Ann: GENERAL: NZX: NZX to appoint Edison as NXT research provider

• Release Date: 02/12/14 16:06
• Summary: GENERAL: NZX: NZX to appoint Edison as NXT research provider
• Price Sensitive: No
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					NZX
02/12/2014 16:06
GENERAL
NOT PRICE SENSITIVE
REL: 1606 HRS NZX Limited

GENERAL: NZX: NZX to appoint Edison as NXT research provider

NZX has reached agreement in principle with Edison Investment Research
relating to the appointment of Edison as the foundation NXT market research
provider.

The provision of independent research on all NXT listed companies is a key
design feature of the market, which aims to provide quality, frequent
information to investors.

The NXT company research reports will be available to view publicly and to
download for free on NXT.co.nz. Standard research coverage on NXT companies
will include an initiation report, follow up reports after the release of
each of NXT company's half year and full year results, and special reports
where applicable.

NZX Head of Markets Aaron Jenkins commented: "We are delighted that Edison, a
leading investment intelligence firm, intends to provide independent research
on NXT listed companies."

"Currently there is a lack of research on many small to mid-sized NZX listed
companies, limiting the breadth of information available to investors.
Financial advisors are also limited in their ability to advise on listed
companies without independent research coverage. We therefore consider the
NXT research provider initiative critical to driving greater interest and
liquidity in smaller stocks."

Neil Shah, Director of Research at Edison commented: "We are delighted to
have been chosen to support the NXT's innovative market design. We have long
advocated that exchanges have a pivotal role to play in facilitating research
coverage for issuers and believe that this innovative independent research
scheme on NXT listed companies will be of benefit to all stakeholders and
issuers in the New Zealand small and midcap market."

NZX and Edison are finalising the arrangements for the research services.
NZX will also appoint a foundation market maker for NXT, with the aim of
improving the market's depth and liquidity.

The timing of NXT's launch depends on companies being ready to list. NZX is
continuing to work with a range of companies looking to list on NXT, some of
which will be new listings and others that propose to move across from the
NZAX. NZX currently expects the first company will list in Q1 2015.

NZX Reference Number
In another development, investors can now register on NXT.co.nz for an NZX
Reference Number. An NZX Reference Number ensures that retail investors have
read and understood the NXT warning. The NXT warning highlights that NXT is a
market designed for smaller companies typically at an earlier stage of
business development and accordingly the risks of investing in companies
listed on NXT may be higher than investing in other companies.

Anyone can purchase shares in NXT companies (once there are companies listed
on NXT), however they must do so through an NZX Participant (broker). A
broker may request an NZX Reference Number from a retail investor prior to
purchasing shares in a NXT company, to evidence that the investor has read
and understood the NXT warning.

To register for an NZX Reference Number please visit the NXT website:
https://nxt.co.nz/users/new

Key features of NXT

- A market aimed at small to mid-sized businesses with an expected market cap
of $10 - $100 million
- Reduced costs and complexity, during both the listing process and ongoing
- More support for companies listed on the market
- A streamlined regulatory environment, with a set of simpler, template based
rules and procedures
- The presence of market making and research to aid efficiency and liquidity
- More information on companies for investors through quarterly updates,
research coverage and reporting by companies of key operating milestones

About Edison Investment Research Ltd (www.edisongroup.com)
Edison has over 80 analysts working with leading companies, fund managers and
investment banks worldwide. It provides equity research services to more than
400 corporate and investor clients and is based in London, New York,
Frankfurt, Sydney and Wellington. Edison also provides an Investor Access
Service to help market companies to potential investors and, a Commercial Due
Diligence Service to assist companies, private equity houses and corporate
finance teams to identify and assess potential corporate transactions.

For further information please contact:
Kate McLaughlin
NZX Corporate Communications
M: 027 533 4529
T: 09 309 3654
E: [email protected]

Simon Wilson
Director
Edison Investment Research (NZ) Ltd
M: 021 562015
T: 04 894 8555
E: [email protected]
End CA:00258418 For:NZX    Type:GENERAL    Time:2014-12-02 16:06:24