Mount Logan Capital : March 2024 - FY23 Investor Presentation

MARCH 2024

INVESTOR

PRESENTATION

CBOE CANADA: MLC

Disclaimer & Forward-Looking Statements

This presentation contains certain "forward-looking statements" and certain "forward-looking information" as defined under applicable securities laws (collectively referred to herein as "forward-looking statements"). Forward-looking statements can generally be identified by the use of forward-looking terminology such as "may", "will", "should", "expect", "intend", "estimate", "anticipate", "believe", "continue", "plans" or similar terminology. Forward-looking statements in this presentation include, but are not limited to, statements relating to the future activities of Mount Logan Capital Inc. ("MLC", "Mount Logan" or the "Company"), performance of Ability Insurance Company ("Ability"), the assets under management ("AUM") and fee income expected to be derived from Ability, the benefits of Ability to the Company and its shareholders and the policyholders of Ability, the use by the Company of Ability as a platform to grow its insurance business, future acquisition plans and availability of targets at attractive valuations, statements regarding the Company's potential future value and growth, Mount Logan's plans to decrease Ability's long-term care exposure and replace and grow assets by focusing the business on attractive annuity products, the recurring asset management fees to be derived from its existing vehicles, the use by the Company of its existing vehicles as platforms to grow its asset management business, synergies to be achieved across the Company's vehicles, ML Management's overall business strategy, model and approach to investment activities including as they relate to scaling via strategic transactions, the payment of future dividends, statements related to portfolio composition, statements relating to the future growth, capital raising and lending of Crown Private Credit Partners Inc. ("CPCP") and any change in earnings potential for the Company as a result of any growth of CPCP, the expected organic and inorganic growth to scale AUM and fee related earnings at Ability and the reinvestment of earnings for additional growth, growth in fees will be derived from investment management activities of Sierra Crest Investment Management LLC ("SCIM"), statements regarding the growth of the collateralized loan obligation ("CLO") industry and the Company's ability capitalize on the market opportunity presented thereby including the launch of new CLOs, statements relating to the Company's continued transition to an asset‐light business model, statements relating to the business and future activities of the Company, statements related to the Company's expectations for declining availability of capital from banks and a corresponding increase in the growth of global private credit markets and private credit AUM.

Forward-looking statements are based on the beliefs of the Company's management, as well as on assumptions and other factors, which management believes to be reasonable based on information available at the time such information was given. Such assumptions include, but are not limited to, opportunities for Ability to build on its annuity reinsurance business will be available and the annuity reinsurance industry will continue to grow, market demand for insurance solutions and asset management will continue to increase, the ability of Mount Logan to scale asset and liability origination, Logan Ridge paying a regular and consistent dividend, SCIM remaining the investment adviser of Alternative Credit Income Fund following each two year renewal period and the Company will continue to receive the net economic benefit derived by SCIM under the advisory agreement in respect of Alternative Credit Income Fund, the Company will continue to benefit from its minority stake in SCIM, assumptions regarding general economic conditions; industry conditions; currency fluctuations and hedging; competition from other industry participants; stock market volatility; interest rate risk; the creditworthiness of and/or defaults by borrowers; the illiquidity of loans; continued lack of regulation in the business of lending from sources other than commercial banks; continued operation of key systems; the ability of borrowers to service their debt; continuing constraints on bank lending to mid-market companies; future capital needs and potential dilution to shareholders; retention of key personnel; conflicts of interest and adequate management thereof; solvency of borrower clients; limited loan prepayment; and effective use of leverage; and the strength of proposed and existing relationships with financing and sourcing partners, including BC Partners. Forward-looking statements are subject to various risks and uncertainties concerning the specific factors identified below and in MLC's periodic filings with Canadian securities regulators. MLC undertakes no obligation to update forward-looking statements except as required by applicable law. Such forward-looking statements represents management's best judgment based on information currently available. No forward-looking statements can be guaranteed and actual future results may vary materially. Accordingly, readers are advised not to place undue reliance on forward-looking statements or information.

Forward-looking statements are subject to a number of risks and uncertainties that could cause actual results or events to differ materially from current expectations, including risks relating to investment performance and our ability to generate taxable income from operations, market fluctuations, the strength of the Canadian, U.S. and other economies, foreign exchange fluctuations, political and economic conditions in the countries in which the interests of the Company's portfolio investments are located, the continued impact of the novel coronavirus; the continued impact of global political conflicts including the Russia-Ukraine conflict and the Israel-Palestine conflict, the risk that Ability may not generate recurring asset management fees for ML Management as currently contemplated and the Company may not achieve sufficient income through insurance earnings to provide meaningful diversification having regard to the Company's business model, the expected synergies bycombining the business of Mount Logan with the business of Ability may not be realized as expected, Logan Ridge may not generate recurring asset management fees or strategically benefit the Company as expected, the risk that ML Management's current plans for Logan Ridge are dependent on ML Management's current relationship with BC Partners and the nature of such relationship may change from time to time, Logan Ridge may not be able to refinance its existing debt on more favourable terms, the expected synergies associated Logan Ridge to be achieved may not materialize, the investment advisory agreement in respect of Logan Ridge is subject to approval every year following its initial two-year term by Logan Ridge's board of directors, including a majority of its independent directors, and such approvals may not be obtained, the Company may not be able to identify and complete strategic acquisitions through Logan Ridge in order to scale the business, the risk that CPCP does not scale and grow its business in a way that provides a significant benefit to the Company, the advisory agreement in respect of Alternative Credit Income Fund is subject to approval every two years and such approval may not be obtained, the CLO industry may not grow and develop as expected by the Company, the Company may not be able to capitalize on any growth within the CLO industry, the Company has a limited operating history with respect to an asset‐light business model and the matters discussed under "Risks Factors" in the most recently filed annual information form and management discussion and analysis for the Company.

This presentation is not, and under no circumstances is it to be construed as, a prospectus or an advertisement, and the communication of this presentation is not, and under no circumstances is it to be construed as, an offer to sell or a solicitation of an offer to purchase securities of the Company. This presentation is not intended for U.S. persons. The Company's shares are not registered under the U.S. Securities Act of 1933 and the Company is not registered under the U.S. Investment Company Act of 1940. U.S. persons are not permitted to purchase the Company's shares absent an applicable exemption from registration under each of these Acts.

To the extent any forward-looking statements in this presentation constitutes "future-oriented financial information" or "financial outlook" within the meaning of applicable Canadian securities laws, such information is being provided solely to enable a reader to assess the Company's financial condition and its operational history and experience in the asset management and insurance industries. Future-oriented financial information and financial outlook, as with forward-looking statements generally, are, without limitation, based on the assumptions and subject to the risks set out above. The Company's results of operations and earnings may differ materially from management's current expectations. Such information is presented for illustrative purposes only and may not be an indication of the Company's actual results of operations or earnings. Readers are cautioned that forward-looking information containing future-oriented financial information or financial outlook may not be appropriate for any other purpose, including investment decisions. No representation or warranty of any kind is or can be made with respect to the accuracy or completeness of, and no representation or warranty should be inferred from the Company's projections or the assumptions underlying them.

This presentation contains information obtained by the Company from third parties, including but not limited to market and industry data. Market and industry data is subject to variations and cannot be verified with complete certainty due to limits on the availability and reliability of raw data at any particular point in time, the voluntary nature of the data gathering process or other limitations and uncertainties inherent in any statistical survey. Accordingly, the accuracy and completeness of this data are not guaranteed. The Company believes such information to be accurate but has not independently verified any of the data from third party sources referred to in this presentation or ascertained the underlying assumptions relied upon by such sources. To the extent such information was obtained from third party sources, there is a risk that the assumptions made and conclusions drawn by the Company based on such representations are not accurate. References in this presentation to research reports or to articles and publications should not be construed as depicting the complete findings of the entire referenced report or article.

The information presented herein is for illustrative purposes only. The performance metrics included herein are for historical reference only and there can be no assurance that the Company or ML Management and any investments or actions made by the Company or ML Management will perform as anticipated or that the Company or MLC Management will have access to the number and type of investment opportunities shown herein. All amounts in this presentation are in United States dollars unless otherwise indicated.

Executive Summary

Mount Logan Capital Inc. ("Mount Logan", "MLC", or the "Company") is a Canada-based, publicly-listed (Cboe Canada:MLC) asset management and insurance solutions company focused on investing in and actively managing credit investment opportunities in North America.

MLC BUSINESS MODEL

MLC BY THE NUMBERS

Insurance Earnings

Recurring Revenues

AUM1

$2.3 BILLION

ANNUAL DIVIDENDS2

C$0.08

PER SHARE

Since 2019, management's organic growth initiatives and strategic investments have positioned MLC to capitalize on the opportunities present in the asset management and insurance space

• 1 As of September 30, 2023.

• 2 Total dividend paid over prior four quarters for period ended September 30, 2023. Dividends reported in CAD.

Experienced Management Team

Senior Management have experience establishing and growing large-scale, corporate credit platforms at best-in-class institutions.

Ted Goldthorpe

Matthias Ederer

Henry Wang

Nikita Klassen

CEO & Chairman of the Board

Co-President

Co-President

CFO & Corporate Secretary

• › Currently the Partner in charge of the Global Credit Business at BC Partners (launched the credit platform in Feb 2017)

  • › Partner at BC Partners, joined as part of the creation of BC Partners Credit

    • › Partner at BC Partners, joined as part of the creation of BC Partners Credit

      • › Currently the Chief Financial Officer and Secretary of MLC1

• › Previously President of Apollo Investment Corporation and the Chief Investment Officer of Apollo Investment Management

  • › Previously a Partner and Founding Member of Wingspan Investment Management

    • › Previously a Partner at Stonerise Capital Partners where he spent more than five years

• › Previously at Goldman Sachs for 13 years, most recently running the Bank Loan Distressed Investing Desk

• › Spent seven years in Goldman Sachs' Special Situations Group and Bank Loan Distressed Investing Group in New York and London

• › Spent several years at Goldman Sachs in its Special Situations Group and Investment Banking Division

• › Over 14 years of experience in the financial services industry, at Silicon Valley Bank, Galaxy Digital (TSX: GLXY), and American Express (NYSE: AXP)

• › Spent six years at Pricewaterhouse Coopers LLP providing audit and consulting services in various roles

• › Chartered Professional Accountant (Canada)

1 Effective as of 3/31/2024

Mount Logan Platform

Asset management platform growing its recurring asset management fee streams

• › Focused on private credit, which benefits from declining bank involvement in the middle market amid growing demand from corporations

• › Wholly-owned Mount Logan Management ("ML Management") manages multiple diversified investment vehicles

• › Management contracts generate recurring management fees and performance-based incentive fees, which are paid in cash quarterly

Insurance solutions focused on retirement-oriented products, which present less liability risk and greater predictability compared to traditional insurance products

• › Today, primarily operate through wholly-owned, Nebraska-domiciled insurance company, Ability Insurance Company ("Ability")

• › Target 1% spread between assets and liabilities, supporting policyholders

• › Superior liability-asset matched model versus the banking system

• › ML Management manages a material portion of Ability's assets

MLC focused on growing its asset management fee streams and insurance earnings, while minimizing earnings variability

Key Business Segments

ASSETS UNDER MANAGEMENT ("AUM")1

ASSET MANAGEMENT

Manage several diversified investment vehicles, underpinned by long-term capital bases2

INVESTMENT VEHICLE

INVESTOR BASE

DESCRIPTION

1. Ability Insurance Company	Insurance	MLC-owned insurance company
2. Portman Ridge Finance Corporation (NASDAQ: PTMN)3	Institutional	Registered Business Development Company
3. Logan Ridge Finance Corporation (NASDAQ: LRFC)	Institutional	Registered Business Development Company
4. CLO Management Platform	Institutional	Collateralized loan obligations
5. Sub-Advisory Relationships 6. Alternative Credit Income Fund (RCIIX)	Institutional Retail	Separately managed accounts Closed-end credit interval fund
7. Opportunistic Credit Interval Fund (SOFIX)	Retail	Closed-end interval fund
8. Ovation Alternative Income Fund	Retail	Open-end specialty finance fund

• 1 As of September 30, 2023.

• 2 This is not a complete list of vehicles managed by ML Management. Please refer to MLC's most recent Management's Discussion and Analysis for a complete list.

  INSURANCE SOLUTIONS

  › MLC's current insurance business, Ability, has a ~$1.0b4 investment portfolio diversified across investment grade, private credit, real estate debt, and other alternative investments.

  › ML Management manages a significant portion of the insurance segment's investment portfolio and earns management and incentive fees for its services.

• 3 Mount Logan has a minority stake in the investment advisor of Portman Ridge Finance Corporation, a publicly-listed business development company traded on the NASDAQ under the ticker PTMN.

• 4 AUM of Ability reflects approximate balance of investments as of December 31, 2023 based on statutory accounting standards. Refer to "Endnotes & Definitions".

Mount Logan History

JUN 2020

Launched Opportunistic Credit Interval Fund ("SOFIX")

DEC 2020

JUL 2021

OCT 2021

JUL 2023

OCT 2018

NOV 2020

APR 2021

JUL 2022

Acquired Ability

Insurance Company ("Ability")

Acquired specialty finance platform, Ovation Partners, expanding team and capabilities

PHASE 1

PHASE 2

PHASE 3

› Began as portfolio of corporate loans

› Revenues primarily generated from interest income

• › Management began transitioning toward an asset light model with MLC's subsidiary, ML Management, becoming a registered investment advisor in the U.S.

• › Growth in management fees and wind-down of balance sheet investments

• › Sale of balance sheet investments helped finance the purchase and launch of new ML Management-managed funds

› MLC acquired Ability to capitalize on synergistic asset manager and insurance solutions model

› Showcased ability to grow both organically and inorganically in the asset management division

› Strategic minority stake purchase in Marret Asset Management

Proven Growth Strategy

ORGANIC GROWTH

INORGANIC GROWTH

Launched retail funds like SOFIX which has experienced significant growth by leveraging our existing salesforce and platform track record

Growing insurance business through the reinsurance of annuities. Reinsured $250 million of annuities through year-end 2023. Managed assets at Ability have grown by 59% YoY and earned FY23 management fees of $4.2 million

Closed Ovation Partners transaction in July 2023, expanding credit capabilities into specialty finance and establishing an office in Austin, TXLeveraging fixed cost base across large and growing asset-base, expected to generate meaningful incremental earnings

Dividend History

Prioritizing shareholder returns, MLC has paid a C$0.02 per share dividend for 18 consecutive quarters.

Annual Dividends1: C$0.08/share

Total Aggregate Dividend since 2019: C$0.36/share

Investment Highlights

Synergistic asset management and insurance business model

Strong leadership with management experience in asset management and insurance solutions businesses

Compelling combination of growth supported by stable, long-term capital base

Resilient business across dynamic interest rate environments

Uniquely positioned relative to larger peers in the space

Attractive valuation - MLC trades at significant discount relative to peers

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