RNS Number : 0168U
Picton Property Income Limited
27 November 2013
 



THIS ANNOUNCEMENT (INCLUDING THE APPENDIX) AND THE INFORMATION CONTAINED HEREIN IS RESTRICTED AND IS NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, IN WHOLE OR IN PART, DIRECTLY OR INDIRECTLY, INTO THE UNITED STATES, AUSTRALIA, CANADA, JAPAN, SOUTH AFRICA OR ANY OTHER JURISDICTION IN WHICH SUCH RELEASE, PUBLICATION OR DISTRIBUTION WOULD BE UNLAWFUL.

 

This announcement is for information purposes only and shall not constitute an offer to sell or issue or the solicitation of an offer to buy, subscribe for or otherwise acquire any new ordinary shares of Picton Property Income Limited in any jurisdiction in which any such offer or solicitation would be unlawful.

 

27 November 2013 

 

Picton Property Income Limited

(the "Company" or "Picton")

 

 

Proposed issue of equity

 

The Board of Picton today announces a proposal to issue up to 22,228,426new ordinary shares (the "Placing Shares") in the capital of the Company by way of a placing (the "Placing"), representing 6.2% of the Company's existing issued share capital.

 

The Placing Shares will be issued at a premium to the most recent Net Asset Value and will therefore be accretive to existing shareholders.

 

Picton is an internally managed, income focused, Property Investment Company, which currently owns 61 UK commercial property assets, providing a diversified income stream from over 370 occupiers.  The Company's portfolio is well diversified, by sector and geography with 70% of the portfolio invested in the industrial and office sectors and 58% in the London and South East markets. The current dividend yield on the Company's shares based on the closing price as at 26 November 2013 is 5.5%.

 

Use of Proceeds

 

The proceeds of the Placing will be used for identified capital projects within the existing portfolio, alongside further net investment into the property market where attractive investment opportunities can be identified.  More generally, the Company is looking to recycle capital within its portfolio and invest into larger lot sized opportunities and the proceeds of the Placing will be used to such effect.

 

Background to the Issue

 

In the wider UK Commercial property market, according to the IPD October Monthly Index issued on 14 November, capital growth turned positive in May of this year after 18 prior negative months.  In addition, occupancy has been improving since March 2013. According to IPD average capital values broadly stand some 36% below their 2007 peak, albeit there is wide divergence across sectors and geography.

Current market conditions provide attractive opportunities for the Company and in September 2013, Picton raised £6.3m at a 4.9% premium to the preceding NAV and subsequently acquired two income producing assets for consideration of £10.5 million. 

 

At its most recent quarterly update Picton reported:

 

Financial*

 

·      Net Assets increased to £180.3 million (30 June 2013: £169.6 million).

·      NAV/EPRA NAV per share rose 2.7% to 50.4 pence (30 June 2013: 49.1 pence).

·      Increase in underlying property portfolio valuation of 1.4% (30 June 2013: 0.1%).

·      Average debt maturity of 13.9 years, with a fixed weighted average interest rate of 4.5% per annum.

 

Dividend*

 

·      Dividend of 0.75 pence declared (30 June 2013: 0.75 pence).

·      Post-tax dividend cover over the quarter of 126% (30 June 2013: 119%).

 

Portfolio Activity*

 

·        Improvement in occupancy to 90% (June 2013: 89% / March 2013: 88%).

·        Purchase of Greater London multi-let industrial estate Lyon Business Park, Barking for £9.48 million increasing the Company's exposure to the London market to 29.8% of the total portfolio.

·        Further progress made on specific leasing initiatives with 12 lettings completed during the period contributing £0.48 million per annum.

·        Key lettings achieved in Stanford House, WC2 (fully let), Atlas House, Marlow (fully let) and Heron Industrial Estate, Reading (fully let).

 

Post Quarter End Portfolio Activity

·      Secured residential planning permission for upper levels of Stanford House, London WC2.

·      Acquired a further unit for £0.98 million at Angel Gate, London EC1.

·      Strong pipeline of over £0.75 million per annum of leasing transactions under offer or completed since quarter end.

 

Details of the Placing and Expected Timetable 

 

Under the terms of the Placing, Picton intends to place up to 22,228,426 new ordinary shares of no par value in the capital of the Company, under authority gained at its recent AGM on 19 September 2013, conditional on Admission.

 

The Placing will be non pre-emptive and launched immediately following this announcement.  The number and price of the Placing Shares will be determined at the close of the bookbuilding process (the "Bookbuild") for the Placing which will commence at 09.00a.m. today and which is expected to close later today. The results of the Placing will be announced shortly thereafter. J.P. Morgan Securities plc (which conducts its UK investment banking business under the name J.P. Morgan Cazenove) ("JPMC") and Oriel Securities Limited ("Oriel") (together the "Joint Bookrunners") have been appointed as joint bookrunners in respect of the Placing. The Placing is not being underwritten.

 

The Joint Bookrunners will determine the level of demand from potential investors for participation in the Placing.  The placing price is expected to be set at 53.5p**. The decision to proceed with the Placing after the Bookbuild shall be at the absolute discretion of the Company and the Joint Bookrunners.

 

To bid for shares in the Placing, investors should communicate their bid (or bids) by telephone to the Joint Bookrunners. The Joint Bookrunners may choose to accept bids, either in whole or in part, on the basis of allocations determined in agreement with the Company, and may scale down any bids for this purpose on such basis as the Company and the Joint Bookrunners decide.

 

Following the Placing, application will be made for the Placing Shares to be admitted to the premium listing segment of the Official List (the "Official List") of the Financial Conduct Authority (the "FCA") and to be admitted to trading on the main market for listed securities of the London Stock Exchange plc (the "London Stock Exchange") as well as to the Channel Islands Stock Exchange for admission of the Placing Shares to trading on that exchange (together, "Admission"). Settlement for the Placing Shares and Admission is expected to take place on or before 8.00a.m. on 2 December 2013. The Placing is conditional, among other things, upon Admission becoming effective. The Placing is also conditional upon the placing agreement between the Company and the Bookrunners (the "Placing Agreement") not being terminated. The Appendix sets out further information relating to the Bookbuild and the terms and conditions of the Placing.

 

The Placing is subject to the terms and conditions set out in the Appendix (which forms part of this announcement, such announcement and the Appendix together being the "Announcement")

 

  For further information, please contact:

 

Oriel Securities

Roger Clarke

Tom Yeadon

020 7710 7600



J.P. Morgan Cazenove

William Simmonds

020 7742 4000



Company Secretary

David Sauvarin

01481 745 001



Picton Capital Limited

Michael Morris

020 7628 4800



Tavistock Communications

Jeremy Carey

020 7920 3150

 

*As at 30 September 2013

 

** The issue price and closing date may be altered at the absolute discretion of the Company and its Joint Bookrunners.

 

IMPORTANT NOTICES

 

MEMBERS OF THE PUBLIC ARE NOT ELIGIBLE TO TAKE PART IN THE PLACING. ALL OFFERS OF THE PLACING SHARES WILL BE MADE PURSUANT TO AN EXEMPTION UNDER DIRECTIVE 2003/71/EC (AND AMENDMENTS THERETO, INCLUDING DIRECTIVE 2010/73/EU (THE "2010 PD AMENDING DIRECTIVE"), TO THE EXTENT IMPLEMENTED, AND INCLUDING ANY RELEVANT IMPLEMENTING MEASURE, IN THE RELEVANT MEMBER STATE OF THE EUROPEAN ECONOMIC AREA ("EEA")) (THE "PROSPECTUS DIRECTIVE"), FROM THE REQUIREMENT TO PRODUCE A PROSPECTUS FOR OFFERS OF THE PLACING SHARES. THIS ANNOUNCEMENT AND THE TERMS AND CONDITIONS SET OUT IN THIS ANNOUNCEMENT ARE FOR INFORMATION PURPOSES ONLY AND ARE DIRECTED ONLY AT PERSONS WHO ARE: (A) PERSONS IN AN EEA MEMBER STATE WHICH HAS IMPLEMENTED THE PROSPECTUS DIRECTIVE (A "RELEVANT MEMBER STATE"), UNDER THE FOLLOWING EXEMPTIONS UNDER THE PROSPECTUS DIRECTIVE, IF AND TO THE EXTENT THEY HAVEBEEN IMPLEMENTED IN THAT RELEVANT MEMBER STATE: (I) TO ANY LEGAL ENTITY WHICH IS A "QUALIFIED INVESTOR" AS DEFINED IN THE PROSPECTUS DIRECTIVE; (II) TO FEWER THAN 100 OR, IF THE RELEVANT MEMBER STATE HAS IMPLEMENTED THE RELEVANT PROVISION OF THE 2010 PD AMENDING DIRECTIVE, 150, NATURAL OR LEGAL PERSONS (OTHER THAN QUALIFIED INVESTORS AS DEFINED IN THE PROSPECTUS DIRECTIVE), AS PERMITTED UNDER THE PROSPECTUS DIRECTIVE; OR (III) IN ANY OTHER CIRCUMSTANCES WHICH DO NOT REQUIRE THE PUBLICATION BY THE COMPANY OF A PROSPECTUS PURSUANT TO ARTICLE 3 OF THE PROSPECTUS DIRECTIVE, PROVIDED THAT NO SUCH OFFER TO THE PUBLIC SHALL RESULT IN A REQUIREMENT FOR THE PUBLICATION BY THE COMPANY ORTHE JOINT BOOKRUNNERS OF A PROSPECTUS PURSUANT TO ARTICLE 3 OF THEPROSPECTUS DIRECTIVE; AND (B) (I) INVESTMENT PROFESSIONALS FALLING WITHIN ARTICLE 19(5) OF THE FINANCIAL SERVICES AND MARKETS ACT 2000 (FINANCIAL PROMOTION) ORDER 2005, (THE "ORDER"); OR (II) HIGH NET WORTH COMPANIES, UNINCORPORATED ASSOCIATIONS AND OTHER PERSONS FALLING WITHIN ARTICLE 49(2)(A) TO (D) OF THE ORDER; OR (III) ARE PERSONS TO WHOM IT MAY OTHERWISE BE LAWFULLY COMMUNICATED (ALL SUCH PERSONS IN (A) AND (B) TOGETHER BEING REFERRED TO AS "RELEVANT PERSONS"). 

 

THIS ANNOUNCEMENT AND THETERMS AND CONDITIONS SET OUT HEREIN MUST NOT BE ACTED ON OR RELIED ON BY PERSONSWHO ARE NOT RELEVANT PERSONS. ANY INVESTMENT OR INVESTMENT ACTIVITY TO WHICH THIS ANNOUNCEMENT RELATES IS AVAILABLE ONLY TO RELEVANT PERSONS AND WILL BE ENGAGED IN ONLY WITH RELEVANT PERSONS. PERSONS DISTRIBUTING THIS ANNOUNCEMENT MUST SATISFY THEMSELVES THATIT IS LAWFUL TO DOSO. EACH PLACEE SHOULD CONSULT WITH ITS OWN ADVISORS AS TO LEGAL, TAX, BUSINESS AND RELATED ASPECTS OF A PURCHASE OF PLACING SHARES. 

 

The distribution of this Announcement and the offering, placing and/or issue of the Placing Shares in certain jurisdictions may berestricted by law. No action has been taken by the Company, the Joint Bookrunners or any of their respective affiliates that would permit an offer of the Placing Shares or possession or distribution of this Announcement or any other offering or publicity material relating to such Placing Shares in any jurisdiction where action for thatpurpose is required. Persons into whose possession this Announcement comes are required by theCompany and the Joint Bookrunners to inform themselves about and to observe any such restrictions. 

 

THIS ANNOUNCEMENT IS FOR INFORMATION PURPOSES ONLY AND SHALL NOT CONSTITUTE AN OFFER TO SELL OR ISSUE OR THE SOLICITATION OF AN OFFER TO BUY, SUBSCRIBE FOR OR OTHERWISE ACQUIRE SECURITIES IN ANY JURISDICTION IN WHICH ANY SUCH OFFER OR SOLICITATION WOULD BE UNLAWFUL. ANY FAILURE TO COMPLY WITH THIS RESTRICTION MAY CONSTITUTE A VIOLATION OF THE SECURITIES LAWS OF SUCH JURISDICTIONS. 

 

This Announcement or any part of it does not constitute or form part of any offer to issue or sell, or the solicitation of an offer to acquire, purchase or subscribe for any securities in the United States (including its territories and possessions, any state of the United States and the District of Columbia), Canada, Australia, South Africa, Japan or any other jurisdiction in which the same would be unlawful. No public offering of the Placing Shares isbeing made in any such jurisdiction. 

 

In particular, the securities of Picton Property Income Limited (including the Placing Shares) have not been and will not be registered under the US Securities Act of 1933, as amended (the "Securities Act"), or under the applicable securities laws or with any securities regulatory authority of any state or other jurisdiction of the United States, and, accordingly, the Placing Shares may not be offered, sold, pledged or transferred, directly or indirectly, within the United States except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act and the securities laws of any relevant state or jurisdiction of the United States. 

 

The Placing Shares have not been approved or disapproved by the US Securities and Exchange Commission, any state securities commission or other regulatory authority in the United States, nor have any of the foregoing authorities passed upon or endorsed the merits of the Placing or the accuracy or adequacy of this Announcement. Any representation to the contrary is a criminal offence in the United States.

This Announcement is not being distributed by, nor has it been approved forthe purposes ofsection 21 of FSMA by, a person authorised under FSMA. This Announcement is being distributed and communicated to persons in the UK only in circumstances in which section 21(1) of FSMA does not apply. 
 

NOTICE TO RESIDENTS OF GUERNSEY

This Announcement has not been approved or authorised by the Policy Council of the States of Guernsey or the Guernsey Financial Services Commission for circulation in Guernsey. This Announcement may not be distributed or circulated directly or indirectly to any persons in the Bailiwick of Guernsey other than (i) by a person licensed to do so under the terms of the Protection of Investors (Bailiwick of Guernsey) Law 1987, as amended, or (ii) to those persons regulated by the Guernsey Financial Services Commission as licensees under the Protection of Investors (Bailiwick of Guernsey) Law, 1987, the Banking Supervision (Bailiwick of Guernsey) Law, 1994, the Insurance Business (Bailiwick of Guernsey) Law, 2002 or the Regulation of Fiduciaries, Administration Business and Company Directors etc. (Bailiwick of Guernsey) Law, 2000.

 

NOTICE TO RESIDENTS OF JERSEY

Pursuant to Article 8(2) of the Control of Borrowing (Jersey) Order 1958, the consent of the Jersey Financial Services Commission is not required to the circulation of this Announcement within Jersey. Any potential investors resident in Jersey are hereby informed that the Jersey Financial Services Commission has not approved any offer contained herein nor reviewed any documents (including this Announcement) in connection with such offer.

 

By participating in the Bookbuild and the Placing, Placees will be deemed to have read and understood this Announcement in its entirety, to be participating, making an offer and acquiring Placing Shares on the terms and conditions contained herein and to be providing the representations, warranties, indemnities, acknowledgements and undertakings contained herein. 

 

This Announcement may contain and the Company may make verbal statements containing "forward-looking statements" with respect to certain ofthe Company's plans and its current goals and expectations relating to its future financial condition, performance, strategic initiatives, objectives and results. Forward-looking statements sometimesuse words such as "aim", "anticipate", "target", "expect", "estimate", "intend", "plan", "goal", "believe", "seek", "may", "could", "outlook" or other words of similar meaning. By their nature, all forward-looking statements involve risk and uncertainty because they relate to future events and circumstances which are beyond the control ofthe Company, including, amongst other things, UK domestic and global economic business conditions, market-related risks such as fluctuations in interest rates and exchange rates, the policies and actions of governmental and regulatory authorities, the effect of competition, inflation, deflation, the effect of tax and other legislation and other regulations in the jurisdictions in which the Company and its respective affiliates operate, the effect of volatility in the equity, capital and credit markets on the Company's profitability and ability to access capital and credit, a decline in the Company's credit ratings, the effect of operational risks and the loss of key personnel. As a result, the actual future financial condition, performance and results of the Company may differ materially from the plans, goals andexpectations set forth in any forward-looking statements. Any forward-looking statements made herein by or on behalf of the Company speak only as of the date they are made. Except as required by applicable law or regulation, the Company expressly disclaims any obligation or undertaking to publish anyupdates or revisions to any forward-looking statements contained in this Announcement to reflect any changes in the Company's expectations with regard thereto or any changes in events, conditions or circumstances on which any such statement is based. 

 

No statement in this Announcement is intended to be a profit forecast, and no statement in thisAnnouncement should be interpreted to mean that earnings per share of the Company for the current or future financial years would necessarily match or exceed the historical published earnings per share of the Company. 

 

J.P. Morgan Securities plc, which conducts its UK investment banking activities as J.P. Morgan Cazenove, and which is authorised by the Prudental Regulation Authority and regulated in the United Kingdom by the FCA and the Prudential Regulatory Authority, is acting for the Company in connection with the Placing and no-one else and will not be responsible to anyone other than the Company for providing the protections afforded to clients of J.P. Morgan Securities plc nor for providing advice in relation to the Placing or any other matter referred to in this Announcement. 

Oriel Securities Limited, which is authorised and regulated in the United Kingdom by the FCA, is acting for the Company in connection with the Placing and no-one else and will not be responsible to anyone other than the Company forproviding the protections afforded to clients of Oriel Securities Limited nor for providing advice in relation to the Placing or any other matter referred to in this Announcement. 

No representation or warranty, express or implied, is or will be made as to, or in relation to, and no responsibility or liability is or will be accepted by the Joint Bookrunners or by any of their respective affiliates or agents as to, or in relation to, the accuracy or completeness of this Announcement or any other written or oral information made available to or publicly available to any interested party or its advisers, and any liability therefore is expressly disclaimed.

The price of shares and any income expected from them may go down as well as up, andupon disposal of the shares investors may notget back the full amount invested. Past performance is noguide to future performance, and persons needing advice should consult anindependent financial adviser.

The Placing Shares to be issued or sold pursuant to the Placing will not be admitted to trading on any stock exchange other than the London Stock Exchange and the Channel Islands Stock Exchange. Neither thecontent of the Company's website nor any website accessible by hyperlinks on theCompany's website is incorporated in, or forms part of, this Announcement.

In this Announcement, "Placee" includes a person (including individuals, funds or others) on whose behalf a commitment to acquire Placing Shares has been given.  

APPENDIX - TERMS AND CONDITIONS OF THE PLACING

 

All offers of the Placing Shares will be made pursuant to an exemption under the Prospectus Directive from the requirement to produce a prospectus. This Announcement is being distributed and communicated to persons in the UK only in circumstances in which section 21(1) of FSMA does not apply.

 

The Placing Shares referred to in this Announcement have not been and will not be registered under the Securities Act, or under the applicable securities laws or with any securities regulatory authority of any state or other jurisdiction of the United States, and may not be offered, sold, pledged or transferred, directly or indirectly, within the United States except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act and the securities laws of any relevant state or jurisdiction of the United States. 

 

The Placing Shares have not been approved or disapproved by the US Securities andExchange Commission, any state securities commission or other regulatory authority in the United States, nor have any ofthe foregoing authorities passed upon or endorsed the merits of the Placing or the accuracy or adequacy of this Announcement. Any representation to the contrary isa criminal offence in the United States. 

 

The distribution of this Announcement and the Placing and/or issue of the Placing Shares in certain jurisdictions may be restricted by law. No action has been taken by theCompany, the Joint Bookrunners or any oftheir respective affiliates that would permit an offer of the Placing Shares or possession or distribution of this Announcement or any other offering or publicity material relating to such Placing Shares in any jurisdiction where action for that purpose is required. Persons into whose possession thisAnnouncement comes are required by the Company and the Joint Bookrunners to inform themselves about and to observe any such restrictions. 

 

This Announcement should be read in its entirety. In particular, you should read and understand the information provided in the "Important notices" section of this Announcement.

 

By participating in the Bookbuild and the Placing, Placees will be deemed to have read and understood this Announcement in its entirety, to be participating, making an offer and acquiring Placing Shares on the terms and conditions contained herein and to be providing the representations, warranties, indemnities, acknowledgements and undertakings contained herein. In particular, each such Placee represents, warrants and acknowledges (amongst other things), that: 

 

1.         it is a Relevant Person and undertakes that it will acquire, hold, manage or dispose of 
any Placing Shares that are allocated to it for the purposes of its business;

2.         in the case of a Relevant Person in a Relevant Member State who acquires any Placing 
Shares pursuant to the Placing:

 

(A)       it is a Qualified Investor; and

 

 

(B)       in the case of any Placing Shares acquired by it as a financial intermediary, as that term is used in Article 3(2) of the Prospectus Directive,

 

(i)  the Placing Shares acquired by it in the Placing have not been acquired on behalf 
of, nor have they been acquired with a view to their offer or resale to, persons in any Relevant Member State other than Qualified Investors or in circumstances in which the prior consent of the Joint Bookrunners has been given to the offer or resale; or

 

(ii) where Placing Shares have been acquired by it on behalf of persons in any 
member state of the EEA other than Qualified Investors, the offer of those Placing Shares to it is not treated under the Prospectus Directive as having been made to such persons; and

 

3.         it is acquiring the Placing Shares for its own account or is acquiring the Placing Shares for an account with respect to which it exercises sole investment discretion and has the authority to make and does make the acknowledgements, representations and agreements contained in this Announcement; and

 

4.         it (and any account referred to in paragraph 3 above) is outside the United States acquiring thePlacing Shares in "offshore transactions" as defined in, and in accordance with, Regulation S under the 
Securities Act.

 

No prospectus

 

No prospectus or other offering document hasbeen or will be submitted to be approved by theFCA in relation to the Placing and the Placees' commitments will be made solely onthe basis of the information contained in this Announcement, the announcement of the pricing of the Placing (the "Placing Results Announcement") and any information publicly announced to a Regulatory Information Service by or on behalf of the Company on or prior to the date of this Announcement (the "Publicly Available Information"). Each Placee, by participating in the Placing, agrees that it has neither received nor relied on any information, representation, warranty or statement made by or on behalf of the Joint Bookrunners or the Company other than the Publicly Available Information, and none of the Joint Bookrunners, the Company, any person acting on such person's behalf or any of their affiliates has or shall have any liability for any Placee's decision to participate in the Placing based on any other information, representation, warranty orstatement. Each Placee acknowledges and agrees that it has relied on its own investigation of the business, financial or other position of the Company in accepting a participation in the Placing. Nothing in this paragraph shall exclude the liability of any person for fraudulent misrepresentation. 

 

Details of the Placing Agreement and thePlacing Shares

 

Each Joint Bookrunner has entered into the Placing Agreement with the Company under which it has undertaken, on the terms and subject to the conditions set out in the Placing Agreement, to use its reasonable endeavours to procure Placees for the Placing Shares. The Placing is not being underwritten. 

 

The Placing Shares will, when issued, be credited as fully paidand will rank pari passu in all respects with the existing issued ordinary shares of no par value in the capital ofthe Company, including the right to receive all dividends and other distributions declared, made or paid in respect of such ordinary shares after the date ofissue of the Placing Shares. 

 

As part of the Placing, the Company hasagreed that it will not issue or sell any ordinary shares for a period of 30 days after Admission without the prior written consent of the Joint Bookrunners. This agreement is subject to certain customary exceptions and does not prevent the Company from granting options under, and allotting and issuing ordinary shares pursuant to options granted under, the Company's existingshare option schemes, or anyissue of shares related to employee share schemes. 

 

Application for admission to listing and trading

 

Application will be made to the FCA for admission of the Placing Shares to the Official List and to the London Stock Exchange for admission to trading of the Placing Shares on the London Stock Exchange's main market for listed securities. The Company will also make an application for the admission to trading of the Placing Shares on the Channel Islands Stock Exchange. 

It is expected that Admission will take place at or before 8.00 a.m. on 2 December 2013 andthat dealings in the Placing Shares on the London Stock Exchange's main market for listed securities and on the Channel Islands Stock Exchange will commence at the same time. 

 

Bookbuild

  

The Joint Bookrunners and the Company shall be entitled to effect the Placing by such alternative method to the Bookbuildas they may, in their sole discretion, determine. 

 

Principal terms of the Bookbuildand Placing

 

1.         J.P. Morgan Cazenove and Oriel are acting as Joint Bookrunners to the Placing, as agents of the Company.

 

2.         Participation in the Placing will only beavailable to persons who may lawfully be,and are, 
invited by the Joint Bookrunners to participate. The Joint Bookrunners and their affiliates are entitled to enter bids in the Bookbuild as principal.

 

3.         The Bookbuild will establish a single price payable to the Joint Bookrunners by all Placees whose bids are successful (the "Placing Price"). The Placing Price and the number of Placing Shares will be agreed between the Joint Bookrunners and the Company following completion of the Bookbuild and any discount to the market price of the ordinary shares of the Company will be determined in accordance with the Listing Rules, as published by the FCA pursuant to Part VI of FSMA. The Placing Price and the number of Placing Shares will be announced through the Placing Results Announcement on a Regulatory Information Service following the completion of the Bookbuild.

 

4.         To bid in the Bookbuild, Placees should communicate their bid by telephone to their usual 
sales contact at J.P. Morgan Cazenove or Oriel. Eachbid should state the number of Placing Shares which a prospective Placee wishes to acquire at either the Placing Price which is ultimately established by the Company and the Joint Bookrunners or at prices up to aprice limit 
specified in its bid. Bids may be scaled down by the Joint Bookrunners on the basis referred to in paragraph 9 below. Each of the Joint Bookrunners is arranging the Placing severally, and not 
jointly, or jointly and severally, as agent of the Company.

 

5.         The Bookbuild is expected to close no later than 2.00 p.m. (London time) on 27 November 2013 
but may be closed earlier or later at the discretion of the Joint Bookrunners. The Joint Bookrunners 
may, in agreement with the Company, accept bids that are received after the Bookbuildhas closed. The Company reserves the right to reduce the amount to be raised pursuant to the Placing, in its discretion.

 

6.         Each Placee's allocation will be determined by the Joint Bookrunners and the Company and will be confirmed orally by the relevant Joint Bookrunner as agent for the Company as soon as practicable 
following theclose of the Bookbuild. The relevant Joint Bookrunner's oral confirmation of an allocation 
will give rise to a legally binding commitment by the Placee concerned, in favour of the relevant Joint Bookrunner and the Company, under which it agrees to acquire the number of Placing Shares allocated 
to it on the terms andsubject to the conditions set out in this Appendix and the Company's articles ofassociation.

 

7.         The Company will make a further announcement following the close of the Bookbuild detailing the aggregate number of the Placing Shares to be issued and the Placing Price at which such shares 
have been placed.

 

8.         Each prospective Placee's allocation and commitment will be evidenced by a contract note issued 
to such Placee by one of the Joint Bookrunners. The terms of thisAppendix will be deemed  incorporated therein.

 

9.         The Joint Bookrunners may choose to accept bids, either in whole or in part, on the basis of allocations 
determined in agreement with the Company and may scale down any bids forthis purpose on such  basis as the Joint Bookrunners and the Company may determine. The Joint Bookrunners may also, 
notwithstanding paragraphs 4 to 6 above, subject to the prior consent of the Company (a) allocate 
Placing Shares after the time of any initial allocation to any person submitting a bid after that time 
and (b) allocate Placing Shares after the Bookbuild has closed to any person submitting a bid after that time.

 

10.       A bid in the Bookbuildwill be made on the terms and subject to the conditions in this Appendix and will 
be legally binding on the Placee on behalf of which it is made and except with the relevant Joint Bookrunner's consent will not be capable ofvariation or revocation after the time at which it is submitted. Each Placee will have an immediate, separate, irrevocable and binding obligation, owed to the relevant Joint Bookrunner, to pay to it (or as it may direct) in cleared funds an amount 
equal to theproduct of the Placing Price and the number of Placing Shares such Placee has agreed to 
acquire and the Company has agreed to allot and issue to that Placee.

 

11.       Except as required by law or regulation, no press release or other announcement will be made by  the 
Joint Bookrunners or the Company using the name of any Placee (or its agent), in its capacity as 
Placee (or agent), other than with such Placee's prior written consent.

 

12.       Irrespective of the time at which a Placee's allocation(s) pursuant to the Placing is/are confirmed, 
settlement for all Placing Shares to be acquired pursuant to the Placing will be required to be made at the same time, on the basis explained below under "Registration and Settlement".

 

13.       All obligations under the Bookbuild and Placing will be subject to fulfilment of the conditions referred to below under "Conditions of the Placing" and to the Placing not being terminated on the basis referred to below under "Termination of the Placing".

 

14.       By participating in the Bookbuild each Placee will agree that its rights and obligations in respect of the 
Placing will terminate only in the circumstances described below and will not be capable of rescission 
or termination by the Placee.

 

15.       To the fullest extent permissible by law, none of the Joint Bookrunners nor any of their affiliates shall 
have any liability to Placees (or to any other person whether acting on behalf of a Placee or otherwise). 
In particular, none of the Joint Bookrunners nor any of their affiliates shall have any liability (including, to the extent permissible by law, any fiduciary duties) in respect of the Joint Bookrunners' conduct of the 
Bookbuildor of such alternative method of effecting the Placing as the Joint Bookrunners and the 
Company may agree.

 

Registration and Settlement

 

If Placees are allocated any Placing Shares in the Placing they will be sent a contract note or electronic confirmation which will confirm the number ofPlacing Shares allocated to them, the Placing Price, the aggregate amount owed by them to the relevant Joint Bookrunner and details of the relevant Joint Bookrunner's CREST account for settlement purposes. Each Placee will be deemed to agree that it will do allthings necessary to ensure that delivery and payment is completed in accordance with either the standing CREST or certificated settlement instructions which they have in place with the relevant Joint Bookrunner. 

 

Settlement of transactions in the Placing Shares following Admission will take place within the CREST system. Settlement through CREST will be on 2 December 2013 on a T+3 basis unless otherwise notified by the Joint Bookrunners (the "Settlement Date"). Settlement will be on a delivery versus payment basis. However, in the event of any difficulties or delays in the admission of the Placing Shares to CREST or the use of CREST in relation to the Placing, the Company and the Joint Bookrunners may agree that thePlacing Shares should be issued in certificated form. The Joint Bookrunners reserve the right to require settlement forthe Placing Shares, and to deliver the Placing Shares to Placees, by such other means as they deem necessary if delivery or settlement to Placees is not practicable within the CREST system or would not be consistent with regulatory requirements in a Placee's jurisdiction. 

 

Each Placee is deemed to agree that if it does not comply with its obligations, the relevant Joint Bookrunner may sell its Placing Shares on its behalf and retain from the proceeds, for its own account and benefit, an amount equal to the Placing Price of each share sold plusany interest due. Placees will, however, remain liable for any shortfall below the Placing Price and forany stamp duty or stamp duty reserve tax (together with any interest or penalties) which may arise upon the sale of their Placing Shares on their behalf. 
 

If Placing Shares are to be delivered to a custodian or settlement agent, Placees mustensure that, upon receipt, the conditional contract note is copied and delivered immediately to the relevant person within that organisation. Insofar as Placing Shares are registered in a Placee's name or that of its nominee or in the name of any person for whom a Placee is contracting as agent or that of a nominee for such person, such Placing Shares should, subject as provided below, be so registered free from any liability to UK stamp duty or stamp duty reserve tax. Placees will not be entitled to receive any fee or commission in connection with the Placing. 
 

Conditions of the Placing

 

The Placing is conditional upon the Placing Agreement becoming unconditional and not having been terminated in accordance with its terms.

 

  The obligations of the Joint Bookrunners under the Placing Agreement are, and the Placing is, conditional on,   
  amongst other things: 

 

(a)        a term sheet recording the Placing Price and the number of Placing Shares being signed by the Company and the Joint Bookrunners;

 

(b)        the Company allotting, subject only to Admission, the Placing Shares in accordance with the Placing 
Agreement; and

 

(c)        Admission having become effective at or before 8.00 a.m. on 2 December 2013, or such other date (not being later than 9 December 2013) as the Joint Bookrunners may agree with the Company.

 

If any of the conditions set out in the Placing Agreement is not fulfilled or, where permitted, waived in accordance with the Placing Agreement within the stated time periods (or such later timeand/or date as the Company and the Joint Bookrunners may agree), or the Placing Agreement is terminated in accordance with its terms (as to which, see the "Termination of the Placing" section below), the Placing will lapse and the Placee's rights and obligations shall cease and determine at such time and each Placee agrees that no claim can be made by or on behalf of the Placee (or any person on whose behalf the Placee is acting) in respect thereof. 

By participating in the Bookbuild, each Placee agrees that its rights and obligations cease and determine only in the circumstances described above and under "Termination of the Placing" below andits participation will not be capable of rescission or termination by it. 

The Joint Bookrunners may, at their discretion and upon such terms as they think fit, waive fulfilment of all or any ofthe conditions in the Placing Agreement or extend the time provided for fulfilment of any such conditions in respect of all or any part of the performance thereof, save that certain conditions including thecondition relating to Admission referred to in paragraph 4 above may notbe waived. Any such extension or waiver will notaffect Placees' commitments as set out in this Appendix. 

Neither the Joint Bookrunners nor any of their affiliates nor the Company shall have any liability to any Placee (or to any other person whether acting on behalf of a Placee or otherwise) in respect of any decision any of them may makeas to whether or not to waive or to extend the time and/or date for the satisfaction of any condition to the Placing nor for any decision any of them may make as to the satisfaction of any condition or in respect of the Placing generally andby participating in the Placing each Placee agrees that any such decision is within the absolute discretion of the Joint Bookrunners and the Company. 

Termination of the Placing

 

A Joint Bookrunner may by notice in writing to the Company terminate the Placing Agreement on behalf of all parties at any time up to and including Admission in certain circumstances, including a breach of the warranties in the Placing Agreement or the occurrence of a force majeure event. 

If the Placing Agreement is terminated in accordance with its terms, the rights and obligations of each Placee in respect of the Placing asdescribed in this Announcement shall cease and determine at such time and no claim can be made by any Placee in respect thereof. 

By participating in the Bookbuild, each Placee agrees with the Company and the Joint Bookrunners that the exercise by the Company or the Joint Bookrunners of any right of termination or any other right or other discretion under the Placing Agreement shall be within the absolute discretion of the Company or the Joint Bookrunners (as the case may be),and that neither the Company nor the Joint Bookrunners need make any reference to such Placee and that none of the Company, the Joint Bookrunners and their respective affiliates shall have any liability to such Placee (or to any other person whether acting on behalf of a Placee or otherwise) whatsoever in connection with any such exercise. 

By participating in the Placing, each Placee agrees that its rights and obligations terminate only in the circumstances described above and under the "Conditions of the Placing" above, andits participation will not be capable of rescission or termination by it after oralconfirmation by the Joint Bookrunners following the close of the Bookbuild. 
 

Representations and further terms

 

By submitting a bid in theBookbuild, each prospective Placee (and any person acting on such Placee's behalf) represents, warrants, acknowledges and agrees (for itself and for any such prospective Placee) that:

 

1.         it has read this Announcement including this Appendix in its entirety and that its purchase of the Placing Shares is subject to and based upon all the terms, conditions, representations, warranties, acknowledgements, agreements and undertakings and other information contained herein;

 

2.         it has not received a prospectus or other offering document in connection with the Placing and acknowledges that noprospectus or other offering document has been or will be prepared in 
connection with the Placing;

 

3.         the Company's ordinary shares are listed on the Official List, and that the Company is therefore required to publish certain business andfinancial information in accordance with the rules and practices of the FCA, which includes a description of the nature of the Company's business and the Company's 
most recent balance sheet and profit and loss account and that it is able to obtain or access such 
information without undue difficulty, and is ableto obtain access to such information or comparable 
information concerningany other publicly traded company, without undue difficulty;

 

4.         none of the Joint Bookrunners, the Company, any of their affiliates or any person acting on behalf of 
any of them has provided, nor will provide, it with any material regarding the Placing Shares or the 
Company or any other person other than this Announcement; nor has it requested the Joint Bookrunners, the Company, any oftheir affiliates or any person acting on behalf of any of them to provide it with any such information;

 

5.         none of the Joint Bookrunners, any of their affiliates or any person acting on behalf of them has or 
shall have any liability for any Publicly Available Information, or any representation relating to the 
Company, provided that nothing in this paragraph excludes the liability of any person for fraudulent misrepresentation made by that person;

 

6.         (i) it has made its own assessment of the Company, the Placing Shares and the terms of the Placing 
based on Publicly Available Information, (ii) the Joint Bookrunners and the Company (or any of their 
respective affiliates) have not made any representation to it, express or implied, with respect to the Company, the Placing or the Placing Shares or the accuracy, completeness or adequacy of the 
Publicly Available Information and (iii) it has conducted its own investigation of the Company, the 
Placing and the Placing Shares, satisfied itself that the information is still current and relied on that investigation for thepurposes of its decision to participate in the Placing;

 

7.         the content of this Announcement is exclusively the responsibility of the Company and that none of the 
Joint Bookrunners, any of their affiliates or any persons acting on their behalf is responsible for or has 
or shall have any liability for any information or representation relating to the Company contained in this 
Announcement or the Publicly Available Information nor will they beliable for any Placee's decision to 
participate in the Placing based on any information, representation, warranty or statement contained in 
this Announcement, the Publicly Available Information or otherwise. Nothing in this Appendix shall 
exclude any liability of any person for fraudulent misrepresentation;

 

8.         it is not, and at the time the Placing Shares are acquired will not be, a resident of Australia, Canada, 
South Africa or Japan;

 

9.         if it is resident in the Bailiwick of Guernsey it is either (i) a person licensed to receive this Announcement under the terms of the Protection of Investors (Bailiwick of Guernsey) Law 1987, as amended, or (ii) is a person regulated by the Guernsey Financial Services Commission as a licensee under the Protection of Investors (Bailiwick of Guernsey) Law, 1987, the Banking Supervision (Bailiwick of Guernsey) Law, 1994, the Insurance Business (Bailiwick of Guernsey) Law, 2002 or the Regulation of Fiduciaries, Administration Business and Company Directors etc. (Bailiwick of Guernsey) Law, 2000;

 

10.       it and the prospective beneficial owner of the Placing Shares is, and at the time the Placing Shares are 
acquired will be, outside the United States acquiring the Placing Shares in an "offshore transaction" as 
defined in, and in accordance with, Regulation S under the Securities Act;

 

11.       it understands that the Placing Shares have not been, and will not be, registered under the Securities Act and may not be offered, sold, resold, pledged or transferring, directly orindirectly, in or into the United States except pursuant to an effective registration statement under the Securities Act, or pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act and in accordance with applicable state securities laws; and no representation is being made as to the availability of any exemption under the Securities Act for any subsequent reoffer, resale, pledge, or transfer of the Placing Shares;

 

12.       the Placing Shares have not been registered or otherwise qualified, and will not be registered or otherwise qualified, foroffer and sale, nor will a prospectus be approved in respect of any of the 
Placing Shares under the applicable securities laws or with any securities regulatory authority of the United States, or any state or other jurisdiction of the United States, Australia, Canada, South Africa 
or Japan and, subject to certain exceptions, may not be offered, sold, taken up, renounced or delivered 
or transferred, directly or indirectly, within the United States, Australia,Canada, South Africa or Japan;

 

13.       it and/or each personon whose behalf it is participating:

 

a)         is entitled to acquire Placing Shares pursuant to the Placing under the laws of all relevant  jurisdictions;

b)         has fully observed such laws;

c)         has capacity and authority and is entitled to enter into and perform its obligations as an acquirer 
of Placing Shares and will honour such obligations; and

d)         has obtained all necessary consents and authorities (including, without limitation, in the case of a 
person acting on behalf of a Placee, all necessary consents and authorities to agree to the  terms 
set out or referred to in this Appendix) to enable it to enter into the transactions contemplated 

            hereby and to perform its obligations in relation thereto;

 

14.         if it is a pension fund or investment company, its acquisition of Placing Shares is in full compliance with 
              applicable laws and regulations;

 

 

15.       it understands that the Placing Shares are being issued to it either through CREST or in certificated, definitive form and acknowledges and agrees that the Placing Shares will, to the extent they are 
delivered in certificated form, beara legend to the following effect unless agreed otherwise with the Company:

 

              "THE SHARES REPRESENTED HEREBY HAVE NOT BEEN AND WILL NOT BE REGISTERED
              UNDER THE UNITED STATES SECURITIES ACT OF 1933, AS AMENDED (THE "SECURITIES ACT"),
              OR UNDER THE APPLICABLE SECURITIES LAWS OR WITH ANY SECURITIES REGULATORY
              AUTHORITY OF ANY STATE OR OTHER JURISDICTION OF THEUNITED STATES, AND MAY NOT BE
              OFFERED, SOLD, PLEDGED OR OTHERWISE TRANSFERREDEXCEPT (A) PURSUANT TO A
              REGISTRATION STATEMENT WHICH HAS BEEN DECLARED EFFECTIVE UNDER THE SECURITIES
              ACT, (B) IN AN OFFSHORE TRANSACTION IN ACCORDANCE WITH RULE 903OR RULE 904 OF
              REGULATION S UNDER THE SECURITIES ACT OR (C) PURSUANT TO ANY OTHER AVAILABLE
              EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT AND, IN EACH
              CASE, IN ACCORDANCE WITH ANY APPLICABLE SECURITIES LAWS OF ANY STATE OR OTHER
              TO THE CONTRARY IN THE FOREGOING, THE SHARES MAY NOT BE DEPOSITED INTO ANY
              UNRESTRICTED DEPOSITARY RECEIPT FACILITY IN RESPECT OF SHARES ESTABLISHED OR
              MAINTAINED BY A DEPOSITARY BANK. EACH HOLDER, BY ITS ACCEPTANCE OF THESE
              SHARES, REPRESENTS THAT IT UNDERSTANDS AND AGREES TO THE FOREGOING
              RESTRICTIONS." 

 

16.       it will not distribute, forward, transfer or otherwise transmit this Announcement or any part of it, or any other presentational or other materials concerning the Placing in or into the United States (including electronic copies thereof) to any person, and it has not distributed, forwarded, transferred or otherwise 
transmitted any such materials to any person;

 

17.       none of the Joint Bookrunners, their respective affiliates and any person acting on behalf of any of them is making any recommendations to it, advising it regarding the suitability of any transactions it may enter 
into in connection with the Placing and that participation in the Placing is on the basis that it is not and 
will not be a client of any ofthe Joint Bookrunners and that the Joint Bookrunners have no duties or 
responsibilities to it for providing the protections afforded to their clients or customers or for providing 
advice in relation to the Placing nor in respect of any representations, warranties, undertakings or 
indemnities contained in the Placing Agreement nor for the exercise or performance ofany of its rights and obligations thereunder including any rights to waive or vary any conditions or exercise any termination right;

 

18.       it will make payment to the Joint Bookrunners in accordance with the terms and conditions of this Announcement on the due times and dates set out in this Announcement, failing which the relevant 
Placing Shares may be placed with others on such terms as the Joint Bookrunners determines;

 

19.       its allocation (if any) of Placing Shares will represent a maximum number of Placing Shares which it will be entitled, and required, to subscribe for, and that the Company may call upon it to subscribe for a lower number ofPlacing Shares (if any), but in no event in aggregate more than the aforementioned maximum;

 

20.       no action has been or will be taken by any of the Company, the Joint Bookrunners or any person acting on behalf of the Company or the Joint Bookrunners that would, or is intended to, permit a public offer of 
the Placing Shares in the United States or in any country or jurisdiction where any such action for that purpose is required;

21.       it will be (i) the Placee or (ii) anominee of the Placee, as the case may be. The Joint Bookrunners and 
the Company will not be responsible for any liability to stamp duty or stamp duty reserve tax resulting 
from a failure to observe this requirement. It agrees to acquire Placing Shares pursuant to the Placing 
on the basis that the Placing Shares will be allotted to a CREST stock account of the Joint Bookrunners who will hold them as nominee on behalf of the Placee until settlement in accordance with its standing 
settlement instructions withit;

 

22.       the allocation, allotment, issue and delivery to it, or the person specified by it for registration as holder, 
of Placing Shares will not give rise to a stamp duty or stamp duty reserve tax liability under (or at a rate 
determined under) any of sections 67, 70, 93 or 96 of the Finance Act 1986 (depository receipts and clearance services) and that it is not participating in the Placing as nominee or agent for any person or 
persons to whom the allocation, allotment, issue or delivery of Placing Shares would give rise to such a 
liability;

 

23.       it and any person acting on its behalf falls within Article 19(5) and/or 49(2) of the Financial Services and 
Markets Act 2000 (Financial Promotion) Order 2005, as amended, and undertakes that it will acquire, 
hold, manage and (if applicable) dispose of any Placing Shares that are allocated to it for the purposes ofits business only;

 

24.       it has not offered or sold and will not offer or sell any Placing Shares to persons in the United Kingdom 
prior to Admission except to persons whose ordinary activities involve them in acquiring,  holding, 
managing or disposing of investments (as principal or agent) for the purposes of their business or otherwise in circumstances which have not resulted and which will not result in an offer to the public in 
the United Kingdom within the meaning of section 85 (1) of FSMA;

 

 

25.       it is a qualified investor as defined in section 86(7) of FSMA, being a person falling within Article 2.1(e) of the Prospectus Directive;

 

26.       it has only communicated or caused to be communicated and it will only communicate or cause to be 
communicated any invitation or inducement to engage in investment activity (within the meaning of 
section 21 of the FSMA) relating to Placing Shares in circumstances in which section 21(1) of FSMA does not require approval of the communication by an authorised person;

 

27.       it has complied and it will comply with all applicable laws with respect to anything done by it or on its behalf in relation to the Placing Shares (including all relevant provisions of FSMA in respect of anything 
done infrom or otherwise involving the United Kingdom);

 

28.       it represents and warrants that, if it is a financial intermediary, as that term is used in Article 3(2) of the 
Prospectus Directive (including any relevant implementing measure in any member state), the Placing 
Shares purchased by it in the Placing will not be acquired on a non-discretionary basis on behalf of, nor will they be acquired with a view to their offer or resale to, persons in a member state of the EEA which has implemented the Prospectus Directive other than qualified investors, or in circumstances in which the prior consent of the Joint Bookrunners has been given to the offer or resale.

 

29.       it has not offered or sold and will not offer or sell any Placing Shares to persons in the European Economic Area prior to Admission except to persons whose ordinary activities involve them in acquiring, 
holding, managing or disposing of investments (as principal or agent) for the purpose of their business or otherwise in circumstances which have not resulted and which will not result in an offer to the  public in 
anmember state of the European Economic Area within the meaning of the Prospectus Directive (which means Directive 2003/71/EC, as amended, and includes any relevant implementing measure in any member state);

 

 30.       it has complied with its obligations in connection with money laundering and terrorist financing under the 
Proceeds of Crime Act 2002, the Terrorism Act 2000, and the Money Laundering Regulations (2003) (the 

            "Regulations") and, if making payment on behalf of a third party, that satisfactory evidence has been 
obtained and recorded by it to verify the identity of the third party as required by the Regulations;

 

31.       it acknowledges that its commitment to acquire Placing Shares on the terms set out herein will 
continue notwithstanding any amendment that may in future be made to the terms and conditions 
of the Placing and that Placees will have no right to be consulted or require that their consent be obtained with respect to the Company's or the Joint Bookrunners' conduct of the Placing;

 

32.       it acknowledges that it has knowledge and experience in financial, business and international 
investment matters as is required to evaluate the merits andrisks of acquiring the Placing Shares. It further acknowledges that it is experienced in investing in securities of this nature, and is aware that it may be required to bear, and is able to bear, the economic risk of, and is able to sustain, a complete 
loss in connection with the Placing. It has relied upon its own examination and due diligence of the 
Company and its affiliates taken as a whole, and the terms of the Placing, including the merits and risks involved;

 

33.       the Company, the Joint Bookrunners and others will rely upon the truth and accuracy of the foregoing representations, warranties, acknowledgements and agreements, which are given to each Joint Bookrunner on its own behalf and onbehalf of the Company and are irrevocable;

 

34.       the Placing Shares will be issued subject to the terms and conditions of this Appendix; and

 

 

35.       this Appendix and all documents into which this Appendix is incorporated by reference or otherwise 
validly forms a part will be governed by and construed in accordance with English law.  All agreements 
to acquire shares pursuant to the Bookbuild and/or the Placing will be governed by English law, and the English courts shall have exclusive jurisdiction in relation thereto, except that proceedings may 
be taken by the Company or the Joint Bookrunners in any jurisdiction in which the relevant Placee 
is incorporated or in which any of its securities have a quotation on a recognised stock exchange.

 

By participating in the Placing, each Placee (and any person acting on such Placee's behalf) agrees to indemnify and hold the Company, each of the Joint Bookrunners and each of their respective affiliates harmless from any and all costs, claims, liabilities andexpenses (including legal fees and expenses) arising out of or in connection with any breach of the representations, warranties, acknowledgements, agreements and undertakings given by the Placee in this Appendix andfurther agrees that the provisions ofthis Appendix shall survive after completion of the Placing. 

 

Please also note that the agreement to allot and issue Placing Shares to Placees (or thepersons for whom Placees are contracting as agent) free of stamp duty and stamp duty reserve tax in the United Kingdom relates only to their allotment and issueto Placees, or such persons as they nominate as their agents, direct by the Company. Such agreement assumes that the Placing Shares are not being acquired in connection with arrangements to issue depositary receipts or to transfer the Placing Shares into a clearance service. If there were any such arrangements, or the settlement related to other dealings in the Placing Shares, stamp duty or stamp duty reserve tax may be payable, for which neither the Company nor the Joint Bookrunners would be responsible. If this is the case, it would be sensible for Placees to seek independent advice and they should notify the Joint Bookrunners accordingly. In addition, Placees should note that they will be liable for any capital duty, stamp duty and all other stamp, issue, securities, transfer, registration, documentary or other duties or taxes (including any interest, fines or penalties relating thereto) payable outside the United Kingdom by them or any other person on the acquisition by them of any Placing Shares or the agreement by them to acquire any Placing Shares and each Placee, orthe Placee's nominee, in respect ofwhom (or in respect of the person for whom it is participating in the Placing as an agent or nominee) the allocation, allotment, issue or delivery of Placing Shares has given rise to such non-UK stamp, registration, documentary, transfer or similar taxes or duties undertakes to pay such taxes and duties, including any interest and penalties (if applicable), forthwith and to indemnify on an after-tax basis and to hold harmless the Company andthe Joint Bookrunners in the event that either the Company and/or the Joint Bookrunners have incurred any such liability to such taxes or duties. 

 

The representations, warranties, acknowledgements and undertakings contained in this Appendix are given to the Joint Bookrunners for themselves and on behalf of the Company and are irrevocable. 

 

The Joint Bookrunners are acting exclusively for the Company and no one else in connection with the Bookbuildand the Placing, and the Joint Bookrunners will notbe responsible to anyone (including any Placees) other than the Company for providing the protections afforded to their clients or for providing advice in relation to theBookbuild or the Placing or any other matters referred to in this Announcement. 

 

Each Placee and any person acting on behalf of the Placee acknowledges that the Joint Bookrunners do not owe fiduciary or other duties to any Placee in respect of any representations, warranties, undertakings or indemnities in the Placing Agreement. 

 

Each Placee and any person acting on behalf of the Placee acknowledges and agrees that either of the Joint Bookrunners may (at their absolute discretion) satisfy its obligations to procure Placees by itself agreeing to become a Placee in respect of someor all of the Placing Shares or by nominating any connected or associated person to do so.

 

When a Placee or any person acting on behalf of the Placee is dealing with the Joint Bookrunners, any money held in an account with the Joint Bookrunners on behalf of the Placee and/or any person acting on behalf of the Placee will not be treated as client money within the meaning of the relevant rules and regulations of the FCA which therefore will not require the Joint Bookrunners to segregate such money, as that money will be held by it under a banking relationship and not as trustee.

  All times and dates in this Announcement may besubject to amendment. The Joint Bookrunners will notify
  Placees and any persons acting on behalf of the Placees of any changes. 

 

 

 

 

 

 

 

 

 


This information is provided by RNS
The company news service from the London Stock Exchange
 
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