NB PRIV EQ PARTN : NBPE Monthly Report - December 2011

NB Private Equity Partners Limited

CONTACT INFORMATION

For questions about NBPE, please

contact the Investor Relations department of the Investment Manager at the phone number or email address listed below:

INVESTMENT MANAGER

NB Alternatives Advisers LLC

325 N. Saint Paul Street

Suite 4900

Dallas, TX 75201

United States of America

[e-mail]

Tel. [phone]

Fax. [phone]

REGISTERED OFFICE

NB Private Equity Partners Limited

P.O. Box 225

Heritage Hall, Le Marchant Street St. Peter Port, Guernsey GY1 4HY Channel Islands www.nbprivateequitypartners.com Tel. [phone]

Fax. [phone]

ORDINARY SHARE INFORMATION

Trading Symbol: NBPE

Exchanges: Euronext Amsterdam & London

Stock Exchange

Euronext Admission Date: 25 July 2007

LSE Admission Date: 30 June 2009

Base Currency: USD

Bloomberg: NBPE NA, NBPE LN Reuters: NBPE.AS, NBPE.L

ISIN: GG00B1ZBD492

COMMON: 030991001

ZDP SHARE INFORMATION

31 December 20111

COMPANY OVERVIEW

NB Private Equity Partners Limited ("NBPE" or "the Company") is a closed-end investment company registered under the laws of Guernsey managed by NB Alternatives Advisers LLC (the "Investment Manager"), an indirect wholly owned subsidiary of Neuberger Berman Group LLC. NBPE invests in private equity funds managed by leading sponsors, including fund of funds managed by the Investment Manager, and makes direct private equity investments alongside leading sponsors ("co-investments"). NBPE's investment objective is to produce attractive returns on its capital from its private equity investments while managing investment risk through portfolio diversification across asset class, vintage year, geography, industry, and sponsor.

INVESTMENT MANAGER COMMENTARY

During December, the previously announced secondary transaction in Wayzata Opportunities Fund II was partially funded. We expect the remaining portion to fund in December 2013.

NBPE invested $6.3 million into private equity investments and received $7.7 million of distributions during December. As a result of this investment activity, the Company's private equity investment level was 99% of NAV at 31 December 2011. Approximately 53% of the contributions were invested in the aforementioned secondary transaction, 24% were invested in buyout funds, 15% were invested in special situation funds, and

8% were invested in growth equity/venture funds. A majority of the distributions during the month were from fund investments in OCM Opportunities Fund VIIb, Platinum Equity Capital Partners II, and NB Crossroads Fund XVII.

As of 31 December 2011, the unaudited NAV per share was $10.65, which represents an increase of 0.1% compared to the unaudited NAV per share of $10.64 at 30 November 2011. During December, NBPE's portfolio value increased due to $0.9 million of negative foreign exchange adjustments, $0.7 million of unrealized gains on public securities, $0.7 million of unrealized gains on credit-related fund investments, and

$0.2 million net unrealized gains attributable to the receipt of Q3 2011 valuation information. Share repurchases during the month were accretive to NAV per share by approximately $0.01.

NET ASSET VALUE DEVELOPMENT

($ in millio ns, except per share data)

Trading Symbol: NBPZ

Exchanges: London Stock Exchange &

Summary o f N A V o f Ordina ry Shares

31 D ecembe r 20 11

( Una udit e d)

30 N o vembe r 20 11

( Una udit e d)

Channel Islands Stock Exchange

Admission Date: 1 December 2009

Base Currency: GBP Bloomberg: NBPEGBP LN Reuters: NBPEO.L

ISIN: GG00B4ZXGJ22

SEDOL: B4ZXGJ2

GRY at Issuance: 7.30%

Share Life: 7.5 Years to 31 May 2017

Final Capital Entitlement: 169.73 pence

As of 31 December 2011, the private equity portfolio included exposure to 73 investments and over 2,500 underlying portfolio companies.

* Includes both equity and debt investments.

** As of 31 December 2011, there were

49,345,169 class A ordinary shares and

10,000 class B ordinary shares outstanding, with 3,150,408 class A ordinary shares held in treasury. As of 30 November 2011, there were

49,420,169 class A ordinary shares and

10,000 class B ordinary shares outstanding, with 3,150,408 class A ordinary shares held in treasury.

*** As of 31 December 2011 and 30 November

2011, there were 32,999,999 ZDP shares outstanding.

Fund Investments and Fund o f Funds Investments $ 394.1 $ 389.2

Direct / Co -investments * $ 127.6 $ 128.2

T o tal P rivate Equity Investment s $ 52 1.7 $ 5 17 .4

Cash and Cash Equivalents $ 77.9 $ 77.3

Credit Facility Outstanding - - ZDP Share Liability, incl. Fo rward Currency Co ntract ($ 62.1) ($ 61.4) Net Other A ssets (Liabilities), incl. M ino rity Interest ($ 12.1) ($ 7.6)

N e t A sset Value $ 525.4 $ 525.7 N e t A sset Value pe r Share ** $ 10.65 $ 10 .6 4 C lo s ing Share P rice (Euro next A m sterda m) $ 7 .0 0 $ 7 .15 P remium (D isco unt ) ( 34.3%) ( 32.8%)

Summary o f P rivate Equity Expo sure

Estimated Fair Value o f P rivate Equity Investments $ 521.7 $ 517.4

Unfunded P rivate Equity Commitments $305.8 $315.8

T o tal P rivate Equity Expo sure $ 827.5 $ 833.2

P rivate Equity Investment Level 99% 98% Cash + Undrawn Co mmitted Credit Facility $ 327.9 $ 327.3

Co mmitment Co ver Ratio 107% 104%

(In £)

Summary o f the Z D P Shares

Z D P N e t A sset Value pe r Share *** 115 .83p 115 .14 p Clos ing Z D P Share P rice ( LS E ) 129.00 p 12 8 .2 5 p P remium (D isco unt ) 11.4% 11.4%

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NB PRIVATE EQUITY PARTNERS LIMITED

31 December 20111

PRIVATE EQUITY PORTFOLIO DIVERSIFICATION

Key information about NBPE's private equity portfolio based upon fair value at 31 December 2011 was as follows.2

Asset Class and Investment Type Year of Investment Growth / Venture 8% Secondary Purchases 5% 2009 9% 2010 13% Large-cap Buyout Co-invest 8% Large-cap Buyout Funds 9% Mid-cap Buyout Co-invest 11% Mid-cap Buyout Funds 21% Special Sit Funds 32% Special Sit Directs 6% 2008 25% 2007 25% 2006 10% 2011 15% 2005 2% 2004 & Earlier 1% Geography Industry Energy / Utilities 13% Financial Services 12% Industrials 11%

North America

77%

Europe

19%

Asia / Rest of

World

4%

Divers. / Undisclosed / Other 24% Business Services 3% Transport. 4% Technology / IT 7% Comm. / Media 9% Consumer / Retail 10% Healthcare 7%

Based on total private equity exposure, which includes unfunded commitments, the diversification of NBPE's private equity portfolio at 31
December 2011 was as follows: 2
• Asset class and investment type - special situations funds: 33%; special situations direct investments: 5%; mid-cap buyout funds: 21%; mid-cap buyout co-investments: 9%; large-cap buyout funds: 9%; large-cap buyout co-investments: 7%; growth / venture: 11%; secondary purchases: 5%
• Geography - North America: 76%; Europe: 19%; Asia / rest of world: 5%
• Industry - energy / utilities: 12%; financial services: 12%; consumer / retail: 11%; industrials: 12%; communications / media: 9%; technology / IT: 7%; healthcare: 7%; business services: 2%; transportation: 4%; diversified / undisclosed / other: 24%
The diversification of NBPE's unfunded private equity commitments at 31 December 2011 was as follows: 2
• Asset class and investment type - special situations funds: 34%; mid-cap buyout funds: 24%; mid-cap buyout co-investments: 1%; large-cap buyout funds: 9%; growth / venture: 25%; secondary purchases: 7%
• Vintage year of fund or direct / co-investment - 2004 & Earlier: 2%; 2005: 1%; 2006: 16%; 2007: 42%; 2008: 5%; 2009: 10%; 2010: 16%;
2011: 8%

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NB PRIVATE EQUITY PARTNERS LIMITED

31 December 20111

VALUATION METHODOLOGY

The Company carries its private equity investments on its books at fair value using the best information it has reasonably available to determine or estimate fair value. Publicly traded securities are valued based on quoted prices as of the last day of the relevant period less discounts to reflect legal restrictions, if any, that affect marketability. The Company determines such values for publicly traded securities held directly as well as known public positions held in the underlying private equity investments on a look-through basis. The Company estimates fair value for private interests based on a methodology that begins with the most recent information available from the general partner of the underlying fund or the lead investor of a direct co-investment, and considers subsequent transactions, such as drawdowns or distributions, as well as other information judged to be reliable that reports or indicates valuation changes, including realizations and other portfolio company events. The Company proactively re- values its investments before it has received updated information from the fund manager or lead sponsor if it becomes aware of material events that justify a change in valuation. If the Company concludes that it is probable an investment will be sold, the Company will adjust the carrying value to the amount the Company expects to realize from the sale, exclusive of transaction costs.
NBPE expects to issue its 2011 annual financial report in March. The annual financial report will include audited financial information prepared in accordance with accounting principles generally accepted in the United States. NBPE is required to consider, and will consider, all known material information in preparing such annual financial report, including information that may become known subsequent to the issuance of this monthly report. Accordingly, amounts included in the annual financial report may differ from this monthly report.

TRADING VOLUME AND SHARE REPURCHASE ACTIVITY

During the month of December, NBPE's aggregate trading volume on Euronext Amsterdam, the London Stock Exchange, and over-the-counter
trading platforms was 438,417 shares, which represents an average daily trading volume of approximately 21,921 shares.
The trading volume in
December included approximately 126,858 shares traded over-the-counter and not reported on Euronext Amsterdam or the London Stock
Exchange.
On 22 October 2010, we launched a new Share Buy-Back Programme in order to begin implementing the Capital Return Policy. The Share Buy- Back Programme commenced immediately and, subject to extension, will end on 31 March 2012. Under the terms of the new programme, The Royal Bank of Scotland N.V.(London Branch) and The Royal Bank of Scotland plc (together, "RBS") have been appointed to effect on-market repurchases of Shares on behalf of NBPE on Euronext Amsterdam and/or the Specialist Fund Market of the London Stock Exchange. Shares bought back under the Share Buy-Back Programme will be cancelled.
During December, a total of 75,000 shares were repurchased under the Programme at an aggregate net purchase price of $524,035 or a weighted average price per share of approximately $6.98. There were two days in which transactions were conducted, and all of the shares bought back in December were cancelled. The share repurchases during the month were accretive to NBPE's NAV by approximately $0.01 per share. As of 31
December 2011, there were 49,345,169 class A ordinary shares and 10,000 class B ordinary shares outstanding, with 3,150,408 class A ordinary shares held in treasury.

1. Figures provided are unaudited and subject to change. Certain numbers may not total due to rounding.

2. Total exposure and unfunded percentages exclude the recent $200 million commitment to NB Alternatives direct co-investment program, as capital deployment is opportunistic and cannot be accurately forecast at this time. The diversification analysis by asset class and investment type is based on the fair value of underlying fund investments and direct / co- investments (including unfunded commitments on a total private equity exposure basis). The diversification analysis by year of investment, geography and industry is based on the diversification of underlying portfolio company investments at fair value as estimated by the Investment Manager. The year of investment is calculated at the portfolio company level and is defined as the date of capital deployment into a particular underlying investment. For primary investments and direct / co-investments, the vintage year is defined as the date of the first portfolio investment or the date of the direct / co-investment. For secondary investments, the vintage year is defined as the date of the secondary acquisition. The diversification by year of investment also includes an allocation of net cash flows and valuation adjustments made since financial statements were last received from the investment sponsor. Determinations regarding asset class, investment type, geography and industry, as well as the allocation of unfunded commitments on a total private equity exposure basis, also represent the Investment Manager's estimates. Accordingly, the actual diversification of the Company's investment portfolio and the diversification of the Company's investment portfolio on an ongoing basis may vary from the foregoing information.

This document is not intended to be an investment advertisement or sales instrument; it constitutes neither an offer nor an attempt to solicit offers for the securities described herein. This report was prepared using financial information contained in NBPE's books and records as of the reporting date. This information is believed to be accurate but has not been audited by a third party. This report describes past performance, which may not be indicative of future results. NBPE does not accept any liability for actions taken on the basis of the information provided.

NBPE is registered with the Dutch Authority for the Financial Markets as a collective investment scheme which may offer participations in The Netherlands pursuant to article 2:66 of the Financial Markets Supervision Act (Wet op het financieel toezicht). All investments are subject to risk. Past performance is no guarantee of future returns. Prospective investors are advised to seek expert legal, financial, tax and other professional advice before making any investment decision. The value of investments may fluctuate. Results achieved in the past are no guarantee of future results.

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