Bravia Equities Fund Ltd

(Cayman)

Fund Investment Objectives

Bravia Capital is dedicated to value-oriented equity investments in public and private equity in Brazil. The opportunities are pursued through 2 strategies: 1) long-only strategy, which will invest in public equities only; 2) hybrid equity strategy, which has the flexibility to invest in both arenas, public and private equity. Both strategies will share the same public equities portfolio. In public, Bravia will invest in companies that are overlooked by the market and are trading at significant discount to their intrinsic value. Nevertheless, such assets must present predictable cash flows and margins, stable business models, low leverage, preferably hold dominant or have the potential to become dominant players and skilled management. Our investment philosophy is based on: i) Concentrated portfolio: we manage a concentrated portfolio comprised of 8-15 companies. A more concentrated portfolio allows the investment team to dedicate more time to each investment aiming at holding a unique proficiency to identify and monitor the key value drivers; ii) Contrarian approach: overlooked stories are normally out-of-the radar screen of the market and in general the gap between market and intrinsic value is wider. In addition such stories may have lower liquidity, a more complex shareholding structure or a less obvious business model. We will assess investment opportunities irrespective of the market consensus and we are sector agnostic; iii) Value: we invest in opportunities with substantial discount to their intrinsic value, which is based on conservative approach and margin of safety; iv) High conviction: due to our focus on few stories, we can conduct a deeper due diligence and more comprehensive monitoring process; as a result we have strong convictions on our investment thesis; v) Long-term view: value drivers identified by us normally take 3-5 years to be unlocked; moreover, we invest with a business owner mindset. As our investor base has a relevant component of proprietary capital, we have a very stable capital base to invest. The investment process is mainly composed by 4 distinctive phases: i) Sourcing and screening; ii) Business case development; iii) Investment; iv) Divestment.