February 2026 Investor Presentation A Global Leader in Acquiring and Collecting Nonperforming Loans Forward-Looking Statements Statements in this presentation, other than statements of historical fact, are forward-looking statements, which are based on our current beliefs, projections, assumptions and expectations concerning future operations and financial performance. Such statements involve uncertainties and risks, some of which are not currently known to us, and may be superseded by future events that co ...

Investment Rating - The report emphasizes the importance of developing distressed asset markets, particularly in emerging markets and developing economies (EMDEs), to enhance financial stability and attract private investors [14][24]. Core Insights - Distressed asset markets are crucial for offloading nonperforming loans (NPLs) and improving financial institutions' balance sheets, thereby contributing to market liquidity and capital ratios [24][32]. - The report identifies five fundamental pillars necessary for investors to participate in the development of distressed asset markets: sufficient volume, transferability, limited price gap, adequate investment structure and servicing capacity, and efficient insolvency and enforcement frameworks [30][65]. Summary by Sections Executive Summary - NPL sales have become a key strategy for resolving distressed assets, especially post-2008 financial crisis, leading to the optimization of distressed asset markets in developed economies [24][25]. - In EMDEs, the lack of developed tools for managing distressed assets limits financial institutions' options, necessitating a focus on enhancing resolution tools [27][28]. Importance of Distressed Asset Markets - High levels of distressed assets can hinder economic growth by constraining lending and increasing unemployment, making the ability to offload these assets vital for financial stability [32][34]. - Distressed asset markets facilitate quicker resolution through sales, contrasting with on-balance sheet management approaches that may be less effective [37][38]. Enabling Environment for Market Development - Economic downturns and regulatory pressures often catalyze the development of distressed asset markets, as financial institutions are incentivized to reduce NPL ratios [50][51]. - Government initiatives play a critical role in establishing a conducive legal and regulatory environment for market development [55][56]. Five Pillars for Market Development - **Volume**: Sufficient volume is essential to justify due diligence costs and attract investors [65][79]. - **Transferability**: Efficient transfer processes for distressed assets between entities are crucial for market development [66][68]. - **Price Gap**: A significant price gap between buyers and sellers can hinder market transactions, even when volume is adequate [69]. - **Structure and Servicing Capacity**: A suitable investment structure and local servicing capacity are necessary for effective asset recovery [72][73]. - **Insolvency and Enforcement Framework**: A strong legal framework for insolvency and debt enforcement is vital for investor confidence and timely recoveries [73][74].