Another billion-dollar year - Novacap

1 In 2016, for the third straight year, Novacap s M&A transactions amounted to over $1B. We added six new platform companies to our portfolio and made four strategic add-on acquisitions to fuel further growth. In addition, we successfully exited four investments. In March, the Toronto office moved to its new premises on Bay Street. Our investment team has continued to expand, with nine new employees now working in our Montreal and Toronto offices. Another billion-dollar yearTHE YEAR IN REVIEW 20162016 EXECUTIVE SUMMARYCONTINUED 35 YEARS OF PARTNERSHIP AND GROWTHA2016 EXECUTIVE SUMMARYA nother billion-dollar yearCONTINUEDIn March 2016, we completed the final closing of the Novacap Industries IV fund at $470 million, 11% above our initial goal of $425 million.

2 Together with Novacap TMT IV, this fund has allowed the firm to raise $845 million over the past two years, bringing our total assets under management to $ take pride in the reputation we have built over the last 35 years as investors, partners and responsible, respectful members of our community. Every day we aim to build trust, inspire loyalty and instill confidence among our investors. We firmly believe that holding true to these values will continue to be the main driver of our year 2017 looks very promising. Novacap TMT V fundraising is currently under way, with a closing anticipated for the end of the second quarter.

3 Both TMT and Industries have numerous opportunities in the pipeline for both platform and add-on acquisitions. Our plan in the short and long term remains unchanged: Novacap will continue to build world-class companies, partner with the best entrepreneurs, and continue to generate superior returns across all of our thank our investors for their continued confidence and their loyalty to Novacap . Together, we have created the momentum that has brought us to where we are today. Sincerely,Pascal Tremblay President, Managing Partner Novacap TMTJ acques Foisy President, Managing Partner Novacap IndustriesINVESTMENT AREAS Manufacturing of industrial goods Manufacturing of consumer goods Business services Distribution Information and industrial technology Media Telecommunications technology and services Technology-enabled companiesINDUSTRIESTMTN ovacap.

4 Focused on partnering with Canadian mid-sized companies with long-term growth potential6 acquisitions 4 add-on acquisitions 4 divestments 9 new team members Final closing of Novacap Industries IV At $470 MTARGET COMPANIES2016 HighlightsSales $30M to $500M + Value $30M to $300M +TRANSACTION TYPES Partial or full shareholder buyout Spin-off Privatization Mild restructuring and/or recapitalization Growth capitalAdd-on to KDCTHIBIANT INTERNATIONAL INC. Proven innovator in custom formulation and manufacturing of personal care and skin care products.

5 Acquisitions Acquisitions Add-on acquisitions Add-on acquisitions Divestments DivestmentsMUCCI FARMS Leading grower, packer and shipper of greenhouse vegetables to markets across North FARMS Leader in the production of mushrooms in Canada. Add-on to The Master GroupYORK GTA Distribution operations of Johnson Controls Unitary Products Group (York ), a supplier of HVAC&R equipment, in to SmythPURE PACK TECHNOLOGIES Providing high-quality printing in the flexible packaging market, as well as in the printed popcorn bags Leading provider of cloud managed ERP (Enterprise Resource Planning)

6 FIBER Leading provider of high-speed data, Internet, data centre and voice services to enterprise and carrier MEDICAL SYSTEMS Leader in imaging and workflow solutions for the diagnosis and communication of radiology exams for imaging centres, radiologist reading groups and hospitals. FIRMEX Global provider of virtual data rooms, offering cloud-based document-sharing solutions in over 140 to DialogicAPEX COMMUNICATION TECHNOLOGIES Provider of service delivery platforms (SDPs) and multi-service telecom application Sold to GFL Environmental Inc.

7 IDAHO PACIFIC Sold to Arlon GroupFIBRENOIRE Sold to Vid otronOXFORD NETWORKS Sold to Oak Hill Capital PartnersTMTINDUSTRIESG rowing stronger tienne-Antoine Veilleux, founder of Distech Controls, joined Novacap s TMT group as a Senior Partner in September 2016. tienne led Distech Controls, a building energy management solutions provider, for more than two decades. Founded in 1995, the Brossard, Quebec, company showed remarkable growth, often appearing on the Deloitte Technology Fast 50, and won numerous Toronto, the Novacap Industries team recruited Jamie Cartwright as a Vice President in October.

8 Prior to joining Novacap , Jamie worked at The Stronach Group as Executive Vice President of Corporate Operations. Before that, he held senior positions in the corporate advisory and restructuring practice at Novacap TMT team recruited David Brassard as a Vice President in October. Prior to joining Novacap , David was a Senior Associate at Persistence Capital Partners ( PCP ), a private equity fund focused on the healthcare industry. Prior to PCP, David worked at PricewaterhouseCoopers, where he spent five years with the Mergers & Acquisitions and Audit teams.

9 The Corporate team recruited Marc-Antoine Lachance as Vice President, Investments, in January. Prior to joining Novacap , Marc-Antoine worked at WSP and RONA, where he partic-ipated in numerous acquisition and integration transactions, financing, due diligence, and treasury TEAM MEMBERS IN 2016 The Corporate team recruited Lydia Veilleux as Senior Advisor, Communications and Marketing in August. Prior to joining Novacap , Lydia worked at Cossette Communications and Innergex Renewable Corporate team recruited Lucie Goyette as Junior Legal Counsel in June.

10 Prior to joining Novacap , Lucie worked as a lawyer in a private law firm specializing in business Johnson-Legault joined Novacap TMT as an Analyst in May. Prior to joining Novacap , Laura worked as an account manager at GE Novacap TMT team recruited Jason Dacosta as an Analyst in September. Prior to joining Novacap , Jason worked as an analyst at Mango Novacap Industries team recruited Zachary Zheng as an Analyst in September. Prior to joining Novacap , Zachary worked as an investment banking summer analyst at CIBC World Markets in Hong Tremblay President, Managing Partner T 450 651-5000 ext.