Morgan Stanley | RESEARCH

Morgan Stanley | RESEARCH OAK.N Oaktree: We value OAK using a sum-of-the-parts, supported by a DCF, and back into an implied target multiple on next 3 years DE and ENI. Our PT implies a 12.6x multiple on 2019 EPS, reflecting a 7% pre- mium to historical valuation of 11.8x given expectations for their Opps Xb fund to turn fees on during 2019 and sharply boost fee related earnings. Upside risks include better investment perform- ance, faster monetization of portfolio investments, strong asset gathering from newer initiatives and inflection higher in fee related earnings. Risks include poor investment performance, an extended pull-back in financial and capital markets that delays harvesting of investments and dampens returns which Lower cash earnings. Morgan Stanley & Co. International plc (“Morgan Stanley”) is cur- rently acting as financial advisor to Banco Popular Espafiol, S.A. (“Banco Popular”) in relation to its agreements with Balsam Invest- ment S.a rl., (“Blackstone”) for the acquisition by Blackstone of 51% of, and hence the assignment of control over, Banco Popular's real estate business, as announced on August 8, 2017. Closing of the transaction is subject to relevant regulatory authorisations and other customary conditions. Banco Popular has agreed to pay fees to Morgan Stanley for its financial services. Please refer to the notes at the end of the report. Morgan Stanley & Co. International plc (“Morgan Stanley”) is acting as financial advisor to Unilever plc and Unilever N. V. (together “Uni- lever”) in relation to an offer received from KKR & Co. to acquire Uni- lever's global spreads business, as announced on 15 December 2017. Unilever has agreed to pay fees to Morgan Stanley for its financial services. Please refer to the notes at the end of the report. Morgan Stanley is acting as financial advisor to Jack in the Box Inc. (“Jack”) with respect to a definitive agreement to sell its wholly owned subsidiary, Qdoba Restaurant Corporation, to Funds affili- ated with Apollo Global Management, LLC. Jack has agreed to pay fees to Morgan Stanley contingent upon the consummation of the transaction. The proposed transaction is subject to customary closing conditions and adjustments. Please review the notes at the end of this report. NORTH AMERICA INSIGHT ~~ HOUSE_OVERSIGHT_025582