Successful placement of capital increase

• Gross proceeds of about 38.6 million euros to finance growth
• Broader investor base

Frankfurt am Main, 15 September 2016. Deutsche Beteiligungs AG (DBAG, Deutsche Börse Prime Standard, ISIN DE000A1TNUT7) today successfully completed the capital increase announced yesterday. German and international institutional investors acquired 1,367,635 new shares, which represent ten percent of the present number of shares. The new issue generates gross proceeds of about 38.6 million euros for the Company. The placement price was 28.25 euros per share, a discount of 4.7 percent on yesterday’s Xetra closing price, which was the last price prior to the announcement of the capital increase. Shareholders’ subscription rights were excluded. Subsequent to registration of the share issue in the commercial register, the subscribed capital of DBAG will increase to 53,386,664.43 euros. The new shares carry dividend rights for the current 2015/2016 financial year ending 30 September 2016. Inclusion of the new shares in the existing trading of DBAG shares in the Prime Standard on the Frankfurt Stock Exchange is anticipated to begin on 20 September 2016.

The additional financial resources serve to finance DBAG’s further growth. They will be used for co-investments alongside the closed-end private equity funds advised and/or managed by Deutsche Beteiligungs AG, particularly the recently launched DBAG Fund VII. DBAG wants to co-invest up to 200 million euros from its balance sheet alongside this fund. That corresponds to a 50-percent increase on the 133 million euros that DBAG committed in 2012 to DBAG Fund VI, which are meanwhile largely invested.

“This capital increase is a consistent implementation of our financing strategy – Deutsche Beteiligungs AG finances its activities in the long term exclusively by way of the stock market; the line of credit secured at the beginning of the year is only intended to serve short-term liquidity requirements in exceptional cases,” said Susanne Zeidler, Chief Financial Officer at DBAG. Torsten Grede, Spokesman of DBAG’s Board of Management, said: “Following the successful fundraising for DBAG Fund VII eights weeks ago, this capital increase is proof of how attractive the business model of Deutsche Beteiligungs AG also is for international equity investors – DBAG shares give them access to a portfolio of more than 20 German “Mittelstand” companies with huge potential, and they also profit from increasing earnings generated by our fund investment services.”

The shares were placed among German and international institutional investors. Demand was particularly high from investors in Germany, the UK and the US. Existing major shareholders as well as institutional investors previously invested in DBAG subscribed to the capital increase. Following registration of the new shares, DBAG’s shareholder profile will shift towards a greater proportion of institutional investors.

DBAG commissioned Baader Bank AG as the sole bookrunner with the transaction. Lilja & Co. and Allen & Overy LLP advised the Company in preparing and transacting the capital increase. Hogan Lovells International LLP acted as counsel to Baader Bank in legal matters.