The views and commentary received (the ‘Communication’) are provided by a member of Davy Capital Market or Davy Private Clients (the ‘Author’) and are not a product of the Davy Research department. The Communication does not constitute investment research. Any views expressed may differ from those of Davy Research. Any views expressed may not be objective or independent of the interests of the Author, who may be an active participant in the securities referred to in the Communication.

The Communication received is classified as a ‘marketing communication’, in accordance with the European Communities (Markets in Financial Instruments) Regulations 2007. This means that (a) it has not been prepared in accordance with the legal requirements designed to promote the independence of investment research and (b) it is not subject to any prohibition on dealing ahead of the dissemination of investment research.

 

Additional important disclosures specific to Davy Equity Sales, Equity Sales Trading and the Fixed Income Desk can be found below

Additional important disclosures specific to Aidan Donnelly, the Head of Equities/Fund Manager in Davy Private Clients, can be found here

Regulatory and other important information

J&E Davy, trading as Davy, is regulated by the Central Bank of Ireland. Davy is a member of the Irish Stock Exchange, the London Stock Exchange and Euronext. In the UK, Davy is authorised by the Central Bank of Ireland and authorised and subject to limited regulation by the Financial Conduct Authority. Details about the extent of our authorisation and regulation by the Financial Conduct Authority are available from us on request. No part of the Communication is to be reproduced without our written permission. The Communication is solely for information purposes and does not constitute an offer or solicitation to buy or sell securities. The Communication does not constitute investment advice and has been prepared without regard to the individual financial circumstances and objectives of persons who receive it. The securities/strategy discussed in the Communication may not be suitable or appropriate for all investors. The value of investments can fall as well as rise and there is no guarantee that investors will receive back their capital invested. Past performance and simulated performance are not a reliable guide to future performance. Projected returns are estimates only and are not a reliable guide to the future performance of this investment. Forecasted returns depend on assumptions that involve subjective judgment and on analysis that may or may not be correct. Any information related to the tax status of the securities discussed herein is not intended to provide tax advice or to be used as tax advice. You should consult your tax adviser about the rules that apply in your individual circumstances.

The Communication is prepared and issued by Davy on the basis of publicly available information, internally developed data and other sources believed to be reliable. While all reasonable care has been taken in the preparation of the Communication, we do not guarantee the accuracy or completeness of the information contained in the Communication. Any opinion expressed (including estimates and forecasts) may be subject to change without notice. We or any of our connected or affiliated companies or their employees may have a position in any of the securities or may have provided, within the last 12 months, significant advice or investment services in relation to any of the securities or related investments referred to in the Communication.

While reasonable care has been taken in the preparation of the information contained in the Communication, no warranty or representation, express or implied, is or will be provided by Davy or any of its shareholders, subsidiaries or affiliated entities or any person, firm or body corporate under its control or under common control or by any of their respective directors, officers, employees, agents, advisers and representatives, all of whom expressly disclaim any and all liability for the contents of, or omissions from, the Communication, the information or opinions on which it is based and/or whether it is a reasonable summary of the securities in the Communication and for any other written or oral Communication transmitted or made available to the recipient or any of its officers, employees, agents or representatives.

Neither Davy nor any of its shareholders, subsidiaries, affiliated entities or any person, form or body corporate under its control or under common control or their respective directors, officers, agents, employees, advisors, representatives or any associated entities (each an ‘Indemnified Party’) will be responsible or liable for any costs, losses or expenses incurred by investors in connection with the information contained in the Communication. The investor indemnifies and holds harmless Davy and each Indemnified Party for any losses, liabilities or claims, joint or several, howsoever arising, except upon such Indemnified Party’s bad faith or gross negligence. With the exception of liabilities arising from fraud or wilful neglect, any liability, where it exists, for any losses, damages, costs and expenses, including legal fees, howsoever incurred, shall not exceed four times the value of any commissions, charges or fees paid to Davy on the investment.

Conflicts of interest

Our conflicts of interest management policy is available at www.davy.ie/legal/policies.

Davy acts as stockbroker to Abbey; Aminex; Amryt Pharmaceuticals; Bank of Ireland; C&C; CPL; CRH; Dalata Hotel Group; DCC; Falcon Oil & Gas; Fyffes; GAN; Glanbia; Green REIT; Hostelworld; IFG Group; Independent News & Media; Kenmare Resources; Kerry Group; Mainstay Medical; Malin Corporation; Merrion Pharmaceuticals; Minco; Mincon; Norish; Origin Enterprises; Ormonde Mining; Ovoca Resources; permanent tsb Group; Petroneft; Providence; Ryanair; Smurfit Kappa Group; Total Produce; Tullow Oil and UDG Healthcare.

The remuneration of the Author who provided the Communication is based on various factors including company profitability, which may be affected to some extent by revenues derived from investment banking.

Davy is registered to act as market-maker in the securities of certain companies included in the Communication by the Irish Stock Exchange, London Stock Exchange, ChiX and Euronext. Details are available at www.davy.ie/RegulatoryDisclosures.

Davy may have acted, in the past 12 months, as lead manager/co-lead manager of a publicly disclosed offer of the securities in certain companies included in the Communication. Details are available at www.davy.ie/RegulatoryDisclosures

Investors should be aware that Davy may have provided investment banking services to, and received compensation from, certain companies included in the Communication in the past 12 months or may provide such services in the future. The term investment banking services includes acting as broker as well as the provision of corporate finance services such as underwriting and managing or advising on a public offer. Details are available at www.davy.ie/RegulatoryDisclosures.

Davy may have a shareholding in certain companies included in the Communication which exceeds 5% of their total issued share capital. Details are available at www.davy.ie/RegulatoryDisclosures. These shareholdings include proprietary positions and discretionary holdings. This disclosure represents the position of Davy as of close of business on the Friday preceding issue of the Communication.

From time to time, Davy may hold a long or short position exceeding 0.5% of the total issued share capital of securities referred to in a Communication. Details are available at www.davy.ie/RegulatoryDisclosures.

Other important disclosures

A summary of our standard valuation methods is available at www.davy.ie/ValuationMethodologies.

The date and time of completion and of dissemination of the Communication are the same unless otherwise stated.

The Communication does not constitute or form part of any offer, solicitation or invitation to subscribe or purchase any securities, nor shall it or any part of it form the basis of, or be relied upon in connection with, any contract or commitment whatsoever. Any decision to purchase or subscribe for securities in any offering must be made solely on the basis of the information contained in the prospectus or other offering circular issued by the company concerned in connection with such an offering.

The Communication has been prepared by the Author independently of the company or companies covered. Davy has no authority whatsoever to give any information or make any representation or warranty on behalf of the company or companies. In particular, the opinions, estimates and projections expressed in it are entirely those of the Author and are not given as an agent or financial adviser of the company or companies.

Additional important disclosures for Davy Equity Sales, Equity Sales Trading and Fixed Income Desk

The Communication received is from a member of Davy Equity Sales, Davy Sales Trading or the Davy Fixed Income Desk (the ‘Author’) and is not a product of the Davy Research department. The Communication does not constitute investment research. Any views expressed may differ from those of Davy Research. Any views expressed may not be objective or independent of the interests of the Author, who may be an active participant in the securities referred to in the Communication.

All prices used in the Communication are as at the time that Communication was delivered unless otherwise indicated. The data conveyed in the Communication may have been based on a combination of publicly-available information and the Davy staff member’s assumptions and modelling. Further information is available upon request.

In the UK, this Communication is restricted to (i) persons who have professional experience in matters relating to investments falling within Article 19(5) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005 (the "Order") or (ii) high net worth entities falling within Article 49(2)(a) to (d) of the Order.

A description of the company is available at www.davy.ie/RegulatoryDisclosures.

Share ownership policy

Davy allows the Authors to own shares in companies they provide Communications on, subject to strict compliance with our internal rules regarding own-account trading by staff members.

The Author providing the Communication may own securities in the issuers discussed. If you require further details, please contact compliance@davy.ie.

For a list of the Author’s recommendations on any financial instrument or issuer disseminated during the preceding 12-month period, please contact compliance@davy.ie.

US Securities Exchange Act, 1934

This Communication is only distributed in the US to major institutional investors as defined by S15a-6 of the Securities Exchange Act, 1934 as amended. By accepting the Communication, a US recipient warrants that it is a major institutional investor as defined and shall not distribute or provide the Communication received, or any part thereof, to any other person.

Distribution of research to clients of Davy Securities in the US

Davy Securities is regulated by the Central Bank of Ireland. Davy Securities is a member of FINRA and SIPC.

Davy Securities does not act as a market-maker.

Davy Securities or an affiliate holds a proprietary position and/or controls on a discretionary basis more than 1% of the total issued share capital of Independent News & Media and Norish. This information was current as at the last business day of the month preceding the date of the communication.

An affiliate of Davy Securities may have acted, in the past 12 months, as lead manager/co-lead manager of a publicly disclosed offer of the securities in certain companies included in this Communication.

Investors should be aware that Davy Securities or an affiliate may have provided investment banking or non-investment-banking services to, and received compensation from; certain companies included in the Communication in the past 12 months or may provide such services in the next three months. The term investment banking services includes acting as broker as well as the provision of corporate finance services such as underwriting and managing or advising on a public offer. Details are available at www.davy.ie/RegulatoryDisclosures.

Confidentiality and copyright statement

Davy, Research Department, Davy House, 49 Dawson St., Dublin 2, Ireland.

Confidential © Davy 2016.