DDM Treasury Sweden AB: Interim report January–June 2015

Highlights second quarter 2015

• Pipeline remains strong with significant transactions expected to close before year-end, along with additional funding
• Senior secured notes were successfully refinanced during the second quarter
• New subsidiaries were added to the Treasury group as part of the refinancing process
• Net collections during the second quarter increased by 39% to SEK 34.0M (Q2 2014: SEK 24.5M)
• Cash EBITDA during the second quarter amounted to SEK 34.8M (Q2 2014: SEK 22.7M)

Highlights first six months 2015

• Net collections during the first six months of 2015 increased by 26% to SEK 63.3M (H1 2014: SEK 50.1M)
• Cash EBITDA amounted to SEK 63.1M during the first six months of 2015 (H1 2014: SEK 45.9M)

Comment by the CEO

We successfully refinanced our SEK 300M senior secured notes, with amended terms and conditions to facilitate raising of additional funding for increased investments in the second half of the year. The new structure and terms and conditions is also a step to reduce our cost of funding. The refinancing was successfully completed on June 23, 2015 with resounding support by the bondholders. The amended Terms and Conditions in their entirety are available on our website along with a summary of the amendments.

Net collections in the second quarter of 2015 amounted to SEK 34.0M, an increase of 39% compared to second quarter 2014. For the first six-month period, net collections increased by 26% compared to the same period last year.

The Russian investments perform in line with our forecasts, revised at the end of 2014, despite macro-economic challenges. Our performance in several other markets continues to be supportive and the legal collection processes for several investments are expected to become an increasing part of collections during the second half of the year.

Cash EBITDA (net collections less operating expenses) strengthened during the second quarter and amounted to SEK 34.8M. Cash EBITDA during the first six months 2015 increased by 37% compared to the same period in 2014. We were negatively impacted by foreign exchange, primarily unrealized, as the RUB weakened during the quarter.

Market outlook
With strong growth in our pipeline of investment opportunities, we remain optimistic on the outlook of DDM, as we are currently in advanced stages on several significant transactions. These are expected to close before year-end and contribute to a positive financial result for the full year 2015.

Presentation of the interim report
CEO Gustav Hultgren and CFO Fredrik Olsson will comment on the report at a conference call on 20 August 2015, starting at 10:00 a.m. CET. The presentation can be followed live on www.ddm-group.ch and/or by telephone with dial-in numbers: SE: +46 8 566 427 00, CH: toll free 0800 005 203 or UK: +44 203 428 14 08.

Please find attached the full report.

For more information, please contact:

Anders Antonsson, Investor Relations
Mail: a.antonsson@ddm-group.ch | Tel: 46 8 4080 9030

DDM Treasury Sweden AB (publ) (NGM: DDM1) is a subsidiary wholly owned by DDM Holding AG. DDM Holding AG (First North: DDM) is a leading multinational investor and manager of distressed assets. Since 2007, the DDM Group has built a successful platform in Eastern Europe, with 2.2 million receivables in nominal value over EUR 1.7 billion.

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