^

Original-Research: Reply S.p.A. - from GBC AG

11.11.2025 / 10:30 CET/CEST

Dissemination of a Research, transmitted by EQS News - a service of EQ

Group.

The issuer is solely responsible for the content of this research. The

result of this research does not constitute investment advice or an

invitation to conclude certain stock exchange transactions.

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Classification of GBC AG to Reply S.p.A.

Company Name: Reply S.p.A.

ISIN: IT0005282865

Reason for the GBC Italian Champions 2025

research:

Recommendation: BUY

Target price: EUR 175.00

Last rating change:

Analyst: Cosmin Filker, Matthias Greiffenberger, Marcel

Goldmann

Dear Investors,

This year, we are once again presenting Italian small and mid-cap companie

that we consider to be particularly promising in our study 'GBC Italian

Champions'. As was the case last year, our selection is highly diversified

across sectors and covers a wide range of company sizes. Nine companies from

last year's study have made it into this year's selection again. This mean

that we are presenting four new investment ideas in this update to the

study.

This year, too, it is worth looking beyond national borders. While the

German capital market no longer seems to be an attractive option for many

companies, the Italian capital market remains as popular as ever. While IPO

activity in Germany has been at a low level for years, new companies are

constantly being listed on the Milan Stock Exchange. In Germany, new issue

have almost come to a standstill in recent years. After only three IPOs took

place in 2023, 2024 was not significantly better with five IPOs. In

contrast, the Milan Stock Exchange recorded unbroken high IPO activity with

35 IPOs in 2023 and 23 in 2024.

The greater willingness of Italian companies to go public is likely due,

among other things, to structural advantages. These include, for example,

multiple voting rights, which enable better control by the founders and good

protection against takeovers. This is a particularly good argument for

medium-sized companies to orient themselves towards the capital market. In

addition, issuers can benefit from tax advantages when going public. The

high status enjoyed by equities is also reflected in the planned Fondo

Nazionale Strategico investment initiative. Under the umbrella of the state

investment bank Cassa Depositi e Prestiti (CDP), over EUR700 million is to be

invested specifically in medium-sized and smaller Italian companies. Even

though the fund is aimed at institutional investors and qualified private

investors, it is expected that increased market liquidity and generally

higher demand for „second-tier“ equities could prove to be price drivers for

these stocks.

That is why, dear investors, we are presenting the GBC Best of Italy 2025

selection on the following pages. We present a series of promising companie

from a variety of sectors with attractive valuations, which we believe could

be an attractive addition to your portfolio.

The „GBC Italian Champions Study 2025“ contains assessments of the following

companies:

Casta Diva Group S.p.A. (ISIN: IT0005003782)

Cembre S.p.A. (ISIN: IT0001128047)

Energy S.p.A. (ISIN: IT0005500712)

Fine Foods & Pharmaceuticals N.T.M. S.p.A. (ISIN: IT0005215329)

Franchetti S.p.A. (ISIN: IT0005508574)

Lindbergh S.p.A. (ISIN: IT0005469272)

Lottomatica Group S.p.A. (ISIN: IT0005541336)

Redfish Longterm Capital S.p.A. (ISIN: IT0005549354)

Reply S.p.A. (ISIN: IT0005282865)

Sanlorenzo S.p.A. (ISIN: IT0003549422)

Siav S.p.A. (ISIN: IT0005504128)

Somec S.p.A. (ISIN: IT0005329815)

We hope you enjoy reading this and wish you success in your investments.

Cosmin Filker

Deputy Chief Analyst

You can download the research here:

https://eqs-cockpit.com/c/fncls.ssp?u=8d5e6cc9ff7da8f6a533f91ebb0c2ab0

Contact for questions:

GBC AG

Halderstraße 27

86150 Augsburg

0821 / 241133 0

research@gbc-ag.de

++++++++++++++++

Disclosure of potential conflicts of interest in accordance with Section 85

WpHG and Art. 20 MAR The following potential conflict of interest exists at

the company analysed above: (see individual studies); a catalogue of

potential conflicts of interest can be found at:

https://www.gbc-ag.de/de/Offenlegung

+++++++++++++++

Editorial deadline: 10/11/2025

Date and time of completion of the report: 10/11/2025 (04:00 p.m.)

Date and time of the first disclosure of the research report: 11/11/2025

(10:30 a.m.)

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