Quarterly briefing

Aurelia Capital quarterly macro and portfolio briefing

For the Board. Q2 2026. Confidential.

Prepared by Portfolio Strategy. Key facts: eurozone GDP +0.9% y/y; inflation 2.3%; ECB rate 1.75%; EUR/USD 1.14. Portfolio: 11 companies; aggregate EBITDA +6.2% y/y; dry powder €480M; two exits planned within 12 months.

1 / 8

02 Executive summary

Recommendation

Maintain diversified exposure, trim consumer risk and authorise exit preparation for two consumer holdings.

Portfolio health. Aggregate EBITDA +6.2% y/y; dry powder €480M gives optionality.
Principal risk. Two consumer holdings are below plan and need remediation or structured exits within 12 months.
Action. Authorise Head of Portfolio to initiate exit processes and to reallocate up to €80M into high-conviction software and industrial opportunities over two quarters.

2 / 8

03 Macro dashboard

Eurozone growth is modest, inflation near target and policy is restrictive; favour quality cyclicals and resilient software.

Eurozone GDP. % y/y

GDP +0.9% y/y

Inflation. %

Inflation 2.3%

1.75%

ECB policy rate. Restrictive stance.

EUR / USD

EUR/USD 1.14

Source: internal summary (market data).

3 / 8

04 Sector implications

Our sector mix favours industrials and software; consumer exposure is the main portfolio risk and needs active management.

Sector exposures (by value)

Source: portfolio exposures.

Industrials

Favor selective add-ons

Cycle-sensitive but well positioned for modest growth. Target working-capital efficient assets and operational improvement.

Software

Prioritise deployment

Strong margin leverage and recurring revenue. Use dry powder to back product-led scale and tuck-ins.

Consumer

Reduce exposure

Main downside risk. Two holdings are below plan; prefer remediation or structured exits rather than fresh exposure.

Healthcare

Hold selectively

Defensive, steady cash flows. Consider small add-ons if valuation discipline is met.

4 / 8

05 Portfolio heat

Aggregate EBITDA is up 6.2% year on year, but two consumer holdings are below plan and require action.

+6.2%

Aggregate EBITDA year on year

€480M

Dry powder available

2

Exits planned within 12 months

Portfolio overview (11 holdings)
Company	Sector	EBITDA Δ YoY	Status
PortCo A	Industrials	+11%	On plan
PortCo B	Industrials	+8%	On plan
PortCo C	Software	+19%	On plan
PortCo D	Software	+14%	On plan
PortCo E	Software	+9%	On plan
PortCo F	Healthcare	+6%	On plan
PortCo G	Consumer	−7%	Below plan — remediation or exit
PortCo H	Healthcare	+4%	On plan
PortCo I	Consumer	−5%	Below plan — remediation or exit
PortCo J	Industrials	+7%	On plan
PortCo K	Software	+5%	On plan

Source: portfolio Q2 results.

5 / 8

06 Watch list

Prioritise remediation and structured exit preparation for the two consumer holdings and monitor three opportunistic targets.

Priority watch list
Company	Trigger	Near-term action	Owner
PortCo G (Consumer)	EBITDA −7%, cash margin compression	Initiate strategic review, tighten KPIs, prepare vendor data room	Head of Portfolio
PortCo I (Consumer)	EBITDA −5%, below plan on volume	Board-level turnaround plan, buyer outreach if remediation fails	Head of Ops
PortCo C (Software)	Strong ARR growth	Assess bolt-on targets; allocate follow-on capital	Investment Lead, Software
PortCo A (Industrials)	Margin improvement opportunity	Approve operational investment and select advisor	Portfolio Ops
Market opportunistic target	Valuation window	Hold €480M optionality, approve quick diligence	CFO / Head of Portfolio

Timing note: PortCo G and I should enter a 6–12 week accelerated review. If remediation milestones are unmet, progress to managed sale processes.

6 / 8

07 Positioning next two quarters

Over the next two quarters we will begin exits, trim consumer exposure and redeploy capital into software and industrials.

Immediate

Authorize exit work

Board authorisation to start due diligence and buyer outreach for PortCo G and I. Set 6–12 week remediation milestones.

Q3

Reallocate and deploy

If remediation stalls, move to structured sale. Authorise reallocation up to €80M of dry powder to software and industrial bolt-ons.

Q4

Complete exits and redeploy

Close exit(s) if market conditions permit and redeploy proceeds into high-conviction opportunities identified by the team.

Source: portfolio plan and liquidity position.

7 / 8

08 Decision

Board decision requested

Approve initiation of exit processes for two consumer holdings and delegate reallocation authority up to €80M to the Head of Portfolio.

What we ask the Board to approve

Authorise immediate strategic review and buyer outreach for PortCo G and PortCo I.
Delegate to Head of Portfolio authority to reallocate up to €80M of dry powder into software and industrial opportunities, subject to Investment Committee sign-off.

First step

Head of Portfolio to present remediation timelines and a shortlist of potential buyers and targets within two weeks.

8 / 8