Daniel Stewart Securities Plc Regulatory News (DAN)

Strictly embargoed: 07.00, 15 April 2015

Daniel Stewart Securities Plc

("Daniel Stewart" or "the Company")

Trading and Business Update

The Board of Daniel Stewart Securities Plc (AIM: DAN), the investment bank providing corporate advisory, institutional stockbroking and wealth management services, announces a trading and business update ahead of its full year results for the year ended 31 March 2015.

The Board is pleased to announce that since 30 September 2014, the Company has addressed its regulatory capital requirements; strengthened its balance sheet; and restructured the operational focus of the Company, reducing costs in the process. The Company also took the strategic decision to relinquish its status as an AIM Nominated Adviser ("NOMAD") as the Board believes that the associated costs and additional regulatory burden associated with maintaining NOMAD status do not best serve the interests of our shareholders in today's market environment.

During the period, the Company's shares were suspended from trading between 30 September 2014 and 5 March 2015. The suspension created exceptional circumstances that affected trading in the second half of the reported year. Whilst resolving the capital adequacy issues which led to suspension, the Company also incurred certain non-recurring legal, accountancy and other costs associated with the restructuring. Some clients also delayed their decision to appoint us to new mandates.

As a result of this, the Board anticipates that for the year ended 31 March 2015, the Company will report a reduced pre-tax and amortisation loss of approximately £850,000 (2014: £1.46m loss), of which around £150,000 relates to costs incurred in resolving the regulatory capital issues. Revenue is expected to be around £3.9m (2014: £4.2m).

Peter Shea, Chairman commented: "Although it is always disappointing to report a loss, albeit an improved position from the previous year, we now have our regulatory capital issues firmly behind us and a more focused overhead resulting in a business which is better structured to deliver meaningful capital market solutions to our clients.

"Whilst general market trading conditions remain difficult, we have in the last seven weeks been appointed by six new clients and in the immediate months ahead, we are engaged on a number of fundraisings, including two initial public offerings. Additionally, our wealth management division has continued to grow.

"The Board is optimistic about the future prospects for the Company and I would like to thank the staff, our clients, investors, advisers, and Winterflood Securities, all of whom remained supportive throughout."

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Enquiries:

DANIEL STEWART SECURITIES PLC

Peter Shea, Chairman

Tel: 020 7776 6550

WESTHOUSE SECURITIES

Richard Johnson / Martin Davison

Tel: 020 7601 6100