IRISH STOCK EXCHANGE LOCAL SUPPORT GLOBAL REACH

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1 IRISH STOCK EXCHANGE LOCAL SUPPORT GLOBAL REACH FACTS & STATISTICS ON THE IRISH STOCK EXCHANGE, ITS LISTED COMPANIES AND THE ISE-RELATED CAPITAL MARKETS INDUSTRY IN IRELAND JUNE 2016

2 OUR VISION #1 EU EXCHANGE CHOICE FOR ISSUERS OF GLOBAL FIXED INCOME, FUNDS AND IRISH SECURITIES

3 KEY STATISTICS #1 LIQUIDITY IRISH SHARES #1 FUND LISTINGS WORLDWIDE > 4k ISSUERS #2 NEW BOND LISTINGS WORLDWIDE #2 BOND LISTINGS WORLDWIDE THE ISE A GLOBAL LEADING INTERNATIONAL BUSINESS 35,137 SECURITIES 33 IRISH GOVERNMENT BONDS & T-BILLS 57 EQUITIES 201 ETFS > 80 COUNTRIES WITH ISSUERS ON ISE MARKETS 47 MEMBER FIRMS Source: ISE and World Federation of Exchanges June ,855 INVESTMENT FUNDS 27,991 BONDS & DEBT 38 INTERNATIONAL MEMBERS 4 IRISH STOCK EXCHANGE LOCAL SUPPORT GLOBAL REACH 5

4 OUR 4 MARKETS THE ISE PROVIDING ISSUER CHOICE 6 MAIN SECURITIES MARKET GLOBAL EXCHANGE MARKET for issuers listing debt, equity, funds and exchange traded funds (ETFs) on an EU regulated market for banks, companies and sovereigns listing debt and investment fund managers listing funds or ETFs ENTERPRISE SECURITIES MARKET ATLANTIC SECURITIES MARKET for high growth companies raising equity in earlier stages of development for multinational companies that want to broaden their investor reach to include $ and pools of capital in a streamlined manner IRISH STOCK EXCHANGE LOCAL SUPPORT GLOBAL REACH 7

5 OUR SERVICES BOND LISTING We provide a streamlined listing service on our two debt markets for issuers of bank, corporate and sovereign bonds and other debt related securities. FUND & ETF LISTING We enable investment fund managers access global investors through the listing of a broad range of investment funds and exchange traded funds (ETFs). EQUITY LISTING We operate three equity markets suited to companies in various stages of their lifecycle looking to access international pools of capital and investors. THE ISE A FULL SERVICE STOCK EXCHANGE TRADING & MEMBERSHIP We offer membership for trading in shares, ETFs, Irish Government bonds and other securities using world-class, easily accessible and cost-effective trading and post-trade infrastructure. MARKET DATA, ISEQ INDICES & STATISTICS We are the official source of market data on ISE markets, providing standardised and tailored data solutions to meet your business needs. #IPOREADY PROGRAMME Our education programme for high potential companies equips executives with key skills in raising capital, investor relations and business management. LEI SERVICES Our online LEI (Legal Entity Identifier) service allows international organisations to apply for, update, renew or port LEIs required for regulatory or legal purposes. ISIN SERVICES We issue ISINs (International Security Identification Number) for Ireland enabling securities to be identified by international markets meeting regulatory or trading requirements. REGULATORY ANNOUNCEMENTS We file and publish regulatory documents and announcements for issuers enabling them to comply with their regulatory obligations. 8 IRISH STOCK EXCHANGE LOCAL SUPPORT GLOBAL REACH 9

6 TOP 6 MOST SIGNIFICANT FACTORS IN COMPANIES DECISION TO LIST ON IRISH STOCK EXCHANGE Access to Irish investors 88.4% Access to international investors 80.8% WHY COMPANIES LIST ON THE ISE Achieving the best valuation for the company 77% Ability to maintain or grow liquid market for shareholders 72% Profile of company raised with investors, customers, suppliers, other finance providers and employees 69.2% Access to option of dual listing with certain international markets 68% Source: Indecon analysis of Confidential Survey of ISE-listed Companies 10 IRISH STOCK EXCHANGE LOCAL SUPPORT GLOBAL REACH 11

7 26bn EQUITY FUNDS RAISED FUNDS RAISED bn % OF TOTAL Irish Companies Other Companies 22.6bn 3.4bn 87% 13% ISE LISTED COMPANIES RAISING FUNDS INTERNATIONALLY 40 NEW COMPANY LISTINGS ON ISE MARKETS GAMEACCOUNT NETWORK MALIN CORPORATION MAINSTAY MEDICAL HIBERNIA REIT DALATA HOTEL GROUP MINCON FASTNET OIL AND GAS PETROCELTIC INTL APPLEGREEN SMURFIT KAPPA GROUP FALCON OIL AND GAS PERMANENT TSB FIRST DERIVATIVES ORIGIN ENTERPRISES MERRION PHARMACEUTICALS HOSTELWORLD GREEN REIT TOTAL PRODUCE PETRONEFT RESOURCES ARYZTA IRISH RESIDENTIAL PROPERTIES REIT Source: ISE *Equity funds raised relate to all listings and include equity monies raised through introductory offers, share placings, open offers, rights issues, share allotments, and other means. 67% INTERNATIONAL INVESTORS IN IRISH LISTED COMPANIES Source: Federation of European Securities Exchanges (FESE) - market research IRISH STOCK EXCHANGE LOCAL SUPPORT GLOBAL REACH 13

8 COMPANIES ON ISE MARKETS ISE MARKET # COMPANIES Main Securities Market (MSM) 27 67% PRIMARY LISTED IN IRELAND Enterprise Securities Market (ESM) 26 89% DUAL LISTED ISE LISTED COMPANIES MARKET PROFILE Source: ISE - June 2016 Total SECTORAL PROFILE 53 Food & Beverage 17% Mining 13% Travel & Leisure 11% Health Care 9% Financial Services 9% Technology 8% Oil & Gas 7% Construction & Materials 6% Industrial Goods & Services 6% Real Estate 6% Retail 4% Media 4% Source: ISE - June IRISH STOCK EXCHANGE LOCAL SUPPORT GLOBAL REACH 15

9 ISEQ 20 CONSTITUENTS ISE LISTED COMPANIES TOP 20 COMPANIES INCLUDED IN ISEQ SECTORAL PROFILE OF ISEQ 20 Travel & Leisure 31% Food & Beverage 27% Construction & Materials 26% Financial Services 7% Industrial Goods & Services 6% Real Estate 3% Source: ISE - June IRISH STOCK EXCHANGE LOCAL SUPPORT GLOBAL REACH 17

10 INTERNATIONAL PARTNERS WORLD CLASS ACCESSIBLE SYSTEMS TRADING XETRA CLEARING EUREX SETTLEMENT CREST IRISH LISTED COMPANIES #1 TRADING VENUE EQUITY TRADING MEMBERS SOURCING GLOBAL INVESTORS Source: ISE - June IRISH STOCK EXCHANGE LOCAL SUPPORT GLOBAL REACH 19

11 FACTORS INFLUENCING DECISIONS BY DEBT ISSUERS TO LIST ON ISE - VIEWS OF ISE DEBT LISTING AGENTS Efficiency of listing process 100% Experience and reputation of the ISE and the Central Bank 100% WHY GLOBAL DEBT ISSUERS CHOOSE THE ISE Expertise and technical knowledge Communication and willingness to engage 100% 88.9% Competitive listing fees 88.9% Choice of markets 66.6% Source: Indecon Confidential Survey of Irish Stock Exchange Debt Listing Service Providers 20 IRISH STOCK EXCHANGE LOCAL SUPPORT GLOBAL REACH 21

12 DEBT LISTING GLOBAL FOOTPRINT AUTOPISTAS METROPOLITANAS DE PUERTO RICO DEBENHAMS VERIZON COMMUNICATIONS BANCO DE SABADELL FANNIE MAE SKY PLC AERCAP TRINITY BIOTECH SACYR IBERIA FOSUN INTERNATIONAL ALITALIA COMISIÓN FEDERAL DE ELECTRICIDAD FERRARI SAXO BANK DISCOVERY COMMUNICATIONS HIPERCOR VODAFONE Source: ISE - June IRISH STOCK EXCHANGE LOCAL SUPPORT GLOBAL REACH 23

13 IRISH STOCK EXCHANGE #2 BOND LISTINGS WORLDWIDE JUNE 2016 ACROSS 63 EXCHANGES IRISH STOCK EXCHANGE #2 NEW BOND LISTINGS WORLDWIDE JUNE 2016 ACROSS 46 EXCHANGES 35,000 4,000 30,000 28,020 3,500 3,148 3,000 25,000 2,500 20,000 2,000 15,000 1,500 10,000 1,000 5, Kazakhstan Stock Exchange Moscow Exchange Bolsa Nacional de Valores SIX Swiss Exchange Taipei Exchange Wiener Borse Oslo Bors Borsa Istanbul Johannesburg Stock Exchange Shenzhen Stock Exchange Bolsa de Comercio de Buenos Aires NASDAQ OMX Nordic Exchange National Stock Exchange of India Euronext BSE India Limited Korea Exchange Irish Stock Exchange Luxembourg Stock Exchange Tel-Aviv Stock Exchange Bolsa de Valores de Colombia Hong Kong Exchanges and Clearing Bolsa Mexicana de Valores Moscow Exchange Bolsa Nacional de Valores Taipei Exchange SIX Swiss Exchange Shenzhen Stock Exchange Johannesburg Stock Exchange Bolsa de Comercio de Buenos Aires Oslo Bors Singapore Exchange BME Spanish Exchanges Wiener Borse Shanghai Stock Exchange BSE India Limited Euronext National Stock Exchange of India NASDAQ OMX Nordic Exchange Korea Exchange London SE Group Irish Stock Exchange Luxembourg Stock Exchange Source: World Federation of Exchanges (WFE) Source: World Federation of Exchanges (WFE) 24 IRISH STOCK EXCHANGE LOCAL SUPPORT GLOBAL REACH IRISH STOCK EXCHANGE LOCAL SUPPORT GLOBAL REACH 25

14 FACTORS INFLUENCING DECISIONS TO LIST INVESTMENT FUNDS ON ISE VIEWS OF ISE FUND SPONSORS Efficiency of listing process 100% WHY GLOBAL INVESTMENT MANAGERS CHOOSE THE ISE Experience and reputation of the ISE and Central Bank Open communication and willingness to engage ISE Competitive listing fees 87.5% 75.0% 75.0% Expertise and technical knowledge 62.5% Source: Indecon Confidential Survey of Irish Stock Exchange Funds Listing Service Providers 26 IRISH STOCK EXCHANGE LOCAL SUPPORT GLOBAL REACH 27

15 INVESTMENT FUNDS AND ETFS #1 FUND LISTINGS WORLDWIDE JUNE 2016 ACROSS 57 EXCHANGES GLOBAL INVESTMENT MANAGERS WITH ISE LISTED FUNDS 8,000 7,000 7,056 6,000 5,000 4,000 3,000 2,000 1,000 0 Korea Exchange Moscow Exchange Japan Exchange Group Nasdaq - US NASDAQ OMX Nordic Exchange Shenzhen Stock Exchange Bolsa de Comercio de Santiago TMX Group SIX Swiss Exchange Euronext NYSE London SE Group BME Spanish Exchanges Deutsche Boerse National Stock Exchange of India Luxembourg Stock Exchange Irish Stock Exchange Source: World Federation of Exchanges (WFE) Source: ISE - June IRISH STOCK EXCHANGE LOCAL SUPPORT GLOBAL REACH IRISH STOCK EXCHANGE LOCAL SUPPORT GLOBAL REACH 29

16 BENEFITS OF HAVING A LOCAL STOCK MARKET Source of equity funding for enterprise Lowers the cost of capital for domestic firms Creates local knowledge and specialisation Delivers macroeconomic benefits including greater R&D intensity and higher levels of foreign direct investment (FDI) Research compiled by Indecon 30 IRISH STOCK EXCHANGE LOCAL SUPPORT GLOBAL REACH 31

17 WORLDWIDE EMPLOYEES ISE LISTED COMPANIES GLOBAL FOOTPRINT , , , , ,215 WORLDWIDE REVENUES , , ,000 EMPLOYEES 83bn REVENUES 8bn EARNINGS WORLDWIDE EARNINGS ,561m 90,679m 80,980m 78,193m 73,491m 78,653m 82,867m 6,836m 8,168m 7,273m 6,160m 6,783m 8,140m 7,976m Source: Indecon analysis based on Bloomberg 2012 data. Figures exclude Tesco and Diageo. 32 IRISH STOCK EXCHANGE LOCAL SUPPORT GLOBAL REACH 33

18 ECONOMIC IMPACT AND CONTRIBUTION IN IRELAND IRISH OPERATIONS OF ISE LISTED COMPANIES DIRECT ECONOMY WIDE m m Output/Sales Revenues from Irish Operations 12.1bn 24.0bn Irish Employment Incomes Supported 2.5bn 4.2bn ISE LISTED COMPANIES SUPPORTING THE IRISH ECONOMY Irish Non-Labour Business Expenditure GVA/GDP Contribution 7.3bn 5.3bn 15.0bn 9.5bn Irish Employment Supported Full Time Equivalents (FTEs) 49,148 97,435 Source: Estimated impact based on Indecon analysis of 2012 figures. Figures exclude Tesco and Diageo. 34 IRISH STOCK EXCHANGE LOCAL SUPPORT GLOBAL REACH 35

19 THE ECOSYSTEM SUPPORTING LISTING AND TRADING ON THE ISE STOCKBROKERS INVESTMENT FIRMS INTERNATIONAL BANKS Member firms supporting trading, corporate broking and research CAPITAL MARKETS IN IRELAND EMPLOYING HIGHLY SKILLED PROFESSIONALS FUNDS IRISH GOVERNMENT BONDS Equity sponsors and ESM advisors Fund sponsors DEBT Debt listing agents EQUITIES Legal and accounting professionals supporting listing LAWYERS ACCOUNTANTS RESEARCH ANALYSTS 36 IRISH STOCK EXCHANGE LOCAL SUPPORT GLOBAL REACH 37

20 ECONOMIC IMPACT AND CONTRIBUTION IN IRELAND IRISH OPERATIONS OF ISE-RELATED ECOSYSTEM DIRECT ECONOMY WIDE m m Output/Sales Revenues from Irish Operations 377m 704m Tax Contribution (incl. Stamp Duty) 230m - CAPITAL MARKETS IN IRELAND SUPPORTING THE LOCAL ECONOMY Irish Employment Incomes Supported Irish Non-Labour Business Expenditure GVA/GDP Contribution 177m 314m 130m 242m 207m 325m Irish Employment Supported - Full-Time Equivalents (FTEs) 2,101 2,977 Source: Estimated impact based on Indecon analysis of 2012 figures 38 IRISH STOCK EXCHANGE LOCAL SUPPORT GLOBAL REACH 39

21 VIEWS ON THE ISE A key advantage of the ISE is the flexibility of approach that it can offer to issuers via GEM The openness of the ISE to converse with legal counsel/issuers directly has become a marked advantage over its competitors. DEBT LISTING AGENT The ISE is still seen as the exchange of choice for listing investment funds. Clients appreciate the smooth listing process. Costs are on a par with various exchanges around the world. INVESTMENT FUND SPONSOR The ISE was important to the development of the company as it enabled us to raise equity in order to grow the business and pay down debt. ISE-LISTED COMPANY Indecon statistics and analysis from research conducted on behalf of the Irish Stock Exchange - published October Source: Indecon Research of market participants 2013 Irish Stock Exchange 2016 The Irish Stock Exchange plc is regulated by the Central Bank of Ireland. 40 IRISH STOCK EXCHANGE LOCAL SUPPORT GLOBAL REACH

22 Irish Stock Exchange 28 Anglesea Street Dublin 2, Ireland T F