NGP Capital - a global, growth-stage investor

1. NGP Capital
Smart Cities: Building Partnerships, Attracting Investment
October 2018
Paul Asel, Managing Partner, NGP Capital
Twitter: @PaulAsel
LinkedIn: Paul Asel

2. Proven Success
$1B+
$1.2B AUM
$350M
Experienced Investors
2005
Global Perspective
US, Europe, Asia
one fund
global reach
Strong Portfolio
In latest fund
Stable, 13+ year
partnership
80 companies including
7 $1 billion
companies
NGP Capital Overview

3. NGP Investments in Smart Mobility
Smart Commute Smart Logistics
(Meican)

4. Smart Cities essential to Smart Logistics & Commutes
Smart Commute Smart Logistics
(Meican)
Government engagement vital to business success

5. Effective Smart Cities & Smart Mobility Partnerships
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6. Smart Cities: a rapidly changing landscape
Traditional Partnerships
Negotiated – single party provider
City subsidized – taxpayer funded
Corporate sponsored & branded
Collaborative – public private partnerships
City decides extent & nature of service
Long time to market: 2-4 years
Small, limited scale:
26M shared US bike rides in 2016
New Approach
Competitive – many companies vying for control
 Uber v. Lyft & Lime v. Bird
Transport operators pay – free to cities
Transport operator sponsored & branded
Disruptive – operator “demonstration projects”
Residents decide – consumer driven
Rapid response: companies opening cities weekly
Massive scale:
1,000M shared bike rides in Beijing in 2018
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7. Smart Cities: Reconciling City, Consumer & Operator Interest
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Cities & Operators have a shared interest:
City: welfare of city residents
Operators: satisfied customers
Shared transport is a win / win solution
Healthy, green and low cost transportation enhancement
Better use of resources: less congestion, reduced parking required
Consumers win: faster, cheaper commutes
Cities win: less congestion, higher public transport usage, more equitable transport options

8. U.S. Smart Cities Reimagined
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Denser cores serving a broader metro area
More equitable shared transport options = bikes, scooters, mopeds, cars, multi-passenger vehicles
Higher shared/public transport use = less congestion, lower cost, faster commutes
Parking coverage reduced from 25%+ to 5-10% of urban area = more green space
City cores 2-3x more residents = more walkable, greater availability of services
Distributed communities served by high speed rail = taps larger, more diverse talent pool
Benefits to city residents
Broader range of residential options: greener cities with less congestion
Reduced average commute times saving 100+ hours per worker per year
More equitable transport: lower cost commutes from 10-20% to 5-10% of annual income
Smart logistics: higher availability of services & reduction of food deserts