Go4Europe 2013 “Cross Border M&A in Agriculture”

1. Go4Europe 2013“Cross Border M&A in Agriculture” RB Halaby Chairman AgriCapital Corporation October 28th, 2013

2. Drivers of Agriculture • Demand • Technology • Globalization

3. Drivers of Agriculture - Demand • World population is expected to reach more than 9 billion by 2050. • Demand for food will double.

4. Drivers of Agriculture - Demand • More people eating better food • Consumers becoming more demanding • Health • Food safety

5. Drivers of Agriculture - Demand • By 2050 global per capita income is expected to increase to nearly three times the 2005 level. Creates more and more higher-income consumers.

6. Drivers of Agriculture - Demand

7. Drivers of Agriculture -Technology • “To meet the increasing demand from a growing population, we will need to produce more food in the next 40 years than has been produced in the previous ten thousand years. • – Jason Clay, Senior VP WWF Source: USDA-NASS. 2012. Crop Production. United States Dept. of Agr - Nat'l Ag. Statistics Service, Washington, D.C.

8. Drivers of Agriculture -Technology • Produce more for less • Innovation driven by environmental limitations such as: • Land erosion • Limited useable water

9. Drivers of Agriculture -Technology The Productivity of America’s Farmers: Number of People Fed Annually by One American Farmer

10. Drivers of Agriculture -Technology U.S. Adaption of GM Field Crops: 1996 - 2007

11. Drivers of Agriculture -Technology Integrated Farming Systems Source: Monsanto Ag Science 2012

12. Drivers of Agriculture -Technology Galileo Wheel Ltd. A Revolutionary Approach to Tire Design Galileo 2012 Diagonal Ply 1898 Radial 1949 • Lesser soil compaction • Better traction • Higher mileage

13. Drivers of Agriculture -Technology Agriculture Food Chain Technology Inputs Production Processing Distribution Retail • Animal Genetics • Genomics • Plant & Animal Biotechnology • Irrigation Technology • Precision Agriculture • Seed & Plant Genetics • Information Systems • Identification & Traceability • Food Safety • Animal Health • Animal Nutrition & Feed • Crop Protection Chemicals • Farm Equipment Manufacturing • Process Equipment Manufacturing • Farm Finance • Fertilizer & Plant Nutrition • Grain Handling Equipment • Risk Management • Aquaculture • Beef • Dairy • Grain • Greenhouse & Nursery • Horticulture • Permanent Crops • Pork • Poultry & Egg • Turf & Forage • Vegetable, Fruits & Nuts • Biofuel • Grain Milling • Meat Packing • Oilseed Crushing • Produce & Packing • Rendering & Waste Water • Recycling • Ag Retailers • Cold Chain & Food Logistics • Commodity Trading • Equipment Distributors • Grain Logistics • OTC Animal Health Products • Consumer Garden Specialty • Consumer Pet Specialty • Pet Food

14. Drivers of Agriculture - Globalization • Agriculture is agnostic – knows no border, nationality, religion, age, ethnicity, gender and color. Global Trade in Grain Source: FAO, 2007

15. Drivers of Agriculture - Globalization • Global Food & Feed Trade Projected to Surpass $1.6 trillion by 2022 Source: FAOSTAT; USDA/FAS Projections

16. Drivers of Agriculture - Globalization • Food & Feed Exports Have More Than Tripled from Each Region over the Past Two Decades Source: COMTRADE

17. Drivers of Agriculture - Globalization Agribusinesses are consolidating and becoming more global. • Globalization of agribusiness is escalating • Companies are seeking economies of scale to maximize efficiency and take as much cost out of the system as possible. • Agriculture is unforgiving of inefficiencies. • Governments seeking “guaranteed and stable” food supplies for their people. • e.g. Asian companies, in cooperation with government, developing relationships with US companies to source US grain. • Increased sourcing and competition from international agribusinesses.

18. Global Cross-Border M&A (all industry) Source: Press Release mergermarket M&A Round up for 2012

19. Select Cross-Border M&A Deals (Israeli Ag) Select Cross-Border M&A Deals in Israeli Agribusiness

20. Select Cross-Border M&A Deals (Agribusiness) Select Cross-Border M&A Deals in Agribusiness (2012-2013)

21. Select Cross-Border M&A Deals (Agribusiness) Select Cross-Border M&A Deals in Agribusiness (2012-2013)

22. Select Cross-Border M&A Deals (Agribusiness) Select Cross-Border M&A Deals in Agribusiness (2012-2013)

23. Select Cross-Border M&A Deals (Agribusiness) Select Cross-Border M&A Deals in Agribusiness (2012-2013)

24. Select Cross-Border M&A assignments Select AgriCapital cross-border advisory assignments. Seeley, California Dessert Seed divested its onion breeding program to Enkhuizen, The Netherlands We advised Dessert Seed

25. AgriCapital Contact Information R.B. Halaby Chairman AgriCapitalCorporation 1410 Broadway, Suite 1802 New York, NY 10018 Email: halaby@agricapital.com Telephone: (212) 944-9500 www.agricapital.com