Heritage Global (HGBL) Investor presentation summary

Business overview

• Specializes in valuing and monetizing industrial and financial assets through acquisition, disposition, valuation, and lending services.

• Operates two main business units: Industrial Assets and Financial Assets, serving both surplus and distressed markets.

• Offers auctions, valuations, refurbishing, resale, brokerage, advisory, and specialty lending services.

• Markets served include surplus industrial machinery, turnkey facilities, inventories, real estate, and receivable/loan portfolios.

• Resilient demand drivers allow performance in both growth and stress economic environments.

Strategic initiatives and growth priorities

• Focus on expanding transaction volume across both business units and deepening institutional relationships.

• Pursues selective, accretive acquisitions aligned with core capabilities, such as the DebtX acquisition.

• Maintains strong liquidity and balance sheet flexibility to support growth and opportunistic share repurchases.

• Increases advisory and brokerage services for surplus and distressed assets.

Recent acquisition and business model advantages

• Acquired DebtX, a leading loan sale advisor, to enhance execution and advisory capabilities in financial assets.

• DebtX provides end-to-end loan sale and valuation services, expected to be accretive in 2026.

• High barriers to entry due to trusted relationships, data security, and execution credibility.

• Collaboration across specialized brands creates revenue and buyer-network synergies.

• Service-oriented model with limited capital intensity and strong cash generation.