CASE STUDY HUBERT:

LONG-TERM VALUE CREATION AND GROWTH

Case Study Hubert: Long-term value creation and growth

2Case Study Hubert | TAKKT 2016

… TAKKT acquired Hubert, a leading supplier in the U.S. market of foodservice equipment. Bart Kohler was President & COO of Hubert and selling the company for the owners, the Hubert family.

At that time, Hubert generated a turnover of ~ USD 90 million.

Bart Kohler decided to stay with the company also after the acquisition.

In 2000, …In 2000, …In 2000, …In 2000, …

Case Study Hubert: Long-term value creation and growth

3Case Study Hubert | TAKKT 2016

… Hubert has an even stronger position in its market, and is the core of TAKKT’s Specialty Products Group (SPG), which consists of 9 companies that generated turnover of around USD 400 million in 2015 (50% of it online).

Bart Kohler is still President & COO of Hubert, and President of the whole SPG.

Today …Today …Today …Today …

Case Study Hubert: Long-term value creation and growth

4Case Study Hubert | TAKKT 2016

Strategic development:Strategic development:Strategic development:Strategic development:

• Expansion of the assortment

• International roll-out: First to Canada , then to Europe

• Infrastructure investments (new warehouses, solar roof installation, new webshops)

• Add-on acquisitions:

• Central Restaurant Products: Distributor of restaurant equipment and supplies

• GPA / Displays2Go: Distributor of display products

• Post-Up Stand: Distributor of customized display products

Acquisition ofHubert

Market entry Europe via Germany

Acquisition ofPost-Up Stand

Market entryCanada

Market entryFrance

Acquisition ofDisplays2Go

2000200020002000

2005200520052005

2006200620062006

2009200920092009 2010201020102010

Market entrySwitzerland

Acquisition ofCentral

2009200920092009

2015201520152015

2012201220122012

Warehouse expansions

2007200720072007

FoundationRetail Resource

2008200820082008

2012201220122012

Solar roof installationHubert HQ

Opening Hubert Asian Sourcing

2014201420142014

New Hubert Distribution Center

2015201520152015

Case Study Hubert: Long-term value creation and growth

5Case Study Hubert | TAKKT 2016

2000 2015

Turnover development (USD million):Turnover development (USD million):Turnover development (USD million):Turnover development (USD million):

88

~400

• Hubert was used as a platform for the establishment of a new segment (Specialty Products Group)• Despite the high growth and the add-on acquisitions TAKKT succeeded in maintaining the

profitability of the Specialty Products Group

GPA, acquired in 2012

US

Central, acquired in 2009

Canada / Europe, foundedin 2005 / 2007-2010

SSSSpecialty PPPProductsGGGGroup

Post-Up Stand, acquired in 2015

Case Study Hubert: Long-term value creation and growth

6Case Study Hubert | TAKKT 2016

2005: Market entry Canada2005: Market entry Canada2005: Market entry Canada2005: Market entry Canada 2006: Market entry Europe2006: Market entry Europe2006: Market entry Europe2006: Market entry Europe

Major investments in roll-out of the Hubert business model to new countries

Case Study Hubert: Long-term value creation and growth

7Case Study Hubert | TAKKT 2016

2008: Foundation Retail Resource2008: Foundation Retail Resource2008: Foundation Retail Resource2008: Foundation Retail Resource

Retail Resource was a greenfield startup that targets non-food retail establishments

Case Study Hubert: Long-term value creation and growth

8Case Study Hubert | TAKKT 2016

2009: Acquisition of Central Restaurant Products2009: Acquisition of Central Restaurant Products2009: Acquisition of Central Restaurant Products2009: Acquisition of Central Restaurant Products

• Central is a distributor of restaurant equipment and supplies in the U.S.• Annual turnover at acquisition: USD 70 million• Annual growth 2009 – 2015 considerably above the TAKKT average

Case Study Hubert: Long-term value creation and growth

9Case Study Hubert | TAKKT 2016

2012: Acquisition of GPA / Displays2Go2012: Acquisition of GPA / Displays2Go2012: Acquisition of GPA / Displays2Go2012: Acquisition of GPA / Displays2Go

2014: Opening of the new warehouse 2014: Opening of the new warehouse 2014: Opening of the new warehouse 2014: Opening of the new warehouse in Fall River, Massachusetts: in Fall River, Massachusetts: in Fall River, Massachusetts: in Fall River, Massachusetts:

• GPA is a distributor of display products, selling mainly online under the brand Displays2Go• Annual turnover at acquisition: USD 51 million• Annual growth 2012 – 2015 considerably above the TAKKT average

Case Study Hubert: Long-term value creation and growth

10Case Study Hubert | TAKKT 2016

2012: Solar roof installation 2012: Solar roof installation 2012: Solar roof installation 2012: Solar roof installation Hubert HQ Hubert HQ Hubert HQ Hubert HQ

The development of Hubert is supported by major investments in sourcing and logistics capabilities

2015: Hubert opens new 2015: Hubert opens new 2015: Hubert opens new 2015: Hubert opens new warehouse in Nevadawarehouse in Nevadawarehouse in Nevadawarehouse in Nevada

2014: New Hubert sourcing 2014: New Hubert sourcing 2014: New Hubert sourcing 2014: New Hubert sourcing office in Hong Kongoffice in Hong Kongoffice in Hong Kongoffice in Hong Kong

Case Study Hubert: Long-term value creation and growth

11Case Study Hubert | TAKKT 2016

2015: Acquisition of Post2015: Acquisition of Post2015: Acquisition of Post2015: Acquisition of Post----Up StandUp StandUp StandUp Stand

• Post-Up Stand is a distributor of customized display products, mainly banner stands• Annual turnover at acquisition: USD 16 million• Turnover growth 2015 considerably above the TAKKT average

Case Study Hubert: Long-term value creation and growth

12Case Study Hubert | TAKKT 2016

More to come ….More to come ….More to come ….More to come ….

Further growth opportunities SPG:

• new products• adjacent markets• international rollout • investments into people, systems, facilities