Transcript www.bpifrance.fr

*
Investors Presentation
Bpifrance Financement, Bond Issuer
June 2014 Figures
October 2014
* Serving the Future
01.
02.
03.
04.
Overview of Bpifrance
Bpifrance Financement,
Key Facts & Figures
Bpifrance Financement,
Funding Strategy
Appendices
2
Titre de la présentation
15/07/2015
01.
Overview of Bpifrance
3
Bpifrance was created on July 12th, 2013
• Strongest possible ownership in
France
• EPIC BPI-Group and
•
CDC
ratings considered by Moody’s
and Fitch as aligned with those of
French Government
(Aa1 (negative)/P1) Moody’s, and
(AA+/F1+, stable outlook) Fitch
• 21,5 bn€ equity capital for BPIGroupe SA
100 %
100 %
EPIC
BPI-Groupe
Direct
guarantee
on bond
issues
50 %
50 %
BPI-Groupe SA
Other
(private
commercial
banks)
• Full banking regulation (Basel III)
• Strict
compartmentalization of
financial resources (statutory for
Bpifrance Financement)
10 %
90 %
Bpifrance
Financement
100 %
Bpifrance
Participations
100%
Asset
Management
Bpifrance
Investissement
4
Titre de la présentation
15/07/2015
Bpifrance : Legal Framework & Governance
● Act 2012-1559 (31 December 2012)
● Changes the name of EPIC OSEO to EPIC BPI-Groupe
● Defines the governance of BPI-Groupe SA (to be renamed Bpifrance SA)
● Describes how Bpifrance SA is Bpifrance Financement’s majority shareholder (90%)
● Confers
legal continuity to all
undertakings and those of its affiliates
of
Bpifrance
Financement’s
debt
bonds
and
● EPIC BPI-Groupe is under the supervision of both the Ministry for the
Economy, Industry and Employment, and the Ministry for Higher
Education and Research. The six members of the EPIC Board are
appointed by the State.
● Bpifrance Financement and BPI-Groupe SA are :
● Under the permanent control of a Government Commissioner (with the power to veto some of
the Board of Directors’ decisions)
● Duly supervised by the French Banking Authority (ACPR), the ECB and the Financial Markets
Authority (AMF)
5
Titre de la présentation
15/07/2015
Permanence of BPI-Groupe’s Legal Status As A Public Institution
EPIC STATUS
Applicable to BPI-Groupe
Set up by a specific Law or Decree
- Law required for the creation of a new category of EPIC
- Decree for an EPIC belonging to an existing category
The missions and organization of the EPIC BPI-Groupe are defined
under Act 2005-722 dated 29 June 2005, as amended and ratified, and
which refer to (i) the creation of the EPIC and (ii) the transformation of
the National Agency for Research Promotion (ANVAR) from a public
corporation into a limited company. This Act, together with Act 2013529 of 21 June 2013 and Act 2012-1559 of 31 December 2012, confirm
the creation of France’s Public Investment Bank (BPI).
General interest missions defined by law
- With a specific purpose (specialty principle)
- With some public law prerogatives
- To promote and support innovation, particularly technological, and to
contribute to technology transfer;
- To promote the development and financing of small and medium-sized
companies.
Control by public authorities
- Members of the Board of Directors appointed in whole or in part by
public authorities
- Supervision by public authorities
- Control of accounts made by the “Court of Auditors” (“Cour des
Comptes”)
- The 6 members of BPI-Groupe’s Board of Directors are appointed by
the State
- The Government Commissioner has the power to veto some
decisions of the Board of Directors
- The EPIC BPI-Groupe is under the supervision of both the Ministry for
the Economy, Industry and Employment, and the Ministry for Higher
Education and Research.
Implicit but automatic guarantee of the State
- No recovery or judicial liquidation proceedings for an EPIC
- If an EPIC is unable to comply with its obligations, the State is legally
bound to fulfill them
- BPI-Groupe is one of the rare EPICs to be classified as a central
government body or ODAC (Organisme Divers d’Administration
Centrale) like an EPA (Etablissement Public d’Administration), which
means that its debt is consolidated with that of the State (under
Maastricht’s Rules).
- Bpifrance Financement SA benefits, as a subsidiary, from an explicit
guarantee from EPIC BPI-Groupe for its bond issues. And, likewise,
BPI-Groupe benefits from an implicit guarantee from the State.
Transformation and dissolution only possible by law (Act or
Decree)
The June 2005 Act was amended in 2010 and 2012 to stipulate the
missions and governance of Bpifrance, and to give specific
empowerment to State representatives being members of the Board.
6
Titre de la présentation
15/07/2015
EPIC BPI-Groupe Ratings
Moody’s : Aa1 (Negative) / P1
Fitch : AA+ (Stable) / F1+
Moody’s rationale:
Fitch’s rationale:
EPIC BPI-Groupe (ex-EPIC OSEO) is intrinsically linked to the
French Government
•
High level of government involvement in its business plan
and budget
•
Essential role in the development and implementation of
government policies favoring companies
•
Public establishment with specific legal status
EPIC BPI-Groupe is not subject to liquidation laws thanks to
its legal status of EPIC
Given Bpifrance’s (ex-OSEO) important role in government
policy concerning SMEs, the French State would timely
extend its support, in case of stress at Bpifrance
Financement
“From a credit-risk profile perspective, Moody’s considers CDC and
OSEO* to be intrinsically tied to the French State through their
operational and financial ties with the government. As such, CDC’s
deposit and senior debt ratings and OSEO’s issuer rating derive
from the application of a credit-substitution approach, whereby
their ratings are aligned with those of the French government.
Moody’s rationale on Bpifrance Financement (ex-OSEO) EMTN Program
“The rating reflects the unconditional and irrevocable guarantee
from EPICBPI-Groupe (Aa1, negative/Prime-1) for full and timely
payments under this Program.”
EPIC BPI-Groupe is strongly supported by the French government
-
Its missions are defined by the French government
-
Benefits from a strong administrative, legal and financial oversight
-
Strong probability of support from the French State, given its legal
status
EPIC BPI-Groupe’s asset and liabilities cannot be liquidated or
transferred to entities other than the French State thanks to its
legal status
Bpifrance is a strategic tool for French economic policy
“The ratings are aligned with those of the French State due to
expected very strong support in case of need, strong oversight from
the state government and its strategic role in government policy
concerning SMEs”.
Fitch’s rationale on Bpifrance Financement (ex-OSEO) EMTN Program
“The bonds issued under these programs benefit from an
unconditional and irrevocable first-call guarantee from EPIC BPIGroupe”.
* Now renamed EPIC BPI-Groupe
7
Titre de la présentation
15/07/2015
Progression of Aggregated Balance Sheets of Bpi Groupe SA of
4,5% in 6 months
Assets
Md€
53.9
Liabilities
56.9
+4,5%
Md€
56.9
53.9
10.3
4.4
10.7
4.0
7.1
5.7
14.4
14.0
2.4
4.7
19.3
1.7
5.7
17.8
2.8
3.2
3.0
3.2
21.3
21.9
31.12.2013
30.06.2014
21.6
2.8
3.2
31.12.2013
30.06.2014
Cash
Guarantee
Equity participation
16.5
Financing
Innovation
Others*
Equity
Provisions
ST/Financial
* Including unpaid capital suscribed, HTM portfolio
** Including shareholder’s avance, commerciales ressources, unpaid attributed subventions
Guar. and Inno Funds
MLT Financial Res.
Other liabilities**
8
Prudential Ratios
BPI Groupe SA Consolidated
40.00%
35.00%
18,4
30.00%
14,0
25.00%
31/12/2012
20.00%
31/12/2013
30/06/2014
15.00%
10.00%
17,6
5.00%
0.00%
TIER 1
Solvency Ratio
Solvency Ratio
37,6%
31,38%
29,52%
Tier 1 Ratio
33,7%
29,12%
30,81%
31/12/2012
31/12/2013
30/06/2014
Note: Credit risk encompasses all outstanding operations relating to financing, guarantee and innovation projects
Titre de la présentation
15/07/2015
9
General Framework of Our Bond Issues
Issuer:
Bpifrance Financement
Guarantor:
BPI-Groupe EPIC
Bloomberg ticker
OSEOFI + Gouv (F2)
Status:
Senior Unsecured
Rating:
Aa1 (negative) by Moody’s and AA+ (stable) by Fitch
Guarantee:
Irrevocable, first-demand, unconditional and
autonomous
Maturity:
TBC
Amount:
Benchmark size
Risk Weighting:
HQLA (level 1 to be confirmed)
Permanent dealers:
HSBC (Arranger), BNP Paribas, Crédit Agricole CIB,
Natixis
Legal Framework:
French Law
Listing:
Paris
10
Titre de la présentation
15/07/2015
02.
Bpifrance
Financement
(Bond Issuer),
2.1 Historical Background & Activity
2.2 Financials
2.3 Risk Management
Key Facts & Figures
11
Business Model
● Our aim is to finance and stimulate small & medium businesses’ growth:
●
Soft loans for innovation : provide financing and expertise to companies with
innovative, technology-based, business-focused projects.
●
Guarantees : risk-sharing in support of bank financing and private equity investments.
●
Co-financing loans : partnership with commercial banks and financial institutions for
business investments and operations.
● An Aa1/AA+ rated bond and CD issuer:
●
Tight links with French government at strategic
and operational levels
●
90% held by public establishment EPIC BPIGroupe and Caisse des Dépôts et
Consignations (CDC)
●
Bonds guaranteed by EPIC BPI-Groupe
● A bank driven by solvability
and liquidity:
● Conservative risk management
● Resilient financial performance
financement
1 677 employees
42 local agencies
Banks
Partnerships with all banks
in the business market
Entrepreneurs
More than 90,000
companies financed
in 2013
12
Titre de la présentation
15/07/2015
An Ongoing Process of Rationalization and Investment by the
French State
● Equity Contributions
€120 m
(CEPME/
SOFARIS)
€300 m
(Crisis)
19921994
1980
€100 m
(BDPME)
1996
€150 m
(OSEO)
2005
€850m
Reserve
Guarantee
Fund(1)
2009
€438 m
(Merger)
€539 m(2)
(OSEO industrie)
2010
€766 m
Bpifrance
2012
2013
(1) : The reserve guarantee fund is a buffer created to protect shareholders equity from the risks taken on the guarantee line of business.
(2) : Of which €365m from the French State
● Ex-ante provisioning against loans to customers on a statistical
basis: €533m as of 31 December 2013
●
●
Written in diminution of results (with Board’s approval)
In accordance with internal guidelines and adjusted on a yearly basis
13
Titre de la présentation
15/07/2015
The mission of Bpifrance Financement is to finance and stimulate
French SMEs’ growth and innovation
Risk Sharing & Partnership with Commercial Banks
Public Allocations
Co-Financing
Guarantee
 Loans
 Risk sharing
 Pari-passu with banks
 + Specific unsecured loans1
Bpifrance
€5.0 bn3 loans
4,0€ bn ST financing4
Banks
 Up to 70%
Bpifrance
€3.8 bn risks
Innovation
 Soft Loans2
 Subsidies
 Loans
Bpifrance
~€750 m5
Banks
> €8 bn loans
~33,9006
SMEs financed
~ 60,400
SMEs financed
1. With public guarantee backing
2. Redeemable in case of success
3. Investment co-financing: €3.7 bn and Development loans: €1,3 bn
~3,100
SMEs financed
4. o.w CICE: €0,8
5. o.w. Innovation Aids: €635 m and Development loans: € 112m
6. Includes PCE, CICE, short -term financing
14
Co-Financing
Outstandings
Activity
Investment, co-financing and development loans
Annual Commitments - €m
Average outstanding1 - €bn
18.3
16.3
4.0
13.8
3.6
2.7
8.5
7.6
6.5
Short-term financing - Annual Authorizations - €m
ST
1.4
1.3
1.4
3.3
3.7
4.4
Dec 2012
Dec 2013
June 2014
Leasing of real property
Equipment Leasing
LMT loans
Development loans
CICE
1. Excluding short-term financing
15
Guarantee
Innovation
Activity
Activity
Annual Authorizations - €m
Innovation Aids - Annual Authorizations - €m
16
Economic Impact
Companies assisted by Bpifrance
Non-assisted comparable companies
Significant Impact on the Development of Companies
financed by Bpifrance
Compounded annual turnover growth rate
over 3 years after origination year (%)
5.5 4.0
7.2 5.3
6.2
10.3
5.2
4.1
Co-Financing
1.4
1.1 0.3
0.9
0.8
0.1
0.0
+2,1 p.
3.3
3.1
2.7
2.5 0.8
Average difference vs. comparable
companies
Compounded annual employment growth rate
over 3 years after origination (%)
+2,7 p.
12.5
+ x p.
1.5
0.1
0.1
5.6
2003
2004
2005
6.9
7.2
7.6
5.4
6.1
2007
8.8 6.5
2005
0.8
0.8 0.3
2006
2007
+1,1 p.
4.7 5.0
2006
2.2
2.1
2007
2005
2006
2.8
2.9
1.0
0.6
2007
2008
+1,8 p.
0.2
0.5
-0.1
1.5
2008
Origination
year
2002
1.2
2003
2004
2005
2006
3.0
2.3
0.6
0.2
2008
1.8
0.6
-0.6
-1.9
2009
2007
+2,2 p.
7.8 7.1
-3.1
2008
-0.4
-0.8
Compounded annual employment growth rate
over 2 years after end of project3 (%)
-0.6
-3.3-4.2
2005
2004
0.3
1.6
Innovation2
2004
2003
3.2
Compounded annual turnover growth rate
over 2 years after end of project3 (%)
6.0 5.3
2002
1.5
3.4
2004
Origination
year
6.0
Guarantee1
2003
2008
+1,5 p.
4.0
2002
2006
-0.7
-0.8
-0.1
2002
0.6
End of project
year
2004
2005
2006
2007
-0.6
-0.9
-2.3
2008
1. Classical guarantee / 2. Innovation Aids / 3. Assuming that the conventional duration, from origination year to end of project, is three years.
Source: Bpifrance’s Assessment Department (« Assessment of Bpifrance’s Funding Actions in 2012 »)
2009
17
02.
Bpifrance
Financement
(Bond Issuer),
2.1 Historical Background & Activity
2.2 Financials
2.3 Risk Management
Key Facts & Figures
18
Bpifrance Financement : Key Financials
Solvability & Liquidity
Income Statement
(€ million)
31/12/2012
Net banking
Income
Operating
charges1
506
31/12/2013
481
31/12/2012
31/12/2013
30/06/2014
Shareholders
equity1
2 665 m€
2 712 m€
2 699 m€
Basel II ratio
15.03%
12,89%
11,39%
Core tier 1 ratio
10.48 %
9,22%
9,33%
- Reserve
guarantee fund
888 m€
875 m€
874 m€
- Ex-ante
provision
465 m€3
533 m€4
5715 m€
- LCR Estimate
534%
575%
409%
- NSFR Estimate
102%
136%
102%
06/2014
272
290
297
158
33
(24bp)
40
(25bp)
35
(20bp)
Equity buffers
Cost of risk
Operating
profit2
183
NET INCOME3
130
144
96
79
51,9
1 Excl. income taxes
2 Incl. taxes & amortization, before income taxes & minority interests
3 After income taxes and minority interests; before ex-ante provisioning
Titre de la présentation
15/07/2015
Basel III Liquidity
ratios2
1 Group share
2 Subject to calculation adjustments
3 Including 98m€ of provision from Innovation and 367m€ from Co-financing
4 Including 129m€ of provision from Innovation and 404m€ from Co-financing
19
5 Including 137m€ of provision from Innovation and 434m€ from Co-financing
Financial sources and uses1 (as of 30 June 2014)
Breakdown by line of business for Bpifrance Financement SA’s individual statements
(€ millions)
ASSETS
Co-Financing
Activity
Guarantee
LIABILITIES
• Customer Credit:
• Portfolio of securities3:
• Fixed assets & Others:
21,749
7,118
986
29,853
• Cash & short-term instruments
• Portfolio of Securities/Deposits:
• Allocations to be received:
334
4,653
190
• MLT financial resources:
• ST financial resources2:
• Commercial resources:
• Equity & Other Liabilities:
• Guarantee allocations:
17,763
7,076
626
4,387
29,853
5,177
5,177
5,177
Innovation
TOTAL
• Liquidity reserve:
• Repayable advance:
233
1,209
1,442
36,473
1 Sources: Bpifrance’s ALM Committee of 31 December 2013
2 Including REPO on Securities Portfolio
3 95% of French Treasury Bonds (OAT)
Titre de la présentation
15/07/2015
• Intervention allocations:
1,442
1,442
36,473
20
02.
Bpifrance
Financement
(Bond Issuer),
2.1 Historical Background & Activity
2.2 Financials
2.3 Risk Management
Key Facts & Figures
21
Loan Portfolio : Credit Risk Management
Losses Frequency
Prudential model  Economic vision
Bpifrance Financement
Financial prudential resources
Bpifrance Financement
The Fair value of guarantee funds
Economic capital
Expected
Unexpected
Loss (EL)
Loss (UL)
For innovation and guarantee-related activities, the fair
value of guarantee funds (the IFRS fair value of such
funds) corresponds to the surplus coverage applied
beyond the Expected Losses (EL) of such funds. These
capital resources, which are not recognized under any
regulation, are indeed explicitly subordinated to equity
funds.
Recourse of
State
Innovation Guarantee Co-finant
Losses
Commercial
Ex-ante
Shareholders
margin
Prov.
Equity
FdG
FdG – Fair Value
The collective excess provision of the
financing activity (ex-ante provision)
Shareholders
This equity buffer plays the same role for the financing
activity as the fair value does for innovation
and
*
guarantee-related operations.
Equity
FdG – Fair Value
FdG
Tier 1 (only Common Equity Tier 1)
Shareholders
Equity
Exposure by Product
The breakdown of exposures by
product and by sector is diversified
both in terms of exposure and
number of counterparties.
As at Dec. 2013
Dvlpt loans
6%
FCT
20%
CBI-CBE
21%
15/07/2015
As at Dec. 2013
Other
16%
PLMT
44%
Tourism
& Health
12%
Trade
18%
CBM
9%
Titre de la présentation
Exposure by Activity
PW & CE
12%
Industry
&
Transport
42%
22
Investment Portfolio : Counterparties Risk Management
June 2014
Short-term
P-1
(€ millions)
French govies (OAT)
AFT
Other bonds
Breakdown by rating
Long-term
Aaa
Aa1 - Aa3
A1 - A3
5 952
3 896
518
79
Unlisted
371
Breakdown by portfolio
Guarantee
Financing
funds
1 175
3 896
274
0
TOTAL
4 777
0
694
Amount
%
5 952
3 896
968
53,3%
34,9%
8,7%
Agencies
18
218
0
0
115
121
236
2,11%
Covered bonds legal
61
104
36
0
33
169
201
1,80%
Eurozone banks
37
0
0
27
10
37
0,33%
French banks
124
335
93
366
459
4,11%
Other banks
35
0
7
28
35
0,31%
0
0,00%
0
Corporates
BMTN
Certificates of Deposit
261
French banks CD's
187
TOTAL
95
261
95
213
48
213
79
10 461
371
0
5 653
95
261
48
5 519
0,9%
2,3%
261
11 172
2,34%
100%
June 2014 - Ratings
P-1
Aaa
Aa1 - Aa3
A1 - A3
94%
23
Titre de la présentation
15/07/2015
Liquidity Risk Management
Liquidity Risk
LT Refinancing Requirement
Asset Liability Run-Off
Evolution of Liquidity Ratio
300%
38000
260%
Assets
36000
250%
205%
207%
166%
149%
150%
34000
183%
182% 180%
200%
150%
143%
149%
136%
Extended but Undrawn
Resources
32000
Limit = 100%
30000
100%
28000
50%
26000
0%
24000
One-month Liquidity Ratio
5-yr Estimate of Permanent Resources Ratio
●
Bpifrance Financement follows a strict liquidity containment policy by line of business. A funding gap
is monitored for financing activities.
●
Nevertheless, the portfolio of guarantee funds is a source of mobilizable liquid assets.
NB : As enforced by its legal status, no cross-financing is possible between Bpifrance Financement and
Bpifrance Participations, the equity investment arm of Bpifrance.
24
Titre de la présentation
15/07/2015
03.
Bpifrance
Financement
(Bond Issuer),
Funding Strategy
25
FUNDING STRATEGY
Loan Outstandings to NFC &
Bpifrance Financement’s market share
€bn
Activity
25
8,000
%2
20
15
1,5
10
1
€m
10,000
2,5
6,000
4,000
2,000
0
5
0,5
0
2013 2014 2015 2016 2017 2018
CICE pre-financing
0
juin-12
déc.-12
juin-13
déc.-13
Development loans
Crédits
aux SNF
OSEO (Ech.
gauche) (left-hand scale)
Loans
granted
to accordés
NFC by par
Bpifrance
Financement
Part OSEO
dans le total des
crédits
accordés
en France
(Ech. droite)
Bpifrance
Financement’s
market
share
(right-hand
scale)
Banque de France Figures
Investment co-financing
2014, budget figures, 2015 to 2018 Mid-term plan figures, as of Dec. 2013
Characteristics of Extended Credits
-
Mostly of medium and long term duration
Funding Strategy
Stategy
Funding
-
Regular bond market issues
- Fixed or variable rates
- Public resources for specific missions
- Partnership with commercial banks
- Access to LDD resources to cope with lack of
deposits
- Generally pari-passu with commercial banks
for co-financing activities
- Diversification thanks to bilateral borrowings
- Liquidity advances to prevent market
disruptions
26
Main Funding Channels
EMTN Program :
EUR 20 bn rated Aa1(negative) by Moody’s,
AA+(stable) by Fitch
Mainly benchmarks but also private
placements
BMTN Program
EUR 4 bn
Launched in 2014
CD Program :
EUR 4 bn
Rated P1 by Moody’s and F1+ by Fitch
Labelled STEP under ID 2685
“Unconditional,
irrevocable,
autonomous
and first-demand,
guarantee by
EPIC BPI-Groupe” (*)
(*) Wording of the EMTN Guarantee. The only
legally binding version is the French one, as follows:
« Garantie autonome à première demande
inconditionnelle et irrévocable de l’EPIC BPIGroupe ».
CDC and other public institutions
(EIB, KfW, CEB…) :
Long-term partnerships
Access to ECB instruments
27
Titre de la présentation
15/07/2015
A Long-Term Oriented, Diversified Refinancing Structure
31/12/2013
Expected 31/12/2014
Equity
8%
11%
15%
Market funding > 1 year
19%
29%
3%
Bilateral loans > 1 year
11%
Savings account deposits loans
(LDD) > 1 year
2%
Commercial resources
15%
14%
10%
37%
13%
Repo backed by securities > 1 year
12%
ST refinancing (Deposit certificates
& loans < 1 year)
A limited ST refinancing (< 15%, excluding repo)
28
Breakdown by Type of Investor
( EMTN Issues )
1%
30%
39%
Asset Managers
Banks
Central Banks
Insurance
Other
18%
12%
29
Titre de la présentation
15/07/2015
Bpifrance Financement’s Bond Issues under the EMTN Program
Bond Issues
OBL OSEO-SA E3M+10 BP ECH 27/03/2015
First issue (Benchmark)
OBL BPIFF E3M+7 BP ECH 17/09/2015
First issue (Private Placement)
OBL BPIFF E3M+10 BP ECH 17/02/2016
First issue (Benchmark)
OBL BPIFF E3M+12 BP ECH 30/06/2016
First issue (Benchmark)
OBL OSEO-SA 2,00% ECH 25/07/2017
First issue (Benchmark)
Second issue (Retap)
Third issue (Private Placement)
Fourth issue (Retap)
OBL BPIFF 1,00% ECH 25/10/2019
First issue (Benchmark)
OBL OSEO-SA 2,375% ECH 25/04/2022
First issue (Benchmark)
OBL OSEO-SA 3,125% ECH 26/09/2023
First issue (Benchmark)
Second issue (Private Placement)
OBL BPIFF 2,50% ECH 25/05/2024
First issue (Benchmark)
OBL OSEO-SA 2,75% ECH 25/10/2025
First issue (Benchmark)
Second issue (Private Placement)
Third issue (Private Placement)
OBL OSEO-SA 3,625% ECH 25/04/2026
First issue (Private Placement)
OBL BPIFF 2,917% ECH 25/10/2027
First issue (Private Placement)
OBL OSEO-SA E3M+115 BP ECH 27/07/2029
First issue (Private Placement)
Titre de la présentation
15/07/2015
Issues Date
Book size
20/03/2013
1 000 M€
10/09/2013
500 M€
07/02/2014
500 M€
23/06/2014
1 250 M€
22/05/2012
05/07/2012
25/02/2013
13/02/2014
900 M€
250 M€
200 M€
400 M€
06/05/2014
500 M€
05/09/2012
1 250 M€
16/09/2011
04/11/2011
1 000 M€
200 M€
03/12/2013
800 M€
06/02/2013
04/03/2013
05/03/2013
750 M€
300 M€
125 M€
15/02/2012
110 M€
29/10/2013
125 M€
05/07/2012
104 M€
30
Bpifrance Financement’s Bond Issues under the BMTN Program
EUR Bond Issues
BMTN BPIFF E3M + 5 BP ECH 18/06/2015
Issues Date
10/06/2014
Book size
22 M€
BMTN BPIFF E3M + 6 BP ECH 16/07/2015
08/07/2014
265 M€
BMTN BPIFF E3M + 8 BP ECH 11/12/2015
04/06/2014
20 M€
BMTN BPIFF E3M + 12 BP ECH 04/07/2016
01/07/2014
25 M€
USD Bond Issues
BMTN BPIFF LIB3M USD + 17,5 BP ECH 21/01/2016
Issues Date
09/07/2014
Book size
250 M$
31
Titre de la présentation
15/07/2015
Contacts
Arnaud CAUDOUX
Chief Financial Officer and Executive Director
[email protected]
Tel: +33 1 41 79 83 07
Jean-Michel ARNOULT
Headquarters
27-31, avenue du Général Leclerc
94 710 Maisons-Alfort Cedex
Website: www.bpifrance.fr
Chief Treasurer, Head of Capital Markets
and Operations Settlement
[email protected]
Tel: +33 1 41 79 89 77
Eric de LA CHAISE
Head of Financial Engineering & Management
To access financial information directly, please go to:
http://www.bpifrance.fr/bpifrance/espace_investisseurs/
regulated_financial_information
[email protected]
Tel: + 33 1 41 79 80 68
Christophe JACQUILLAT
Head of Market Operations
[email protected]
Tel: + 33 1 41 79 87 39
32
Titre de la présentation
15/07/2015
04.
Appendices
1. Entrepreneur is a French word…
2. Bpifrance Investissement
33
A startup-friendly country, land of R&D, talents and investments
 Successful French entrepreneurs actively
supporting the community
 Strong networks of accelerators, incubators
gathered in French Tech hubs
 Strong CAC 40
 Strong media
coverage of
innovation
Ecosystem
Global
players
 €5Bn tax credits for
Money
France
Startup
Republic
 Government
backing and
financing
 Powerful public
infrastructures
International
Public
support
 Among the best engineers in the
world, CTOs of the most famous
groups
 50% cheaper and more loyal than in
the US
Talents
R&D per year
 ~€20Bn invested on a
yearly basis by
Bpifrance in debt and
equity, of which
>€1Bn in innovation
 ~€1Bn invested on a
yearly basis by VC
funds, of which 50%
funded by Bpifrance
 200M€ to be invested
by Bpifrance in
accelerators
 French Tech
Welcome Pack for
foreign startups
 15M€ funded by the
government to
promote « French
Tech » startups
abroad
34
France among the leaders when looking at figures
78K
Innovation
1,5M
French start-ups
50%
Talents
N°2
Top100 of most innovative
companies in the world
(Forbes)
startups ecosystem in Europe
(Global Startup Ecosystem
Index)
industrial or service firms
say they have led innovative
activities between 2008 &
2010
1st
N°2
world ranking in
With 11 Fields medals,
terms
of patents (13
France ranks 2nd
French groups
worldwide (just behind
among the top 100)
the USA-12 medals)
One million
Universities in the TOP
engineers in stock
100 universities in the
in France (same as
world (Shanghai
Germany)
University ranking)
An engineer in
France costs
2x less than in
the USA
Masters in
management
(excl. US,
Financial Times)
1M
of the revenues of SMEs conducting
research & development is led by
exports (vs. 10,2% for all SMEs)
>2Mds €
Current valorisation
of Critéo
4
22,5%
27,6%
Growth
N°3
N°2
10 455 %
Growth rate of French
innovative companies
vs an average of 10,5%
in Europe
Deezer’s growth rate
over the past 5 years
X2
In the 5 coming
years, innovative
firms will grow 2x
faster than the
average
Sources : DGCIS, Eurostat, Cis Survey, L’observatoire du CIR, PwC, AFIC, Global Startup Ecosystem Index ,Forbes, Financial Times, Bpifrance
35
Far away from the clichés…
One of the most
friendly tax system
for R&D in the
world
English is widely
spoken in France
(but we do have an
accent…)
Legal 6-month trial
period allows firms
to fire employees
instantly
France is #2 in
Europe for Venture
Capital
36
Already many successful serial entrepreneurs, “giving back” to startups
 Founded together :
“101projets” : 101 startups founded by young entrepreneurs
received a 25k€ investment offer
• EEMI: a school to educate for Internet-specific jobs: web
developpers, web designers and web marketers.
•
Xavier Niel
Marc Simoncini
Founder of Iliad – Free,
Kima Ventures
Founder of Meetic, sold to
Match.com
 Xavier created 42, a school offering for free a master in
computer science to high-potential and motivated students.
Jacques-Antoine Granjon
Founder of Vente-Privée
Cecile Real
Olivier Mathiot
Pierre Kosciusko-Morizet,
co-founder of PriceMinister
co-founder of PriceMinister
Founder of Bioprofile,
Fluotpics, Endodiag
 Cecile founded a VC firm
Jean-David Chamboredon
in Med Tech : Medevice
CEO of ISAI
Ludovic Le Moan
Founder of
Sigfox and ScoopIt
 Ludovic created the TIC
Valley, a cluster of innovative
startups in the south of France
 Olivier & Pierre founded PriceMinister, which was later
sold to Rakuten Group for €200M
 Pierre founded ISAI with Jean-David, a VC firm
investing in early stage startups
 Olivier is a very active business angel in France and
President of France Digitale
37
France is a
Start-up
Republic!
2013 – 2014 Highlights
Enters Nasdaq with an initial
valuation of $2 billion
Is sold for $600M
to Adobe
Raises $100M
Raises $22M
Won awards at the CES 2014
Raises $44M
Raises $137M
Celebrated by Forbes as 4th most
influential innovator for his robots
Reaches 1M monthly users
and expends worldwide
38
Supported
by
Supported
by
Supported
by
Supported
by
Supported
by
Supported
by
Supported
by
Supported
by
Bpifran e at the
heart of the
ecosystem
Supported
by
Supported
by
Supported
by
Supported
by
Supported
by
Supported
by
Supported
by
Supported
by
Supported
by
Supported
by
Supported
by
Supported
by
Supported
by
Supported
by
Supported
by
Supported
by
Supported
by
Supported
by
Supported
by
Supported
by
Supported
by
Supported
by
Supported
by
Supported
by
Supported
by
Supported
by
Supported
by
Supported
by
Credit and equity from
Supported
by
39
04.
Appendices
1. Entrepreneur is a French word…
2. Bpifrance Investissement
40
Guiding Principles for Equity Investments
Bpifrance Participations & Bpifrance Investissement
Targeted Sectors and Companies
▪ Investment in all sectors except
▪ Minority Investments
▪ Patient investments (average
horizon of up to 8 - 10 years)
Prudent
Investors
▪ Search for profitable operations
General Interest
Long Term
Socially
Responsible
(positive return expected on
Bpifrance’s equity capital)
▪ General-interest criteria
(employment, competitiveness
and innovation) taken into account
in the decision-making process
▪ No stakes in high-leveraged
deals or transactions
infrastructure, property and real estate,
banking industry
▪ Focus on :
– Growth sectors, particularly
biotechnology, digital technology and
energetic and ecological transition.
– Build-up operations
▪ From small (SME size) to large caps.
▪ Limited stakes in funds involving company
restructuring processes
Systematic Partnership with Private
Investors
▪ Systematic search for joint investments with
private investors (both as a LP and as a GP)
41
Titre de la présentation
15/07/2015
Overview of the Equity Investments Division
Equity Investment
Bpifrance Participations (LP) / Bpifrance Investissement (GP)
Direct Stakes
Holdings through Investment Funds
Third-party Asset
Management
Mid-Caps / LC
€12 bn*
in direct stakes and via 3
direct funds
Fund of Funds
Innovation
€0,6 bn* via 7 direct funds
€1,3 bn* via 11 funds and a
pool of « affiliated » funds
€0,6 bn** via 1 fund
€0,2 bn* via 2 funds
€0,2 bn** managed under the
« Investing in the Future »
Programme via 3 funds
AEM2, Mode et finance2,
Bois 2, OC+A2, FDEN
Averroès Finance III
Large Ventures, FBIMR
SMEs
Funds Raised in 2014
Mid-Caps 2020
*By end of 2013
** Funds size of the Investing in the Future Program
42
Disclaimer
This presentation has been prepared and is available on the web site of Bpifrance Financement. This presentation does not constitute an offer or
invitation by or on behalf of Bpifrance Financement to subscribe or purchase any notes issued or to be issued by Bpifrance Financement.
This presentation is not intended to provide any valuation of the financial situation of Bpifrance Financement nor any valuation of the notes issued or
to be issued by Bpifrance Financement and should not be considered as a recommendation to purchase any notes issued or to be issued by
Bpifrance Financement. Any projection, forecast, estimate or other ‘forward-looking’ statement in this document only illustrates hypothetical
performance under specified assumptions of events and/or conditions, which may include (but are not limited to) prepayment expectations, interest
rates, collateral and volatility. Such projections, forecasts, estimates or other ‘forward-looking’ statements are not reliable indicators of future
performance.
Any person having read this presentation shall independently judge of the relevance of the information contained herein; shall make its own
independent assessment of Bpifrance Financement and determine whether to participate in any potential transaction; and shall consult its own
advisors as to legal, tax or other aspects, as deemed necessary. The French “Autorité des Marchés Financiers” granted its visa under number 13-256
dated June 3rd, 2013 with respect to a base prospectus (the “Base Prospectus”). You are invited to report to the Base Prospectus as supplemented
by the supplements to the base prospectus before taking any decision with respect to the implementation of any potential transaction.
This presentation should not be reproduced, distributed or transmitted to any third party nor published in whole or in part, including by e-mail, on the
Internet, intranet or otherwise.
In some countries, the publication of this presentation and the offer or sale of notes issued or to be issued by Bpifrance Financement may be subject
to legal restrictions and/or regulations. In particular, this document and the information contained herein do not constitute an offer of securities for sale
in the United States and are not for publication or distribution, directly or indirectly, in the United States (within the meaning of Regulations under the
United States Securities Act of 1933, as amended, i.e. the “Securities Act”). No offer or sale of securities in the United States or to US persons may
take place, except pursuant to an exemption from the registration requirements of the Securities Act. The Issuer invites those reading this presentation
to inform themselves and comply with such restrictions and/or regulations.
43
Titre de la présentation
15/07/2015