauscher: You want to be sure that the counterparty stands up and stays there, because in fact, you are dealing with one counterparty. That's why we are very prudent not to take too risky investments on a risk-adjusted basis, and we opt rather in investing into, I would say, energy and storage, which I think is going to be very important for the theme. Again, with a varied customer base and in colocation data centers as opposed to data centers which rely only on one big client, which may prevail in 5 years, 10 years or not. Not to mention, evidently, the risk of solvency of investments and which has hit very severely some industries.

Alain Rauscher: That's why we are very prudent not to take too risky investments on a risk-adjusted basis, and we opt rather in investing into, I would say, energy and storage, which I think is going to be very important for the theme. Again, with a varied customer base and in colocation data centers as opposed to data centers which rely only on one big client, which may prevail in 5 years, 10 years or not. Not to mention, evidently, the risk of solvency of investments and which has hit very severely some industries. I come back again to my battery example. The people who have bet 5, 6, 7 years ago on Northvolt have lost everything. So we have to be very vigilant on that. There will be winners. Evidently, the trend is there. It will implement AI.

Speaker #1: And we opt, rather, to invest in, I would say, energy and storage, which I think is going to be very, very important for the theme.

Speaker #1: But again, with the varied customer base and in colocation data centers, as opposed to data centers which rely on one big client—which may prevail in five years or 10 years, or may not.

Speaker #1: Not to mention, evidently, the risk of solicitation of investments, which has hit very severely some industries. I come back again to the battery example.

Alain Rauscher: I come back again to my battery example. The people who have bet 5, 6, 7 years ago on Northvolt have lost everything. So we have to be very vigilant on that. There will be winners. Evidently, the trend is there. It will implement AI. But as an infrastructure investor, I think we have to be extremely prudent. The amounts of capital to be raised and the volume of fees to be perceived are huge and tempt many people. But again, the risk in front is, in my view, extremely high. So we have to, in my view, to be prudent.

Speaker #1: The people who have bet five, six, seven years ago on Northvolt have lost everything. So we have to be very, very vigilant on that.

Speaker #1: There will be winners, evidently. The trend is there; it will influence AI. But as an infrastructure investor, I think we have to be extremely prudent. The amounts of capital to be raised, and accordingly, the fees to be perceived are huge and tempt many people.

Alain Rauscher: But as an infrastructure investor, I think we have to be extremely prudent. The amounts of capital to be raised and the volume of fees to be perceived are huge and tempt many people. But again, the risk in front is, in my view, extremely high. So we have to, in my view, to be prudent.

Speaker #1: But again, the risk in front is, in my view, extremely high. So we have to, in my view, be prudent.

Speaker #2: Thank you very much.

Greg Simpson: Thank you very much.

Speaker #3: The next question is from Arnaud Palier of CIC CIB.

Operator: The next question is from Arnaud Pallet of CIC CIB.

Speaker #5: Yes, good morning. Thank you for taking my questions. I have two. The first one is regarding the, well, given the slower pace of exit, do you consider launching new strategies such as secondaries? And also, what is the trend today among LPs regarding co-investment?

Arnaud Palay: Yes, good morning. Thank you for taking my questions. I have two. The first one is regarding the. Well, given the slower pace of exit, do you consider to launch new strategies such as secondaries? Also, what is today the trend among LPs regarding co-investment? Do you see this co-investment taking a bigger part in the coming years? The second question is more on the results about, especially on the EBITDA, underlying EBITDA. You no longer give a target for the full year. I think that before, you were expecting stable EBITDA for 2026. So I would like to know why you have given up this target. Also, do you plan to launch some cost control measures in the coming months? Also, following the end of the post-IPO lockup period, do you expect some turnover among the partners and some partners leaving the company?

Arnaud Palliez: Yes, good morning. Thank you for taking my questions. I have two. The first one is regarding the. Well, given the slower pace of exit, do you consider to launch new strategies such as secondaries? Also, what is today the trend among LPs regarding co-investment? Do you see this co-investment taking a bigger part in the coming years?

Speaker #5: Do you see these co-investments taking a bigger part in the coming years? The second question is more on the results, especially regarding the underlying EBITDA.

Arnaud Palliez: The second question is more on the results about, especially on the EBITDA, underlying EBITDA. You no longer give a target for the full year. I think that before, you were expecting stable EBITDA for 2026. So I would like to know why you have given up this target. Also, do you plan to launch some cost control measures in the coming months? Also, following the end of the post-IPO lockup period, do you expect some turnover among the partners and some partners leaving the company?

Speaker #5: You no longer give a target for the full year. I think that before, you were expecting stable EBITDA for 2026. So, I would like to know why you have given up this target.

Speaker #5: And also, do you plan cost control measures in the coming months? And following the end of the post-IPO lockup period, do you expect some turnover among the partners and some partners leaving the company?

Speaker #1: Okay, I will take the first question and hand over to my colleagues. New strategies—well, first of all, before we talk about new strategies, you make a point about because we are reducing our exit rate. I think it's exactly the opposite.

Alain Rauscher: Okay, I will take the first question and hand over to my colleague. New strategies. Well, first of all, before we talk about new strategies, you make a point about because we are reducing our exit pace. I think it is exactly the other way around. We are fast accelerating our exit pace, and I think we will probably, we expect actually to make one or two announcements of exits.

Speaker #1: We are fast accelerating our exit pace, and I think we will probably—we expect, actually—to make one or two announcements of exits.

Arnaud Palay: Yeah, it was more.

Arnaud Palliez: Yeah, it was more.

Speaker #5: Yeah, it was more.

Speaker #1: And in fact, we are very good at that. But I'm sure you will write about the good news on that very shortly when it's announced.

Alain Rauscher: And in fact, it will be probably done. We are very good at that, but you can, I am sure you will write about the good news about that very shortly when it is announced. But we are expecting to literally make imminently 2 more exits. We are not reducing, slowing. Essentially, we are increasing our exit. And of course, on top of that, there will be new tranches of the Sølvtrans transaction. We are really working flat out to increase our exit and not slowing it. Concerning new strategies, yes, we are certainly thinking of that, and we have been thinking a lot about that. I would say that clearly the priority should always be, in my view, to make things well and to make good investment, good disposals, good value creation in priority before launching new strategies, although we are now at 3 days.

Speaker #1: But we are expecting to literally make, imminently, two more exits, so we are not reducing or slowing. Actually, we are increasing our exits. And of course, on top of that, there will be new tranches of the soft transfer action.

Speaker #1: So we are really working flat out to increase our exit and not slowing it. Concerning new strategies, yes, we are certainly thinking about that.

Alain Rauscher: Concerning new strategies, yes, we are certainly thinking of that, and we have been thinking a lot about that. I would say that clearly the priority should always be, in my view, to make things well and to make good investment, good disposals, good value creation in priority before launching new strategies, although we are now at 3 days.

Speaker #1: And we've been thinking a lot about that. I would say that, clearly, the priority should always be, in my view, to do things well and to make good investments, good disposals, and good value creation—always in priority before launching new strategies.

Speaker #1: Although we are not, we have three legs. And among the other strategies we're looking for, as you rightly indicated, Arnaud, we are thinking about—we are contemplating—secondaries, which I think is a nascent, I would say, market for infrastructure.

Alain Rauscher: Among the other strategy we are looking for, as you rightly indicated, Arnaud, we are thinking about, we are contemplating secondaries, which I think is a nascent, I would say, market for infrastructure. Of course, it is a mature market for PE at large, but it is a nascent market for infrastructure. And yes, we are reflecting about this segment. Concerning the EBITDA guidance.

Speaker #1: Of course, it's a mature market for PE at large, but it's a nascent market for infrastructure. And yes, we are reflecting on this segment.

Speaker #1: Concerning the EBITDA guidance.

Speaker #4: Yeah, so I'll start with EBITDA and then I'll let Mélanie comment on the co-invest. So, on your question, Arnaud, regarding EBITDA guidance, hopefully what I described on the call was quite clear regarding our expectation for EBITDA in 2026.

Walid Damou: Yeah. So I start with EBITDA, and then I let Mélanie comment on the coinvest. So on your question, Arnaud, regarding EBITDA guidance. Hopefully, what I described on the call was quite clear regarding our expectation for EBITDA in 2026. As I said, as we now expect Mid Cap II to be activated in Q4 this year, we do see underlying EBITDA for the year to be slightly below the 2025 level. Hopefully, that answers your question on that topic. Then on cost control, we do not consider that the delay in the activation of the fund should trigger any cost actions. We remain very confident in the prospect of the business, as we discussed on the call today. But having said that, we have consistently invested in the business, as we have explained, and as a result, we have a very solid foundation.

Speaker #4: And as I said, as we now expect mid-cap to be activated in Q4 this year, we do see underlying EBITDA for the year to be slightly below the 2025 level.

Speaker #4: So, hopefully that answers your question on that topic. Then, on cost control, we do not consider that the delay in the activation of the fund should trigger any cost actions.

Walid Damou: Then on cost control, we do not consider that the delay in the activation of the fund should trigger any cost actions. We remain very confident in the prospect of the business, as we discussed on the call today. But having said that, we have consistently invested in the business, as we have explained, and as a result, we have a very solid foundation.

Speaker #4: We remain very, very confident in the prospects of the business, as we've discussed on the call today. That being said, we have consistently invested in the business, as we've explained.

Speaker #4: And as a result, we have very solid foundations, so naturally we're getting to the stage in the evolution of the company where cost growth is slowing down.

Walid Damou: Naturally, we are getting at the stage in the evolution of the company where cost growth is slowing down. On top of that, as you would expect, we are maintaining very high levels of cost discipline as we should. But clearly, we remain very confident in the prospect of the business. We are investing in the business, so no cost actions. Then lastly, regarding the lookup expiry and the impact on employees, if I understand your question correctly. I think there the nice thing about our business is that there is a very strong alignment interest and a very strong incentive mechanism that is carried interest

Speaker #4: And on top of that, as you would expect, we're maintaining very high levels of cost discipline, as we should. But clearly, we remain very confident in the prospects of the business.

Speaker #4: We're investing in the business, so no cost actions. Then lastly, regarding the lockup expiry and the impact on employees—if I understand your question correctly—I think the nice thing about our business is that there is a very strong alignment of interest and a very strong incentive mechanism, which is carried interest.

Walid Damou: I think there the nice thing about our business is that there is a very strong alignment interest and a very strong incentive mechanism that is carried interest As you know, the structure of carried interest is such that it keeps employees and investment professionals in particular, committed for the long term with great alignment of interest. This remains by far the main component of compensation for employees. So I do not really see any direct impact between share ownership and potential turnover in the teams.

Speaker #4: As you know, the structure of carried interest is such that it keeps employees—and investment professionals in particular—committed for the long term, with great alignment of interest.

Alain Rauscher: As you know, the structure of carried interest is such that it keeps employees and investment professionals in particular, committed for the long term with great alignment of interest. This remains by far the main component of compensation for employees. So I do not really see any direct impact between share ownership and potential turnover in the teams.

Speaker #4: And this remains by far the main component of compensation for employees. So I do not really see any direct impact between share ownership and potential turnover in the teams.

Mélanie Biessy: As for co-investments, this is a key part of attractiveness for LPs. We have been offering co-investments since Flagship Fund II, so back in the day. We have been very active on that. We have leveraged a lot on that as well, because for us, it was interesting to get money of our investors on top of their commitment to our funds. Our investors are very pleased by the level of co-investment that we offer to them. We are circa EUR 5 billion co-investment today, and half of our Flagship Fund V investments have co-investment vehicle into which our LPs have committed on top of their commitments to the fund. So this is, I would say, we are not growing it. It is a sustained, gradually increasing element of the equation, and we continue offering high level, attractive level of co-investments to our LP.

Speaker #3: As for co-investments, this is a key part of the attractiveness for LPs. We've been offering co-investments since 2002, so back in the day. And we have been very active on that and leveraged a lot on that as well, because for us it was interesting to get money from our investors on top of their commitments to our funds.

Speaker #3: And our investors are very pleased with the level of co-investment that we offer to them. We are circa €5 billion co-investment today, and half of our Fund V investments have a co-investment vehicle into which our LPs have committed on top of their commitments to the fund.

Mélanie Biessy: Our investors are very pleased by the level of co-investment that we offer to them. We are circa EUR 5 billion co-investment today, and half of our Flagship Fund V investments have co-investment vehicle into which our LPs have committed on top of their commitments to the fund. So this is, I would say, we are not growing it. It is a sustained, gradually increasing element of the equation, and we continue offering high level, attractive level of co-investments to our LP.

Speaker #3: So, I would say we are not growing it. It's a sustained, gradually increasing element of the equation, and we'll continue offering a high level, an attractive level of co-investments to our LPs.

Speaker #5: Good. Thank you.

Alain Rauscher: Good. Thank you.

Speaker #2: The next question is from Laura Greece of Jefferies.

Operator: The next question is from Laura Gris of Jefferies.

Speaker #6: Good morning. Thank you for taking my question. Just one from my side, please. I was just wondering if the Softrans minority transaction that you announced—should we see this as more specific to this case, or should we expect to see more partial exits, especially for mature funds?

Laura Gris Trillo: Good morning. Thank you for taking my question. Just one from my side, please. I was just wondering if the Sølvtrans minority transaction that you announced, should we see this as more specific for this case, or should we expect to see more partial exits, especially for mature funds? Also in relation to that, given that Fund III is now 2016, being that you still have some companies to exit, what is the potential for you to consider continuation vehicles? Thank you.

Laura Gris: Good morning. Thank you for taking my question. Just one from my side, please. I was just wondering if the Sølvtrans minority transaction that you announced, should we see this as more specific for this case, or should we expect to see more partial exits, especially for mature funds? Also in relation to that, given that Fund III is now 2016, being that you still have some companies to exit, what is the potential for you to consider continuation vehicles? Thank you.

Speaker #6: And also, in relation to that, given that Fund III is now 2016-vintage and still has some companies to exit, what is the potential for you to consider continuation vehicles?

Speaker #6: Thank you.

Speaker #1: Okay, Vivian, I can answer for Soft Trans. There are some assets—and we've seen that in the past, actually—which give way to minority investment as opposed to majority investment.

Alain Rauscher: Okay. Maybe I can answer for Sølvtrans. Okay. There are some assets, and we've seen that in the past actually, which give way to minority investments as opposed to majority investments. Actually, one of our first such minority disposals had been a company called Porterbrook, which we sold to a consortium of institutional investors, including Allianz, but other insurance companies and pension funds. And why that? It was a rolling stock company in the UK, and essentially the perception of buyers was that the value creation plan was pretty much done, and that this type of business could give way to some significant flows of dividends. Therefore, the value of, how can I say, the control. The value or need of control was little.

Speaker #1: And actually, one of our first such minority disposals was a company called Porterbrook, which we sold to a consortium of institutional investors including Allianz, but also other insurance companies and pension funds.

Speaker #1: And why is that? It was a rolling stock company in the UK, and essentially the perception of buyers was that the value creation plan was pretty much done, and that this type of business could give way to some significant flows of dividends.

Alain Rauscher: It was a rolling stock company in the UK, and essentially the perception of buyers was that the value creation plan was pretty much done, and that this type of business could give way to some significant flows of dividends. Therefore, the value of, how can I say, the control. The value or need of control was little. You can take the view that in the case of Sølvtrans, which is basically a company which transports salmon from offshore farms to the shore.

Speaker #1: And therefore that the value of I'm going to say the control the value or need of control was little. And you can take the view that in the case of soft trance which is basically a company which transports solvents from off-sea from offshore farms to the shore, you can take a view that this business is an extremely strong business with very defensive features because the needs for animal protein are growing and solvent beyond its executive qualities is essentially an extremely efficient and cost-efficient, I would say, way to have access to animal protein.

Alain Rauscher: You can take the view that in the case of Sølvtrans, which is basically a company which transports salmon from offshore farms to the shore. You can take a view that this business is an extremely strong business, with very defensive features because the needs for animal protein are growing, and salmon, beyond its fugitive qualities, is essentially an extremely efficient and cost-efficient, I would say, way to have access to animal protein. So the trends are very, very compelling. So quite naturally, with a good management, Saniccia, we still enjoy the fact that the company enjoys the fact that the founder remains at the helm of the company and also has a significant stake in the company.

Alain Rauscher: You can take a view that this business is an extremely strong business, with very defensive features because the needs for animal protein are growing, and salmon, beyond its fugitive qualities, is essentially an extremely efficient and cost-efficient, I would say, way to have access to animal protein. So the trends are very, very compelling. So quite naturally, with a good management, Saniccia, we still enjoy the fact that the company enjoys the fact that the founder remains at the helm of the company and also has a significant stake in the company.

Speaker #1: So the trends are very, very compelling. And so quite naturally, with a good management and actually we still enjoy the fact that the company still enjoy the fact that the founder remains at the helm of the company and also has a significant stake in the company.

Speaker #1: If you are a minority investor, you find it's completely okay. You can rely on a person who has a vested interest to grow his business, as he has done with us.

Alain Rauscher: If you are a minority investor, you'll find it's completely okay, and you can rely on a person who has vested interest to grow the business as he has done it with us. He's a very talented person and who is a shareholder. So the merit of getting some majority control is less than in some other investments. So for us, it was a typical case where a number of minority positions would be dedicated. If I could-

Speaker #1: With a very talented person, who is also a shareholder, the merit of gaining majority control is less than in some other investments.

Speaker #1: So, for us, it was a typical case where a number of minority positions would be taken. If I could.

Speaker #3: Especially, this will be complemented by potentially other minority stake transactions.

Mélanie Biessy: And the partial exit will be complemented by potentially other minority

Alain Rauscher: That's the point.

Mélanie Biessy: stake transactions.

Speaker #1: So, basically, you cannot negotiate with some minority investors and say, "Okay, let's make a bundle deal for 10 people where you take 10%." It just doesn't work.

Alain Rauscher: In fact, you cannot negotiate with some minority investors and say, "Okay, let's make a bundle deal for 10 people where you take 10%." It just doesn't work. Too complicated. What you do is, you basically discuss with a non-core investor based in a minority position, and that's just clearly the case here with some UK asset pension fund. He bought this fund bought about 30% of the company. Then you have a value, which has been issued a market value, and then you can basically complement the sale, this disposal with some other parties going forward. This is a typical example of a In some other cases, and it is clearly the case of Idex, which is a recent transaction.

Speaker #1: It's too complicated. So, what you do is you basically discuss with an anchor investor, be it in a minority position—and that's just clearly the case here—with some UK, I would say, pension funds.

Speaker #1: You basically EBITDA this fund at about 30% of the company. Then you have a value which has been set by the market value, and then you can basically complement the sale or disposal with some other parties going forward.

Speaker #1: So this is a typical example of—in some other cases, it is clearly the case of IDEX, which is a recent transaction. There is value, and actually there has been perceived value by JP Morgan Asset Management in the fact that they took 100% ownership of the company, because they perceive that, through a dialogue with the management, they can grow this company in other markets—not just in the markets where it's present, but in other markets—and therefore they think that control has a value, which is not the case of Softrance.

Alain Rauscher: This is a typical example of a In some other cases, and it is clearly the case of Idex, which is a recent transaction. There is value, and actually there has been perceived value by J.P. Morgan Asset Management in the fact that in the 100% ownership of the company, because they perceive that. Through a dialogue with the management, they can grow this company in other markets, not just in the market where it is present, but in other markets.

Alain Rauscher: There is value, and actually there has been perceived value by J.P. Morgan Asset Management in the fact that in the 100% ownership of the company, because they perceive that. Through a dialogue with the management, they can grow this company in other markets, not just in the market where it is present, but in other markets. Therefore, the thing that you control has a value, which is not the case of Sølvtrans. So we have to take a case-by-case view. It is completely different. At times, people insist on control because they see value there, and others they do not. Fiber is another example. I think if you have a good management in a fiber company, most likely you will see some people very pleased with taking a large stake, like a state minority stake in a fiber company. So you have to judge case-by-case basis.

Alain Rauscher: Therefore, the thing that you control has a value, which is not the case of Sølvtrans. So we have to take a case-by-case view. It is completely different. At times, people insist on control because they see value there, and others they do not. Fiber is another example. I think if you have a good management in a fiber company, most likely you will see some people very pleased with taking a large stake, like a state minority stake in a fiber company. So you have to judge case-by-case basis.

Speaker #1: So we have to take a case-by-case view; it's completely different. At times, people insist on control because they see value there, and others, they don't.

Speaker #1: Fiber is another example. I think if you have good management in a fiber company, most likely you will see some people very pleased with taking a large minority stake in a fiber company.

Speaker #1: So you have to judge on a case-by-case basis.

Mélanie Biessy: Just to complement your point, minority stake transaction could lead to a continuation vehicle that could have a positive impact on the P&L because there would be fees that would be.

Speaker #3: And just to complement your point, a minority stake transaction could lead to a continuation vehicle that could have a positive impact on the P&L, because there would be fees that would be generated.

Alain Rauscher: Exactly. Because CVs are a very interesting part of the evolving toolkit in private markets. So we could, and we will probably use continuation vehicles in the future. However, I want to be clear because you mentioned something quite specific, Laura, in your question. The use of a CV is not linked to us reaching the end of the life of the fund, as Alain explained, is very much related to asset-specific features. So we will be extremely selective when and where to use CVs. But it is a very interesting tool in private markets. I think there have been, on CVs, there have been some mixed perceptions of the merits of this vehicle because some people said, "Okay, it was just a way for some smart guys in the PE world to continue getting some undue or more fees going forward." Okay.

Walid Damou: Exactly. Because CVs are a very interesting part of the evolving toolkit in private markets. So we could, and we will probably use continuation vehicles in the future. However, I want to be clear because you mentioned something quite specific, Laura, in your question. The use of a CV is not linked to us reaching the end of the life of the fund, as Alain explained, is very much related to asset-specific features. So we will be extremely selective when and where to use CVs. But it is a very interesting tool in private markets.

Speaker #1: Exactly. CVs are a very interesting part of the evolving toolkit in private markets, so we could— and we'll probably—use continuation vehicles in the future.

Speaker #1: However, I want to be clear because you mentioned something quite specific, Laura, in your question. The use of a CV is not linked to us reaching the end of the life of the fund, as Alain explained. It's very much related to asset-specific features.

Speaker #1: So, we will be extremely selective about when and where to use CVs. But it's a very interesting tool in private markets.

Speaker #2: I think there have been, on CVs, some mixed perceptions of the merits of this VIO, because some people said, "Okay, it's just a way for some smart guys in the PE world to continue gaining some undue, or more, fees going forward." Okay.

Alain Rauscher: I think there have been, on CVs, there have been some mixed perceptions of the merits of this vehicle because some people said, "Okay, it was just a way for some smart guys in the PE world to continue getting some undue or more fees going forward." Okay. In fact, the CV market when it comes to infrastructure is not at all that. Essentially, it comes as a request of investors, and it can be requests of existing investors we have in our fund to say, "Look, you guys are thinking about selling this asset. Can I be exposed to it longer term through some form of vehicle?"

Speaker #2: In fact, the CV market, when it comes to infrastructure, is not at all that. Essentially, it comes as a request from investors, and it can be requests from existing investors we have in our funds who say, "Look, you guys are thinking about selling this asset."

Alain Rauscher: In fact, the CV market when it comes to infrastructure is not at all that. Essentially, it comes as a request of investors, and it can be requests of existing investors we have in our fund to say, "Look, you guys are thinking about selling this asset. Can I be exposed to it longer term through some form of vehicle?" It can be a blend of that or new people who said, "You know what? I would be interested to invest in Sølvtrans, but I do not want to take more than 10% or 15%. Is there a way for me to be exposed to that?" So it is very surprising because some people thought that some GPs were playing games with CVs to maximize fees.

Speaker #2: Can I be exposed to it longer term through some form of VIO? And it can be a blend of that, and new people who say, "You know what?"

Alain Rauscher: It can be a blend of that or new people who said, "You know what? I would be interested to invest in Sølvtrans, but I do not want to take more than 10% or 15%. Is there a way for me to be exposed to that?" So it is very surprising because some people thought that some GPs were playing games with CVs to maximize fees. In reality, it is very different because you have some investors in our funds, or new investors who are interested to take some minority stakes in the CV, focusing on one given company or theme, and want us to basically do the job of making sure that it is well managed for their behalf.

Speaker #2: I'd be interested to invest in Soft Tranche, but I don't want to take more than 10 or 15%. Is there a way for me to be exposed to that? So, it is very surprising because some people thought that some GPs were playing games with CVs to maximize fees.

Speaker #2: In reality, it's very, very different, because you have some investors in our funds, or new investors, who are interested in taking some minority stakes in a CV focusing on one given company or theme.

Alain Rauscher: In reality, it is very different because you have some investors in our funds, or new investors who are interested to take some minority stakes in the CV, focusing on one given company or theme, and want us to basically do the job of making sure that it is well managed for their behalf.

Speaker #2: And who want us to basically do the job of actually making sure that it's well managed on their behalf.

Speaker #3: Thank you. That brings us to the end of the hour. We would like to thank you all for your attention and questions. We wish you a very good day, and we will speak soon.

Mélanie Biessy: Thank you. We have the end of the hour. We would like to thank you all for your attention and questions. We wish you a very good day, and we will speak soon. Thank you.

Speaker #3: Thank you.

Speaker #2: Thank you.

Alain Rauscher: Thank you.

Arnaud Palay: Thank you.

Arnaud Palliez: Thank you.

Operator: Ladies and gentlemen, thank you for joining. The conference is now over, and you may disconnect your telephones.

Speaker #4: telephones.

Speaker #3: Good morning, everyone, and thank you for joining the call today. Earlier this morning, we issued a press release announcing our results for the first half of 2026.

Speaker #3: A copy of this release, the presentation, and the half-year report are available in the shareholders' section of our website. For today's presentation, I am joined by Alain Rauscher, Chairman and CEO, and Wadid Dami, Partner and CFO.

Speaker #3: Mélanie Biessy, Managing Partner and COO, is also with us today and will join the Q&A session. Let me now hand over to Alain.

Speaker #1: Thank you, Ludmilla, and good morning, everyone. I am pleased to welcome you to today's call to present our half-year results and activity updates. Our commercial dynamics are clearly positive, with good momentum across exits, deployment, and fundraising preparation.

Alain Rauscher: Thank you, Ludmilla, and good morning, everyone. I am pleased to welcome you on today's call to present our half-year results and activity update. Our commercial dynamics are clearly positive, with good momentum across exits, deployment, and fundraising preparation. Let me run you quickly through the main highlights. First, exits have resumed, which is an important milestone for Antin and for our clients. We made good progress on several exit processes in the H1, inside over the summer, two of the largest European exits made to date in Europe. This will allow us to distribute significant amounts of capital to our clients in the coming quarters. Second, we have continued to deploy capital in a disciplined manner while maintaining the differentiated exposure that is central to our strategy. Third, our asset management platform continues to deliver a solid performance.

Speaker #1: Let me run you quickly through the main highlights. First, exits have resumed, which is an important milestone for our team and for our clients.

Speaker #1: We made good progress on several exit processes in the first half of the year. In sight over the summer, two of the largest European exits made to date in Europe.

Speaker #1: This will allow us to distribute significant amounts of capital to our clients in the coming quarters. Second, we have continued to deploy capital in a disciplined manner, while maintaining the differentiated exposure that is central to our strategy.

Speaker #1: Third, our asset management platform continues to deliver solid performance over the last 12 months. Our three main funds delivered performance around or above 15%.

Alain Rauscher: Over the last 12 months, our three main funds delivered performance around or above 15%. Fourth, that good progress on deployment enabled us to launch fundraising for Mid Cap II, with Mid Cap I now fully committed. Regarding our own financial performance, the transition between fundraising cycles is visible in our numbers. In this context, we delivered an EBITDA margin of 50%, entirely fee related, which reflects the strength and quality of our business. Finally, we remain committed to our dividend policy with attractive distributions to shareholders and an implied dividend yield around 8%. Over the past quarters, we have launched several exit processes, and these are now coming to fruition. The transactions we signed over the summer mark an important step forward for Antin. First, we signed the sale of 30% of Sølvtrans. Second, we signed the full sale of Idex.

Speaker #1: Fourth, that good progress on deployment enabled us to launch fundraising for a mid-cap II, with mid-cap I now fully committed. Regarding our own financial performance, the transition between fundraising cycles is visible in our numbers.

Speaker #1: In this context, we delivered an EBITDA margin of 50%, entirely fee-related, which reflects the strength and quality of our business. Finally, we remain committed to our dividend policy, with attractive distributions to shareholders and an implied dividend yield of around 8%.

Speaker #1: Over the past quarters, we have launched several exit processes, and these are now coming to fruition. The transactions we signed over the summer mark an important step forward for our team.

Speaker #1: First, we signed the sale of 30% of Soltrans. Second, we signed the full sale of EDEX. These two exits, with multi-billion dollar valuations, mark some of the largest realizations made in Europe so far this year.

Alain Rauscher: These two exits, with multi-billion valuation, mark some of the largest realization made in Europe so far this year. They are expected to return around EUR 2.1 billion to our fund investors. This is a very substantial level of distribution in a short period of time. In terms of DPI, we will have returned over 90% of the invested capital to our Flagship Fund III investors, with more than a third of the portfolio of Flagship Fund III yet to be realized. Importantly, this is not the end of the exit cycle. It is the beginning of a new phase for distributions for several of our funds. We have other exit processes already underway or close to launch or close to close across multiple firms. This gives us strong confidence in our ability to continue increasing distributions to fund investors.

Speaker #1: They are expected to return around €2.1 billion to our fund investors. This is a very substantial level of distribution in a short period of time.

Speaker #1: In terms of DPI, we will have returned over 90% of the invested capital to our Fund Three investors, with more than a third of the portfolio of Fund Three yet to be realized.

Speaker #1: An important thing: this is not the end of the cycle—exit cycle. It is the beginning of a new phase for distributions for several of our funds.

Speaker #1: We have other exit processes already underway or close to launch, or close to closing, across multiple funds. This gives us strong confidence in our ability to continue increasing distributions to fund investors.

Speaker #1: The two exits we have signed, Soltrans and EDEX, are, in both cases, textbook examples of what we typically do as an investor: support growth, drive transformation, and realize value through active ownership.

Alain Rauscher: The two exits we have signed, Sølvtrans and Idex, are, in both cases, textbook examples of what we typically do as an investor. Support growth, drive transformation, and realize value through active ownership. In both cases, the starting point was to put in place the right team and capacities to execute an ambitious value creation plan. From there, we worked on the same core levers that are central to our approach more broadly. Strengthening the platform, winning market share in core markets, expanding the offering, entering new geographies, and delivering inorganic growth where relevant. This is very much in line with the Antin model of investing in essential infrastructure businesses with resilience and clear value creation potential. Idex is a leading European independent energy infrastructure platform.

Speaker #1: In both cases, the starting point was to put in place the right team and capacities to execute an ambitious value creation plan. From there, we worked on the same core levers that are central to our approach more broadly: strengthening the platform, winning market share in core markets, expanding the offering, entering new geographies, and delivering inorganic growth where we are relevant.

Speaker #1: This is very much in line with the all-time model of investing in essential infrastructure businesses with resilience and clear value creation potential. EDEX is a leading European independent energy infrastructure platform.

Speaker #1: This exit, at a multi-billion euro enterprise value, is the largest in our time's history and one of the largest peak transactions in France this year.

Alain Rauscher: This exit at a multi-billion euro enterprise value is the largest in Antin's history and one of the largest deal transactions in France this year. This is a clear demonstration of our ability to build and realize value at scale. Under our ownership, Idex' EBITDA roughly tripled, supported by significant strengthening of the organization and the development of the platform. This led to a realized gross multiple of 2.0 times. Turning to Sølvtrans, this is the world's leading provider of mission-critical wellboats serving the growing aquaculture industry. Under our ownership, Sølvtrans more than doubled its total fleet and increased its shipping capacity by significantly more than that, resulting in a gross multiple for the investment of 2.4 times in Norwegian krone. More broadly, Sølvtrans illustrates how certain high-quality infrastructure assets can be particularly well-suited to minority transactions.

Speaker #1: This is a clear demonstration of our ability to build and realize value at scale. Under our ownership, EDEX's EBITDA roughly tripled, supported by significant strengthening of the organization and the development of the platform.

Speaker #1: This led to a realized growth multiple of 2.0x. Turning to Soltrans, this is the world’s leading provider of mission-critical well boats serving the growing aquaculture industry.

Speaker #1: Under our ownership, Soltrans more than doubled its total fleet and increased its shipping capacity by significantly more than that, resulting in a gross multiple for the investment of 2.4 times in Norwegian krone.

Speaker #1: More broadly, Soltrans illustrates how certain high-quality infrastructure assets can be particularly well suited to minority transactions. This partial exit allows us to crystallize value today through the sale of a minority stake to a new shareholder that recognizes the attractive characteristics of this type of business, while full realization is underway and expected to take place over time.

Alain Rauscher: This partial exit allows us to crystallize value today through the sale of a minority stake to a new shareholder that recognizes the attractive characteristic of this type of business, while full realization is underway and expected to take place over time. Taken together, these two exits show how our model can create value across very different infrastructure subsectors. Let's turn now to deployment. Following a very strong H2 2025, we will maintain that momentum in 2023 across all three of our strategy. Most notably, we finalized the deployment of Mid Cap I in a very selective manner. It is now fully committed, which allows us to launch Mid Cap II. Looking at our investment in the H1 2026. Sapphire Gas is a buy and build play focused on the transportation of liquified renewable gas in the US.

Speaker #1: Taken together, these two exits show how our model can create value across very different infrastructure subsectors. Let's turn now to deployment. Following a very strong second half of 2022, we will maintain that momentum in 2023 across all three of our strategies.

Speaker #1: Most notably, we finalized the deployment of Mid Cap 1 in a very selective manner. It is now fully committed, which allows us to launch Mid Cap 2.

Speaker #1: Looking at our investment in the first half of 2026, Sapphire Gas is a buy-and-build play focused on the transportation of liquefied renewable gas in the US.

Speaker #1: It is positioned in a market where energy demand is growing rapidly and where traditional pipeline infrastructure is not expanding fast enough to meet those needs.

Alain Rauscher: It is positioned in a market where energy demand is growing rapidly and where traditional pipeline infrastructure is not expanding fast enough to meet those needs. It provides an opportunity to support a further upgrade and expansion of a unique portfolio of holiday destinations, primarily in France, with potential to expand internationally. NextGen signed its eighth investment, which we will disclose the name of at closing, and that should be imminent. More broadly, what this transaction demonstrates is that we continue to see attractive opportunities, but we remain selective. We are not chasing volume. We are deploying where we see strong infrastructure characteristics, clear value creation plans, and the right level of downside protection. Overall, the investments that we have made over the last 12 months reflect a consistent objective to provide our fund investors with differentiated exposure, avoiding concentration around any single theme, sector, and geography.

Speaker #1: But Ambri is an opportunity to support a further upgrade and expansion of a unique portfolio of holiday destinations primarily in France, with potential to expand internationally.

Speaker #1: Legend signed its eighth investment, which is at closing, and that should be imminent. More broadly, what these transactions demonstrate is that we continue to see attractive opportunities, but we remain selective.

Speaker #1: We're not chasing volume. We are deploying where we see strong infrastructure characteristics, clear value creation plans, and the right level of plant site protection.

Speaker #1: Overall, the investments that we have made over the last 12 months reflect a consistent objective: to provide our fund investors with differentiated exposure, not concentrated around any single theme, sector, or geography.

Speaker #1: As you can see on slide eight, the portfolio mix across our main funds remains well diversified by both sector and region. We offer privileged access to the European market, where we continue to deploy the majority of our funds.

Alain Rauscher: As you can see on slide 8, the portfolio mix across our main funds remains well-diversified by both sector and region. We offer a privileged access to the European market, where we continue to deploy the majority of our funds. Let me give you a few examples of how this approach translates into portfolio construction. The rapid development of AI is driving very significant capital needs, creating attractive opportunities for infrastructure investors. Our approach, however, remains selective and disciplined. We are focused on areas where we see durable demand and compelling risk-adjusted returns, notably energy and connectivity. In data centers, we believe the colocation segment is a better way to gain exposure, a better way and a safer way to get exposure to AI-related demand, as it offers more defensive characteristics, particularly because of the diversity of its customer base.

Speaker #1: Let me give you a few examples of how this approach translates into portfolio construction. The rapid development of AI is driving very significant capital needs, creating attractive opportunities for infrastructure investors.

Speaker #1: Our approach, however, remains selective and disciplined. We are focused on areas where we see durable demand and compelling risk-adjusted returns, notably energy and connectivity.

Speaker #1: In data centers, we believe the co-location segment is a better way to gain exposure—a safer way to get exposure to AI-related demand.

Speaker #1: As it offers more defensive characteristics, particularly because of the diversity of its customer base. That was part of the rationale behind our acquisition of North Sea last December.

Alain Rauscher: That was part of the rationale behind our acquisition of NorthC last December. In medical equipment leasing, our investment in MCare allows us to capture exposure to the long-term structural trend of aging populations, but in a way that avoids the development, product, and distribution risks. In Bigge Marine, we identified a business supported by end markets that have historically shown strong resilience over time. This brings an additional layer of diversification to the portfolio and further strengthens the differentiated exposure we aim to provide to our core investors. This disciplined diversification is fully consistent with the approach we maintain over the years, building portfolios that combine resilience and long-term structural growth. Regarding fund performance, our main funds in value creation mode all delivered strong progress over the last 12 months, around or above 15% on a like-for-like basis.

Speaker #1: In medical equipment leasing, our investment in MCRA allows us to capture exposure to the long-term structural trends of aging populations, but in a way that avoids the development, product, and distribution risk.

Speaker #1: And in Viggo Marine, we identified a business supported by end markets that have historically shown strong resilience over time. This brings an additional layer of diversification to the portfolio and further strengthens the differentiated exposure we aim to provide to our core investors.

Speaker #1: This disciplined diversification is fully consistent with the approach we have maintained over the years, building portfolios that combine resilience and long-term structural growth. Regarding fund performance, our main funds in value creation mode all delivered strong progress over the last 12 months, around or above 15% on a like-for-like basis.

Speaker #1: As you can see on slide nine, Flagship IV is at 14.4%, 14.5% IRR over the last year; Mid-Cap I at 19.6%; and Flagship V at 16.3%.

Alain Rauscher: As you can see on slide 9, Flagship Fund IV is at 14.5% IRR over the last year, Mid Cap I at 19.6%, and Flagship Fund V at 16.3%. This reflects the healthy performance of the portfolios. We are particularly encouraged by the consistency of performance across the Flagship Fund V portfolio and by the strong start from the more recent Mid Cap I investment. Overall, this gives us confidence that the health of the portfolios remains solid as we start raising our next step. Let me now take a step back and look more broadly at where each of our funds stands today. Starting with our earlier vintages, Flagship Fund I and Flagship Fund II both delivered outstanding outcome and clearly demonstrate our ability to create value across different market environments. Flagship Fund III and Flagship Fund IV have both faced some micro headwinds, but both funds are now showing improving momentum.

Speaker #1: This reflects the healthy performance of the portfolios. We are particularly encouraged by the consistency of performance across the flagship Five portfolio, and by the strong start from the more recent Mid Cap One investment.

Speaker #1: Overall, this gives us confidence that the health of the portfolios remains solid as we start raising our next steps. Let me now take a step back and look more broadly at where each of our funds stands today.

Speaker #1: Starting with our earliest vintages, Flagship One and Flagship Two both delivered outstanding outcomes and clearly demonstrate our ability to create value across different market environments.

Speaker #1: Flagship Three and Four have both faced some micro headwinds, but both funds are now showing improving momentum. Exits are accelerating again in Flagship Three, which is now 63% realized, and where we remain confident in our ability to deliver strong outcomes for fund investors.

Alain Rauscher: Exits are accelerating again in Flagship Fund III, which is now 63% realized, and we remain confident in our ability to deliver strong outcome for fund investors. Regarding Flagship Fund IV, we will start to crystallize value very soon. Turning to our more recent vintages, we are well encouraged by the performance of Mid Cap I and Flagship Fund V today. Both funds have performed well with a good level of consistency across their respective portfolios. Mid Cap I is now fully committed, while Flagship Fund V remains in deployment with strong asset quality. As for NextGen, which is a growth-oriented strategy, as it is precisely geared toward growth, the value creation journey is typically longer. What we have seen so far is very encouraging. Taken together, this gives us a balanced picture across vintages.

Speaker #1: Regarding Flagship Four, we will start to cluster the crystallized value very soon. Turning to our more recent vintages, we are well encouraged by the performance of Mid-Cap One and Flagship Five today.

Speaker #1: Both funds have performed well, with a good level of consistency across their respective portfolios. Mid-cap one is now fully committed, while Flagship Five remains in deployment with strong asset quality.

Speaker #1: As for NextGen, which is a growth-oriented strategy—as it is precisely geared toward growth—the value creation journey is typically longer. What we are seeing so far is very encouraging.

Speaker #1: Taken together, this gives us a balanced picture across vintages. Some mature funds are in harvesting mode, some are recovering momentum, and our more recent funds are building what we believe will be the next growth drivers for the platform.

Alain Rauscher: Some mature funds are in harvesting mood, some are recovering momentum, and our more recent funds are building what we believe will be the next growth drivers for the platform. Finally, a word about our platform before handing over to Walid. Over the years, we have invested significantly to build a strong footprint on both sides of the Atlantic. Today, we have scaled investment capabilities across Europe and North America, supported by enhanced global investor coverage and best-in-class operations. We believe this will serve us well in the coming fundraising cycle. In H1 2026, we extended our presence to Australia with the opening of our Melbourne office, strengthening our access to capital markets in Australia and more broadly in the Asia Pacific region.

Speaker #1: Finally, a word about our platform before handing over to Waleed. Over the years, we have invested significantly to build a strong footprint on both sides of the Atlantic.

Speaker #1: Today, we have scaled investment capabilities across Europe and North America, supported by enhanced global investor coverage and best-in-class operations. We believe this will serve us well in the coming fundraising cycle.

Speaker #1: In the first half of 2026, we expanded our presence to Australia with the opening of our Melbourne office, strengthening our access to capital markets in Australia and, more broadly, in the Asia-Pacific region.

Speaker #1: At the same time, we continued to enhance our platform and asset management capacities, including through the expansion of our performance improvement team with senior hires.

Alain Rauscher: At the same time, we continued to enhance our platform and asset management capacities, including through the expansion of our performance improvement team with senior hires. This is important because it helps us drive greater value creation across the portfolio. Antin now has 254 professionals across its global platform with teams in Paris, London, New York, and Luxembourg, as well as representation offices in Seoul and Melbourne. The continued investment in the platform reflects our conviction that the next phase of growth is underpinned by the quality and breadth of. With that, I will now hand over to Walid to walk you through our financial results.

Speaker #1: This is important because it helps us drive greater value creation across the portfolio.

Speaker #2: Martin now has 254 professionals across its global platform, with teams in Paris, London, New York, and Luxembourg, as well as representative offices in Seoul and Melbourne.

Speaker #2: This continued investment in the platform reflects our conviction that the next phase of growth is underpinned by both quality and breadth. With that, I will now hand over to Waleed to walk you through our financial results.

Speaker #1: Thank you, Alain, and good morning, everyone. Let me start with the highlights from our financial results for the first half of 2026 on slide year reflected the transition between two fundraising cycles.

Walid Damou: Thank you, Alain, and good morning, everyone. Let me start with the highlights from our financial results for H1 2026 on slide 13. As expected, the beginning of the year reflected a transition between two fundraising cycles with a 2.9% reduction in fee-paying AUM following the step-down in Mid Cap I in April. Underlying revenue decreased by 4.5% to EUR 138.5 million, reflecting the same dynamic. This flowed through to EBITDA, which was down 12.3% year-on-year to EUR 69.9 million. EBITDA margin remained healthy at 50%, demonstrating the resilience of our model. Finally, we continue to expect the full year shareholder distribution for 2026 to remain stable at EUR 0.71 per share, subject as usual to shareholder approval at the next AGM. Let me now go into a bit more detail, starting with fee-paying AUM and revenues on slide 14.

Speaker #1: With a 2.9% reduction in fee-paying AUM following the step-down in Mid Cap I in April, underlying revenue decreased by 4.5% to €138.5 million, reflecting the same dynamic.

Speaker #1: This flowed through to EBITDA, which was down 12.3% year-on-year to €69.9 million. EBITDA margin remained healthy at 50%, demonstrating the resilience of our model.

Speaker #1: Finally, we continue to expect the full-year shareholder distribution for 2026 to remain stable at 71 cents per share, subject, as usual, to shareholder approval at the next AGM.

Speaker #1: Let me now go into a bit more detail, starting with fee-paying AUM and revenues on slide 14. In the first half, our fee-paying AUM benefited from some modest capital calls in Flagship Four, which were more than offset by the step-down of Mid-Cap One.

Walid Damou: In the H1, our fee-paying AUM benefited from some modest capital calls in Flagship Fund IV, which were more than offset by the step-down of Mid Cap I. On Mid Cap II, as we have said before, activation is expected to coincide with the fund's first investment. We are making good progress with LPs having already started to gather commitments. On the investment side, we are advancing on several opportunities. That said, the timing of new deals remains difficult to predict, and we now expect the activation of the fund in the Q4 of this year. On revenues, the 4.5% year-on-year decrease was driven by three main factors. First, H1 2025 included EUR 0.9 million of catch-up fees, which did not occur this year. Second, the Mid Cap I step down reduced management fees by EUR 3.8 million.

Speaker #1: On mid-cap two, as we have said before, activation is expected to coincide with the fund's first investment. We're making good progress with LPs, having already started to gather commitments.

Speaker #1: And on the investment side, we're advancing on several opportunities. That said, the timing of new deals remains difficult to predict, and we now expect the activation of the fund in the fourth quarter of this year.

Speaker #1: On revenues, the 4.5% year-on-year decrease was driven by three main factors. First, H1 2025 included €0.9 million of catch-up fees, which did not occur this year.

Speaker #1: Second, the mid-cap one step-down reduced management fees by €3.8 million. This is the mechanical effect of moving to a lower FPAUM base and a lower fee rate.

Walid Damou: This is the mechanical effect of moving to lower FPAUM base and a lower fee rate. Third, investment income was negative in the period. Positive performance across the portfolio for the period was offset mainly by lower valuations in funds III and III-B. The change in valuations in these relatively concentrated funds reflect a mix of broader market condition and asset specific factors. These funds are not yet fully realized, and it is therefore still early to draw firm conclusions on final outcomes. Moving on headcount and costs on slide 15. Operating expenses increased by 4.9% year-on-year, growth in line with last year and confirming the slower cost growth trajectory relative to prior years. This reflects both the operating leverage we are now starting to see in the platform and our disciplined approach to costs.

Speaker #1: Third, investment income was negative in the period. Positive performance across the portfolio for the period was offset mainly by lower valuations in Funds Three and Three B.

Speaker #1: The change in valuations in these relatively concentrated funds reflects a mix of broader market conditions and asset-specific factors. These funds are not yet fully realized.

Speaker #1: It is therefore still early to draw firm conclusions on final outcomes. Briefly, on headcount and costs on slide 15: operating expenses increased by 4.9% year-on-year, with growth in line with last year, confirming the slower cost-growth trajectory relative to prior years.

Speaker #1: This reflects both the operating leverage we are now starting to see in the platform and our disciplined approach to costs. As Alain mentioned earlier, we have invested consistently in recent years to build a strong and scalable platform, with enhanced capabilities across investment teams, specialist functions, fundraising, and operations.

Walid Damou: As Alain mentioned earlier, we have invested consistently in recent years to build a strong and scalable platform with enhanced capabilities across investment teams, specialist functions, fundraising and operations. We believe this gives us a very solid foundation from which to support the next growth phase for Antin. In March, we indicated that cost growth for the year was expected to be in the high single digits. We are now aiming for a slightly lower growth rate for cost in 2026. With that in mind, and based on the assumption that Mid Cap II is activated in the Q4 rather than in the Q2, we now expect underlying EBITDA for full year 2026 to be slightly below the 2025 level. This reflects a timing effect only and does not change our confidence in the medium-term growth prospects for the business. Moving on to balance sheet on slide 16.

Speaker #1: We believe this gives us a very solid foundation from which to support the next growth phase for the long term. In March, we indicated that cost growth for the year was expected to be in the high single digits.

Speaker #1: We are now aiming for a slightly lower growth rate for costs in 2026. With that in mind, and based on the assumption that mid-cap two is activated in the fourth quarter rather than in the second quarter, we now expect underlying EBITDA for the full year 2026 to be slightly below the 2025 level.

Speaker #1: This reflects a timing effect only, and does not change our confidence in the medium-term growth prospects for the business. Moving on to the balance sheet on slide 16.

Speaker #1: Our cash balance decreased to €326 million as of 30 June 2026, from €361 million one year ago. This mainly reflects the deployment of capital into our funds and our continued shareholder distributions.

Walid Damou: Our cash balance decreased to EUR 326 million as of 30 June 2026 from EUR 361 million one year ago. This mainly reflects the deployment of capital into our funds and our continued shareholder distributions. At the same time, our financial assets increased as a result of this capital deployment, and importantly, we continue to have zero financial debt. More broadly, we remain committed to a capital-light model. Our balance sheet is primarily used to support the business through co-investments in our funds and carried interest commitments, creating a strong alignment of interest with our clients. To date, around one-third of our cash balance is earmarked for deployment in our existing funds, mainly Flagship Fund V, Mid Cap I, and NextGen I. As we raise our next vintages, these commitments will increase over time, but we will also expect to receive distributions in parallel as our funds continue to realize assets.

Speaker #1: At the same time, our financial assets increased as a result of this capital deployment. Importantly, we continue to have zero financial debt. More broadly, we remain committed to a capital-light model.

Speaker #1: Our balance sheet is primarily used to support the business through co-investment in our funds and carried interest commitments, creating a strong alignment of interests with our clients.

Speaker #1: Today, around one-third of our cash balance is earmarked for deployment in our existing funds—mainly Flagship Five, Mid-Cap One, and Next-Gen One. As we raise our next vintages, these commitments will increase over time, but we also expect to receive distributions in parallel as our funds continue to realize assets.

Speaker #1: The cash balance also provides us with the capacity to pursue potential strategic initiatives that can strengthen our capabilities and support long-term value creation. Finally, on shareholder distributions, we remain committed to our policy of a stable or growing dividend per share.

Speaker #1: For 2026, we intend to maintain an annual dividend of €0.71 per share, in line with last year, including €0.28 per share expected to be paid in late October.

Speaker #1: Over time, as Mid Cap II ramps up and we launch the next flagship fund, we do expect dividend growth to resume alongside earnings growth. A few words on our shareholding structure on slide 17.

Speaker #1: It is important to flag that the lock-up mechanism in place since the IPO will expire in a few weeks, on the 27th of September. The shareholders who are acting in concert and collectively own 84% of the company will remain in force after the lock-up expires.

Walid Damou: The agreement between the partner shareholders who are acting in concert and collectively own 84% of the company will remain in force after the lock-up expires. This agreement includes several mechanisms allowing to support an orderly increase in the free float. In particular, subject to customary exceptions, the concert members have agreed to coordinate with Antin for any transfer of shares above a certain threshold. Therefore, going forward, we continue to expect our free floats to increase gradually, mainly through placements that can be absorbed by the market. Any such transaction would of course be considered in light of market conditions. I will now hand back to Alain for some concluding remarks.

Speaker #1: This agreement includes several mechanisms allowing for an orderly increase in the free float. In particular, subject to customary exceptions, the concert members have agreed to coordinate with Entente for any transfer of shares above a certain threshold.

Speaker #1: Therefore, going forward, we continue to expect our free float to increase gradually, mainly through placements that can be absorbed by the market. Any such transaction would, of course, be considered in light of market conditions.

Speaker #1: We now hand back to Alain for some concluding remarks.

Speaker #2: Thank you, Wade. In an environment that has been complex and unpredictable for some years, and that looks to remain that way for the foreseeable future, we continue to be confident in our ability to adapt and perform.

Speaker #2: Opportunities remain numerous in the infrastructure space, underpinned by powerful long-term tailwinds. We remain disciplined in how we capture those opportunities. We are not concentrating the portfolio around a single theme, sector, or geography.

Speaker #2: We are in the process of building our most diversified funds to date, to provide our clients with truly differentiated underlying exposure. We recognize that DPI is especially important to fund investors today.

Speaker #2: And as our major funds move towards harvesting mode and exit activity accelerates, we expect distributions to become more meaningful, while staying firmly focused on maximizing returns and value creation across the platform.

Speaker #2: To conclude, nothing we see today changes our confidence in the medium-term growth prospects for Entente. Our model remains resilient, our platform is stronger than ever, and we are entering the next fundraising cycle with solid momentum.

Alain Rauscher: To conclude, nothing we see today changes our confidence in the medium-term growth prospects for Antin. Our model remains resilient, our platform is stronger than ever, and we are entering the next fundraising cycle with strong, solid momentum. This concludes this presentation. Walid, Mélanie, and I are now happy to take your questions.

Speaker #2: This concludes this presentation. Walid, Mélanie, and I are now happy to take your questions.

Speaker #3: Thank you, sir. We will now begin the question and answer session. Anyone who wishes to ask a question may press star and one on their touch-tone telephone.

Speaker #3: To remove your question, press star and two. Please pick up the receiver when asking questions. The first question comes from Nicholas Herman of Citi.

Speaker #4: Yes, good morning. Thank you for the update and for taking my questions. A couple from my side, please. Firstly, just a bigger-picture question.

Nicholas Herman: Yes, good morning. Thank you for the updates and for taking my questions. A couple from my side, please. Firstly, just a bigger picture question. Is it fair to assume that you are adjusting down the valuations you are assigning to prospective investments as a result of the increase in interest rates that we've seen, forward rates? Secondly, I guess there's a couple here. I guess, presumably, you would not disagree with my conclusion that lower marks for the assets in Fund III and Fund III-B means that the pace of realizations of these funds will be slower than we previously anticipated. I guess the kind of the derivative questions from that are, does that mean that future distributions will be lower than we would have otherwise expected? Presumably that would then impact, why should that not impact the Fund VI fundraise whenever that happens?

Speaker #4: Is it fair to assume that you are adjusting down the valuations you are assigning to prospective investments as a result of the higher rates that we of the increase in interest rates that we've seen?

Speaker #4: Forward rates. And then secondly, I think there are a couple here. I guess, presumably, you would not disagree with my conclusion that lower marks for the assets in Fund III and III-B mean that the pace of realizations of these funds will be slower than we previously anticipated.

Speaker #4: So, I guess the kind of derivative question from that is: does that mean that future distributions will be lower than we would have otherwise expected?

Speaker #4: Presumably, that would then impact—I mean, why should that not impact the Fund VI fundraise whenever that happens? And then, finally, on performance earnings, that will carry.

Nicholas Herman: Finally, on performance earnings that will carry, do you expect us to be able to hit your hurdle rates and generate carry from Fund III-B? Thank you.

Speaker #4: Do you expect us to be able to hit your hurdle rate and generate carry from Fund III B? Thank you.

Speaker #2: Yeah. Walid, do you want to answer those questions?

Alain Rauscher: Walid, do you want to answer those questions?

Speaker #1: Maybe I'll start with the last ones, and I'll let you, Alain, comment on the bigger picture one. So, on the pace of exits, I think it's fair to remind everyone on the call that Fund III and III-B—so, Fund III is a 2026-2027 vintage—went through quite an exceptional series of events with macro volatility and a few crises globally, as you know.

Walid Damou: Maybe I will start with the last ones, and I will let you, Alain, comment on the bigger picture one. On the pace of exits, I think it is fair to remind everyone on the call that Fund III and Fund III-B, so Fund III is a 2026, 2027 vintage, went through a quite exceptional series of events with macro volatility and a few crises globally, as you know. To answer your question regarding the pace of exits, yes, the pace of exit is slower than initially anticipated. That being said, we do see an acceleration at the moment, and we are very happy with what we saw so far, as Alain said, with Sølvtrans, and with Idex, among other situations that we are working on. In terms of implications of this slower exit pace, I think there are two parts in what you are asking, Nicholas.

Speaker #1: So, to answer your question regarding the pace of exits, yes, the pace of exit is slower than initially anticipated. That being said, we do see an acceleration at the moment.

Speaker #1: And we're very happy with what we saw so far, as Alain said, with Solve France and with Hidex, among other situations that we're working on.

Speaker #1: In terms of implications of this slower exit pace, I think there are two parts in what you're asking, Nicholas. So first, on the crystallization of carried interest, you're pointing to the right impacts.

Walid Damou: First, on the crystallization of carried interest. You are pointing to the right impact. As you know, the more we go, the higher the hurdle rate gets. This could have implications on the final outcome in terms of carried interest for the fund. That being said, from where we stand today, we think that it is waitworthy to conclude. The teams remain very much focused on maximizing value in the remaining assets and maximizing value in the funds. We need to wait for the final outcome of the last exit in that fund to reach a conclusion on carried interest. Then the second part of your question regarding exits and the impact on fundraising for Fund VI. As we said consistently, fundraising is a result of many different aspects. DPI is one of them. Further performance of the fund is also very important.

Speaker #1: So as you know, the further we go, the higher the hurdle rate gets. This could have implications for the final outcome in terms of carried interest for the fund.

Speaker #1: That being said, from where we stand today, we think that it’s way too early to conclude. The teams remain very much focused on maximizing value in the remaining assets and maximizing value in the funds.

Speaker #1: So, we'll need to wait for the final outcome of the last exits in that fund to reach a conclusion on carried interest. And then, the second part of your question regarding exits and the impact on fundraising for Fund VI—as we've said consistently, fundraising is a result of many different aspects.

Speaker #1: DPI is one of them. Further, performance of the fund is also very important. And I think we're making very good progress across all those parameters.

Walid Damou: I think we are making very good progress across all those parameters. If you look at the momentum that we are seeing in the more recent funds, I think that is also very important because we are having very engaged discussions with the clients, going very deep in the portfolios, looking at the build up of the portfolios, and all of that has an influence on fundraising. I would not draw any conclusions from the pace of exits to mechanical impacts on Fund VI. Maybe, Alain, I let you comment on the valuations.

Speaker #1: So I wouldn't draw any conclusions from the pace of exit to mechanical impacts on Fund Six. Maybe, Alain, I'll let you comment on the valuations.

Alain Rauscher: Yeah. I think as Walid directly said, what is very important for our LPs is first the performance of our previous vintages as the first one. Even though there might be some tougher vintages, and we all have tougher vintages. Everybody has got some tougher vintages than others. Certainly, Fund III and Fund III-B are such more challenging vintages. We do everything we can to preserve value, maximize value for our shareholders. As you know, our model is such that the bulk of the return dividently goes to our investors, to our clients, and that is actually our brief to work for their interest, and we do that very much. Then, of course, they might be more or less carried according to other rates being met or not, and sooner rather than later, and value, of course, being higher.

Speaker #2: Yeah, I think, as Walid correctly said, what is very important for RLPs is, first, the performance of our previous vintages. That's the first one.

Speaker #2: Tougher, I would say, vintages—and we all have tougher, everybody's got some tougher vintages than others—and certainly Fund III and Fund III-B are such more challenging vintages.

Speaker #2: We do everything we can to preserve value and maximize value for our shareholders. And as you know, our model is such that the bulk of the returns evidently go to our investors—to our clients—and that's actually our brief: to work for their interest.

Speaker #2: And we do that very, very much. And then of course, there might be more or less carried, according to hurdle rates being met or not, and sooner rather than later.

Speaker #2: And then you, of course, being higher. But clearly, our brief is to continue delivering maximum value for our investors, and I can assure you they are completely aware of all the efforts we make, and in particular of the fact that when we are faced with some difficult situations, we don't walk away.

Alain Rauscher: But clearly our brief is to continue delivering maximum value for our investors. I can assure you they are completely aware of all the efforts we do, and in particular, of the fact that when we are faced with some difficult situations, we don't walk away. We deal with the issues. Second thing is DPI. DPI, as you know, is a major theme in our industry. Because in a way, with higher interest rates, more uncertainty, we are faced in an industry at large, I would say the private market industry where returns, I would say returns of capitals have been lesser. Clearly the only thing we control as a GP is how much money we give back to our LPs. This is very important in allowing our LPs, our clients to commit new capital for new funds.

Speaker #2: We deal with the issues. Second thing is DPI. DPI, as you know, is a major theme in our industry. And because, in a way, with higher interest rates and more uncertainty, we are faced—in the industry at large, I would say the private market industry—with returns, I would say, where return of capital has been lesser.

Speaker #2: Clearly, the only thing we control as a GP is how much money we give back to RLP. And this is very important in allowing RLPs, our clients, to commit new capital for new funds.

Speaker #2: So on this one, as we have explained to you, we have made big progress. And I think, frankly, we are now in an extremely strong position compared to most of our peers because we returned in nearly all cases more money than our peers would have done recently.

Alain Rauscher: On this one, as we have explained to you, we have made big progress. I think frankly, we are now in an extremely strong position compared most of our peers, because we returned in nearly most case, in all cases, more money than our peers would have done recently. I think this is a very important feature. I don't think you can derive from today's environment the fact that we may face particular difficulties to raise, say, Fund VI, because frankly, Fund VI is not there today. We first are committing to raise Mid Cap II, and we do things one at a time. To be frank, we are pretty optimistic that a few things will go well. At first performance, secondly, DPI, return capital, so the people who are busy, they are happy, can put more capital at work.

Speaker #2: We are first committing to raise Midcap II. And we do things one at a time. And to be frank, we are optimistic that things will go well.

Speaker #2: But first, performance. Secondly, DPI, return capital. So for RLP, they are happy and can put more capital to work. And to be frank, if you look at the performance of Fund Five, the quality of the earnings is also the quality of the mid-cap one.

Alain Rauscher: To be frank, if you look at the performance of Flagship Fund V, the quality of the earning, and also the quality of Mid Cap I, frankly, everybody has got some very strong, I would say, incentives to keep the investment going on, because clearly we are demonstrating that we use good and differentiated investments.

Speaker #2: Frankly, everybody has got some very strong I would say strong I would say incentives to keep the investment going on, because clearly, we are demonstrating that we use good and differentiated investments.

Speaker #3: That's very helpful. Can I quickly circle back to just the first question? Apologies—I appreciate that was a big topic we just discussed.

Nicholas Herman: That's very helpful. Can I just quickly circle back? Just the first question. Apologies, I appreciate those are a big topic we just discussed. Just in terms of how you are kind of reacting to higher rates, are you adjusting the valuations you are assigning to prospective investments? Thank you.

Speaker #3: But just in terms of how you are kind of reacting to higher rates, are you adjusting the valuations you are assigning to prospective investments?

Speaker #3: Thank you.

Speaker #1: Wait. The straight question is, I mean, it's hard to pretend the different things that are happening in the world are not there. So we're taking into account, obviously, all the different factors that are impacting the economy and the companies we're investing in.

Walid Damou: Well, the straight question is, it's hard to pretend the different things that are happening in the world are not there. We are taking into account, obviously, all the different factors that are impacting the economy and the companies we are investing on. In a way, yes, I think valuations are being impacted by rates. Whether it is directly through financing conditions or indirectly in the way we look at risk-adjusted returns, we do adapt to the ongoing environment.

Speaker #1: So, in a way, yes, I think valuations are being impacted by rates. Whether it’s directly through tightening financing conditions or indirectly in the way we look at risk-adjusted returns, we do adapt to the ongoing environment.

Speaker #3: So, as you can appreciate, Nicolas, when we look at a given company, you typically have several—not one, but several—debt instruments which are in place, with different schedules of repayment.

Alain Rauscher: As you can appreciate, Nicholas, when we look at a given company, you have typically not one, but several debt instruments which are in place with different schedules of repayment. Evidently, we have to integrate what is going to be the new, I would say, market conditions when they apply. It is exactly like a company, like a state which has to think about its refinancing cost going forward over 30 years. Evidently, you are not going to mark, for instance, the US public debt by, say, 5.5%, because today you have 10-year debt at 5.5%. It is not correct, because in fact, this new debt you raise is going to be only a fraction of the total debt. Clearly, we are completely updating whatever cost of debt we need to venture.

Speaker #3: And evidently, we have to integrate what are going to be the new, I would say, market conditions when they apply. But it's exactly like a company or like a state, which has to think about its refinancing cost going forward over 30 years.

Speaker #3: Evidently, you're not going to mark, for instance, the US public debt by, say, 5.5%, just because today you have 10-year debt at 5.5%. It's not correct, because, in fact, this new debt you raise is going to be only a fraction of the total debt.

Speaker #3: But clearly, we are completely updating whatever cost of debt we need to adjust. Very helpful. Thanks very much.

Nicholas Herman: Very helpful. Thanks so much.

Speaker #2: We are. And I know it's quite boring, but we are very, very prudent—maybe too prudent. And I read some papers, so this morning, when I was actually taking my coffee, and clearly, for instance, we don't rush to make distributions or to make some disposals if we believe that we have to wait a little bit.

Alain Rauscher: We are, and I know it is quite boring, but we are very prudent, maybe too prudent. I read some papers this morning when I was actually taking my coffee, and clearly, for instance, we do not rush to make distributions, to make some disposal if we believe that we have to wait a little bit. Clearly it leaves some gap in, I would say, in financial results for the time. We think that our first brief is to be sure that we do the best investments and exits for the benefit of our shareholders. This is how we believe, essentially. We are very prudent people.

Speaker #2: And clearly, it's not some gap, I would say, in financial results for the time. And if we think that, our first brief is to be sure that we do the best investments and exits for the benefit of our shareholders.

Speaker #2: This is how we live, essentially. But we are very prudent people.

Speaker #4: The next question is from Sharath Kumar of Deutsche Bank.

Operator: The next question is from Sharath Kumar of Deutsche Bank.

Speaker #5: Good morning. Thank you for taking my questions. I have three, please. Firstly, a follow-up on Fund III. I wanted to understand, at what point does this fund cease to generate financial fees, given this is a 2016 vintage, and it is currently about 65% realized?

Sharath Kumar: Good morning. Thank you for taking my questions. I have three, please. Firstly, a follow-up on Fund III. I wanted to understand at what point does this fund cease to generate management fees, given this is a 2016 vintage and it is currently about 65% realized. Is there a scenario where we can expect to see a step down from management fees without the fund being fully realized? That is the first one. Second, on Flagship Fund VI, just wanted to understand, is there a scenario where the activation slips to 2028? Or other way of asking this is what progress do we need to see for the fund to be on track for a 2027 activation? Finally, on the Evergreens opportunity. Recently, infrastructure has seen strong interest from private wealth investors, so how do you view this opportunity?

Speaker #5: So, is there a scenario where we can expect to see a step-down from management fees without the fund being fully realized? That's the first one.

Speaker #5: Second, on Flagship Fund Six, I just wanted to understand: is there a scenario where the activation flips to 2028? Or, another way of asking this is, what progress do we need to see for the fund to be on track for a 2027 activation?

Speaker #5: And finally, on the evergreens opportunity: Recently, infrastructure has seen strong interest from private wealth investors. So how do you view this opportunity? Is it a no-go zone for you, given that it is fundamentally inconsistent with your investment approach, or do you remain open-minded?

Sharath Kumar: Is it a no-go zone for you given that it is fundamentally inconsistent with your investment approach, or do you remain open-minded? Thank you.

Speaker #5: Thank you.

Speaker #2: Got it. Yeah, let me start with the first question on Fund III, and then I'll let Melanie comment on the fundraising more specifically. So you're right to point out that the fund is a 2026 vintage.

Walid Damou: Yeah. Let me start with the first question on three, and then I let Mélanie comment on the fundraising more specifically. You are right to point out that the fund is a 2016 vintage. Indeed, there is a possibility to extend the life of the fund. As the fund continues in its life, what is going to impact the fees coming from Fund III is indeed the reduction in fee-paying AUM as we exit the remaining assets. You should assume that the fund will continue being extended as per the agreement with the clients. The fee rate, I think we have communicated in the past around the fee levels. We can discuss in more details at a later stage what are the precise fees that will be implemented during the extension period.

Speaker #2: Indeed, there is a possibility to extend the life of the fund. And as the fund continues in its life, what is going to impact the fees coming from Fund Three is indeed the reduction in fee-paying AUM, as we exit the remaining assets.

Speaker #2: So, you should assume that the fund will continue being extended as per the agreements with the clients. And then the fee rate, I think we've communicated in the past around the fee levels.

Speaker #2: So, we can discuss in more detail at a later stage what the precise fees will be that are implemented during the extension period. But you could indeed assume rates as we extend the life of the fund.

Walid Damou: But you could indeed assume a small decrease in the fee rates as we extend the life of the fund. I think just to be clear on the carried interest and what would come from that, as I mentioned, we are still working hard to maximize value in these funds. What we would expect is for the carry, if any, to be towards the end of the life of the fund as we finalize the realizations in that fund.

Speaker #1: And then I think, just to be clear on the carried interest and what would come from that, as I mentioned, we're still working hard to maximize value in these funds.

Speaker #1: What we would expect is for the carry, if any, to be towards the end of the life of the fund, as we finalize the realizations in that fund.

Mélanie Biessy: As for Flagship Fund VI, our base case today is still an activation in 2027. What needs to happen by the time we activate this Fund VI is finishing the deployment of Fund V. As you have seen, and as it has been presented by Alain, the deployment is way ahead. We anticipate that we would need two to three investments to be able to be in a position to start launching Flagship Fund VI. Of course, it is difficult to predict. As we said, we are very disciplined on the quality of assets and investments that we make. Therefore, we anticipate that it should happen in 2027, meaning that we are full speed, investment team is full speed on continuing deploying a very high-quality pipeline. We feel that, the base case should be that at some stage in 2027, we will be able to activate Fund VI.

Speaker #4: As for Flagship Fund Six, our base case today is still activation in 2027. What needs to happen by the time we activate Fund Six is finishing the deployment of Fund Five.

Speaker #4: And as you've seen, and as it's been presented by Alain, the deployment is way ahead. We anticipate that we would need two to three investments to be able to be in a position to start launching Flagship Fund VI.

Speaker #4: Of course, it's difficult to predict. As we said, we are very disciplined on the quality of assets and investments that we make, and therefore we anticipate that it should happen in 2027. Meaning that we are at full speed—the investment team is at full speed—on continuing to deploy a very high-quality pipeline.

Speaker #4: And we feel that the base case should be that, at some stage in 2027, we'll be able to activate Fund Six. We cannot mention much more on size or timing, because it would be too mechanical.

Mélanie Biessy: We cannot mention much more on size, on timing, because it would be too mechanical, it is binary, and we need to still do those investments and make sure that these are the right investments to complement Fund V portfolio.

Speaker #4: It's binary. And we need to still do those investments and make sure that these are the right investments to complement Fund Five portfolio.

Walid Damou: Maybe, Sharath, I will take the last question on the evergreen opportunity. There, I will cover two points. First, evergreen with retail or wealth investors, and then second, evergreen on the institutional side. On the wealth and retail side, I think we have been quite consistent on that topic. We definitely see the substantial potential that we see with increased participation of wealth and retail investors into private markets, and there is a strong appetite, infrastructure in particular. However, we have been extremely prudent, as Alain said. We also see the potential risks as getting into that area clearly creates some potential reputational and regulatory risk as we have seen in recent months. So we have done a lot of work. We see different avenues to tackle the retail and wealth opportunity.

Speaker #2: Maybe, Sharath, I'll take the last question on the evergreen opportunity. And there, I'll cover two points. So, first, evergreen with retail or wealth investors.

Speaker #2: And then, second, evergreen on the institutional side. So on the wealth and retail side, I think we've been quite consistent on that topic. We definitely see the substantial potential that comes with increased participation of wealth and retail investors into private markets, and there is a strong appetite in infrastructure in particular.

Speaker #2: However, we have been extremely prudent, as Alain said, and we also see the potential risks, as getting into that area clearly creates some potential reputational and regulatory risk, as we've seen in recent months.

Walid Damou: It can be done through evergreen products, but it can also be done through feeder funds as we have been doing consistently and as we continue doing. It can also be done through partnership and different ways. We are active in that front. We are getting into that area gradually. We are not rushing into it, because we are very much aware of the risks that come with that. That is on the retail side. Looking at the institutional side, you are right. This is an area where we see a lot of potential, in the value add space where we are active, but also on the core side of the investment spectrum. I think we can spend time on soft office, but that is a good example of assets that fit very well, the opportunity that we could see with evergreen products. We are doing a lot of work.

Speaker #1: And as we continue doing that, it can also be done through partnerships and in different ways. So we're active on that front, and we're getting into that area gradually.

Speaker #1: We're not rushing into it because we're very much aware of the risks that come with that. So that's on the retail side. Looking at the institutional side, I mean, you're right.

Speaker #1: This is an area where we see a lot of potential. In the value-add space, where we're active, but also on the core side of the investment spectrum, I think we can spend time—also for us—but that's a good example of assets that fit very well the opportunity that we could see with evergreen products.

Speaker #1: So, we are doing a lot of work. We're having very interesting discussions with clients on that topic, so we will keep you posted as we evolve and progress there.

Walid Damou: We are having very interesting discussions with clients on that topic. We will keep you posted as we evolve and we progress there.

Speaker #4: Thank you.

Sharath Kumar: Thank you.

Alain Rauscher: I would also like to add one compliment, especially on enterprise, which applies to flagship strategies. As you know well, we focus on Europe and North America, with the majority of investment capital deployed in Europe. This applies to midcap investment, midsize investments or large size investments. If you compare what our peers, in particular our US peers would do, in Europe, you will find that few of the very large US investors make big transactions in Europe, focusing more of the capitals for larger deals in the United States. I think it is one of the reasons, not the only one, but one of the reasons which in my view underpins the appeal of our flagship strategy.

Speaker #2: We would also like to add one complement, especially as it applies to flagship strategies. As you know well, we focus on Europe and North America.

Speaker #2: With the majority of investment capital deployed in Europe—and in fact, this applies to mid-cap investments, mid-size investments, or large-size investments. And if you compare what our peers, and in particular our US peers, would do—what we do actually in Europe—you will find that few of the very large US investors make big transactions.

Speaker #2: In Europe, focusing more of the capitals for larger deals in the United States. So I think it is one of the reasons—not the only one, but one of the reasons—which, in my view, underpins the appeal of our flagship strategy.

Speaker #4: The next question is from Greg Simpson of BNP Paribas.

Operator: The next question is from Greg Simpson of BNP Paribas.

Greg Simpson: Hi. Good morning. Yeah, three from my side, too. First one is the MOIC on Flagship Fund III and Fund III-B came down in the quarter. Just wanted to check, is that because you reflected the exits of Idex and Sølvtrans or is it sits in the fund? Or maybe putting it another way, how do these MOICs change once those exits finally close. Second question is really just can you give us any more color about how the Mid Cap II fundraising has been going? What kind of timeline, re-up rates? Is the DPI zero for Mid Cap I an issue here? Then finally, bigger picture, I guess we're interested to hear your views on the AI infrastructure opportunity or risks. I guess we've seen some of your peers in infra pivot their businesses a lot more into digital and data centers and so on.

Speaker #5: Hi, good morning. Yeah, free from my side too. First one is the MOEX on Fund III and III-B came down in the quarter.

Speaker #5: And just wanted to check, is that because you reflected the exits of IDEX and Soltrends, or is it in the fund? Or maybe, putting it another way, how do these MOEX change once those exits finally close?

Speaker #5: Second question is just, can you give us any more color about how the mid-cap II fundraising has been going? What kind of timeline, re-up rates? Is the DPI zero for mid-cap I an issue here?

Speaker #5: And then finally, bigger picture, I guess we're interested to hear your views on the AI infrastructure opportunity or risk. So, I guess we've seen some of your peers in infra pivot their businesses a lot more into digital and data centers and so on.

Speaker #5: So, just interested to hear what you're seeing in the landscape. Thank you.

Greg Simpson: Just interested to hear what you're seeing in the landscape. Thank you.

Speaker #1: Hey, Greg. Thanks for the questions. I'll start, and then I'll let Mélanie and Alain add to the other questions. So, on your question on the evolution of the MOEX for Fund III and III B, as I mentioned, these are relatively concentrated portfolios.

Walid Damou: Hey, Greg. Thanks for the questions. I'll start, then I let Mélanie and Alain add to the other questions. So on your question on the evolution of the MOIC for Flagship Fund III and Fund III-B, as I mentioned, these are relatively concentrated portfolios. The movement in a limited number of assets in these portfolios do have a visible impact at fund level. As always, we're not going to comment on individual portfolio companies. But you're right to point out to the fact that some of the recent exits had an impact on the valuation at Q2. But more broadly, I think it's important to keep in mind that at each of our valuation exercises, we do take into account the broader environment, in particular the M&A environment, as well as the asset specific assets. News, sorry.

Speaker #1: News, sorry. So if you look at the valuations, again, it's a portfolio that is fairly concentrated with a small number of assets. I mean, you know which assets those are.

Walid Damou: If you look at the valuations, again, it is a portfolio that is fairly concentrated with a small number of assets. You know which ones are those assets, and at the end, the impact that you see in terms of MOIC, is a combination of adjusted valuation on exits, as well as our revised views on valuation of those assets. I will remind you of one thing that I said before. It is not realized yet. The teams are very actively working on the portfolios, and the final outcome for the fund will depend on the exits.

Speaker #1: And at the end, the impact that you see in terms of MOEX is a combination of adjustment of valuations on exits, as well as our revised views on the valuation of those assets.

Speaker #1: But I'll remind you of one thing that I said before. It's not realized yet—the teams are very actively working on the portfolios. And the final outcome for the fund will depend on the exits.

Mélanie Biessy: On Mid Cap II fundraising, some comments as well. We have started the fundraising in Q2 at the end of the investment period of Mid Cap I. We are continuing full speed on working on this fundraising, being in interaction with all our investor base. We have started gathering commitments. Commitments that are in escrow and will be released at the time of the first closing. If you think about the activation, what needs to happen for this activation, and we were mentioning that we are waiting for the first investment in Mid Cap II to activate the fund. Here the objective is very clear. We would like to optimize outcomes for investors, hence keeping the period between activation and deployment, capital deployment, as efficient as possible.

Speaker #4: On Mid Cap II fundraising, some comments as well. So, we started the fundraising in Q2, at the end of the investment period of Mid Cap I.

Speaker #4: We are continuing full speed on working on this fundraising, being in interaction with all our investor base. We have started gathering commitments—so, commitments that are in escrow.

Speaker #4: And will be released at the time of the first closing. And if you think about the activation, what needs to happen for this activation—and we were mentioning that we are waiting for the first investment in Mid Cap II to activate the fund.

Speaker #4: And here, the objective is very clear. We'd like to optimize outcomes for investors. Hence, keeping the period between activation and capital deployment as efficient as possible.

Speaker #4: So, it's not like we are totally tied mechanically to the first investment, but we want to make sure that there's capital deployment at the time we start activating mid-cap and start generating management fees for the firm.

Alain Rauscher: Yeah. On AI, I think on AI, as you are aware of, it is of course a very important theme, and enormous amounts of capital are about to be committed, not just to invest in AI, I would say companies, but also in AI infrastructure at large, because in fact, the investments required in infrastructure for the deployment of AI are absolutely enormous. I think it is probably the first thing to say is that as opposed to the previous, I would say revolution, digital revolutions, be it the mobile phone revolution, for internet. We are faced with a revolution which is going to require enormous amounts of infrastructure investment.

Speaker #2: Yeah. On AI, I think on AI, we, as you are aware of, it is, of course, a very important theme. And in almost amounts of capital, are about to be committed.

Speaker #2: Not just to invest in AI, I would say, companies, but also in AI infrastructure at large, because, in fact, the investments required in infrastructure for the development of AI are absolutely enormous.

Speaker #2: I think probably the first thing to say is that, as opposed to the previous, I would say, revolutions—digital revolutions, be it the mobile phone revolution, for instance, or the internet—we are faced with a revolution which is going to require enormous amounts of infrastructure investment.

Speaker #2: Just to have some quotes, in the next—I think the next four or five years—the estimate is that north of $500 or $600 billion are going to be deployed in the United States only, to build some infrastructure in AI, just to give you a crazy, crazy number.

Alain Rauscher: Just to have some quotes in the next, I think in the next four or five years, we estimate that north of $500 or $600 billion are going to be deployed in the United States only to build some infrastructures in AI. Just to give you this completely crazy number. You can assume that in Europe or in Asia you will see similar size of numbers maybe deployed at a slower pace. Now the question really is what is the kind of risk, counterparty risks that we take. If you think of, I would say, other industries which have recently required some big infrastructure investment, and think about the battery segment, for instance. You can basically think that you can take the view that we have to be very prudent about that, because those investments are going to be funded partly for by equity, but vastly by debt.

Speaker #2: And you can assume that in Europe or in Asia you will see a similar size of numbers, maybe deployed at a slower pace. Now, the question really is, what is the kind of counterparty risk that we take?

Speaker #2: And if you think of, I would say, other industries which have recently required some big infrastructure investment, I'm thinking about the battery segment, for instance, you can basically think that you can take the view that you have to be very prudent about that, because those investments are going to be funded partly by equity, but vastly by debt.

Speaker #2: And you want to be sure that the counterparty stands up and stays there, because in fact, you are dealing with one counterparty. And that's why we are very prudent not to take too risky investments on a risk-adjusted basis.

Alain Rauscher: You want to be sure that the counterparty stands up and stays there, because, in fact, you are dealing with one counterparty. That is why we are very prudent not to take too risky investments on a risk-adjusted basis. We opt rather in investing into, I would say energy, and storage, which I think is going to be very important for the scene. But again, with a varied customer base and in colocation data centers as opposed to data centers which rely on only one big client, which may prevail in five years or 10 years, or not. Not to mention, evidently, the risk of solvency of investments, which has hit very severely some industries. I come back again to my battery example. The people who have bet five, six, seven years ago on Northvolt have lost everything.

Speaker #2: And we opted rather to invest in, I would say, energy—energy and storage—which I think is going to be very, very important for the theme.

Speaker #2: But again, with the varied customer base, and in colocation data centers as opposed to data centers which rely on one big client, which may prevail in five years or ten years — or not.

Speaker #2: Not to mention, evidently, the risk of solicitance of investments, which has hit some industries very severely. I come back again to the battery example.

Speaker #2: The people who have bet five, six, seven years ago on Northvolt have lost everything. So we have to be very, very vigilant on that.

Alain Rauscher: We have to be very vigilant on that. There will be winners. Evidently, the trend is there. It will implement high. But as an infrastructure investor, I think we have to be extremely prudent. The amounts of capital to be raised and the calling of fees to be perceived are huge and tempt many people. But again, the risk in front is, in my view, extremely high. So we have to, in my view, be prudent.

Speaker #2: There will be winners, evidently. The trend is there. It will influence AI. But as an infrastructure investor, I think we have to be extremely prudent. The amounts of capital to be raised and the corresponding fees to be perceived are huge, and tempt many people.

Speaker #2: But again, the risk in front is, in my view, extremely high. So we have to, in my view, be prudent.

Speaker #3: Thank you very much.

Greg Simpson: Thank you very much.

Speaker #1: The next question is from Arnaud du Palier of CIC-CIB.

Operator: The next question is from Arnaud Palay of CIC CIB.

Arnaud Palay: Yes, good morning. Thank you for taking my questions. I have two. The first one is regarding, given the slower pace of exit, do you consider to launch new strategies such as secondaries? What is today the trend among LPs regarding co-investment? Do you see this co-investment taking a bigger part in the coming years? The second question is more on the results about, especially on the underlying EBITDA. You no longer give a target for the full year. I think that before you were expecting stable EBITDA for 2026. I would like to know why you have given up this target. Do you plan to launch some cost control measures in the coming months? Following the end of the post-IPO lockup period, do you expect some turnover among the partners and some partners leaving the company?

Speaker #5: And also, what is today the trend among LPs regarding co-investment? Do you see these co-investments taking a bigger part in the coming years? The second question is more on the results, especially regarding the underlying EBITDA.

Speaker #5: You no longer give a target for the full year. I think that before, you were expecting stable EBITDA for 2026. So, I would like to know why you have given up this target.

Speaker #5: And also, do you plan to launch some cost control measures in the coming months? And, following the end of the post-IPO lockup period, do you expect some turnover among the partners and some partners leaving the company?

Speaker #2: Okay, I will take the first question and then hand over to my colleagues. New strategies—well, first of all, before we talk about new strategies, you make a point about reducing our exit pace. I think it's exactly the opposite.

Alain Rauscher: Okay, I will take the first question and hand over to my colleague. New strategies. First of all, before we talk about new strategies, you make a point about because we are reducing our exit pace. I think it is exactly the other way around. We are fast accelerating our exit pace, and I think we will probably, we expect it actually, to make one or two announcements of exits.

Speaker #2: We are fast, accelerating our exit pace. And I think we will probably—we expect, actually—to make one or two announcements of exits.

Speaker #5: Yeah, it was more.

Arnaud Palay: Yeah, it was more. In fact, it deserves.

Speaker #2: And in fact, we are very good at that. But I'm sure you will write about the good news regarding that very shortly, when it's announced.

Alain Rauscher: We are very good at that, but I am sure you will write about the good news about that very shortly when it is announced. But we are expecting to literally make imminently two more exits. We are not reducing, slowing. Essentially, we are increasing our exit. And of course, on top of that, there will be new tranches of the Sølvtrans transaction. We are really working flat out to increase our exit and not slowing it. Concerning new strategies, yes, we are certainly thinking of that, and we have been thinking a lot about that. I would say that clearly, the priority should always be, in my view, to make things well and to make good investment, good disposals, good value creation in priority before launching new strategies, although we are now at three decades.

Speaker #2: But we are expecting to literally make two more exits imminently, so we are not reducing or slowing. Actually, we are increasing our exits. And of course, on top of that, there will be new tranches of the soft transfer action.

Speaker #2: So, we are really working flat out to increase our exit and not slowing it. Concerning new strategies, yes, we are certainly thinking of that.

Speaker #2: And we've been thinking a lot about that. I would say that, clearly, the priority should always be, in my view, to execute well and to make good investments, good disposals, and good value creation as priorities before launching new strategies, although we have three legs.

Speaker #2: And among the other strategies we're looking for, as you rightly indicated, Arnaud, we are thinking about—we are contemplating—secondaries, which I think is a nascent, I would say, market for infrastructure.

Alain Rauscher: Among the other strategy we are looking for, as you rightly indicated, Arnaud, we are thinking about, we are contemplating secondaries, which I think is a nascent, I would say, market for infrastructure. Of course, it is a metro market for PE at large, but it is a nascent market for infrastructure. And yes, we are reflecting about this segment. Concerning the EBITDA guidance.

Speaker #2: Of course, it's a mature market for PE at large, but it's a nascent market for infrastructure. And yes, we are reflecting on this segment.

Speaker #2: Concerning the EBITDA guidance.

Speaker #4: Yeah, so I'll start with EBITDA, and then I'll let Melanie comment on the co-invest. So, on your question, Arnaud, regarding EBITDA guidance, hopefully what I described on the call was quite clear regarding our expectation for EBITDA in 2026.

Walid Damou: Yeah. So I start with EBITDA, and then I let Mélanie comment on the co-invest. On your question, Arnaud, regarding EBITDA guidance, hopefully what I described on the call was quite clear regarding our expectation for EBITDA in 2026. As I said, as we now expect Mid Cap II to be activated in Q4 this year, we do see underlying EBITDA for the year to be slightly below the 2025 level. Hopefully that answers your question on that topic. On cost control, we do not consider that the delay in the activation of the fund should trigger any cost actions. We remain very confident in the prospect of the business, as we discussed on the call today. But having said that, we have consistently invested in the business, as we have explained, and as a result, we have a very solid foundation.

Speaker #4: And as I said, as we now expect mid-cap to be activated in Q4 this year, we do see underlying EBITDA for the year to be slightly below the 2025 level.

Speaker #4: So, hopefully that answers your question on that topic. Then on cost control, we do not consider that the delay in the activation of the fund should trigger any cost actions.

Speaker #4: We remain very, very confident in the prospects of the business, as we've discussed on the call today. That said, we have consistently invested in the business, as we've explained.

Speaker #4: And as a result, we have very solid foundations. So, naturally, we're getting to the stage in the evolution of the company where cost growth is slowing down.

Walid Damou: Naturally, we are getting at the stage in the evolution of the company where cost growth is slowing down. On top of that, as you would expect, we are maintaining very high levels of cost discipline as we should. But clearly, we remain very confident in the prospect of the business. We are investing in the business, so no cost actions. Lastly, regarding the lookup expiry and the impact on employees, if I understand your question correctly.

Speaker #4: And on top of that, as you would expect, we're maintaining very high levels of cost discipline, as we should. But clearly, we remain very confident in the prospects of the business.

Speaker #4: We're investing in the business, so no cost actions. Then, lastly, regarding the lockup expiry and the impact on employees—if I understand your question correctly—I think there, the nice thing about our business is that there is a very strong alignment of interests and a very strong incentive mechanism, which is carried interest.

Alain Rauscher: Yeah.

Alain Rauscher: I think there, the nice thing about our business is that there is a very strong alignment interest and a very strong incentive mechanism that is a carried interest. As you know, the structure of carried interest is such that it keeps employees and investment professionals in particular, committed for the long term with great alignment of interest. This remains by far the main component of compensation for employees. I do not really see any direct impact between share ownership and potential turnover in the teams.

Speaker #4: As you know, the structure of carried interest is such that it keeps employees, and investment professionals in particular, committed for the long term with great alignment of interest.

Speaker #4: And this remains by far the main component of compensation for employees, so I do not really see any direct impact between share ownership and potential turnover in the teams.

Alain Rauscher: Good.

Mélanie Biessy: As for co-investments, this is a key part of attractiveness for LPs. We have been offering co-investments since Fund II, so back in the day. We have been very active on that. We have leveraged a lot on that as well, because for us it was interesting to get money of our investors on top of their commitment to our funds. Our investors are very pleased by the level of co-investment that we offer to them. We are circa EUR 5 billion co-investment today, and half of our Fund V investments have co-investment vehicle into which our LPs have committed on top of their commitments to the fund. This is, I would say we are not growing it. It is a sustained, gradually increasing element of the equation, and we continue offering high level, attractive level of co-investments to our LPs.

Speaker #3: As for co-investments, this is a key part of attractiveness for LPs. We've been offering co-investments since 2002, so back in the day. And we have been very active on that and leveraged a lot on that as well, because for us, it was interesting to get money from our investors on top of their commitments to our funds.

Speaker #3: And our investors are very pleased with the level of co-investment that we offer to them. We are circa €5 billion of co-investment today, and half of our Fund V investments have co-investment vehicles into which our LPs have committed on top of their commitment to the fund.

Speaker #3: So this is, I would say, we are not growing it. It's a sustained, gradually increasing element of the equation. And we'll continue offering a high-level, attractive level of co-investments to our LPs.

Speaker #5: Good. Thank you.

Alain Rauscher: Good. Thank you.

Speaker #1: The next question is from Laura Greece of Jefferies.

Operator: The next question is from Laura Gris of Jefferies.

Speaker #6: Good morning. Thank you for taking my question. Just one from my side, please. I was just wondering, regarding the Soft Trans minority transaction that you announced—should we see this as specific to this case, or should we expect to see more partial exits, especially for mature funds?

Laura Gris Trillo: Good morning. Thank you for taking my question. Just one from my side, please. I was just wondering if the Sølvtrans minority transaction that you announced, should we see this as more specific for this case, or should we expect to see more partial exits, especially for mature funds? Also in relation to that, given that Fund III is now 2016 being touched, and you still have some companies to exit, what is the potential for you to consider continuation vehicles? Thank you.

Speaker #6: And also, in relation to that, given that Fund III is now 2016-vintage and still has some companies to exit, what is the potential for you to consider continuation vehicles?

Speaker #6: Thank you.

Speaker #2: Okay, Vivian, I can answer for Soft Trans. Okay. So there are some assets, and we've seen that in the past, actually, which give way to minority investment as opposed to majority investment.

Alain Rauscher: Okay. Maybe I can answer for Sølvtrans. Okay. There are some assets, and we have seen that in the past actually, which give way to minority investment as opposed to majority investment. Actually one of our first such minority disposals had been a company called Porterbrook, which we sold to a consortium of institutional investors, including Allianz, but other insurance companies and pension funds. Why that? It was a rolling stock company in the UK. Essentially the perception of buyers was that the value creation plan was pretty much done, and that this type of business could give way to some significant flows of dividends. Therefore the value of, how can I say, the control. The value or need of control was little.

Speaker #2: And actually, one of our first such minority disposals has been a company called Porterbrook, which we sold to a consortium of institutional investors including Allianz, but also other insurance companies and pension funds.

Speaker #2: And why is that? It was a rolling stock company in the UK, and essentially, the perception of buyers was that the value creation plan was pretty much done.

Speaker #2: And that this type of business could give way to some significant flows of dividends. And therefore, there's still the value of, how can I say, the control.

Speaker #2: The value or need of control was little. And you can take the view that, in the case of SoftTrans, which is basically a company that transports solvents from offshore farms to the shore, you can take the view that this business is an extremely strong business with very defensive features because the needs for animal protein are growing.

Alain Rauscher: You can take the view that in the case of Sølvtrans, which is basically a company which transports salmon from offshore farms to the shore. You can take a view that this business is an extremely strong business, with very defensive features because the need for animal protein are growing, and salmon, beyond its fugitive qualities, is essentially an extremely efficient and cost efficient, I would say, way to have access to animal protein. So the trends are very, very compelling. Quite naturally, with a good management, Sanneksjett, we still enjoy the fact that the company enjoys the fact that the founder remains at the helm of the company and also has a significant stake in the company.

Speaker #2: And solvent, beyond its executive qualities, is essentially an extremely efficient and cost-effective, I would say, way to have access to animal protein. So the trends are very, very compelling.

Speaker #2: And so quite naturally, with a good management and we still enjoy the fact that the company still enjoys the fact that the founder remains at the helm of the company and also has a significant stake in the company.

Speaker #2: If you are a minority investor, you'll find it's completely okay. You can rely on a person who has a vested interest to grow his business, as he has done with us.

Alain Rauscher: If you are a minority investor, you will find it is completely okay, and you can rely on a person who has vested interest to grow the business as he has done it with us. He is a very talented person and who is a shareholder. So the merit of getting some majority control is less than in some other investments. So for us, it was a typical case where a number of minority positions would be taken. If I could-

Speaker #2: With a very talented person, and who is a shareholder. And so, the merit of getting some majority control is less than in some other investments.

Speaker #2: So for us, it was a typical case where a number of minority positions would be taken. If I could.

Speaker #3: And a partial exit will be complemented by potentially other minority stake transactions.

Mélanie Biessy: The partial exist will be complemented by potentially other minority-

Alain Rauscher: That is the point.

Mélanie Biessy: stake transactions. Yeah.

Speaker #2: So basically, in fact, you cannot negotiate with some minority investors and say, "Okay, let's make a bundle deal for 10 people where you take 10%." It just doesn't work.

Alain Rauscher: In fact, you cannot negotiate with some minority investors and say, "Okay, let's make a bundle deal for 10 people where you take 10%." It just does not work. Too complicated. So what you do is you basically discuss with a non-core investor based in a minority position, and that is just clearly the case here with some UK asset management funds. You basically bought, this fund bought about 30% of the company. Then you have a value, a value which has been issued, a market value, and then you can basically complement the sale, this disposal, with some other parties going forward. So this is a typical example of in some other cases, and it is clearly the case of Idex, which is a recent transaction.

Speaker #2: It's too complicated. So what you do is you basically discuss with an anchor investor, be it in a minority position—and this was clearly the case here—with some UK, I would say, pension funds.

Speaker #2: You basically, each fund bought about 30% of the company. Then you have a value—a value which has been, if the market value.

Speaker #2: And then you can basically complement the sale disposal with some other parties going forward. So, this is a typical example. In some other cases, it is clearly the case of Index, which is a recent transaction.

Speaker #2: There is value. And actually, there has been perceived value by JP Morgan Asset Management in the fact that in the 100% ownership of the company.

Alain Rauscher: There is value, and actually there has been perceived value by J.P. Morgan Asset Management, in the fact that in the 100% ownership of the company, because they perceive that through a dialogue with the management, they can grow this company in other markets, not just in the markets where it is present, but in other markets. Therefore, the thing that you control has a value, which is not the case of SoftBank. We have to take a case-by-case view. It is completely different. At times, people insist on control because they see value there, and others they do not. Fiber is another example. I think if you have a good management in a fiber company, most likely you will see some people very pleased with taking a stake, a large stake, but a stake, minority stake in a fiber company. You have to judge case-by-case basis.

Speaker #2: Because they perceive that, through a dialogue with the management, they can grow this company in other markets—not just in the markets where it's present, but in other markets as well.

Speaker #2: And therefore, they think that control has a value, which is not the case for soft trans. So we have to take a case-by-case view—it's completely different.

Speaker #2: At times, people insist on control because they see value there. And others, they don't. Fiber is another example. I think if you have good management in a fiber company, most likely you will see some people very pleased.

Speaker #2: With taking a large minority stake in a fiber company, you have to judge it on a case-by-case basis.

Mélanie Biessy: Just to complement your point, minority stake transaction could lead to a continuation vehicle that could have a positive impact on the P&L, because there would be fees that would be charged.

Alain Rauscher: Exactly. Look, CVs are a very interesting part of the evolving toolkit in private markets. We could, and will probably use continuation vehicles in the future. However, I want to be clear because you mentioned something quite specific, Laura, in your question. The use of a CV is not linked to us reaching the end of the life of the fund. As Alain explained, it is very much related to asset-specific features. We will be extremely selective when and where to use CVs. It is a very interesting tool in private markets. I think there have been, on CVs, there have been some mixed perceptions of the merits of this vehicle. Because some people said, "Okay, just a way for some smart guys in the PE world to continue getting some value, or more fees going forward." Okay.

Speaker #2: Exactly. CVs are a very interesting part of the evolving toolkit in private markets. So, we could—and we'll probably—use continuation vehicles in the future.

Speaker #2: However, I want to be clear, because you mentioned something quite specific, Laura, in your question. The use of a CV is not linked to us reaching the end of the life of the fund.

Speaker #2: As Alain explained, it's very much related to asset-specific features. So we will be extremely selective about when and where to use CVs. But it's a very interesting tool in private markets.

Speaker #4: I think on CVs, there have been some mixed perceptions of the merits of this vehicle, because some people said, "Okay, it's just a way for some smart guys in the PE world to continue gaining some undue, or more, fees." Going forward.

Speaker #4: Okay. In fact, the CV market, when it comes to infrastructure, is not at all that. Essentially, it comes as a request of investors. And it can be requests from existing investors we have in our funds.

Alain Rauscher: In fact, the CV market, when it comes to infrastructure, is not all that. Essentially, it comes at the request of investors, and it can be requests of existing investors we have in our fund to say, "Look, you guys are thinking about selling this asset. Can I be exposed to it longer term through some form of vehicle?" It can be a blend of that, or new people who said, "You know what? I would be interested to invest in Sølvtrans, but I do not want to take more than 10% or 15%. Is there a way for me to be exposed to that?" It is very surprising because some people thought that some GPs were playing games with CVs to maximize fees.

Speaker #4: We say, "Look, you guys are thinking about selling this asset. Can I be exposed to it longer term through some form of vehicle?" And it can be a blend of that and new people who say, "You know what?"

Speaker #4: I'd be interested to invest in Soft Trans, but I don't want to take more than 10 or 15%. Is there a way for me to be exposed to that?

Speaker #4: So, it is very surprising because some people thought that some GPs were playing games with CVs to maximize fees. In reality, it's very, very different because you have some investors in our funds, or new investors who are interested to take some minority stakes in a CV focusing on one given company or theme.

Alain Rauscher: In reality, it is very, very different because you have some investors in our funds, or new investors who are interested to take some minority stakes in a CV focusing on one given company or theme, and who want us to basically do the job of making sure that it is well managed for their behalf.

Speaker #4: And who want us to basically do the job of actually doing the job of making sure that it's well managed on their behalf.

Speaker #1: Thank you.

Mélanie Biessy: Thank you. We have the end of the hour. We would like to thank you all for your attention and questions. We wish you a very good day, and we will speak soon. Thank you.

Speaker #3: That brings us to the end of the hour. We would like to thank you all for your attention and your questions. We wish you a very good day.

Speaker #3: And we will speak soon. Thank you.

Alain Rauscher: Thank you.

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