Alaris Equity Partners Income Trust (AD-UN) investor relations material

Business model and strategy

• Provides capital to private businesses through structured equity, targeting lower to mid-market companies for long-term income and growth.

• Focuses on non-control, preferred and common equity investments, allowing founders to retain operational control.

• Offers equity-like returns with debt-like protections, including consent rights and remedies for defaults.

• Investment returns are generated through ongoing distributions and capital appreciation, not forced exits.

• Portfolio is diversified by geography, industry, and investment type, with 86% of fair value in US-based companies and 82% in preferred equity.

Financial highlights and performance

• Invested capital stands at $1.7 billion, with a net book value of $1.1 billion ($24.79 per unit).

• Quarterly distribution is $0.37 per unit ($1.48 annually), with a YTD payout ratio of 57%.

• Market capitalization is approximately $967 million, with a unit price of $21.33 as of March 9, 2026.

• Over $3.1 billion invested since inception, with $1.6 billion collected in distributions and $1.0 billion from exit events.

• Five-year average gross annual capital invested is $311 million, with $387 million invested in 2025.

Portfolio and investment returns

• 23 active partners, with a median IRR of 19% from exited investments and a 65% total fund return from exits.

• Lifetime IRR on exited investments is 16%, with initial stated yields averaging 14.8%.

• Generated $673.3 million in total returns (+65%) from exited partners.

• Book value per share grew from $15.51 in 2020 to $24.79 in 2025, with over 100% total unitholder return in five years.

• Distributions have increased by over 19% since Q4 2020.