Market Snapshot: EUR m Shareholders: Risk Profile (WRe): 2014e Freefloat 74.2 % Versicherungskammer Bayern 19.4 % H.J.Selzer et al. 6.

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1 (SDAX, Industrial Goods & Services) Buy EUR Price EUR Upside 11.0 % Value Indicators: EUR Share data: Description: DCF: FCF-Value Potential 16e: SotP: Bloomberg: Reuters: ISIN: INH GR INHG.DE DE Holding Market Snapshot: EUR m Shareholders: Risk Profile (WRe): 2014e Freefloat 74.2 % Versicherungskammer Bayern 19.4 % H.J.Selzer et al. 6.4 % Market cap: 1,190 No. of shares (m): 24 EV: 1,584 Freefloat MC: 883 Ø Trad. Vol. (30d; EUR): 3.06 m Beta: 1.1 Price / Book: 2.2 x Equity Ratio: 45 % Net Fin. Debt / EBITDA: 1.9 x Net Debt / EBITDA: 2.1 x Preview: Better than expected preliminary figures already released Final 2014 figures scheduled for April, 21 in m Q4 2014e Q /- in % 2014e /- in % Group P&L Sales % 1, , % EBITDA % % EBIT % % EBT % % Net profit % % EPS ( ) % % Indus Holding already released preliminary figures. While these were in line with our expectations on a top-line level, an EBIT of EUR 127m came out some 5% above our expectation. The group EBIT margin was released at 10.1% (expected 9.6%). Profit before taxes of EUR 100m was on par with our expectations despite the higher EBIT; reason being a more negative financial result than expected in the fourth quarter due to valuation of options and earn-out components. However, this reflects the successful development of subsidiaries in connection with earn-out components and options to take over remaining stakes. Net profit amounted to EUR 63m, which was below our assumption due to a higher tax rate. EPS, according to our calculation, amounted to EUR 2.53 (expected: EUR 2.70), while Indus Holding released an EPS figure of EUR This figure is based on the result of continued operations only. Our estimate includes losses from discontinued operations of EUR 4.0m (previous year EUR -3.9m), resulting from subsidiary Nisterhammmer. All segments contributed to turnover growth last year, according to the company. EBIT-wise, only Automotive Technology fell short of the 2013 level. EBIT margins for the divisions were released as follows: Construction/Infrastructure 14.6%; Automotive Technology 6.9%; Engineering 11.9%; Medical and Health Technology >16%; Metal Technology 9.2%. Following the acquisitions of Rolko and MBN in 2014, the company is aiming for further external growth this year. After having invested EUR 101m last year in new companies and the existing portfolio, Indus Holding is planning investments on a comparable level this year. Currently, negotiations regarding an acquisition in the field of Medical and Health Technology are taking place. Rel. Performance vs SDAX: 1 month: 9.6 % 6 months: 3.6 % Year to date: 4.2 % Trailing 12 months: 23.2 % Company events: BPC RS ZRH Q AGM Analyst Eggert Kuls ekuls@warburg-research.com FY End: in EUR m CAGR (13-16e) e 2015e 2016e Sales 7.0 % 972 1,097 1,105 1,195 1,256 1,357 1,463 Change Sales yoy 26.3 % 12.9 % 0.7 % 8.1 % 5.1 % 8.0 % 7.8 % Gross profit margin 54.6 % 52.7 % 53.3 % 52.8 % 53.4 % 53.7 % 53.8 % EBITDA 8.6 % Margin 14.9 % 14.6 % 13.7 % 13.3 % 13.9 % 13.9 % 13.9 % EBIT 9.1 % Margin 10.4 % 10.3 % 9.6 % 9.6 % 10.1 % 10.1 % 10.1 % Net income 8.2 % EPS 5.1 % EPS adj. 5.1 % DPS 2.9 % Dividend Yield 5.5 % 4.8 % 4.8 % 4.4 % 2.3 % 2.3 % 2.5 % FCFPS EV / Sales 0.7 x 0.7 x 0.8 x 0.8 x 1.2 x 1.2 x 1.1 x EV / EBITDA 5.0 x 4.8 x 5.5 x 5.7 x 8.9 x 8.4 x 7.9 x EV / EBIT 7.1 x 6.8 x 7.8 x 7.9 x 12.3 x 11.5 x 10.8 x P / E 6.6 x 7.6 x 8.9 x 8.8 x 19.2 x 16.2 x 14.7 x P / E adj. 6.4 x 7.5 x 8.4 x 8.8 x 19.2 x 16.2 x 14.7 x FCF Yield Potential 12.9 % 12.7 % 11.1 % 11.0 % 6.8 % 7.5 % 7.9 % Net Debt ROE 17.0 % 16.1 % 13.2 % 13.8 % 11.7 % 12.9 % 13.0 % ROCE (NOPAT) 9.6 % 9.8 % 9.2 % 9.6 % 9.1 % 9.8 % 9.7 % Guidance: Slight growth in organic group sales >EUR 1.2bn; EBIT a well EUR 118m. PREVIEW Published

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3 Reference in accordance with section 34b of the German Securities Trading Act (WpHG) and the Ordiance on the Analysis of Financial Instruments (FinAnV) regarding possible conflicts of interest with the analysed company: The company preparing the analysis or any of its affiliated companies hold over 5% of shares in the analysed company s equity capital. Within the last twelve months, the company preparing the analysis or any of its affiliated companies have participated in the management of a consortium for the public offering of financial securities, which are (or the issuer of which) is the subject of the analysis. The company preparing the analysis or any of its affiliated companies manage the securities of the analysed company on the grounds of an existing contract. On the grounds of an existing contract, the company preparing the analysis or any of its affiliated companies, have managed investment banking services for the analysed company within the last twelve months, out of which a service or the promise of a has service emerged. The company preparing the analysis and the analysed company came to an agreement regarding the preparation of the financial analysis. The company preparing the analysis or any of its affiliated companies regularly trade in shares or derivatives of the analysed company. The company preparing the analysis as well as its affiliated companies and employees have other important interests in relation to the analysed company, such as, for example, the exercising of mandates at analysed companies. Company Disclosure Link to the historical price targets and rating changes (last 12 months) INDUS Holding 5 PREVIEW Published

4 INVESTMENT RECOMMENDATION Investment recommendation: expected direction of the share price development of the financial instrument up to the given price target in the opinion of the analyst who covers this financial instrument. -B- Buy: The price of the analysed financial instrument is expected to rise over the next 12 months. -H- Hold: The price of the analysed financial instrument is expected to remain mostly flat over the next 12 months. -S- Sell: The price of the analysed financial instrument is expected to fall over the next 12 months. - Rating suspended: The available information currently does not permit an evaluation of the company. WARBURG RESEARCH GMBH RESEARCH UNIVERSE BY RATING Rating Number of stocks % of Universe Buy Hold Sell 9 5 Rating suspended 4 2 Total WARBURG RESEARCH GMBH ANALYSED RESEARCH UNIVERSE BY RATING Looking only at companies for which a disclosure according to 34b of the Germany Securities Trading Act and the FinAnV has to be made. Rating Number of stocks % of Universe Buy Hold Sell 5 4 Rating suspended 4 3 Total PRICE AND RATING HISTORY INDUS HOLDING AS OF The chart has markings if Warburg Research GmbH changed its rating in the last 12 months. Every marking represents the date and closing price on the day of the rating change. PREVIEW Published

5 EQUITIES Roland Rapelius Head of Equities RESEARCH Henner Rüschmeier Malte Räther Head of Research Technology, Telco, Internet Lucas Boventer Jochen Reichert Others Telco, Internet, Media Christian Cohrs Christopher Rodler Engineering, Logistics Utilities Felix Ellmann Arash Roshan Zamir Software, IT Engineering, Logistics Jörg Philipp Frey Malte Schaumann Retail, Consumer Goods Technology Harald Hof Oliver Schwarz Medtech Chemicals, Agriculture Ulrich Huwald Marc-René Tonn Health Care, Pharma Automobiles, Car Suppliers Thilo Kleibauer Björn Voss Retail, Consumer Goods Steel, Car Suppliers Eggert Kuls Andreas Wolf Engineering Software, IT Frank Laser Stephan Wulf Construction, Industrials Utilities Andreas Pläsier Banks, Financial Services INSTITUTIONAL EQUITY SALES Holger Nass Ömer Güven Head of Equity Sales, USA USA, Germany Klaus Schilling Michael Kriszun Dep. Head of Equity Sales, GER United Kingdom Christian Alisch Marc Niemann Scandinavia, Spain Germany Tim Beckmann Sanjay Oberoi United Kingdom United Kingdom Matthias Fritsch Philipp Stumpfegger United Kingdom Australia, United Kingdom Marie-Therese Grübner Juliane Willenbruch France Roadshow/Marketing SALES TRADING Oliver Merckel Bastian Quast Head of Sales Trading Sales Trading Thekla Struve Jörg Treptow Dep. Head of Sales Trading Sales Trading Gudrun Bolsen Jan Walter Sales Trading Sales Trading Michael Ilgenstein Sales Trading MACRO RESEARCH Carsten Klude Dr. Christian Jasperneite Macro Research Investment Strategy Matthias Thiel Macro Research Our research can be found under: Warburg Research research.mmwarburg.com/en/index.html Thomson Bloomberg MMWA GO Reuters FactSet Capital IQ For access please contact: Andrea Schaper Kerstin Muthig Sales Assistance Sales Assistance PREVIEW Published