Morgan Stanley Reports Extensive Trading in DCC Energy plc Shares Ahead of Irish Takeover Panel Disclosure

DCC Energy plc and Connected Offer Parties

DCC Energy plc, an energy sector company subject to Irish Takeover Panel regulations, is the focus of this dealing disclosure. Energy Capital Partners, LLC and Kohlberg Kravis Roberts & Co. L.P., prominent private equity firms with extensive experience and capital in the energy and industrial sectors worldwide, are identified as the connected parties to the offer. Morgan Stanley & Co. International plc acted as a connected exempt principal trader with recognised intermediary status, enabling it to execute client-serving transactions under specific disclosure obligations. The announcement confirms no indemnity, option, or inducement arrangements existed between Morgan Stanley and the offer parties, underscoring the integrity of the transactions.

Share Transactions on 20 July 2026

On 20 July 2026, Morgan Stanley executed significant outright purchases and sales of DCC Energy plc 0.25 ordinary shares. Purchases totaled 157,526 shares priced between 62.7000 GBP and 63.5381 GBP per share, with the highest purchase price at 63.5381 GBP and the lowest at 62.7000 GBP. Sales amounted to 124,811 shares at prices ranging from 62.6875 GBP to 62.9017 GBP, with the highest sale price at 62.9017 GBP and the lowest at 62.6875 GBP. This resulted in a net purchase of 32,715 shares, though this figure should be considered alongside the extensive derivative activity disclosed. The announcement does not specify whether these trades were part of hedging, portfolio rebalancing, or other client services performed by Morgan Stanley.

Comprehensive Cash-Settled Derivative and CFD Transactions

The disclosure highlights extensive cash-settled derivative activity, specifically contracts for difference (CFDs) linked to DCC Energy plc 0.25 ordinary shares. CFDs provide leveraged exposure to share price movements without direct ownership. On 20 July 2026, 69 separate CFD transactions were executed, representing notional exposures amounting to hundreds of thousands of reference securities. This derivative activity illustrates the complexity of financial intermediation during takeover processes.

CFD trades included both long and short positions, with Morgan Stanley adjusting holdings throughout the day. The largest single CFD transaction involved increasing a short position by 12,687 reference securities at 62.7000 GBP per share. Other significant increases in short positions included 8,335 and 7,651 reference securities at similar prices. Most CFD transactions clustered around 62.7000 GBP, with some reaching up to 63.5381 GBP, mirroring outright share prices. No stock-settled derivatives such as options were traded during this period.

Price Levels and Market Activity Concentration

Price data from both share and CFD transactions show concentration around 62.7000 GBP on 20 July 2026, indicating substantial trading at this price point. This clustering may reflect strong market support or resistance or the execution of large institutional orders split across multiple trades. The price range from 62.6875 GBP to 63.5381 GBP represents approximately 1.07% variation, consistent with typical intraday volatility for a liquid energy sector stock.

Detailed price points, precise to four decimal places such as 62.7038 GBP and 62.7833 GBP, suggest algorithmic or systematic trading components. The announcement does not provide trading volumes or market conditions, so it is unclear whether the price range reflects normal spreads or unusual market behavior. The report presents factual transaction data without analysis of market context.

Regulatory Context and Irish Takeover Panel Compliance

This disclosure complies with Rule 38.5(a) of the Irish Takeover Panel Act, 1997, Takeover Rules, 2022, which mandates connected exempt principal traders with recognised intermediary status to report client-serving dealing activity during takeover offers. The rule ensures transparency while allowing financial intermediaries to fulfill client instructions. The disclosure was made to a Regulatory Information Service on 21 July 2026, the business day after the dealing date, adhering to standard reporting timelines.

Morgan Stanley's designation as a connected exempt principal trader confirms its exemption from certain dealing prohibitions and its connection to offer parties. This status permits execution of client trades during takeover periods without proprietary trading. The absence of indemnities or inducements supports that the transactions were conducted at arm's length on behalf of Energy Capital Partners, LLC and Kohlberg Kravis Roberts & Co. L.P.

No Stock-Settled Derivatives or Option Transactions

The disclosure explicitly states no stock-settled derivatives, including options, were traded during the dealing day. Sections related to writing, purchasing, selling, or exercising options are marked "N/A." This indicates Morgan Stanley's derivative activity was confined to cash-settled CFDs rather than options, which offer different risk profiles and payoff structures. The absence of options may reflect client preference, market availability, or specific execution mandates.

Additionally, no agreements or understandings exist between Morgan Stanley and offer parties concerning options, derivatives, or voting rights linked to such instruments. This confirmation supports the independence and straightforward economic nature of the disclosed CFD transactions.

Aggregate Trading Volume and Market Impact

Morgan Stanley's total disclosed dealing on 20 July 2026 includes 157,526 shares purchased and 124,811 shares sold outright, resulting in a net acquisition of 32,715 shares. Combined with CFD activity involving hundreds of thousands of reference securities, the overall market activity was substantial. The announcement does not aggregate these figures, requiring investors to independently assess the total position changes.

The scale aligns with expectations for a major global investment bank executing orders for significant private equity investors during a takeover. Energy Capital Partners, LLC and Kohlberg Kravis Roberts & Co. L.P. are institutional investors with considerable resources, and their engagement of Morgan Stanley suggests structured position management in DCC Energy plc aligned with strategic goals. The disclosure does not reveal the strategic intent or longer-term positioning.

Market Implications and Share Price Considerations

The reported substantial dealing by connected parties and their intermediary may influence market participants analyzing price movements and positioning during takeover offers. The net share accumulation of approximately 32,715 shares could indicate strategic confidence, though the prominent short CFD positions introduce complexity. The immediate impact on share price is not evident from public information.

Investors should recognize this disclosure reflects only one day's activity through a single intermediary. Energy Capital Partners, LLC and Kohlberg Kravis Roberts & Co. L.P. may be employing multiple intermediaries, executing trades over time, or pursuing diverse strategies not captured here. CFD positions might represent short-term hedges or trading strategies intended for rapid closure. Caution is advised when interpreting this data for investment decisions.

Contact and Regulatory Submission Information

The disclosure was prepared and submitted by Claire Gordon, reachable at +44 141 245-8893, providing a UK-based contact for inquiries. This information was included in the regulatory filing to the Irish Takeover Panel on 21 July 2026 and made publicly available via a Regulatory Information Service. The standardised disclosure format promotes transparency and market integrity by ensuring equal access to information among investors.