Pitch Deck Private Equity Fund by OGS Capital

About XXX

XXX Ltd (XXX) is a company incorporated in the year XXXX as a private investment property portfolio in the UK. The company's core business is to raise funds and invest in the UK property sector. XXX has discovered several opportunities and provided strong returns to its investors over the years since its inception by developing sophisticated investment strategies. The company caters to both institutional and private clients. The company’s focus is on the Social Housing, Distribution Centres, and Hospitality sectors in the major cities of United Kingdom.

To create one of the strongest brands known for ensuring clients’ financial well-being and growth through well-strategized and customized investments on their behalf. This will be ensured by the company’s entrepreneurial and opportunistic approach, which aims to always increase ROI and capital appreciation.

Investment Approach

The XXX investment approach relies on building a disciplined portfolio backed by rigorous research and a strong focus on security. The Company prides itself on its entrepreneurial and opportunistic approach, always aiming to increase the ROI and capital appreciation.

XXX pursue strategies that complement and build on its core capabilities. Combining deep industry sector and market expertise with a collaborative, knowledge-sharing culture, XXX is constantly seeking out investment opportunities that allows the company to take advantage of the inefficiencies in the real estate markets and maximise return.

XXX’s General Strategy

XXX’s fund managers are always innovative in their approach to property investment. The managers seek to acquire underperforming assets across the United Kingdom, where the management employ their value-add skills to improve property performance. Company’s investment philosophy is based on three core principles, by applying these principles, we seek to deliver sustainable, long-term value for our investors.

✓ Research

✓ Risk management

✓ Income Focus

The Offer

XXX is offering a new investment opportunity to its investors through the UK Property Portfolio.

After several years of investment success, the team at XXX Ltd is pleased to provide its investors with an insight into the top-performing sectors of the UK property market, which has historically been the ‘engine room’ of the UK’s strong economy.

Given the current circumstances after Brexit and COVID, the UK property market is flooded with properties currently selling 10% to 25% below their market value. The experience and connections of the XXX team provides access to this attractive opportunity.

Investors now have an option to purchase shares via a placing in a company that is constantly evolving its portfolio giving the investors a unique and rare opportunity to diversify their personal portfolio long-term by adding an extra layer of security and value to their financial strategy while ensuring asset backing from the UK property, with security held by a recognized security trustee.

The investment provides ownership of shares in the Company, which is asset-backed by ownership of freehold and/or long leasehold property registered with HM Land Registry in England and Wales. In return for the capital invested, XXX provides the Investor with variable payments from distributable profits. The net funds raised will be used to acquire, finance, and deal in the properties that are below market value. The funds will also be used to provide XXX with suitable working capital to develop the Properties and carry out the necessary growth campaign of the Company.

The Market

HOSPITALITY SOCIAL HOUSING

▪ According to tourism forecasts updated in February 2022, inbound visits for the full calendar year are expected to increase to 21.1 million after the slump due to the pandemic and related restrictions.

▪ Revenue in the UK’s Hotels segment is projected to reach £11.9 billion in 2022.

▪ Revenue is expected to show an annual growth rate (CAGR 2022-2026) of 13.10%, resulting in a projected market volume of £19.5 billion by 2026.

▪ Looking at these prospects, investments into hotel industries through below market value acquisition strategy promises a high yield. With the favourable prospects of both real estate and tourism industries, such investments promise value appreciation in hotel property.

COMMERCIAL

▪ According to retail analysts at Global Data, more than half of UK consumers now shop online, and UK online spending is expected to increase by 29.6% in 2024.

▪ This is expected to boost the demand for warehouses.

▪ Online shopping will increase distribution centres demand, with rents in the North East set to rise by 2.2% a year by 2023.

▪ Approximately 70.1 million sq ft was let/sold out in distribution centres, compared to 53 million sq ft in 2020.

▪ E-commerce operators accounted for 33% of total take-up of logistic space in 2021.

▪ An integral part of the nation’s coronavirus recovery plan has been to make a case for investment in new social housing to support jobs, the construction sector, and deliver the social homes required in England. This would be delivered through the current and future Affordable Homes Programmes (AHP), which is the government’s primary route for funding affordable housing.

▪ In the 2020 March budget, the government announced £12.2bn for the next five-year AHP, which is set to run from 2021-2026. A further £1 billion was provided to renters in the form of increased housing benefits, ensuring that the local housing allowance covers at least 30% of market rents in many areas of the UK.

▪ 340,000 new homes need to be supplied in England each year, of which 145,000 should be affordable –estimates by National Housing Federation (NHF) and Crisis from Heriot-Watt University.

Investment Strategy

✓ The UK Property Portfolio will raise GBP 50 million in 4 years, raising GBP 12.5 million in each of the next 4 years.

✓ 55% of the raised capital will be invested in the hospitality sector.

✓ 24% of the funds will be invested in the purchase of distribution centres.

✓ 21% will be invested in the purchase of social housing.

✓ The UK Property Portfolio will target properties throughout the UK’s major cities and surrounding areas that are below market value (BMV).

▪ For hospitality, the UK Property Portfolio will target properties that are 25% to 30% below the market value.

▪ For distribution centres, the UK Property Portfolio will target and purchase the properties that are 20% to 25% below the market value.

▪ For social housing, properties that are available at 10% to 12% below the market value will be targeted.

✓ The UK Property Portfolio will target properties that are income-generating from year 1.

Key Investment Rationale

Proven Track Record

XXX has several years of experience in investing in the real estate sector in the UK.

Strong Management Team

XXX has a strong team with most team members having over 10 years of experience in investing in Real Estate sector.

Security Trustee

A key feature of the XXX investment is that security will be registered over the Company in favour of the Security Trustee, who will hold the security on behalf of the investors as an additional protection for investors.

Strong Partnerships

XXX Ltd has partnerships with marquee companies and brands that are established players in their fields and will help XXX achieve its target of fund raising, investments, and high returns.

The UK Property Portfolio is expected to give an ROI of at least 8%.