GP Investments : 2Q20 Results

GP Investments

Earnings Release

Second Quarter 2020

2

2Q20 Highlights

August 14th, 2020 - This release reports the 2Q20 results of GP Investments, Ltd. ('GP') [B3: GPIV33], a leading firm in private equity and alternative investments.

Highlights of the quarter included:

1. GP Investments' results in the second quarter of 2020 reflected the partial recovery in financial markets after the initial impacts associated with the effects of the COVID-19outbreak. Mark-to- market adjustments in our portfolio companies have translated into unrealized gains but were partially offset by the continued devaluation of the Brazilian Real. GP ended the quarter with a total net profit of USD 25.3 million.
2. As of June 30, 2020, GP Investments' NAV totaled USD 275.6 million (USD 2.51 per share), a 10% increase since last quarter, mainly driven by the positive performance of GP's publicly traded portfolio companies, despite the negative impact of the BRL devaluation on our portfolio.
3. GP continued to improve its efficiency, with 2Q20 operating expenses declining to USD 2.5 million, down 29% vs. 2Q19. The decline reflects the management's constant focus on cost control.
4. On June 5th, Centauro raised BRL 900 million in a Follow-On offering priced at BRL 30.00 per share. The company expects to utilize the resources in ongoing acquisition negotiations and to strengthen its capital structure.
5. At the beginning of 3Q20, GP completed a new investment in CERC, a fintech that provides the underlying infrastructure of credit financial markets, offering services of validation, registry and clearing of receivables. This investment represents another step towards the development of a portfolio of technology companies with innovative business models, robust technology, and remarkable entrepreneurs aiming to disrupt large markets. Over the years, GP Investments has been leveraging its experience and expertise to support the development of these companies into sustainable organizations built for the long run. CERC joins a portfolio that once held 99 Taxi, the first Brazilian unicorn, and now holds Blu, Quero Educação, Expanding Capital and The Craftory.

About GP Investments

GP Investments is a leading private equity and alternative investments firm. Since its founding in 1993, GP Investments has raised USD 5 billion from investors worldwide, completed investments in more than 50 companies, and executed over 25 equity capital market transactions.

GP Investments has a consistent and disciplined investment strategy targeting established companies that have the potential to grow and to be more efficient and profitable by becoming leaders in their industries. Since 2006, GP Investments has had its Class A Shares traded in the form of Brazilian Depositary Receipts (BDRs) traded on the Brazilian Stock Exchange (B3 S.A. - Brasil, Bolsa, Balcão), under the ticker GPIV33, and traded on the Luxembourg Stock Exchange.

The firm currently has offices in São Paulo, New York, London and Bermuda. For more information, please visit www.gp-investments.com.

GP Investments

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End of Quarter Figures

Market Cap						2
USD 95mm		8.5
		7.5				1.5
Share Price
BRL						USD
USD 0.87	6.5
	-						-
	Price	5.5				1	Price
Net Asset Value	Share					Share
USD 275.6mm	4.5
						0.5
NAV per Share		3.5
USD 2.51
		2.5				0
NAV Discount		Jun-19	Sep-19	Dec-19	Mar-20	Jun-20
65%				BRL	USD

NAV per Share & Discount

GP Investments

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The Publicly Listed Portfolio - Performance

GP's portfolio of publicly listed companies contributed a total of USD 26.4 million (excluding the FX impact) to the increase in fair market value ("FMV") within GP's 2Q20 results:

• Centauro (CNTO3): Centauro shares appreciated by 36.0% in the second quarter of 2020, closing the quarter at BRL 32.71.
• BR Properties (BRPR3): BR Properties shares depreciated by 2.6% in the second quarter of 2020, closing the quarter at BRL 8.92.
• Rimini Street (RMNI): Rimini Street shares appreciated by 25.9% in the second quarter of 2020, closing the quarter at USD 5.15.

LTM Share Performance (in local currency¹)

Base: Jun. 2019 = 100.
360
330
300
270
240
210
180
150
120
90
60
Jun-19	Aug-19	Oct-19	Dec-19	Feb-20	Apr-20	Jun-20
		Centauro	BRPR	Rimini Street

1. BR Properties (BRPR3) and Centauro (CNTO3) are priced in Brazilian Reais, while Rimini Street (RMNI) is priced in U.S. Dollars.

GP Investments

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Publicly Listed Companies

Date of Investment	Investment Vehicle
November 2012	GPCP V
Industry	Asset liquidity
Sporting Goods Retail	Publicly traded

Centauro (B3: CNTO3) is Latin America's largest retailer of sporting goods. Founded in April 1981 in Belo Horizonte, Minas Gerais, Brazil, it now has nearly 200 stores across 22 of Brazil's 26 states and the Federal District. The stores are designed as 'temples for sports', aiming to offer customers not only products but an outstanding experience in sports shopping. Centauro focuses on making technology an increasingly important element in this experience, with omnichannel initiatives - the backbone of the strategy - being offered through the integration of on-line and off-line operations.

2Q20 update

The company's sales were directly affected in the 2Q20 due to COVID-19, presenting a drop of 51.8% in same store sales, considering only sales of stores open in both periods, and an increase of 105% same stores sales in e-commerce. Although sales through the e-commerce platform are thriving, sales directly at the stores are still recovering as malls gradually re-open.

In June, Centauro raised BRL 900M (30M Shares) in a Follow-On offering priced at BRL 30.00 per share.

As a marketing strategy, the company has been creating content and making live streaming which encourages the practice of exercises at home since social distancing measures are forcing people to work out from home. This scenario creates a good opportunity for e-commerce sales in this segment.

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	Date of Investment	Investment Vehicle
	June 2016	GPCP VI
	Industry	Asset liquidity
	Commercial Real Estate	Publicly traded

BR Properties (B3: BRPR3) is one of Brazil's leading commercial real estate investment companies. It operates in acquisition, rental, management, development and sale of commercial real estate, primarily in high-end properties, including offices and warehouses (both logistics and industrial) in Brazil's main metropolitan areas.

2Q20 update

BR Properties registered a physical vacancy rate in 2Q20 of 19.2%, down from 20.1% at the end of 1Q20, as a result of leasing 6,116 square meters in gross area during the quarter. Net revenues dropped 23% YoY on the back of asset sales, however, on a same-properties base, net revenues increased by 13%.

Due to the capital structure optimization over the last quarters, BRPR reduced financial expenses by 92% when compared to 2Q19. As a result, FFO has reached BRL 45.7 million, a 1,109% YoY increase. FFO margin was 61%, the highest level in the company's history.

During the quarter, BR Properties concluded a share buyback program launched in March, having acquired 4 million shares for an average price of BRL 8.81 per share.

In face of the COVID-19 situation that impacted the country's economy, BR Properties kept monitoring its tenant portfolio in order to understand extraordinary needs from an operational standpoint, as well as possible financial impacts from the crisis on each customer. In this context, the company granted rent deferrals to tenants more vulnerable to these impacts. The deferrals granted during the quarter represent c.5% of the company's gross revenue.

GP Investments

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	Date of Investment	Investment Vehicle
	October 2017	GP, Spice PE & GPIAC
	Industry	Asset liquidity
	Enterprise Software Support	Publicly traded

Rimini Street (Nasdaq: RMNI) is a global provider of enterprise software products and services. It is the leading third-party provider of support for Oracle and SAP software products, and a Salesforce partner. It offers premium, ultra-responsive and integrated application management and support services that enable enterprise software licensees to save significant costs, free up resources for innovation, and achieve better business outcomes.

2Q20 update

Rimini's client base kept growing at double digits, having increased in 13.9% over the last 12 months and reaching 2,159 active clients. The company achieved record quarterly revenue of USD 78.4 million, within the guidance for the quarter and up 12.2% against the USD 69.9 million last year. Adjusted EBITDA was USD 9.6 million for the 2Q20, compared to USD 8.5 million in 2Q19.

The company provided 3Q20 revenue guidance to be in the range of USD 78.5 million to USD 80.5 million. It also raised the low-end of full year revenue guidance from USD 310 million to USD 314 million, resulting in a full year 2020 revenue guidance in the range of USD 314 million to USD 320 million.

GP Investments

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Private Companies

	Date of Investment	Investment Vehicle
	August 2017	Spice Private Equity
	Industry	Asset liquidity
	Restaurants	Privately held

Founded in 2005, LEON is a chain offering healthy fast food, based in the UK. The founders set out to prove that it is possible to serve fast food that both tastes good and does you good - "Natural Fast Food". The menu is inspired by the flavors, variety and natural healthiness of Mediterranean cooking, offered at reasonable prices.

2Q20 update

As restaurants start to gradually re-open, LEON continued to make progress on its various digital initiatives, both inside and outside of its stores. Click-and-collect functionality has been implemented across restaurants through LEON's mobile app and delivery resumed its growth, having represented a meaningful share of total sales in the quarter.

LEON's grocery business continued to expand and added new channels, including Amazon. The Feed Britain campaign, delivering pre-made meals and fresh products to 500+ postal codes in the UK, is expected to soon be relaunched as LEON at Home, which should include many of LEON's products and continue to sell the most enjoyed goods from Feed Britain.

Finally, in the second quarter LEON successfully advanced its FeedNHS campaign, which has supported the service of over 460,000 meals to Britain's National Healthcare System critical care workers throughout the pandemic.

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	Date of Investment	Investment Vehicle
	May 2018	Spice Private Equity
	Industry	Asset liquidity
	Restaurants	Privately held

Bravo Brio (formerly FoodFirst Global Restaurants) is a leading owner and operator of two distinct Italian restaurant brands in the upscale affordable dining segment: Bravo Fresh Italian and Brio Italian Mediterranean. It aims to be the best Italian restaurant company in the United States, focused on providing guests with an excellent dining experience through consistency of execution.

2Q20 update

In the light of COVID-19 pandemic and its social distancing measures, FoodFirst had to close most of its restaurants in the US, leading to the Chapter 11 filing in early April. During the Chapter 11 proceedings, Spice PE formed a joint venture ("JV") with Earl Enterprises to provide financial and operational support to the company.

As part of the process, the JV acquired substantially all assets from FoodFirst, including BRIO Italian Grille and BRAVO! Italian Kitchen brands. In early August, FoodFirst bankruptcy case was dismissed by Orlando's Bankruptcy Court. Looking ahead, the JV expects to continue working together with former FoodFirst landlords and is expected to assume the operations of approximately 65 restaurants. Management is working to safely open dining rooms following government guidelines and hygiene protocols.

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Technology-driven Companies

	Date of Investment	Investment Vehicle
	March 2020	Proprietary
	Industry	Asset liquidity
	Fintech	Privately held

Blu is a fintech that offers innovative financial solutions for independent merchants and suppliers in selected segments such as mattresses, furniture, eyewear and fashion. Blu's digital platform provides simple and advantageous solutions that help retailers grow and reduce transactional costs, while enabling industries to sell more without risk of default. Today, more than 12 thousand shops and 2 thousand suppliers are connected through Blu's marketplace.

2Q20 update

Despite the impact of the COVID-19 crisis in physical retail operations throughout the country, Blu was able to post a strong TPV (total payment volume) growth in 2Q20 when compared to 2Q19, based on its unique product offering and commercial strategy.

In face of the pandemic, Blu launched a campaign to help independent merchants to resume their operations, which counted with the adoption of more than 500 suppliers. Furthermore, during 2Q20, the company stepped up its innovation efforts and launched new solutions on its platform, including a CRM mobile application that enables retailers to sell online and new payment options in its B2B marketplace.

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	Date of Investment	Investment Vehicle
	May 2018	Spice Private Equity
	Industry	Asset liquidity
	Investment Platform	Privately held

The Craftory is an investment holding company with approximately USD 375 million of permanent capital to deploy in up to 10 of the world's boldest challenger brands within the fast-moving consumer goods space. It focuses on Europe and the U.S., seeking high-growth consumer brands with annual revenues of at least USD 10 million. The goal is to boost sales with scalable operations, effective storytelling and digital marketing. The Craftory is led by entrepreneurs and brand experts who are seeking targets that have truly disruptive business models, where they can leverage their experience and expertise to help catapult growth.

2Q20 update

The Craftory's portfolio companies continue to grow at a rapid pace based on their Direct-to- Consumer distribution models, digital strategy and righteous causes. The team at the Craftory remains actively engaged with their investees, helping them adapt their processes, strengthen their teams and evolve their strategy.

The Craftory also continues to build a robust pipeline of potential investment targets leveraging multiple tech-enabled sourcing tools. Some of the current categories in focus are food & beverages and beauty & cosmetics.

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Spice Private Equity Ltd. ('Spice PE'), listed on the SIX Swiss Exchange (SPCE), is an investment company focused on global private equity investments. GP Investments became the controlling shareholder in 2016, as part of its strategy of pursuing a portfolio of companies with global leadership ambitions, using proprietary capital. As a listed vehicle, Spice PE provides GP with a permanent pool of capital through which it can invest in companies around the globe. Leon, Rimini Street, FoodFirst and The Craftory are all examples of direct investments made by GP via Spice PE.

2Q20 update

Spice PE reported a Net Asset Value of USD 124.9 million at the end of 2Q20, up 2.8% when compared to USD 121.5 million at the end of 1Q20. The company's balance sheet is comprised by cash & cash equivalents (21%), direct investments (69%), and the Legacy Portfolio (10%). The company's balance sheet is debt-free. The increase in NAV mainly reflects the appreciation of Rimini Street shares during the quarter. During the quarter, Spice PE deployed USD 4.5 million in Bravo Brio as part of FoodFirst's restructuring process.

GP Investments

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Results

GP Investments presents its results excluding non-controlling interests from its private equity and real estate activities and segregates its results into:

• Fund Management, which includes the fees received by GP Investments as the general partner in its private equity and real estate funds and its ownership as the controlling shareholder of GP Advisors - and
• Capital Results, which includes the participation of GP Investments as an investor in the funds it manages and other directly held investments.

In addition, Spice Private Equity's financial accounts are consolidated within GP's balance sheet. The proportional balance sheet consolidates 100% of Spice PE's individual accounts within GP's financials and the minority interests are excluded from the company's equity.

The figures on the following pages are management figures and, as such, are unaudited.

The complete financial statements, which include all non-controlling interests and are reviewed by our independent auditors, are presented at the end of this release.

These financial statements are in accordance with U.S. GAAP standards and are being released simultaneously in all jurisdictions in which GP Investments has its securities traded. In compliance with requirements of the Brazilian Securities and Exchange Commission (Comissão de Valores Mobiliários) the issuer also releases financial statements in accordance with IFRS standards, which may differ from these financial statements due to the different basis of the accounting standard.

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Net Asset Value (NAV)

The following table presents the breakdown by investment of GP Investments' NAV as of June 2020:

Value of Investments (in USD million)	GP	Spice	GP + Spice
Equity Portfolio	169.9	96.7	266.6
Publicly Traded Companies	119.0	-	119.0
BR Properties¹	14.7	-	14.7
Rimini Street	4	8.0	-	8.0
Centauro¹		96.2	-	96.2
Privately-Held Companies	51.0	96.7	147.7
2		29.9	-	29.9
Blu
Spice's portfolio	-	96.7	96.7
Real Estate Investments³	5.7	-	5.7
Other Investments	15.4	-	15.4
Assets and Liabilities	31.4	(22.4)	8.9
Cash and Cash Equivalents	62.3	28.5	90.8
Financial Investments	17.4	-	17.4
Other Assets	42.1	0.8	43.0
Liabilities		(90.4)	(1.5)	(92.0)
Minority Interest	-	(50.2)	(50.2)
NAV (Shareholders' Equity)	201.3	74.3	275.6

1. The value of the investment is based on the company's market capitalization as of June 30, 2020.
2. Value of the investment is based on recently completed investment round.
3. Value of the investment is based on the acquisition value for some of the fund's projects, and on DCF methodology for others, according to GPRE's Policies as described in the 1Q13 Earnings Release, both adjusted by the exchange rate as of June 30, 2020.
4. The value of the investment is based on the company's market capitalization as of June 30, 2020, including GPIAC, which is the vehicle that holds the sponsor shares, warrants and expense reimbursement related to the Rimini Street

transaction to be received by GP from GPIAC.

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NAV Change Breakdown

(USD mm)

At June 30, 2020 the total NAV of the holdings of GP Investments was USD 275.6 million. The resulting NAV per share was USD 2.51, an increase of 10% from March 31, 2020.

NAV appreciation in the quarter was mainly driven by the impact of the positive change in FMV of listed companies, totaling USD 26.3 million in the period, and by the negative impact of the BRL variation on our portfolio, totaling USD (7.7) million. The mark-to-market effects were mainly driven by the partial recovery of share prices after the high volatility in financial markets in response to the COVID-19 outbreak.

Portfolio mark-to-market adjustments at Spice PE have also led to gains in the quarter and contributed positively to our NAV, with an impact of USD 0.9 million, representing GP's c.64% share of Spice PE's results.

2Q20 results will be further detailed in the next pages.

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Net revenues

Revenues per Segment	2Q20	2Q19
In USD million
Fund Management Revenues	2.5	4.1
Management fees	2.5	4.0
Performance fees	-	0.1
Unrealized performance fees	-	-

Capital Results Revenues	19.7	20.0
Appreciation / Depreciation in fair value of investments	32.2	16.2
Net realized gains	(12.6)	3.8
Dividends and others	0.1	-
Total Revenues	22.2	24.1

Fund Management

Management fees, including intercompany management fees, totaled USD 2.5 mm in the second quarter of 2020.

Capital Results

The total FMV of our portfolio companies increased by USD 19.6mm during the quarter, mainly driven by the impact of the positive change in the FMV of listed companies, totaling USD 26.3 mm and partially offset by FX change totaling USD (7.7) mm.

Proportional Change in Fair Market Value
In USD million	BRL	Chg. In	Chg. in FMV
Translation	Valuation	2Q20
Centauro	(4.6)	24.3	19.7
BR Properties	(0.7)	(0.5)	(1.2)
Real Estate Investments	(0.3)	0.9	0.6
Rimini Street + GPIAC	(0.4)	2.5	2.1
Blu	(1.5)	(0.1)	(1.6)
Others	(0.1)	0.1	(0.0)
Total	(7.7)	27.3	19.6

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Expenses

Operating expenses totaled USD (2.5) mm in 2Q20, representing a decrease of 29% year-over-year compared to USD (3.5) mm in 2Q19. This decline was a result of GP's continuous focus on operational efficiency.

The reduction relates to a 33% drop in Personnel expenses, from USD (2.1) mm in 2Q19 to USD (1.4) mm in 2Q20 and a 21% drop in G&A expenses, from USD (1.4) mm in 2Q19 to USD (1.1) mm in 2Q20.

Stock option expenses totaled USD (0.1) mm. These are non-cash expenses, recorded according to U.S. GAAP standards.

Expenses breakdown	2Q20	2Q19
In USD million
Operating expenses	(2.5)	(3.5)
General and administrative	(1.1)	(1.4)
Payroll	(1.4)	(2.1)
Contingencies	(0.1)	(0.1)
Intercompany management fees	(0.4)	(0.7)
Intercompany performance fees	-	-
Stock options	(0.1)	(0.1)
Total Expenses (ex-Bonus and Unrealized Carried Interest Expenses)	(3.0)	(4.4)
Bonus and carried interest sharing expenses	(0.7)	(1.2)
Unrealized carried interest sharing	6.4	(0.1)
Total Expenses	2.7	(5.6)

Net Income per Business Segment

Proportional Income Statement per Segment			2Q20				2Q19
In USD Million		Fund	Capital			Fund	Capital
		Management	Results	Total		Management	Results	Total
Management fees	2.5	-	2.5	4.0	-	4.0
Performance fees	-	-	-	0.1	-	0.1
Unrealized change in FMV	-	32.2	32.2	-	16.2	16.2
Net realized gains	-	(12.6)	(12.6)	-	3.8	3.8
Dividends and others	-	0.1	0.1	-	-	-
Unrealized performance fees	-	-	-	0.1	-	0.1
Net Revenues	2.5	19.7	22.2	4.2	20.0	24.2
Operating expenses	(2.5)	-	(2.5)	(3.5)	-	(3.5)
General and administrative	(1.1)	-	(1.1)	(1.4)	-	(1.4)
Payroll	(1.4)	-	(1.4)	(2.1)	-	(2.1)
Contingencies	(0.1)	-	(0.1)	(0.1)	-	(0.1)
Bonus	(0.7)	-	(0.7)	(1.2)	-	(1.2)
Unrealized carried interest	6.4	-	6.4	(0.1)	-	(0.1)
Expenses	3.2	-	3.2	(4.9)	-	(4.9)
Intercompany management fees	-	(0.4)	(0.4)	-	(0.7)	(0.7)
Intercompany performance fees	-	-	-	-	-	-
Stock options	-	(0.1)	(0.1)	-	(0.1)	(0.1)
Financial income / loss net	-	(0.5)	(0.5)	-	0.0	0.0
Financial Income	-	1.7	1.7	-	2.9	2.9
Financial Expenses	-	(2.2)	(2.2)	-	(2.9)	(2.9)
EBT	5.6	18.8	24.4	(0.7)	19.2	18.5
Income taxes	-	-	-	(0.2)	-	(0.2)
Spice's Net Income	-	0.9	0.9	-	0.6	0.6
Net Income	5.6	19.6	25.3	(0.9)	19.8	18.9

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Breakdown of Funds

On June 30, 2020, the aggregate value of investments in the seven portfolio companies and more than 20 real estate projects totaled more than USD 805.9 mm, and included:

• USD 211.8 mm from GPCP V; USD 464.7 mm for GPCP VI; and USD 12.5 mm from GPRE, with:
• • USD 572.3 mm from limited partners; and
  • USD 116.7 mm from GP Investments;
• USD 79.0 mm from GP Investments' direct stake in Spice Private Equity at book value;
• USD 29.9 mm from GP Investments' direct stake in Blu*
• USD 1.8 mm from GP Investments' direct stake in GPIAC; and
• USD 6.2 mm from GP Investments' direct stake in Rimini Street.

				Value of Investment** (USD million)
Portfolio Companies			GPCPV	GPCPVI	GPRE	GP's Stake	LPs	GP Direct Stake
Centauro¹			211.8	-	-	96.2	115.6	-
BR Properties¹			-	464.7	-	14.7	450.0	-
Real Estate Investments	3		-	-	12.5	5.7	6.8	-
Total Fund Investments			211.8	464.7	12.5	116.7	572.3	-
Spice PE²			-	-	-	-	-	79.0
Blu	5			-	-	-	-	-	29.9
	4			-	-	-	-	-	1.8
GPIAC
Rimini Street¹			-	-	-	-	-	6.2
Total Proprietary Investments		-	-	-	-	-	116.9
Total			211.8	464.7	12.5	116.7	572.3	116.9
				Ownership*** (%) as of June 30, 2020
Portfolio Companies		Total	Co-Investors	GPCPV	GPCPVI	GPRE	GP Direct	GP Total
	Stake	Ownership*
Centauro¹		22.3%	7.6%	14.7%	-	-	-	7%
BR Properties¹		58.0%	-	-	58.0%	-	-	2%
Real Estate Investments	3	100.0%	-	-	-	100.0%	-	47%
Fund Investments
Spice PE²		63.5%	-	-	-	-	63%	63%
Blu	5		24.3%	-	-	-	-	24%	24%
	4		16.7%	-	-	-	-	17%	17%
GPIAC
Rimini Street¹		3.3%	-	-	-	-	3%	3%
Proprietary Investments

• Stake held through convertible debt notes
• The value of the investments represents GP Investments' direct and indirect stakes in each company within the portfolio.
• Figures include value and ownership of investments in the GPCP V, GPVP VI and GPRE funds.

1. The value of the investment is based on the company's market capitalization at June 30, 2020.
2. The investment in Spice Private Equity is consolidated in the balance sheet of GP Investments. The valuation shown above is based on its shareholders' equity at June 30, 2020.
3. Value of the investment is based on the acquisition value for some of the fund's projects and on DCF methodology for others, according to GPRE's policies described in the 1Q13 Earnings Release, both adjusted by the exchange rate at June 30, 2020.
4. GPIAC is related to GP's 16.7% stake in the vehicle that holds the sponsor shares, warrants and expenses reimbursement related to the Rimini Street transaction, to be received by GP from GPIAC.
5. Value of the investment is based on recently completed investment round.

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GP Investments: Investor Relations

Rodrigo Boscolo

CFO and Investor Relations Officer

Eduardo Coutinho

Corporate Development and Investor Relations Manager

GP Investments

+55 (11) [e-mail]

Conference Call

English

August 17, 2020

3h00 pm (New York time)

4h00 pm (Sao Paulo time)

Phone (International): [phone]

Phone (Brazil): [phone]

Code: GP Investments

GP Investments

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Proportional Balance Sheet

Proportional Balance Sheet	2Q20	1Q20	2019		2Q20	1Q20	2019
In USD million
Assets				Liabilities and shareholders' equity
Current assets	124.2	136.8	183.7	Current liabilities	9.9	15.4	47.3
Cash and cash equivalents	90.8	61.9	64.4	Accounts payable	2.5	4.0	3.5
Financial investments	17.4	57.5	63.1	Taxes payable	0.8	1.4	1.6
Management and performance fees	0.1	0.1	0.1	Payroll accruals and related charges	1.0	6.9	37.6
Deferred costs and prepaid expenses	0.6	0.8	0.8	Accrued interest	1.4	1.4	1.4
Other	15.4	16.5	55.3	Other	4.2	1.7	3.3
				Non-current liabilities	82.1	81.9	82.4
				Perpetual notes	69.6	69.6	69.9
				Provision for contigencies	12.5	12.3	12.5
Non-current assets	289.2	261.8	417.3
Investments	267.6	239.5	387.4
Equity Portfolio	262.3	233.9	377.3	Shareholders' equity	321.4	301.4	471.2
Financial investments at fair value through profit and loss	5.3	5.7	10.1	Share capital	0.3	0.3	0.3
Funds held in escrow	1.3	1.4	3.9	Share premium	601.0	597.7	597.7
Receivables from employees and shareholders	5.8	6.4	8.5	Retained earnings / losses	(292.1)	(323.2)	(308.9)
Furniture and equipment	0.6	0.6	0.7	Treasury shares	(4.6)	(1.0)	(1.1)
Receivables from related parties	13.3	13.3	16.0	Other accumulated comprehensive income	(29.0)	(27.0)	(26.7)
Other	0.5	0.6	0.8	Minority Interest	50.2	54.6	209.9
Total assets	413.4	398.6	600.9	Total liabilities and shareholders' equity	413.4	398.6	600.9

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Proportional Balance Sheet (GP + Spice PE)

Balance Sheet	GP Investments	Spice PE	GP + Spice PE		GP Investments	Spice PE	GP + Spice PE
In USD million
Assets	2Q20	2Q20	2Q20	Liabilities and shareholders' equity	2Q20	2Q20	2Q20
Current assets	95.5	28.7	124.2	Current liabilities	8.4	1.5	9.9
Cash and cash equivalents	62.3	28.5	90.8	Accounts payable	1.0	1.5	2.5
Financial investments trading securities	17.4	-	17.4	Taxes payable	0.8	-	0.8
Management and performance fees	0.1	-	0.1	Payroll accruals and related charges	1.0	-	1.0
Deferred costs and prepaid expenses	0.4	0.2	0.6	Accrued interest	1.4	-	1.4
Other	15.4	-	15.4	Other	4.2	-	4.2
				Non-current liabilities	82.1	-	82.1
				Perpetual notes	69.6	-	69.6
				Provision for contingencies	12.5	-	12.5
Non-current assets	191.9	97.3	289.2
Investments	170.9	96.7	267.6
Equity Portfolio	165.6	96.7	262.3
Financial investments at fair value through profit and loss	5.3	-	5.3
Receivables from employees and shareholders	5.8	-	5.8	Shareholders' equity	196.9	124.5	321.4
Furniture and equipment	0.6	-	0.6
Loans & receivables from related parties	12.7	0.7	13.3
Funds held in escrow	1.3	-	1.3
Other	0.5	-	0.5
Total assets	287.4	126.0	413.4	Total liabilities and shareholders' equity	287.4	126.0	413.4

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Proportional Income Statement

Proportional Income Statement	2Q20	2Q19		1H20	1H19
In USD million
Fund Management Revenues	2.5	4.2		(25.8)	9.2
					-
Management fees	2.5	4.0	5.5	8.5
Performance fees	-	0.1	0.0	0.6
Unrealized performance fees	-	0.1	(31.3)	0.1
Capital Results Revenues	19.7	20.0		(47.4)	28.4
					-
Appreciation / Depreciation in fair value of investments	32.2	16.2	(36.9)	22.1
Net realized gains	(12.6)	3.8	(10.6)	5.3
Dividends and others	0.1	-	0.1	1.1
Total Revenues	22.2	24.2		(73.2)	37.6
Operating expenses	(2.5)	(3.5)		(5.7)	(7.4)
General and administrative	(1.1)	(1.4)		(2.5)	(2.9)
Payroll	(1.4)	(2.1)		(3.2)	(4.5)
Bonus and carried interest sharing expenses	(0.7)	(1.2)		(0.8)	(2.3)
Contingencies	(0.1)	(0.1)	(0.5)	(0.4)
Unrealized carried interest sharing	6.4	(0.1)		33.7	(0.1)
Operating Expenses + Bonuses	3.2	(4.9)		26.8	(10.2)
Intercompany management fees	(0.4)	(0.7)	(0.8)	(1.4)
Intercompany performance fees	-	-		-	(0.2)
Stock options	(0.1)	(0.1)		(0.2)	(0.2)
Financial income / loss net	(0.5)	0.0		(6.9)	(2.0)
Financial income	1.7	2.9		(2.5)	4.0
Financial expenses	(2.2)	(2.9)		(4.5)	(6.0)
EBT	24.4	18.5		(54.4)	23.7
Income taxes	-	(0.2)		(0.1)	(0.4)
Spice's Net income	0.9	0.6		(34.8)	2.1
Net Income / loss for the period	25.3	18.9		(89.3)	25.4

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Consolidated Balance Sheet

Consolidated Balance Sheet	2Q20	1Q20	2019			2Q20	1Q20	2019
In USD million
Assets					Liabilities and shareholders' equity
Current assets	156.4	169.8	213.4		Current liabilities	9.7	15.2	48.8
Cash and cash equivalents	48.4	62.7	66.5		Accounts payable	3.4	4.6	4.7
Financial investments trading securities	98.3	95.1	101.0		Taxes payable	0.8	1.4	1.8
Management and performance fees	0.0	0.0	27.9		Payroll accruals, bonuses and related charges	0.9	6.9	38.5
Deferred costs and prepaid expenses	0.6	0.8	0.8		Accrued interest	1.4	1.4	1.4
Other	9.1	11.2	17.2		Other	3.2	0.9	2.4
					Non-current liabilities	99.6	99.5	99.9
					Perpetual notes	69.6	69.6	69.9
					Provision for contigencies	30.0	30.0	30.0
Non-current assets	419.9	366.3	611.8
Investments	394.5	340.1	574.1
Equity Portfolio	388.7	335.6	565.6		Shareholders' equity	467.0	421.3	676.4
Financial investments at fair value through profit and loss	5.8	4.5	8.5		Share capital	0.3	0.3	0.3
Receivables from related parties	15.2	15.2	15.2		Share premium	601.0	597.7	597.6
Funds held in escrow	3.2	3.3	9.4		Accumulated deficit	(296.5)	(323.2)	(208.6)
Receivables from employees and shareholders	5.8	6.4	8.5		Other accumulated comprehensive loss	(29.0)	(27.0)	(23.8)
Furniture and equipment	0.6	0.6	0.7		Treasury shares	(4.6)	(1.0)	(1.0)
Other	0.6	0.6	3.8		Non-controlling interest	195.8	174.5	311.9
Total assets	576.3	536.1	825.2		Total liabilities and shareholders' equity	576.3	536.1	825.2

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Consolidated Income Statement

Consolidated Income Statement	2Q20	2Q19		1H20	1H19
In USD million
Fund Management Revenues	1.1	2.6	3.0	5.2
Management fees	1.1	2.4	3.0	5.0
Performance fees	-	0.2	-	0.2
Capital Results Revenues	51.4	47.6	(183.7)	73.8
	-
Appreciation / Depreciation in fair value of investments	82.0	37.7	(158.2)	58.3
Net realized gains	(30.7)	9.5	(25.8)	12.6
Dividends and others	0.1	0.3	0.3	3.0
	-
Total Revenues	52.5	50.1	(180.7)	79.1
Operating Expenses	(3.4)	(4.3)	(6.9)	(9.6)
General and administrative	(2.0)	(2.0)	(3.8)	(4.7)
Payroll	(1.4)	(2.3)	(3.2)	(4.9)
Bonus and carried interest sharing expenses	(0.7)	(1.4)	(1.1)	(2.7)
Bonuses and carried on unrealized gain	5.7	(0.1)	5.8	(0.2)
Stock options	-	(0.1)	-	(0.2)
Contingencies	(0.2)	(0.4)	(0.4)	(0.9)
Total Expenses	1.5	(6.3)	(2.7)	(13.7)
Financial income / loss net	(0.8)	0.2	(12.9)	(1.1)
Financial income	1.4	2.0	2.6	4.6
Financial expenses	(2.3)	(1.8)	(15.4)	(5.7)
Net Income / loss for the period before taxes	53.1	44.0	(196.2)	64.3
Income taxes	-	(0.3)	(0.2)	(0.6)
Net Income / loss for the period	53.1	43.7	(196.4)	63.8
Non-controlling net income / loss for the period	27.9	(24.8)	(107.1)	(38.3)
Net Income / loss for the period attributable to GP	25.3	18.9	(89.3)	25.3

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Consolidated Cash Flow
Consolidated Cash Flow	2Q20	2Q19	1H20	1H19
In USD million
Net income (loss) for the year	53.13	43.7	(196.4)	63.8
Reconciliation of net income (loss) to net cash flows
from operating activities	(50.4)	(47.2)	215.3	(70.4)
Depreciation (appreciation) in fair value of the investments	(51.3)	(48.5)	184.0	(71.9)
Reversal of unrealized fair value on disposal of investments	(30.7)	10.8	(25.8)	13.6
Non-controlling interest	-	-	-	-
Gain (loss) on dilution of participation of minorities shareholders	(0.0)	-	(0.0)	-
Realized loss (gain), net	30.7	(9.5)	25.8	(12.6)
Stock based compensation	0.1	0.1	0.2	0.2
Accrued interests and foreign exchange variation on escrow account	0.2	(0.2)	1.3	(0.5)
Accrued interests on perpetual notes	0.0	(0.3)	(0.1)	(0.2)
Accrued interests on financial assets at fair value through other comprehensive income	0.4	-	2.8	0.1
Accrued interests on loan receivable	-	-	-	-
Amortization of deferred costs and prepaid expenses	0.2	0.4	0.2	0.8
Bonuses and carried on unrealized gain	-	-	26.8	-
Depreciation of furniture and equipment	0.0	0.1	0.1	0.1
Cash reserves	(0.0)	-	0.2	-
Change in assets/liabilities	(2.7)	5.6	(23.9)	(0.9)
Loan receivable from related parties	(0.0)	1.3	0.0	2.7
Management and performance fees	0.0	(0.3)	1.1	(0.3)
Receivable from employees and shareholders	0.6	(0.3)	2.7	(0.4)
Accounts payable	(1.2)	(0.8)	(1.3)	(3.7)
Taxes payable	(0.6)	0.2	(1.0)	0.1
Other - long term	0.0	-	3.3	-
Payroll, performance bonuses and related charges	(5.9)	1.5	(37.5)	(1.4)
Other assets	2.2	3.6	8.1	1.7
Other liabilities	2.3	0.4	0.7	0.5
Net cash provided by (used in) operating activities	(0.0)	2.1	(5.0)	(7.5)
Proceeds from sale of financial investments	1.3	-	6.4	15.0
Acquisition of financial investments	(3.2)	(0.1)	(3.7)	(1.0)
Transfer to SPVs for payment of expenses	(0.0)	(0.1)	(0.1)	(0.4)
Financial investments and trading securities, net	(1.3)	(0.3)	(0.2)	(0.5)
(Acquisition) sale of investments owned through Spice	(3.1)	(3.1)	(7.1)	(5.4)
Sale (acquisition) of real estate investments	2.6	-	2.6	-
Proceeds from release of escrow	-	9.3	4.9	12.4
Sale (acquisition) of furniture and equipment	(0.0)	-	0.1	-
Sale (acquisition) of other invested assets	(3.0)	(3.2)	(4.9)	(4.2)
Sale (acquisition) of financial assets at fair value through other comprehensive income	(0.0)	-	2.4	-
Net cash provided by (used in) investing activities	(6.7)	2.5	0.3	15.9
Capital contribution by limited partners	0.2	-	1.9	1.1
Distribution to limited partners	(1.5)	-	(3.7)	(3.0)
Distribution to other non-controlling	(0.1)	(2.1)	(0.1)	(2.1)
Amortization of perpetual notes	-	0.2	(0.2)	(23.2)
Capital subscription	-	(0.1)	-	(0.1)
Acquisition of treasury shares	(3.6)	(0.5)	(3.6)	(0.5)
Non-controlling interest FoodFirst - Spice	2.0	-	(0.5)	-
Repurchase of shares from non-controlling interests - Spice	(3.0)	-	(3.0)	-
Repurchase of shares from non-controlling interests - BRZ	-	-	(0.9)	-
Net cash provided by (used in) financing activities	(6.0)	(2.6)	(10.0)	(27.8)
Effects of exchange rate changes on cash and equivalents	(1.5)	(0.6)	(3.3)	(0.4)
Net increase (decrease) in cash and cash equivalents	(14.2)	1.5	18.0	(19.8)
Cash and cash equivalents at beginning of the period	62.69	79.8	66.5	101.1
Cash and cash equivalents at end of the period	48.45	81.3	48.4	81.3
Supplemental information	1.89	3.1	4.4	6.7
Interest paid	1.9	2.9	3.8	6.4
Income taxes and social contributions paid	0.0	0.2	0.6	0.4

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GP Investments