Incus Investor ASA

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TABLE OF CONTENTS

SCANA OFFSHORE AS

HISTORY

STRATEGIC CHANGE

INCUS INVESTOR ASA

SCANA STEEL AB

SCANA PROPERTY AS

SCANA VALVE CONTROL AS

SCANA STEEL BOOFORGE AB

Incus Investor ASA

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Established in 1987 through the merger of Scan Armatur AS and Scan Paint AS

Acquisition and development of several businesses throughout the 1990-2000s

Oldest portfolio company established in 1652 in Karlskoga, Sweden

Listed on the Oslo Stock Exchange in 1995

Strong growth until 2009

Challenges and restructurings in recent years

Reformation and strategic reorganization in 2015

History

3

The subsidiaries would have a better chance of a positive value

development as independent portfolio companies with Scana

Industrier ASA as an active and competent owner.

During spring 2015, the Board of Scana Industrier ASA voted to

convert the business from a Nordic industrial group to an

industrial investment company. At the 2016 general assembly,

a name change to Incus Investor ASA was decided.

Scana Group was in reality a collection of relatively different

companies and business areas, only bound together by

ownership and financing.

Strategic change

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Focus on value development

Active ownership

Less shared functions

Influence through the boards of directors

INVESTMENT COMPANY

Fully consolidated capital

Under direct control from parent

Access to shared functions

Chasing synergies

BUSINESS AREAS

Direct involvement

PARENT COMPANY

Shared functions

Integrated reporting systems

PORTFOLIO COMPANY

Independently responsible

Complete organization

Active and professional board of directors

Strong focus on improvement in all parts

Direct operational responsibility

Internal reporting procedures

From industrial group to investment company

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Management and allocation of financial resources

TOOLS AVAILABLE FOR AN ACTIVE OWNER

Financial reporting to shareholders, lenders and capital markets

Acquisitions and divestments

INVESTMENT COMPANY – KEY TASKS

Restructuring and operational improvements

INDIVIDUAL MANAGMENT OF EACH INVESTMENT

Active work through BOD and dialogue with CEO/CFO

Simplified and clear processes

Maximizing the value of the company portfolio and setting strategic direction

Financial engineering

Strategic repositioning

Investor network and M&A competence

Defined value creation plan

Designated investment team

Defined ownership agenda

Optimal board and management composition

Strategy based on ownership agenda

Close follow-up of management team

Incus as an active owner

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KEY FIGURES

INCUS TODAY

MNOK

• Diversified portfolio of industrial companies.

• Enterprises engaged in the manufacturing of high

quality steel products and solutions, valve control

systems, offshore mooring and offloading systems

and real estate.

• 352 employees (Incus with portfolio companies).

Incus Investor ASA – Snapshot

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854718

-38 25

2015 2016

OPERATING INCOME EBITDA

Portfolio companies

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Scana Steel Scana Steel BooforgeScana Property VestbyScana Offshore

Systems and

equipment for

mooring and

offloading

Systems for valve

controls

Management and

development of

properties

High quality steel

and solutions

Production of forks

for lifting solutions

and forging and

heat treatment of

steel products

(50,1%)

Scana Steel

Björneborg

Scana Subsea

Scana Eiendom

Jørpeland

Scana Eiendom

Volda

Fjordbris

Scana Valve Control

Skarpenord

Hydraulics Korea

(49%)

Incus Board Of Directors

CEO

Bjørn Torkildsen

INVESTMENT

DIRECTOR

INVESTMENT

DIRECTOR

INVESTMENT

DIRECTOR

INVESTMENT

DIRECTOR

Board of Directors

CEO

Board of Directors

CEO

Board of Directors

CEO

Board of Directors

CEO

Board of Directors

CEO

Raymond GabrielsenSören Andersson Torkjell Lisland Anders Johanson

Kjetil Flesjå - CFO

Financial Department

Scana Steel Scana Steel BooforgeScana Property VestbyScana Valve Control Scana Offshore

Tom Sætremyr Kjetil Flesjå Øyvind Tørlen Leif RosénLeif Rosén

Organization and key resources

INVESTMENT

DIRECTOR

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Steel; 247

Property; 65

Skarpenord; 38

Offshore; -11 Booforge; 28

HQ/Elim; 32

282

212

1187

86

30

Sysselsatt kapital Finansiering Markedsverdi Incus

399 399

NWC

INT. ASSETS

TANGIBLE

ASSETS

OTHER

EMPLOYED CAPITAL - BREAKDOWN

NIBD

EQUITY

MNOKMNOK

Invested capital – Per Dec 2016

10

EMPLOYED CAPITAL FINANCING

KEY FIGURES

COMPANY OVERVIEW

MNOK

• High-quality steel products, applications and

complete solutions with various degrees of

completion in a variety of shapes and steel

grades.

• Headquarter: Björneborg, Sweden.

• 198 employees.

Scana Steel – Snapshot

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539

409

-26 -6

2015 2016

OPERATING INCOME EBITDA

DRILLING

THREADING

ASSEMBLYSURFACE TREATM.

WELDING

PRODUCTS & SERVICES

MARKET

FORGED COMPONENTS WITH HIGH TECHNICAL CONTENT

RAW FORGED SEMI-FINISHED

SHAFTS ROTORS

RISERS JOINTS

FORGED STEEL FOR TOOL MANUFACTURERS

UP TO 45 TONNES OF MACHINED WEIGHT

Oil & Gas

Industry Defence

Power Gen Steel

Marine

MILLING

STEEL MAKING FORGING

HEAT TREATM. TURNING

Scana Steel – Products and services

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KEY FIGURES

COMPANY OVERVIEW

MNOK

• Ownership, management, development and

realization of real estate in Norway.

• Approx. 9 000 m2 industrial property plus large

land areas for further development.

• 1 employee.

Scana Property – Snapshot

Ryfast

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22

76

9

66

2015 2016

OPERATING INCOME EBITDA

LAND AREA

JØRPELAND

Scana Property – PortfolioREAL ESTATE PORTFOLIO

INTERNAL AND EXTERNAL TENANTS

INDUSTRY

VOLDA

74,000 M2 LAND FOR DEVELOPMENT - JØRPELAND

9,000 M2 INDUSTRY - VOLDA

RECREATIONAL LAND AREA JØRPELAND

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KEY FIGURES

COMPANY OVERVIEW

MNOK

• Hydraulic and pneumatic valve control systems

for oil, gas and shipbuilding industry.

• Headquarter: Rjukan, Norway.

• Strategic ownership in Scana Korea Hydraulics.

• 67 employees.

Scana Valve Control – Snapshot

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122108

4 -2

2015 2016

OPERATING INCOME EBITDA

* Results from Scana Skarpenord

*

Scana Valve Control – Products and services

PRODUCTS & SERVICES

MARKET

COMPLETE VALVE CONTROL SYSTEMS

LARGE INSTALLED BASE ON NORWEGIAN OFFSHORE INSTALLATIONS

SHIPS AND FLOATING INSTALLATIONS

GAS FREIGHT IS THE LARGEST MARKET SEGMENT

INCREASING SALES AND MARKET SHARES IN CHINA AND USA

STRONG POSITION IN SOUTH KOREA

SERVICE AND AFTER MARKET

HYDRAULIC AND PNEUMATIC ACTUATORS

CONTROL SYSTEMS

CLOSED CONTROL UNITS

CABINETS

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KEY FIGURES

COMPANY OVERVIEW

MNOK

• System solutions for offloading, mooring,

swivels and other turret-related equipment for

floating production and storage vessels.

• Headquarter: Vestby, Norway.

• 20 employees.

Scana Offshore – Snapshot

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108

59

13-2

2015 2016

OPERATING INCOME EBITDA

Scana Offshore – Products and servicesPRODUCTS & SERVICES

MARKET

OFFLOADING SYSTEMS

TURRET SOLUTIONS

SWIVEL STACKS

FEASIBILITY STUDIES AND SPECIAL DESIGNS

SERVICE

MOORING SOLUTIONS

FPSO

FSO

FSU

LNG PROCESSING UNITS

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KEY FIGURES

COMPANY OVERVIEW

MNOK

• Manufacturer of larger forklift truck arms and

other forged products with high strength

requirements.

• Heat treatment of large steel components.

• Headquarter: Karlskoga, Sweden.

• 60 employees.

Scana Steel Booforge – Snapshot

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98

81

0 -3

2015 2016

OPERATING INCOME EBITDA

Scana Steel Booforge – Products and services

PRODUCTS & SERVICES

MARKET

TRUCK MANUFACTURERS

MACHINE MANUFACTURERS

SERVICE AND REPAIR

FORGED ARMS FOR FORKLIFT TRUCKS

SUPPLIERS TO THE OIL AND GAS INDUSTRY

LIFTING EQUIPMENT FOR FORKLIFT TRUCKS

HEAT TREATMENTS FOR LARGER GOODS

FREE FORM FORGED COMPONENTS

STEEL MANUFACTURERS

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Incus Investor ASA

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