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Investor Presentaiton

Global Markets (2/2) Globally, IPOs and mergers and acquisitions fell in the first half; sales of green bonds outpaced those of fossil fuel bonds; and mainland China reopens (2/2) Decline in mergers and acquisitions deals in the H1' 2023 In H1 2023, there were over 27,000 deals worth over $1.2 billion, which is a decrease from H1 2022, when there were over 29,000 deals worth over $1.9 billion. Macroeconomic instability, erratic capital markets, sharply rising interest rates, and the effects of inflation are all contributing factors to the decline in worldwide merger and acquisition deals. 2 Value of M&A ($'billions) 1.2 1.9 0 H1 2023 H1 2022 Number of M & A 27,000 29,000 H1 2023 ■H1 2022 Mainland China reopens Toward the end of 2022, Mainland China lifted its COVID restrictions. The Chinese economy is experiencing a solid recovery, as evidenced by the 4.5% increase in Q1 of this year and is expected to grow an average of 5.2% in 2023. Decline in global inflation towards the end of first half of the year Inflation in advanced economies has maintained its lower trend shows the benefits of the central bank's monetary tightening policies. The inflation rate in the US decreased to 3% in June from 4% in May 2023, getting closer to the 2% goal range. The Eurozone also saw a slowdown in inflation, which dropped to 5.50% in June from 6.1% in May 2023. The decline in prices in the energy, transportation, and food industries can be linked to the cause of downward trend in inflation. Silicon Valley Bank fails In March of this year, the United States saw the second-largest bank failure since the financial crisis of 2007-2008. After investing the majority of their deposits in long-term assets paying close to zero interest rates, Silicon Valley Bank (SVB) experienced liquidity problems. Additionally, interest rates have recently increased significantly as a result of rising inflation. As a result, bond prices fell, an SVB's loss position led to a rating downgrade, and investors started to flee in large numbers. Source: Global M&A Industry Trends: 2023 Mid-Year Update - PwC UK The Nigerian Capital Market Update PwC August 2023 11
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