Acquisition of Windy City WireSeptember 2020

2

Acquisition of Windy City Wire

Proposed acquisition of leading Controls business in US for up to £357m

Consistent with Diploma’s value-add business model and strategy

Strong management, customer proposition, and performance track record

Scalable platform with exciting organic growth potential

Year 1: Significantly earnings enhancing and covering cost of capital

Conservative funding: strong and flexible balance sheet retained

3

Diploma strategy: Consistently delivering value

Value-add distribution model

Decentralised structure

Significant growth runway in attractive developed markets

Developing scalable businesses in key geographies and products

Evolving core competencies and capability to deliver at scale

Strong balance sheet

Emphasis on value-add, scalable, resilient businesses in core markets

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Highly attractive, scalable Controls business in the US

• A leading value-add distr ibutor of premium quality low voltage cable and wire

• Scalable platform in the US with exciting growth potential

• Strong and establ ished management team who wil l remain with the business

• Majority owned by founder Rich Galgano

Transaction overview

Excellent performance track

record and prospects

• Expected FY20 revenue c.$192m; proforma EBITDA c.$44.5m

• 10 year1 revenue and EBITDA CAGR of 12% and 13%, respectively

• Attractive margin profi le and strong cash generation

• Taking market share in structural ly attractive end segments

Compelling valuation for high quality US business

Conservative approach to

financing

• Consideration up to £357m ($465m), inc. deferred payment of up c. £12m ($15m)²

• Transaction multiple of c.10.5x FY20 EBITDA

• Year 1: acquisit ion is s ignif icantly earnings enhancing and covers cost of capital

• Post-transaction Group ROATCE to high-teens

• Funded though placing of up to 10%, balance funded through new debt faci l i t ies

• Conservative approach to leverage remains unchanged

• Leverage expected to be c.1x net debt/EBITDA by end FY21

• Maintains balance sheet strength and flexibi l i ty for dividends and future bolt -ons

___________________________

1. 10 years to December 2019

2. Payable to key members of Windy City Wire management team after 3 years, subject to certain conditions

Strategic rationale

Expands presence in the US, a key industrials market

Enhances our position in Controls, with a core product we understand

Value-add customer proposition with attractive margins

Significant organic growth potential

Strong financial returns , whilst maintaining a solid balance sheet

5

Accelerates our strategy of focussing our growth in our key markets

Attractive

growth,

margin, and

cash flow

profile

Full suite of

trademarked

brands and

patented

products

Highly

experienced

management

team and

strong culture

6

Leader in

premium

quality low-

voltage wire

and cable

market

Windy City Wire overview

Exceptional management team, customer proposition and performance

High value-

add customer

service

proposition

Highly

diverse and

sticky

customer

base with no

concen-

tration

Vertically

integrated

with national

warehouse

footprint

Track record

of consistent

and long term

profit growth

Essential product for customers

Convenience: glide technology to

facilitate user experience

Convenience: packaged for optimum

storage and usage

Significant customer labour cost

reductions

High service model based on rapid

speed to market – same day shipping

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Value-add customer proposition

Powerful customer proposition based on convenience, service, and low cost

Value added packaging innovation

SmartWire®

with Glide

Technology

Rackpack® Field

Systems Solutions

(“RPFSS”)

• Flagship family of low-voltage wire and cable products

• Clear length markings with differentiated colours for easy installation

• Glide® Technology, introduced in 2012, reduces friction for easy pulling

• Free spinning reel inside box allows for tangle-free pulling

• Provided on a lightweight, custom dolly for enhanced transportation

• Different transportation device sizes that can link into multiple RackPacks®

Diversity and stickiness of customer base

8___________________________Source: Windy City Wire

Diverse end marketsRevenue contribution by

total annual customer orderDeeply entrenched relationships

Top 100 Customers by footage purchased

Building

Automation

32%

AV/Voice/

Data

22%

Security

19%

Fire

17%

Other

10%

Ordered from

2017–2019

97%

Did Not Order from

2017–2019

3%

>$500k

15%

$200k–$500k

16%

$100k–$200k

16%

$50k–$100k

18%

$25k–$50k

14%

$10k–$25k

12%

<$10k

9%

9,000+

Unique

Customers

High

Recurring

Base

Diverse

Annual

Order

Profile

Resilience due to diversity of end customer and market

• High level of customer and end market diversity

• Large national account base: 9,300 active customers across all 50 states

• No account more than 2% of sales; majority of customer orders <$10,000

• Customer retention high based on convenient proposition

• Strong performance sustained through COVID-19

18%

19%

21%

17 18 19

Organic ROATCE (%)

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___________________________Source: Windy City WireOperating cash flow = EBITDA – Capex.

$193m

09 10 11 12 13 14 15 16 17 18 19

$38m

09 10 11 12 13 14 15 16 17 18 19

Excellent track record of performance delivery

REVENUE ($m)

EBITDA ($m)

Consistent

double digit

revenue

growth

EBITDA margins

grown to c.20%

over 10 years

Strong cash

flow

generation

Significant

opportunities

to continue to

deliver

$29m

17 18 19

OPERATING CASH FLOW($m)

Strong platform for future growth

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Warehouse

Headquarters

National presence with 19 warehouse locations

Network of facilities

Unified systems and controls

Control of supply chain

• National scale and critical mass

• High service focus

• First class, well invested base in Bolingbrook, IL

• Truly scalable platform

• Integrated systems across WCW footprint

• 98%+ of customer orders ship within one day

• Predictive modelling and inventory management

• Working capital discipline

• Vertical integration ensures product consistency

• Light manufacturing operations can efficiently

handle short runs to meet demand

• Non-unionized manufacturing workforce

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Strong management and culture

High performance team and culture aligned with our values

Rich Galgano Dave DeNeve Dan Hughes Bobby Jose Michael MartinChief Executive Officer/Founder

Chief Financial Officer Chief Sales Officer Chief Information Officer Plant Manager

Co-founded Windy City Wire in 1994

Joined Windy City Wire in 2007

Joined Windy City Wire2001

Joined Windy City Wire in 2006

Joined Windy City Wire in 2008

Highly successful

management

team with

excellent track

record

Deep bench

with strong

industry

experience:

average tenure

15 years

Very strong

growth and

performance

orientated

culture

Management

team fully

committed to

next phase of

growth with

Diploma

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Significant future growth opportunities

Increasing market share in current

structural growth markets

Digital infrastructure driving wiring

demand and future opportunity

Building automation

Pro Audio/Visual

Fire security

$55B$78B

9% CAGR

2020 2024

MARKET SIZE & GROWTH

2020 2024

2020 2024

$171B$263B

$68B$95B

• Cloud-based services

• Networking infrastructure

• Energy-efficient and smart buildings

• Demand for video communication

• Pro AV for smart learning

• Increased security investment

• Advanced electronics in building systems

➢ Growing demand for cloud applications

➢ Land grab among states to build data centres

➢ North America c.38% of global data centre

construction market

➢ Pipeline of opportunities with major tech customers

➢ Increased usage of smartphones and wireless data

➢ Growing adoption of 5G cellular network

➢ Increased automation across industries

➢ Production innovation driving growth

Data centres

Distributed Antenna Systems (DAS)

Source: William Blair Proprietary Insights

11% CAGR

7% CAGR

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Current trading and outlook

Exceptional prospects for the combined Group

• Resilient trading performance

through COVID-19 pandemic

• Strong profit and margin

performance in crisis months

• Strong balance sheet and liquidity

• Trading in line with August trading

update and market expectations

• Intention to recommend a dividend

of 30p for year to Sept 2020, in line

with progressive dividend policy

• Resilient trading through COVID-19

• Expect to maintain revenues and

grow profitability in FY20

• Structural growth markets remain

robust and exciting

• Increased opportunities as part of

the Diploma Group

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Valuation and transaction structure

Equity

• 10% placing of issued share capital raising

approximately £200m

• New shares to be placed with existing and

new shareholders

Debt

• Balance of £150-175m ($195-228m) funded

through new debt facilities including USD

term loan and GBP multicurrency RCF with

initial blended interest cost of c. 2.2%

• In addition, existing Diploma debt of £36m

to be refinanced

Compelling valuation Transaction structure

• Consideration of up to £357m ($465m),

including deferred payment of up to

c.£12m ($15m)¹

• Transaction multiple of c.10.5x FY20

EBITDA

• Compelling valuation for high quality

US business

• Immediately value enhancing:

➢ Earnings accretive in Year 1

➢ ROATCE above cost of capital in Year 1

• Post-transaction Group ROATCE high-

teens

___________________________Note: New debt facilities comprise $170m term loan and £135m RCF

___________________________

1. Payable to key members of Windy City Wire management team after 3 years, subject to certain

conditions

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Strong balance sheet maintained

Maintain balance sheet strength

Net debt/EBITDA of combined group expected to be c.1x by end FY21

Rapid deleveraging profile

Liquidity for dividends and future bolt-ons

Conservative approach to leverage remains unchanged

Expands presence in the US, a key industrials market

Enhances our position in Controls, with a core product we understand

Value-add customer proposition with attractive margins

Significant organic growth potential

Strong financial returns , whilst maintaining a solid balance sheet

16

Compelling strategic and value creating acquisition

Summary: exceptional business for Diploma’s future

TH IS PR ESENTAT I O N AND I TS CO NTENTS AR E S TR ICT L Y CO NF ID ENT IA L AND AR E NO T FO R R EL EASE , PUB L ICAT I O N O R D ISTR IB UT IO N , IN WHO L E O R IN PAR T , D IR ECTL Y O R IND IR ECTL Y , IN O R INTO THE UN I TED STATES O F AMER ICA ( INCL UD ING I TS TER R I TO R IES AND PO SSESS IO N S , ANY STATE O F THE UN I TED STATE S , AND THE D IS TR IC T O F CO L UMB IA) ( THE “UNI TED STATES” ) , CANAD A, AUSTR AL IA , JAPAN, THE R EPUB L IC O F SO UTH AFR ICA O R ANY O THER JUR ISD IC T IO N WHER E SUCH D ISTR IB UT IO N WO UL D B E UNL AWFUL . ANY FA I L UR E TO CO MPL Y WITH THESE R ESTR ICT I O NS MAY CO NSI T U TE A V IO L AT IO N O F APPL ICAB L E SECUR I T I ES L AWS.

Th i s p r es en t a t i on has been p r epar ed and i s s ued by and i s the s o le r es pons ib i l i ty o f D ip lom a p lc ( the “Com pany ” ) and i s be ing s upp l ied to y ou s o le ly fo r i n fo r m at i on pu r pos es on ly i n connec t i o n w i th the p r opos e d p lac ing ( “P lac ing” ) o f new o r d inar y s har es o f f i ve pence each in th e capi ta l o f the Com pany ( “P lac ing Shar es ” ) . Fo r the pu r pos es o f th i s no t ice , “p r es en t a t i o n” m eans th i s docum en t , i t s con ten t s o r any par t o f i t , any o r a l p r es e n ta t i o n , any ques t ion and ans wer s es s ion , and any wr i t ten o r o r a l m ate r ia l d i s cus s ed o r d i s t r ibu te d by the Com pany du r ing the p r es en t a t io n .

Th i s p r es en t a t i on and i t s con ten t s a r e s t r ic t l y con f ide n t i a l and a r e be ing s ubm i t t ed to s e lec te d r ec ip ien ts on ly . I t m us t no t be r ecor de d , cop ied , d i s t r ibu te d , r epr oduc e d ( in who le o r i n par t ) , s to r ed in a r e t r ieva l s y s tem , pas s ed on , d i r ec t l y o r i nd i r ec t l y , o r t r ans m i t t e d to any o the r pe r s on (whether w i th in o r ou t s ide s uch per s on ’ s o r gan i s a t io n o r f i r m ) , fo r any pu r pos e o r under any c i r cum s ta n c es a t any t im e, w i thou t the p r io r wr i t ten cons en t o f the Com pany , B ar c lay s B ank PL C ( “B ar c lay s ” ) and Num is Secu r i t ies L im i ted ( “Num is ” and toget h er w i th B ar c lay s , the “B ank s ” ) as jo in t g loba l coor d ina t o r s and j o in t book r unner s fo r the Com pany .

Th i s p r es en t a t i on i s an adver t i s em e n t and no t a p r os pec tu s fo r the pu r pos es o f the P r os pect us R egu la t io n R u les o f the F inanc i a l Conduc t Au tho r i ty ( the “ FCA”) o r other wi s e and th i s p r es en t a t i o n has no t been appr ove d by the FCA o r any o the r r egu la to r y au tho r i ty . Th i s p r es en t a t i on does no t cons t i tu t e o r fo r m par t o f , and s hou ld no t be cons t r ue d as , any o f fe r o r i nv i ta t io n to s e l l o r i s s ue , o r any s o l ic i ta t io n o f any o f fe r to pu r chas e o r s ubs c r i be fo r , any s ecu r i t ies i n the Com pany ( inc lud ing , fo r the avo idan c e o f doubt , the P lac ing Shar es ) no r s ha l l i t o r any par t o f i t no r the fac t o f i t s d i s t r ibu t i on f o r m the bas i s o f , o r be r e l ied on in connec t i on w i th , any con t r a c t ua l com m i tm e n t o r i nves tm e n t dec i s ion in r e la t ion the r e to no r does i t cons t i tu t e a r ecom m en d a t i o n r egar d in g any s ecu r i t ies . R ec ip ien ts s hou ld no t pu r chas e , s ubs c r ibe fo r o r o the r w i s e acqu i r e any s ecu r i t ies o f the Com pany ( inc lud ing , fo r the avo idanc e o f doubt , the P lac ing Shar es ) on the bas i s o f th i s p r es en t a t io n .

Th i s p r es en t a t i on inc ludes in fo r m at io n wh ich m ay be m ate r ia l non -p u bl ic i n fo r m at i o n tha t i s p r ice s ens i t i ve in na tu r e ( “ In s ide I n fo r m a t i o n” ) . B y r ece iv ing th i s pr es en t a t io n , y ou agr ee tha t y ou w i l l no t u s e any o f the in fo r m at i o n con ta ine d in the p r es en t a t i o n (o r any r e la ted m ate r ia l s ) i n a way tha t m ay am oun t to i n s ide r deal ing under the Cr im ina l Jus t ice Act 1993 and m ar k e t abus e under the Mar k e t Abus e R egu la t io n (No . 596/ 2014) ( “MAR ”) o r wh ic h m ay cons t i tu t e a v io la t ion o f o the r app l icab le laws and/ or r egu la t io n s i n o the r ju r i s d ic t io ns .

Th i s p r es en t a t i on m ay inc lude cer ta in “ fo r war d - l o ok in g s ta tem en t s ” w i th r es pect to the f i nanc ia l cond i t io n , r es u l t s o f oper a t io n s and bus ines s es and p lans o f the Com pany and i t s s ubs id ia r ie s ( the “G r oup” ) and Windy C i ty W i r e L L C ( the “ Ta r ge t” ) . Wor ds s uch as “be l ieves ” , “an t ic ipa t e s ” , “ es t im at es ” , “expect s ” , “ in tends ” , “p lans ” , “a im s ” , “po ten t i a l ” , “w i l l ” , “wou ld” , “cou ld” , “cons ide r e d ” , “ l i k e ly ” , “es t im at e ” and var ia t ions o f thes e wor ds and s im i la r fu tu r e o r cond i t ion a l expr es s ion s , a r e in tended to iden t i fy fo r war d - lo ok in g s ta tem e n ts bu t a r e no t the exc lus i ve m eans o f iden t i fy ing s uch s ta tem e n ts . Thes e s ta tem e n ts and fo r ecas t s i nvo lve r i s k and uncer ta i n ty becaus e they r e la te to even ts and depen d upon fu tu r e c i r cum s ta n c es tha t have no t occu r r ed . The r e ar e a num ber o f fac to r s tha t cou ld caus e ac tua l r es u l t s o r deve lop m e n t s to d i f fe r m ate r ia l l y f r om thos e expr es s e d o r im p l ied by thes e fo r war d - l o ok in g s ta tem e n ts and fo r ecas t s . As a r es u l t , the Gr oup and/or the Ta r get ’ s ac tua l f i nanc ia l condi t io n , r es u l t s o f oper at io n s and bus ines s and p lans m ay d i f fe r m ate r ia l l y f r om the p lans , goa l s and expect a t i on s expr es s ed o r im p l ied by thes e fo r war d - l ook i n g s ta tem e n ts . No r epr es en t a t io n o r war r an ty i s m ade as to the ach ievem e n t o r r eas onabl e ne s s o f , and no r e l iance s hou ld be p laced on , s uch fo r war d - l o ok in g s ta tem en t s . No s ta tem e n t i n th i s p r es en ta t i o n i s i n tende d to be , no r m ay i t be cons t r ue d as , a p r o f i t fo r ecas t o r be r e l ied upon as a gu ide to fu tu r e per fo r m a nc e . The fo r war d - lo ok in g s ta tem e n ts con ta in e d in th i s Announc em e n t s peak on ly as o f the date o f th i s Announc em e n t . The Com pany , the B ank s and any o f the i r r es pect i v e a f f i l i a tes , d i r ec to r s , o f f ice r s , par tne r s , em ploy ees , agen ts , adv i s e r s o r any per s on ac t ing on the i r beha l f (co l lec t i ve ly , “R epr es en t a t i v es ” ) and any per s on ac t ing on i t s o r the i r beha l f each expr es s ly d i s c la im any ob l ig at i on o r under t ak in g to update o r r ev i s e pub l ic ly any fo r war d - l ook i n g s ta tem e n ts , wheth er as a r es u l t o f new in fo r m at i o n , fu tu r e even ts o r o the r w i s e , un les s r equ i r ed to do s o by app l icab l e law o r r egu la t io n , the L i s t i ng R u les , MAR , the D i s c los u r e G u idance and T r ans par e n cy R u les , the r u les o f the L ondon S tock Exchan ge o r th e FCA.

To the ex ten t ava i lab le , the indus t r y and m ar k e t data con ta in ed in th i s p r es en t a t i on has com e f r om o f f ic ia l o r th i r d par ty s o u r ces . Th i r d par ty i ndus t r y pub l ica t i on s , s tud ies and s u r vey s gener a l l y s ta te the data con ta in e d the r e in have been obta ined f r om s ou r ces be l ieved to be r e l i ab le , bu t tha t the r e i s no guar an t e e o f the accu r acy o r com ple t en e s s o f s uch data . Wh i le the Com pany be l ieves tha t each o f thes e pub l ica t i o ns , s tud ies a nd s u r vey s has been p r epar ed by a r epu tab l e s ou r ce , the Com pany has no t i ndepend e n t ly ve r i f i ed the data con ta in ed the r e in . In add i t ion , ce r ta in o f the indus t r y and m ar k e t data con ta ine d in th i s pr es en t a t io n com e f r om the Com pany ’ s i n te r na l r es ear ch and es t im ates bas ed on the k nowledg e and exper ienc e o f the Com pany ’ s m anagem e n t i n the m ar k e t i n which the Com pany oper ate s . Wh i le the Com pany be l ieves that s uch r es ear ch and es t im at es a r e r eas onabl e and r e l iab le , the i r un der ly ing m ethodo l o gy and as s um pt i on s , have no t been ve r i f i ed by any independ e n t s ou r ce fo r accu r a cy o r com ple t e ne s s and a r e s ub jec t to change wi thou t no t ice . Accor d ing ly , undue r e l iance s hou ld no t be p laced on any o f the indus t r y o r m ar k e t data con ta in e d in th i s p r es en ta t i o n . Cer ta in f igu r es i n th i s p r es en t a t io n a r e s ub jec t to r ound ing . Accor d ing ly , f igu r es s hown fo r the s am e categ or y p r es en t e d in d i f fe r en t char t s o r tab les m ay var y s l igh t l y and f igu r es s hown as to ta l s i n ce r ta in char t s o r tab les m ay no t be an a r i thm et i c aggr ega t i o n o f the f igu r es tha t p r ecede them .

The in fo r m at i on in th i s p r es en t a t io n has no t been indepen d en t ly ve r i f i ed and s peak s as o f the date he r eo f on ly and i s s ub jec t to updat ing , r ev i s ion , and am endm e n t w i thou t no t ice . Ne i the r the Com pany , the B ank s no r any o f the i r R epr es en t a t i ve s i s under any ob l iga t ion to update o r k eep cu r r en t the in fo r m at io n con ta in e d in th i s p r es en t a t i o n , to co r r ec t any inaccu r a c i es wh ich m ay becom e appar en t o r p r ov ide the r ec ip ien t w i th acces s to an y add i t ion a l i n fo r m at i on . Th i s p r es en t a t io n does no t pu r por t to con ta in a l l o f the in fo r m at i o n tha t m ay be r equ i r ed to eva luat e any inves tm e n t i n the Com pan y o r any o f i t s s ecu r i t ies . The m er i t and s u i tab i l i ty o f an inves tm e n t i n the Com pany s hou ld be indepen de n t ly eva luate d and any per s on cons ide r in g s uch an inves tm e n t i n the Com pany i s adv i s ed to obta in i ndepen d en t adv ice as to the lega l tax , accoun t i n g , f i nanc ia l , c r ed i t and o the r r e la ted adv ice p r io r to m ak ing an inve s tm e n t .

17

N o l i a b i l i t y w ha t s o e v e r ( w he t he r i n ne g l i g e nc e o r o t he r w i s e ) a r i s i ng d i r e c t l y o r i nd i r e c t l y f r o m t he us e o f t h i s p r e s e n t a t i o n o r i t s c o n t e n t s i s a c c e p t e d , a nd no r e p r e s e n t a t i o n , w a r r a n t y o r und e r t a k i ng , e x p r e s s o r i m p l i e d , i s o r w i l l b e m a d e o r g i v e n b y o r o n b e ha l f o f t he C o m p a ny , t he B a n k s o r t he i r r e s p e c t i v e R e p r e s e n t a t i v e s , a s t o , a nd no r e l i a nc e s ho u l d b e p l a c e d f o r a ny p u r p o s e s o n , t he a c c u r a c y , c o m p l e t e ne s s o r f a i r ne s s o f t he i n f o r m a t i o n o r o p i n i o ns c o n t a i ne d i n t h i s p r e s e n t a t i o n o r f o r a ny e r r o r s , o m i s s i o ns o r m i s s t a t e m e nt s o r a s t o t he s u i t a b i l i t y o f a ny p a r t i c u l a r i nv e s t m e n t f o r a ny p a r t i c u l a r i nv e s t o r o r f o r a n y l o s s ho w s o e v e r a r i s i ng , d i r e c t l y o r i nd i r e c t l y , f r o m a ny us e o f s uc h i n f o r m a t i o n o r o p i n i o ns o r o t he r w i s e a r i s i ng i n c o nne c t i o n t he r e w i t h . T o t he f u l l e s t e x t e n t p e r m i s s i b l e b y l a w , e a c h o f t he C o m p a ny , t he B a nk s a nd t he i r r e s p e c t i v e R e p r e s e n t a t i v e s d i s c l a i m a l l a nd a ny r e s p o ns i b i l i t y o r l i a b i l i t y , w he t he r a r i s i ng i n t o r t , c o n t r a c t o r o t he r w i s e , w h i c h t he y m i g h t o t he r w i s e ha v e i n r e s p e c t o f t h i s p r e s e n t a t i o n . R e c i p i e n t s s ho u l d no t c o ns t r ue t he c o n t e n t s o f t h i s p r e s e n t a t i o n a s l e g a l , t a x , r e g u l a t o r y , f i na nc i a l o r a c c o un t i n g a d v i c e a nd a r e u r g e d t o c o ns u l t w i t h t he i r o w n a d v i s e r s i n r e l a t i o n t o s uc h m a t t e r s .

T he d i s t r i b u t i o n o f t h i s p r e s e n t a t i o n a nd t he o f f e r i ng o r s a l e o f s e c u r i t i e s i n c e r t a i n j u r i s d i c t i o ns m a y b e r e s t r i c t e d b y l a w . P e r s o ns i n t o w ho s e p o s s e s s i o n t h i s p r e s e n t a t i o n c o m e s a r e r e q u i r e d t o i n f o r m t he m s e l v e s a b o u t a nd o b s e r v e a ny a p p l i c a b l e l e g a l o r r e g u l a t o r y r e q u i r e m e nt s i n r e l a t i o n t o , t he d i s t r i b u t i o n o r p o s s e s s i o n o f t h i s p r e s e n t a t i o n .

T he P l a c i ng S ha r e s ha v e no t b e e n a nd w i l l no t b e r e g i s t e r e d und e r t he U S S e c u r i t i e s A c t o f 1 9 3 3 , a s a m e nd e d ( t he “ S e c u r i t i e s A c t ” ) o r w i t h a ny s e c u r i t i e s r e g u l a t o r y a u t ho r i t y o f a ny s t a t e o r j u r i s d i c t i o n o f t he U n i t e d S t a t e s o f A m e r i c a ( i nc l ud i ng i t s t e r r i t o r i e s a nd p o s s e s s i o ns , a ny s t a t e o f t he U n i t e d S t a t e s a nd t he D i s t r i c t o f C o l um b i a ) , a nd m a y no t b e o f f e r e d , s o l d o r t r a ns f e r r e d , d i r e c t l y o r i nd i r e c t l y , i n t he U n i t e d S t a t e s e x c e p t p u r s ua n t t o a n e x e m p t i o n f r o m , o r i n a t r a ns a c t i o n no t s ub j e c t t o , t he r e g i s t r a t i o n r e q u i r e m e nt s o f t he S e c u r i t i e s A c t a nd i n c o m p l i a nc e w i t h a ny a p p l i c a b l e s e c u r i t i e s l a w s o f a ny s t a t e o r o t he r j u r i s d i c t i o n o f t he U n i t e d S t a t e s . A c c o r d i ng l y , t he P l a c i ng S ha r e s a r e b e i ng o f f e r e d a nd s o l d o n l y ( i ) o u t s i d e o f t he U n i t e d S t a t e s i n o f f s ho r e t r a ns a c t i o ns i n r e l i a nc e i n R e g u l a t i o n S und e r t he S e c u r i t i e s A c t a nd o t he r w i s e i n a c c o r d a nc e w i t h a p p l i c a b l e l a w s a nd ( i i ) i n t he U n i t e d S t a t e s t o a l i m i t e d num b e r o f “ q ua l i f i e d i n s t i t u t i o na l b uy e r s ” ( a s d e f i ne d i n R u l e 1 4 4 A und e r t he S e c u r i t i e s A c t ) i n t r a ns a c t i o ns e x e m p t f r o m r e g i s t r a t i o n und e r t he S e c u r i t i e s A c t . T he r e w i l l b e no p ub l i c o f f e r i ng o f t he P l a c i ng S ha r e s i n t he U n i t e d S t a t e s .

T he P l a c i ng ha s no t b e e n a p p r o v e d o r d i s a p p r o v e d b y t he U . S . S e c u r i t i e s a nd E x c ha ng e C o m m i s s i o n , a ny s t a t e s e c u r i t i e s c o m m i s s i o n i n t he U n i t e d S t a t e s o r a ny U . S . r e g u l a t o r y a u t ho r i t y , no r ha v e a ny o f t he f o r e g o i ng a u t ho r i t i e s p a s s e d up o n o r e nd o r s e d t he m e r i t s o f t he P l a c i ng , o r t he a c c u r a c y o r a d e q ua c y o f t h i s p r e s e n t a t i o n . A ny r e p r e s e n t a t i o n t o t he c o n t r a r y i s a c r i m i na l o f f e nc e i n t he U n i t e d S t a t e s .

T h i s p r e s e n t a t i o n i s b e i ng d i s t r i b u t e d o n l y t o a nd d i r e c t e d o n l y a t p e r s o ns w ho s e o r d i na r y a c t i v i t i e s i nv o l v e t he m i n a c q u i r i ng , ho l d i ng , m a na g i ng a nd d i s p o s i ng o f i nv e s t m e n t s ( a s p r i nc i p a l o r a g e n t ) f o r t he p u r p o s e s o f t he i r b us i ne s s a nd w ho ha v e p r o f e s s i o na l e x p e r i e nc e i n m a t t e r s r e l a t i ng t o i nv e s t m e n t s a nd a r e : ( 1 ) ( a ) i f i n a m e m b e r s t a t e o f t he E u r o p e a n E c o no m i c A r e a , p e r s o ns w ho a r e q ua l i f i e d i nv e s t o r s ( “ Qua l i f i e d I nv e s t o r s ” ) , b e i ng p e r s o ns f a l l i n g w i t h i n t he m e a n i ng o f A r t i c l e 2 ( e ) o f t he P r o s p e c t us R e g u l a t i o n ; o r ( b ) i f i n t he U n i t e d K i ng d o m , t o Qua l i f i e d I nv e s t o r s w ho a r e ( i ) p e r s o ns w ho f a l l w i t h i n t he d e f i n i t i o n o f “ i nv e s t m e n t p r o f e s s i o na l s ” i n A r t i c l e 1 9 ( 5 ) o f t he F i na nc i a l S e r v i c e s a nd M a r k e t s A c t 2 0 0 0 ( F i na nc i a l P r o m o t i o n ) O r d e r 2 0 0 5 , a s a m e nd e d ( t he “ Or d e r ” ) , o r ( i i ) p e r s o ns w h o f a l l w i t h i n A r t i c l e 4 9 ( 2 ) ( a ) t o ( d ) ( “ H i g h N e t W o r t h C o m p a n i e s , U n i nc o r p o r a t e d A s s o c i a t i o ns , e t c ” ) o f t he Or d e r ; o r ( c ) p e r s o ns t o w ho m i t m a y o t he r w i s e b e l a w f u l l y c o m m un i c a t e d ( a l l s uc h p e r s o ns r e f e r r e d t o i n ( a ) , ( b ) a nd ( c ) a b o v e t o g e t he r b e i ng r e f e r r e d t o a s “ R e l e v a n t P e r s o ns ” ) ; o r ( 2 ) p e r s o ns i n t he U n i t e d S t a t e s w ho a r e a Q I B . A ny i nv e s t m e n t o r i nv e s t m e n t a c t i v i t y t o w h i c h t h i s p r e s e n t a t i o n r e l a t e s i s a v a i l a b l e o n l y t o R e l e v a n t P e r s o ns o r , i n t he U n i t e d S t a t e s , p e r s o ns w ho a r e a Q I B a nd w i l l b e e ng a g e d i n o n l y w i t h s uc h p e r s o ns . T h i s p r e s e n t a t i o n m us t no t b e a c t e d o n o r r e l i e d o n b y p e r s o ns w ho a r e no t R e l e v a n t P e r s o ns o r , i n t he U n i t e d S t a t e s , p e r s o ns w ho a r e no t a Q I B . I f y o u a r e no t s uc h a p e r s o n y o u s ho u l d no t a t t e nd t he p r e s e n t a t i o n a nd s ho u l d i m m e d i a t e l y r e t u r n a ny m a t e r i a l s r e l a t i ng t o i t c u r r e n t l y i n y o u r p o s s e s s i o n .

B a r c l a y s B a nk P L C i s a u t ho r i s e d b y t he P r ud e n t i a l R e g u l a t i o n A u t ho r i t y ( “ P R A ” ) a nd r e g u l a t e d i n t he U n i t e d K i ng d o m b y t he P R A a n d t he F C A . N um i s S e c u r i t i e s L i m i t e d i s a u t ho r i s e d a nd r e g u l a t e d i n t he U n i t e d K i ng d o m b y t he F C A . E a c h o f B a r c l a y s a nd N um i s a r e a c t i ng e x c l us i v e l y f o r t he C o m p a ny a nd f o r no o ne e l s e i n c o nne c t i o n w i t h t he P l a c i ng a nd w i l l no t r e g a r d a ny o t he r p e r s o n ( w he t he r o r no t a r e c i p i e n t o f t h i s p r e s e n t a t i o n ) a s a c l i e n t i n r e l a t i o n t o t he P l a c i ng o r a ny o t he r m a t t e r r e f e r r e d t o i n t h i s p r e s e n t a t i o n o r a ny o t he r m a t t e r c o n t e m p l a t e d he r e i n , a nd w i l l no t b e r e s p o ns i b l e t o a ny o ne o t he r t ha n t he C o m p a ny f o r p r o v i d i ng t he p r o t e c t i o ns a f f o r d e d t o i t s c l i e n t s o r f o r g i v i ng a d v i c e i n r e l a t i o n t o t he P l a c i ng o r a ny o t he r m a t t e r r e f e r r e d t o i n t h i s p r e s e n t a t i o n o r a ny o t he r m a t t e r c o n t e m p l a t e d he r e i n .

B y a t t e nd i ng o r o t he r w i s e a c c e s s i ng t h i s p r e s e n t a t i o n , y o u w a r r a n t , r e p r e s e n t , und e r t a k e a nd a c k no w l e d g e t o e a c h o f t he C o m p a n y a nd t he B a nk s t ha t : ( a ) y o u ha v e r e a d a nd a g r e e t o c o m p l y w i t h t he f o r e g o i ng l i m i t a t i o ns a nd r e s t r i c t i o ns i nc l ud i ng , w i t ho u t l i m i t a t i o n , t he o b l i g a t i o n t o k e e p p e r m a n e n t l y c o n f i d e n t i a l t he i n f o r m a t i o n c o n t a i ne d i n t h i s p r e s e n t a t i o n o r m a d e a v a i l a b l e i n c o nne c t i o n w i t h f u r t he r e nq u i r i e s t o t he e x t e n t s uc h i n f o r m a t i o n i s no t m a d e p ub l i c l y a v a i l a b l e ( o t he r w i s e t ha n t h r o ug h a b r e a c h b y y o u o f t h i s p r o v i s i o n ) ; ( b ) y o u a r e a b l e t o r e c e i v e t h i s p r e s e n t a t i o n w i t ho u t c o n t r a v e n t i o n o f a ny a p p l i c a b l e l e g a l o r r e g u l a t o r y r e s t r i c t i o ns ; ( c ) i f y o u a r e i n t he E u r o p e a n E c o no m i c A r e a , y o u a r e a Qua l i f i e d I nv e s t o r ; ( d ) i f y o u a r e i n t he U n i t e d K i ng d o m , y o u a r e a R e l e v a n t P e r s o n ; ( e ) i f y o u a r e i n t he U n i t e d S t a t e s o r a U S p e r s o n ( w i t h i n t he m e a n i ng o f R e g u l a t i o n S und e r t he S e c u r i t i e s A c t ) , y o u a r e a Q I B ; ( f ) y o u w i l l no t a t a ny t i m e ha v e a ny d i s c us s i o n , c o r r e s p o n d e n c e o r c o n t a c t c o nc e r n i ng t he i n f o r m a t i o n i n t h i s p r e s e n t a t i o n w i t h a ny o f t he R e p r e s e n t a t i v e s o f t he C o m p a ny no r w i t h a ny o f i t s s up p l i e r s , no r a ny g o v e r nm e nt a l o r r e g u l a t o r y b o d y , w i t ho u t t he p r i o r w r i t t e n c o ns e n t o f t he C o m p a ny ; a nd ( g ) y o u w i l l no t d e a l i n ( o r e nc o u r a g e a ny o t he r p e r s o n t o d e a l i n ) t he s ha r e s o r f i na nc i a l i n s t r um e nt s o f t he C o m p a ny o r b a s e a ny b e ha v i o u r o n a ny I n s i d e I n f o r m a t i o n y o u r e c e i v e a s p a r t o f t he p r e s e n t a t i o n un t i l y o u ha v e c e a s e d t o ha v e s uc h i n f o r m a t i o n f o r t he p u r p o s e s o f M A R .

I n C a na d a , no p r o s p e c t us ha s b e e n f i l e d w i t h a ny s e c u r i t i e s c o m m i s s i o n o r s i m i l a r r e g u l a t o r y a u t ho r i t y i n r e s p e c t o f t he P l a c i ng S ha r e s . N o s uc h s e c u r i t i e s c o m m i s s i o n o r s i m i l a r r e g u l a t o r y a u t ho r i t y i n C a na d a ha s r e v i e w e d o r i n a ny w a y p a s s e d up o n t he m e r i t s o f a ny p r o p o s e d o f f e r i ng o f t he P l a c i ng S ha r e s a nd a ny r e p r e s e n t a t i o n t o t he c o n t r a r y i s a n o f f e nc e . I n C a na d a , t he p r e s e n t a t i o n m a y b e d e l i v e r e d , a nd P l a c i ng S ha r e s m a y b e o f f e r e d a nd s o l d , o n l y t o a p e r s o n ( " E l i g i b l e C a na d i a n I nv e s t o r " ) i n t he p r o v i nc e s o f A l b e r t a , B r i t i s h C o l um b i a , On t a r i o a nd Que b e c t ha t i s ( a ) a n "a c c r e d i t e d i nv e s t o r " a s d e f i ne d i n s e c t i o n 1 . 1 o f N a t i o na l I n s t r um e n t 4 5 - 1 0 6 P r o s p e c t us E x e m p t i o ns o r S e c t i o n 7 3 . 3 ( 1 ) o f t he S e c u r i t i e s A c t ( On t a r i o ) , a s a p p l i c a b l e ; a nd ( b ) a "p e r m i t t e d c l i e n t " a s d e f i ne d i n s e c t i o n 1 . 1 o f N a t i o na l I n s t r um e n t 3 1 - 1 0 3 R e g i s t r a t i o n R e q u i r e m e nt s , E x e m p t i o ns a nd Ong o i ng R e g i s t r a n t Ob l i g a t i o ns . A ny o t he r p e r s o n w ho r e c e i v e s t he p r e s e n t a t i o n s ho u l d no t r e l y o r a c t up o n i t . I n c o nne c t i o n w i t h a ny o f f e r o r s a l e m a d e t o i nv e s t o r s i n t he P l a c i ng t ha t a r e l o c a t e d i n C a na d a , t he P l a c e e w i l l b e r e q u i r e d t o p r o v i d e a s i g ne d i nv e s t o r l e t t e r , c o n f i r m i ng i t s e l i g i b i l i t y t o p a r t i c i p a t e i n t he P l a c i ng a nd c o n t a i n i ng a d d i t i o na l p r e s c r i b e d d i s c l o s u r e f o r t he p u r p o s e s o f c o m p l i a nc e w i t h C a na d i a n s e c u r i t i e s l a w r e q u i r e m e nt s .

T he p r e s e n t a t i o n i s no t , a nd und e r no c i r c um s t a nc e s i s t o b e c o ns t r ue d a s , a p r o s p e c t us , a n a d v e r t i s e m e nt o r a p ub l i c o f f e r i n g o f t he s e c u r i t i e s d e s c r i b e d he r e i n i n a ny p r o v i nc e o r t e r r i t o r y o f C a na d a .

S e c u r i t i e s l e g i s l a t i o n i n c e r t a i n p r o v i nc e s o r t e r r i t o r i e s o f C a na d a m a y p r o v i d e a p u r c ha s e r w i t h r e m e d i e s f o r r e s c i s s i o n o r d a m a g e s i f a ny o f f e r i ng m e m o r a nd um ( i nc l ud i ng a ny a m e nd m e nt t he r e t o ) c o n t a i ns a m i s r e p r e s e n t a t i o n , p r o v i d e d t ha t t he r e m e d i e s f o r r e s c i s s i o n o r d a m a g e s a r e e x e r c i s e d b y t h e p u r c ha s e r w i t h i n t he t i m e l i m i t p r e s c r i b e d b y t he s e c u r i t i e s l e g i s l a t i o n o f t he p u r c ha s e r ’ s p r o v i nc e o r t e r r i t o r y . C a na d i a n p u r c ha s e r s s ho u l d r e f e r t o a ny a p p l i c a b l e p r o v i s i o ns o f t he s e c u r i t i e s l e g i s l a t i o n o f t he p ur c ha s e r ’ s p r o v i nc e o r t e r r i t o r y f o r p a r t i c u l a r s o f t he s e r i g h t s o r c o ns u l t w i t h a l e g a l a d v i s o r .

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