1. www.heirsholdings.com ONLY IN NIGERIA IS OUR STORY EVEN POSSIBLE THE 17 th NIGERIAN ECONOMIC SUMMIT NOVEMBER 10, 2011

2. www.heirsholdings.com OPPORTUNITIES & CHALLENGES  Weak institutions and high level of bureaucracy  Pervasive corruption  Weak investor confidence  Insecurity  Large infrastructural gaps and challenges 2 THE BAD - HISTORY !

3. www.heirsholdings.com ONCE UPON A TIME….

4.  In January 2001, a telecommunications company wins bid for mobile license in Nigeria at a cost of $285 million  Nigeria deemed a risky bet  Institutional investors sceptical Telecommunications Sector 4

5. www.heirsholdings.com  Fewer than four land lines per every 1,000 people in Nigeria  Extremely limited wireless capacity and unproven market  Shareholders extremely wary  Company gains 300,000 subscribers first year  Fewer than four land lines per every 1,000 people in Nigeria  Extremely limited wireless capacity and unproven market  Shareholders extremely wary  Company gains 300,000 subscribers first year Back in 2001 5

6. www.heirsholdings.com  Today, the company has 40 million subscribers and growing  In 2010, the company reported US$17 billion in revenue out of which US$5 billion came from Nigeria alone *Source: BusinessDay, March 10, 2011  Today, the company has 40 million subscribers and growing  In 2010, the company reported US$17 billion in revenue out of which US$5 billion came from Nigeria alone *Source: BusinessDay, March 10, 2011 In 2011 6

7. www.heirsholdings.com  Nigeria operations has 27% of company’s global subscriber base  Nigeria is the most profitable subsidiary, contributing about 30% of the Group’s revenue * Source: BusinessDay, March 10, 2011  Nigeria operations has 27% of company’s global subscriber base  Nigeria is the most profitable subsidiary, contributing about 30% of the Group’s revenue * Source: BusinessDay, March 10, 2011 In 2011 7

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9. Only in Nigeria is this story even possible 9

10. www.heirsholdings.com  In 1962, first brewery outside of Ireland and Great Britain built at Ikeja, Lagos  Steady growth prompts building of three more breweries 10

11. www.heirsholdings.com  Distribution and logistics challenges  Poor infrastructure – roads, power  Distribution and logistics challenges  Poor infrastructure – roads, power The Challenges 11

12. www.heirsholdings.com  Turnover grew by 48.6% from N62.2 billion (US$410 million) in June 2007 to N123.6 billion (US$820 million) in June 2011  Operating profit increased by 85.7% from N14.2 billion (US$94 million) recorded in June 2007 to N26.5 billion (US$176 million) in June 2011  Emerging markets expected to contribute 50% of company’s global net sales by 2015, up from 34% in 2011  Africa is the largest contributor to the growth in emerging markets  Turnover grew by 48.6% from N62.2 billion (US$410 million) in June 2007 to N123.6 billion (US$820 million) in June 2011  Operating profit increased by 85.7% from N14.2 billion (US$94 million) recorded in June 2007 to N26.5 billion (US$176 million) in June 2011  Emerging markets expected to contribute 50% of company’s global net sales by 2015, up from 34% in 2011  Africa is the largest contributor to the growth in emerging markets 2011 12

13. www.heirsholdings.com  From July 1, 2011 Africa started operating as an autonomous region  Most of the above has been largely driven with Nigeria as the largest single contributor in Africa  Nigeria is currently the world’s second-biggest market for the beer outside Britain, accounting for 41% of global volume sales of stout  From July 1, 2011 Africa started operating as an autonomous region  Most of the above has been largely driven with Nigeria as the largest single contributor in Africa  Nigeria is currently the world’s second-biggest market for the beer outside Britain, accounting for 41% of global volume sales of stout 2011 13

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15. www.heirsholdings.com Only in Nigeria is this story even possible 15

16. www.heirsholdings.com  Two major banks merge in 2005  Consolidated entity becomes a Pan- African organisation with operations in 19 African countries and three continents in 5 years. 16

17. www.heirsholdings.com  Was a one-country financial institution  Had less than 3 million retail customers  300-branch network and less than 40 ATMs  Employed about 7,000 Nigerians  Total balance sheet size of about US$ 2.5 billion  Was a one-country financial institution  Had less than 3 million retail customers  300-branch network and less than 40 ATMs  Employed about 7,000 Nigerians  Total balance sheet size of about US$ 2.5 billion 2005 17

18. www.heirsholdings.com  Bank has presence in 19 African countries  Present in 3 major international financial centres ( New York, London and Paris )  Bank has a balance sheet size of US$19.5 billion  Bank has more than 700 branches nationwide with almost 3,000 ATMs  Employs almost 20,000 employees from across the continent  Bank has presence in 19 African countries  Present in 3 major international financial centres ( New York, London and Paris )  Bank has a balance sheet size of US$19.5 billion  Bank has more than 700 branches nationwide with almost 3,000 ATMs  Employs almost 20,000 employees from across the continent 2011 18

19. www.heirsholdings.com Operational Regulatory Approval in Progress Benin Nigeria Cameroon Uganda Kenya Tanzania Zambia D.R Congo Congo Brazzaville Gabon Ghana Cote d’lvoire Liberia S. Leone Guinea USAUK Paris Abu Dhabi Guangzhou Senegal Burkina Faso Chad Mali Cayman Island Mozambique Zimbabwe Angola 19

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21. www.heirsholdings.com Only in Nigeria is this story even possible 21

22. www.heirsholdings.com  The first major Nigerian-produced and directed movies were made in the 1960s by Ola Balogun and Hubert Ogunde  In 1992, the hugely successful “Living in Bondage” is produced by Kenneth Nnebue and launches new era in filmmaking 22

23. www.heirsholdings.com  High cost of production  Absence of formal regulated structure  Piracy  Lack of distribution network  Funding problems  Lack of training facilities  High cost of production  Absence of formal regulated structure  Piracy  Lack of distribution network  Funding problems  Lack of training facilities The Challenges 23

24. www.heirsholdings.com  Despite virtually unhindered piracy, industry remains firm growth sector with a 70% yearly average surge in the number of movies registered between 2000 and 2006*  A $250 million industry second only to India’s  Thousands of jobs – industry is 2 nd largest employer after agriculture*  Despite virtually unhindered piracy, industry remains firm growth sector with a 70% yearly average surge in the number of movies registered between 2000 and 2006*  A $250 million industry second only to India’s  Thousands of jobs – industry is 2 nd largest employer after agriculture* Today 24 *Source: World Bank study, Ismail Radwan & Pierre Straus

25. www.heirsholdings.com  A positive image for Nigeria internationally  An avenue to promote Nigeria’s rich culture and talents  A positive image for Nigeria internationally  An avenue to promote Nigeria’s rich culture and talents Today 25

26. www.heirsholdings.com Only in Nigeria is this story even possible 26

27. www.heirsholdings.com WHAT DO WE LEARN Nigeria offers:  An extraordinary demographic profile – 7 th largest population in the world  Abundant workforce  One of the fastest growing economies in the world  Untapped abundant natural resources  Market-oriented reforms shaping economic policy  Entrepreneurial spirit 27

28. www.heirsholdings.com WHAT DO WE LEARN Nigeria is:  A destination where multinationals can and do succeed  Where domestic champions are rising and adopting increasingly regional and global strategies  Full of people who are entrepreneurial, innovative, and ready to leverage opportunities and adopt technology 28

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30. www.heirsholdings.com OOnly IIn Nigeria AAre these stories EEven possible