Broker Upgrades and Downgrades & Key UK Corporate Snapshots 23 October 2015

UK Broker Upgrades / Downgrades

US Broker Upgrades / Downgrades

Key UK Corporate Snapshots Today

88 Energy Limited (88E.L) Announced that the drilling of the Icewine #1 exploration well commenced at 1745 hrs on Thursday 22nd October. This is the maiden exploration well on the company’s Project Icewine acreage, located onshore North Slope, Alaska.

Applied Graphene Materials Plc (AGM.L) Announced that it has entered into a Joint Development Agreement with Puralube Germany GmbH (soon to be known as “Puraglobe”). Under the agreement, the company will develop and format dispersions of its graphene nanoplatelets for inclusion in Puraglobe’s sustainable base oil products and speciality technologies. It is anticipated that as result of the collaboration, Puraglobe’s graphene loaded base oils will be used across a wide range of industrial and automotive applications, where the unique friction and wear properties of graphene will add significant performance gains as lubricants and machining fluids.

Centamin Plc (CEY.L) Announced that further to the updated Sukari Resource and Reserve announcement on 10 September 2015, a copy of the 43-101F1 Technical Report will be filed on SEDAR at www.sedar.com today. The Technical Report can also be found on the company’s website at www.centamin.com.

Cyprotex Plc (CRX.L) Announced, in its trading update on revenue and profit guidance for the year to 31 December 2015, that the financial performance of the company for the first nine months of the year is ahead of expectations driven by continuing strong growth in UK revenues and whilst there still remain challenges as referred to in previous announcements, particularly in the US operations which still need some attention but which are much improved from earlier in the year, the board expects that its full year revenues and EBITDA will exceed current market expectations.

Dechra Pharmaceuticals Plc (DPH.L) Announced, in its first quarter trading update ending 30 September 2015, that group revenues grew by 21% at constant exchange rate (CER), mainly driven by a strong momentum in is all business units and contribution from new subsidiaries. The European Pharmaceuticals segment revenues rose by 11% at CER. North American segment revenue climbed by approximately 86% at CER on the same period last year, as its dermatology, endocrinology and ophthalmic ranges started strongly.

easyHotel Plc (EZH.L) Announced, that further to the announcement on 7 October 2015, the Group’s Benelux franchisee has secured financing for the proposed 107 room easyHotel Brussels project and, as a consequence, the group has received repayment of its €3.3 million security deposit and has been entirely released from any future step-in obligation. The hotel is expected to be opened by early 2017.

Entertainment One Limited (ETO.L) Announced that the acquisition of a 70% controlling interest in Astley Baker Davies Limited on 30 September 2015, the company is pleased to confirm that the transaction was completed on 22 October 2015.

Holders Technology Plc (HDT.L) Announced, in its trading update for the year ended 30 November 2015, stated that trading is broadly in line with expectations with the exception of its Holders Technology Germany (“HTG”) Printed Circuit Board (“PCB”) division. Revenue in markets served by HTG has been reduced by approximately 11% compared to the year to 30 November 2014 due to strengthening of Sterling compared to the Euro. HTG revenue comprises approximately 70% of group revenue. As a result of the above factors, group revenue is now forecast to be £11.0 million, with an operating result of £0.2 million loss. In addition to this operating result, the company faces an unforeseen taxation liability in respect of EU Cross Border Group Relief (“CBGR”) claims relating to its former Swedish and Dutch divisions. Following an EU Court of Justice (“CJEU”) ruling earlier this year, certain CBGR claims relating to the years 2003 to 2009 may no longer be allowable by HMRC. Since the CJEU ruling the Company has withdrawn certain CBGR claims totalling £65,000. Further claims and interest totalling £135,000 are currently under discussion with HMRC. The total CBGR liability is therefore between £65,000 and £200,000.

Hutchison China Meditech Limited (HCM.L) Announced that Hutchison MediPharma Limited (HMP), its drug R&D subsidiary, is set to receive a $10 million milestone payment, in the fourth quarter of 2015, from its partner Eli Lilly and Company. The milestone payment was triggered by the positive proof-of-concept (POC) Phase II study of fruquintinib in the treatment of patients with advanced non-squamous non-small cell lung cancer (NSCLC) in China. Last month, top line results of this POC Phase II study were reported showing fruquintinib met the primary endpoint of progression free survival (PFS). The adverse events demonstrated in the POC study are consistent with the known safety profile for fruquintinib.

KBC Advanced Technologies Plc (KBC.L) Announced that it has entered into a joint collaboration agreement with Advisian, the independent consulting business line of WorleyParsons, to utilise the strengths of each company and their affiliates to pursue projects involving consulting, software implementation, design and engineering services, initially for the oil and gas, refining and petrochemical business sectors. It also announced that WorleyParsons’ Advisian has awarded KBC a global five year, $4.36 million technology contract for KBC’s Petro-SIMTM, MaximusTM and MultiflashTM software.

Marshalls Plc (MSLH.L) Announced that it is hosting an analyst and investor day at its Leamington Spa Street Furniture operation. No new material trading information will be disclosed. The Board confirms that there has been no change to its expectations since the publication of its half year results on 28 August 2015. It intends to issue a Trading Update on 10 December 2015.

New World Oil & Gas Plc (NEW.L) Announced that following a meeting with the Minister of Energy in Belize, the company has negotiated a 12 month extension to its Production Sharing Agreement (“PSA”) for the Group’s Blue Creek Project in Belize (“Blue Creek”). The PSA which was previously due to expire on 31 October 2015 will now terminate on 31 October 2016.

Nighthawk Energy Plc (HAWK.L) Announced, in its operational update, that the company has initiated a 5 well drilling program for late 2015. Drilling commenced with the Crested Butte 2-14 well located in the very eastern side of the Arikaree Creek field. The well was spudded on September 10 and was drilled to a total depth of 8,360 feet and within budget. On September 22, drilling commenced on the Monarch 10-15 and was drilled to a total depth of 8,640 feet location in the Monarch Joint Development Area (JDA). This well was drilled under budget. The Monarch 10-15 location sits on the highest structure in the JDA and we expected to find oil in the Spergen formation. Also, the company has made a filing seeking approval of its planned Arikaree Water Flood Project with the Colorado Oil and Gas Conservation Commission (the “COGCC”), the state oil and gas regulatory body. The company filed the application for development of the project, including the location of the project and how it will impact mineral owners. The projected financial feasibility of the project along with project economics will be submitted in early November. The final hearing with the COGCC is in early December. Meanwhile, the original estimated Oil in Place (OIP) for this field was approximately 16 million barrels, primarily in the Spergen zone, with estimated ultimate recovery rates for booking of reserves at approximately 17%. Based upon further analysis of the project and the completion of flow models, the company estimates that the OIP to potentially be up to 16.6 million barrels with estimated ultimate recovery expected to increase from 17% to between 30-40% with the water flood.

Northamber Plc (NAR.L) Announced, in its preliminary results for the year ended 30 June 2015, that revenue stood at £65.45 million, compared to £62.87 million in the same period last year. Operating loss stood at £0.93 million, compared to a loss of £1.23 million. Loss after tax was £0.89 million, compared to a loss of £1.16 million. Basic and diluted loss per share stood at 3.15p, compared to a loss of 4.10p. The board is board is proposing a final dividend of 0.3p per share (2014: 0.3p per share).

Premier Technical Services Group Plc (PTSG.L) Announced that it has entered into new banking facilities with HSBC. The RCF is a committed £7.0 million five year facility, which expires in September 2020 and replaces the group’s existing term loan which was due to expire in September 2018.

Range Resources Limited (RRL.L) Announced that it has established a share sale facility for holders of unmarketable parcels of the company’s shares on ASX. The ASX Listing Rules define an unmarketable parcel as those with a market value of less than A$500. The Facility will only be available to shareholders who hold their shares on ASX, and not Depository Interest holders. The company is offering this sale to assist holders of unmarketable parcels to sell shares without having to use a broker or pay brokerage. The company will pay for all the costs of the sale for shareholders who use this facility, excluding tax consequences from the sale which remains the shareholder’s responsibility. The company shareholders who own 41,668 shares or more will not be eligible to participate. If unmarketable parcel holders wish to sell shares through this facility, they do not need to take any action. If unmarketable parcel holders do not wish to sell shares through this facility, they must complete and return the Notice of Retention Form to the company’s share registry, Computershare Investor Services Pty Limited, by 5.00pm (Perth time) on 30 November 2015.

TalkTalk Telecom Group Plc (TALK.L) Announced that a criminal investigation was launched by the Metropolitan Police Cyber Crime Unit on 22 October 2015 following a significant and sustained cyberattack on the company’s website. That investigation is ongoing, but unfortunately there is a chance that some of the following data has been compromised: names, addresses, date of birth, phone numbers, email addresses, the company’s account information, credit card details and/or bank details. The company is continuing to work with leading cyber crime specialists and the Metropolitan Police to establish exactly what happened and the extent of any information accessed.

TeleCity Group Plc (TCY.L) Announced that the European Commission has entered into a period of market testing based upon commitments proposed by Equinix, Incorporation (“Equinix”) and TelecityGroup.These commitments have been proposed with a view to obtaining EU Commission Phase I clearance of the previously announced offer by Equinix for TelecityGroup (the “Offer”). As a result of this development, the European Commission’s Phase I review timetable is automatically extended by 10 working days to 13 November 2015.

Vast Resources Plc (VAST.L) Announced, in its mining update at its Manaila Polymetallic Mine (“Manaila”) in Romania, that its application to renew the Manaila mining licence for a further period of three years was duly granted. It will enable the company to apply for the perimeter extension of the existing licence area, which in turn will enable it to carry out drilling to confirm the expected increase of the resource. considered to be minable by open pit and which constitutes Phase 1 of the Manaila operation. It currently is planning to re-commission a second mill to increase its production up to the plant’s design capacity of 20ktpm. The initial planned production target of 10ktpm has been achieved. The cost of re-commissioning of the second mill together with associated works is estimated to be around $200,000, is in addition to the items of CAPEX for Phase 1 as set out in the announcement of 10 June 2015 (estimated at $.1.7 million). Both the re-commissioning cost and Phase 1 CAPEX are expected to be funded through the company’s existing cash resources and cash flow from the project.

Venn Life Sciences Holdings Plc (VENN.L) Announced the signing of a project worth in excess of €1 million with a leading French Biotech company. The Phase I-II project is centred on acute T-cell leukaemia (‘ATL’), and will cover multiple regions, including France (and French administered overseas territories), the UK and the US. This project will run for 33 months and follows on from a previous successful trial with the same company.

Vietnam Infrastructure Limited (VNI.L) Announced that its monthly report for the period ended 30 September 2015 has been issued by VinaCapital Investment Management Limited, the investment manager of the company.

Virgin Money Holdings (UK) Plc (VM..L) Announced that it intends to appoint PricewaterhouseCoopers LLP (PwC) as its auditor from 1 January 2016, subject to shareholder’s approval.

Vitesse Media Plc (VIS.L) Announced, in its unaudited interim results for the six months ended 31 July 2015, that revenue stood at £0.83 million, compared to £1.04 million in the same period last year. Operating loss stood at £0.12 million, compared to a loss of £0.06 million. Loss after tax was £0.13 million, compared to a loss of £0.07 million. Loss earnings per share stood at 0.25p, compared to a loss of 0.14p.

William Hill Plc (WMH.L) Announced, in its trading update for 13 weeks ended 30 September 2015, that the YoY results were significantly impacted due to blow from outstanding gross win margin in Q3 2014 to a less strong gross win margin in Q3 2015 while it had an additional £23 million in new or increased rate UK gambling duties. In its Online segment, sports wagering and gaming net revenue saw a good growth in core markets of UK, Spain and Italy. Overall trading growth was diluted by the decline in non-core markets in the segment. Retail turnover grew by 3%, after adjusting for impact of 2014 exceptional shop closures, offset by weaker than expected gross win margin. Q3 gross win margin was lower than expected, reflecting at an adverse sporting result.

Workspace Group Plc (WKP.L) Announced the exchange of contracts for two separate acquisitions for a total of £24.4 million. It also announced that application has been made for the admission of 2,052,366 ordinary shares of 100p each in the Company (the ‘Shares’) to the Official List of the UK Listing Authority and to trading on the London Stock Exchange. These shares are being reserved under a block listing and may be issued pursuant to the exercise before maturity of options. The shares will be issued fully paid and will, upon issue, rank pari passu in all respects with the Company’s existing issued shares. It is expected that admission will be effective for the Shares on 28 October 2015.