Livestock & Dairy Investment Opportunities

Global AgInvesting Conference London 2nd – 3rd December 2014

David Sackett Managing Director, Growth Farms

Meat and dairy offer the biggest opportunities…….

Source: ABARES

Key players in global red meat exports

Source: USDA 2013Source: FAOSTAT, 2011

Lamb has seen a large price increase

What sort of returns? (Australia)

• Operating yield (before capital appreciation of 6-8%)

• Beef 2-4%• Lamb 4-6%• Dairy 5-8% (sharemilk - operate)

Opportunities• Countries with competitive advantages

• Beef in Sth America, Australia• Sheep in Aust, NZ• Dairy in NZ, Aust.

• Low – moderate correlation with grains• Sheep & dairy offer some great advantages• Aggregation of subscale farms• Buy and manage well

Introduction to Growth Farms Australia

Specialist Managers in Australian Agriculture

Sep 2014

• Established in 1999 with an appropriate blend of farm management, commercial, legal and accounting experience

• Has over $380m under management, over $200m since 2008

• Specialises in portfolio strategy, acquisition and management of Australian broad-acre agricultural investments

• Works with a diverse client base including high net worth individuals, corporate and institutional investors from Australia, Asia and Europe

• Has recently had first close of a Fund with a UK insurance company as the seed investor

• Has a proven track record of value acquisitions and top quartile operating returns

• Employs highly qualified operational management who are all experienced agricultural specialists covering a wide range of sectors

Growth Farms is an established agricultural asset management company:

Assets under management are substantial and across diverse agricultural sectors:

• $380m and a total area of 105,000 hectares

- 150,000 sheep- 14,000 cattle- 21,000 ha winter crop

- cereal, oilseed, other- 4,000 ha summer crop

- cotton, sugar, other

Thirty farms under management, most in the higher rainfall areas of eastern Australia:

Climate Zones

Source: Growth Farms Australia, Australian Bureau of Meteorology - http://www.bom.gov.au/jsp/ncc/climate_averages/climate-classifications/index.jsp?maptype=kpngrp

Growth Farms operating yield track record (EBITDA as % asset value)

For further information:

•David SackettManaging Director

+61 (0) 419 164 273dsackett@growthfarms.com.au

•www.growthfarms.com.au