WINDMILL BLOODSTOCK EIS

January 2018

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Share our dreams and successes...

WINDMILL BLOODSTOCK EIS LIMITED

DIRECTORS: FIONA MARNER, LIONEL GODFREY

Windmill Bloodstock EIS Limited (formerly Windmill Farm Partnership) is a small friendly bloodstock breeding operati on that trades under the Government’s Enterprise Investment Scheme (EIS). These schemes are designed to encourage investments in small unquoted companies carrying on a qualifying trade in the United Kingdom and they off er private individuals very att racti ve tax relief benefi ts. The company was formed in 2012 and has 24 initi al shareholders investi ng a minimum of £20,000 each. We are now reopening for new investment which, HMRC have confi rmed, will sti ll qualify for EIS tax relief.

Our strategy from the outset, was to trade at the upper end of the bloodstock market which is less suscepti ble to short term economic shocks and gives the opportunity for higher profi t margins.

Our three mares are of the highest quality and fully meet our ‘top end’ criteria. They have exciti ng pedigrees and have achieved consistently sati sfactory results with their progeny at the sales and on the racecourse. The objecti ve of this fundraising is to enable us to purchase one or two more of the same, as we believe that a minimum of four or fi ve mares are needed to spread the risk and run a profi table business.

Windmill Bloodstock EIS gives shareholders a wonderful opportunity to parti cipate in the fascinati ng world of bloodstock at an aff ordable level of investment.

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We are a small group of enthusiasts who enjoy the level of involvement that is possible from this size of operation. We hold an annual meeting at Windmill Stud, where the mares and foals are boarded, to view the horses and discuss plans. Shareholders are always welcome to visit the stud at any time.

We also organise visits at home and abroad to top studs, bloodstock sales and race meetings when we have an interest. Whilst we are obviously aiming to make a profit, we feel that the fun and participation are also important.

New investors are invited to apply for £1 shares in Windmill Bloodstock EIS Limited, with a minimum investment of £20,000. You may apply jointly with another person.The immediate income tax relief on any investment under EIS rules is 30%, and it is also possible to defer capital gains tax payable on the sale of other assets at a rate of up to 28%. Provided there has been no breach of EIS rules, any gain realised after three or more years will be tax free and any realised losses may be offset against income at your marginal rate of tax. After at least two years of ownership the shares will qualify for business property relief and so will be exempt from inheritance tax.

The Government announced in the latest Budget, that there will be changes to the EIS in the Finance Act, but they will not affect bloodstock because it is not risk free. HMRC have confirmed that provided our new shares are issued before they will receive EIS benefits as they currently stand. This offer for subscription will close on Wednesday 28th March 2018.

If you require any further information, please contact Fiona Marner at Windmill Stud. As with any financial investment, you should seek professional advice if you have any concerns regarding this offer.

THE ENTERPRISE INVESTMENT SCHEME The Enterprise Investment Scheme (EIS) has existed in various forms since 1994. In its present form, the possible reliefs and benefits are more extensive than ever.

What benefits does the Enterprise Investment Scheme provide the investor?

• Income tax relief at 30% on the amount invested in qualifying investments of up to £1,000,000 per annum. The EIS relief may be withdrawn if certain events occur within three years, e.g. shares sold.

• An individual may carry-back all or part of current year EIS investments to the previous tax year, provided that the limit in the previous year is not exceeded.

• Any gain arising on a disposal of the shares after three or more years to be free from capital gains tax.

• Deferral of capital gains (no limit) on any other assets, by reinvesting all or part of the gain into an EIS company within one year before, or three years after, the gain accrued. The deferred gain becomes chargeable to capital gains tax if the EIS company shares are sold or on the occurrence of certain other events.

• Gains realised on or after 3 December 2014 which qualified for Entrepreneurs’ Relief may be reinvested under EIS and will still remain eligible for Entrepreneurs’ Relief when the deferred gain is revived.

• An investor cannot be “connected” with the EIS company, i.e. he or she together with associates such as a spouse or close relative cannot own more than 30% of the shares, directly or indirectly. An employee or paid director of the company is also connected, subject to certain exceptions for directors.

• Relief for any losses made on the disposal of EIS shares can be offset against capital gains tax or, in some circumstances, income tax.

As a result of the above, an individual could have a total income tax saving of up to 61.5% of their investment if it fails completely.

Bernard Harrington FCA – Chartered Accountant

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BLOODSTOCK PORTFOLIO - January 2018

MARES - DOB Sire Dam In Foal - LSDGaze 2003 Galileo Gryada RestedNinas Rainbow 2008 Rainbow Quest Next Gina Iff raaj - 22.05.17Salonmare 2013 Manduro Salonblue Lawman - 05.04.17

3-YEAR-OLD GrandsireGemini 2015 Makfi Gaze Galileo

YEARLINGSBay Filly - 05.05.17 Golden Horn Gaze GalileoBay colt - 27.04.17 Moti vator Ninas Rainbow Rainbow Quest

STALLIONSLawman - 50% of 1 share Invincible Spirt Laramie GulchCityscape - Breeding right Selkirk Tanti na Distant View

Leased for racing. Trainer: Charlie Hills, Lambourn

Sire Dam

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WINDMILL BLOODSTOCK ECK ECK IS

Galileo (IRE)Sadler's Wells (USA) Northern Dancer

Fairy Bridge (USA)GAZE (GB)(2003)A Bay MBay MBay are

Urban Sea (USA) Miswaki (USA)Allegretta

Gryada (GB) (1993)

Shirley Hey Hey eights Mill Reef (USA)Hardiemma

Grimpola (GER) Windwurf (rf (rf GER)Gondel (GER)

GAZE (GB), 98,000 gns. mare, won 2 races in Germany and placed 4 times (William Jarvis). Dam of five winners, from 6 runners and 6 foals of racing age:

2009 BRIDGEHAMGEHAMGEH PTAMPTAM ONPTONPT (ON (ON GB)GB)GB (g. by Lando (GER)), 92,000 gns. yearling - Kern/Lillingston Ass, won 6 races at home and abroad and £42,863 and placed 9 times (M. Bell).

2010 GREATWOOD (GB) (g. by Manduro (GER)), 85,000 gns. yearling - John Warren BS,180,000 gns. Horses-in-Training Sale 2013 - McKeever BS, won 3 races at 2, 4 and 5 years at home and in Australia and £141,616 including Parramatta Cup, Rosehill, L. and Premier's Cup, Rosehill, L., second in Noel Murless Stakes,Ascot, L. rated 104) (L. Cumani and Gai Waterhouse).

2011 GANYMEDE (GB) (g. by Oasis Dream (GB)), 160,000 gns. foal, won 4 races at 3 to 4 years and placed once; also won 1 race over hurdles at 5years, 2016; (E. Johnson Houghton/A. Hales).

2013 MUSAANADANADAN A ADA AD (GB) (f. by Sea The Stars (IRE)), 235,000 gns. foal - Shadwell EstateCompany, won 2 races at 3 years, 2016, all her starts (W.Haggas).

2014 SWINSWINSW G VALLEY (EY (EY GB) (f. by Lawman (FR)), 100,000 gns. foal - Meridian International, won 1 race at 3 years, 2017 in France and £16,210 andplaced 5 times (D. Guillemin).

2015 Gemini (GB) (f. by Makfi (GB)), ran once at 2 years, 2017 (C. Hills).2016 (c. by Dansili (GB)), 100,000 gns yearling, foaled April 14th (M.

Johnston).2017 (f. by Gby Gby olden Horn (GB)), foaled May 5th.2018 rested.

1st Dam GryaGryaGr da (GB), won 2 races at 2 years and £18,087 placed third in Premio Dormello, Milan, Gr.3 (rated

103) (W.Jarvis); Own sister to Golan Heights; dam of ten wf ten wf inners from 10 runners and 11 living foals of racing age including-

FAME AND GLORY (GB) (c. by Montjentjent u (IRE)), 190,000 gns. foal – T. Hyde, won 14 races at 2 to 6 years at home and in France and £2,314,120 including Ascot Gold Cup, Gr.1, Tattersalls Gold Cup, Curragh, Gr.1, Coronation Cup, Epsom, Gr.1, Irish Derby, Curragh, Gr.1, Criterium de Saint-Cloud, Gr.1, second in Derby Stakes, Epsom, Gr.1 (rated 129) (A.P. O’Brien); sire.

Grampian (GB) (c. by Selkirk (USA)), 200,000 gns. yearling – Mrs. A. Skiffington, won 4 races at 2, 3 and 6 years and £102,691, second in July Sly Sly takes, Haydock Park, L., J (rated 105) (J. Given).

YUMYUMY MY MUMY MUMY MMY (MMY (MMY GB), 460,000 gns. mare - John Warren BS, won 1 race; dam of 4 winners. LEGATISSIMO (IRE) (f. by Danehill Dancer (er (er IRE)), 350,000 gns. yearling Tattersalls October

(Book 1(Book 1(Book ) - MV MMV MMV agnier, Champion 3yr old filly illy illy n England in 2015, 5 races at 2 and 3 years, £1,123,354 including Nassau Stakes, Gr.1, 1000 Guineas, Gr.1, Matron Stakes, Gr.1, second in Oaks Stakes, Gr.1, Breeders' Cup Filly/Mally/Mally re Turf, Gr.1 (rated 117) (D. Wachman).

SMOULDER (ER (ER GB), 725,000 gns. yearling Tattersalls October (Book 1) - MV Magnier, 1 race at 3years, 2017 and £10,608 and placed twice (rated 93) (A.P. O’Brien).

Guaranda (GB) (f. by Acatenango (GER)), 250,000 gns. mare - C Gordon-Watson BS, won 2 racesat 3 years, placed twice including third in EBF Upavon Stakes, Salisbury, L.; dam of 3 winners. GRAVIGRAVIGR TATION (GB) (f. by Galileo (IRE)), 2 races including Lillie Langtry Stakes, Gr.3 (rated

108) (W. Jarvis); dam of Gibeon (IRE) (c. by Cape Cross (IRE)), 2 races, third in August Stakes, L. (rated 105) (R. Hannon), Gemina (IRE) (f. by Holy Roman Emperor (IRE)), 1 race at 2 years, 2016, second in EBF Stonehenge Stakes, L., (rated 89) (R. Beckett).

Good Harmony (GB), unraced; dam of GOOD DONNA (NNA (NNA GER) (f. by Doyen (IRE)), 3 races at 3 years in Germany including G.P. der Mehl-Mulhens Herbst Stutenpreis, Hannover, Gr.3.

2nd Dam GRIMPOLA (GER), won 2 races in West Germany including ARAG Schwarzgold-Rennen (1000

Guineas), Dusseldorf, Gr.2; Own sister to GRIMBEAU (GER); dam of ff ff ive winners including-

Gonfalon (GB), unraced; dam of winners. GONBARDA (GER), 5 races including Preis von Europa, Gr.1; dam of FARHH (GB),

Champion older miler in Europe in 2013, Jt Champion older horse in Europe in 2013 (9.5-10.5f.), won Champion Stakes, Gr.1 (rated 124 in France) (S. bin Suroor); sire.

WINDMILL BLOODSTOCK EIS

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WINDMILL BLOODSTOCK EIS

Rainbow Quest(USA)

Blushing Groom(FR)

Red GodRunaway Bride

NINAS RAINBOW(GB) (2008) A Bay Mare

I Will Follow (USA) HerbagerWhere You Lead (USA)

Next Gina (GER) (2000)

Perugino (USA) Danzig (USA)Fairy Bridge (USA)

Night Petticoat(GER)

PetoskiNightrockette (GER)

Covered by IFFRAAJ (GB). Last Service May 22nd.

NINAS RAINBOW (GB), won 1 race in Germany and placed 3 times; Dam of one winner, from 2 runners and 2 foals of racing age:

2014 NORMANDIE (GER) (f. by Redoute's Choice (AUS)), €90,000 foal - Meridian Int,€130,000 yearling - Meridian Int., won 1 race at 2 years, 2016 in France (rated 99 in France) (Mme P. Brandt).

2015 Night of England (GB) (f. by Lord of England (GER)), placed twice at 2 years, 2017 inGermany, from only 2 starts (H. Grewe).

2016 (c. by Lawman (FR)), 52,000 gns. foal - Meridian International,65,000 gns yearling – James Toller, foaled April 7th.

2017 (c. by Motivator (GB)), foaled April 27th. 1st Dam NEXT GINA (GER), Jt Champion 3yr old filly in Germany in 2003, won 3 races at 3 and 4

years in Germany and £160,117 including Diana Deutsches Stuten Derby, Mulheim, Gr.1, second in Preis der Jungheinrich Gabstapler, Hamburg, Gr.3 (rated 109 in Germany) (A.Schütz);

dam of two winners from 3 runners and 3 foals of racing age including- NINA CELEBRE (IRE) (f. by Peintre Celebre (USA)), won 4 races at 2 to 4 years in Germany and

£40,331 including Preis der Peter Deilmann Reederei, Baden-Baden, L. and Grosser Canon-Preis-Limitierter Int., Munich, L. (rated 92 in Germany) (P.Schiergen); dam of 2 winners viz- Ninas Shadow (GER) (g. by Shamardal (USA)), (racing in Hong Kong as Pakistan Star), ),

€180,000 yearling - Hong Kong Jockey Club, 3 races at 3 years, 2016 in Hong Kong, £1,425,178, second in Queen Elizabeth II Cup, Gr.1, Hong Kong Derby, L. (T. Cruz).

Ninas Terz (GER) (f. by Tertullian (USA)), €120,000 mare - Kern/Lillingston BS, 1 race at 2 years in Germany, placed second in Henkel Stutenpreis, Dusseldorf, L. and third in GP Landschaftlichen Brandkasse Neue Cup, Hannover, L. (rated 88 in Germany) (P.Schiergen).

2nd Dam NIGHT PETTICOAT (GER), won 3 races at 2 and 3 years in Germany and £134,926 including Preis

der Diana - Deutsches Stuten Derby, Mulheim, Gr.2 and Diana Trial/Las Vegas-Slenderella Rennen, Mulheim, L., placed second in BMW St Leger, Dortmund, Gr.2 (rated 110 in Germany) (B.Schütz);

dam of eight winners from 9 runners and 9 foals of racing age including- NEXT DESERT (IRE) (c. by Desert Style (IRE)), 4th top rated 2yr old colt in Germany in

2001, Champion 3yr old in Germany in 2002, won 5 races in Germany and £333,598 including BMW Deutsches Derby, Hamburg, Gr.1, Oppenheim Union-Rennen, Cologne, Gr.2, second in Credit Suisse Private Banking Pokal, Gr.1 (rated 120 in Germany) (A.Schütz); sire.

Next Vision (IRE) (c. by Rock of Gibraltar (IRE)), won 4 races at 4 and 5 years in Germany and £50,292, second in Preis des Winterfavoriten, Cologne, Gr.3, Junioren Preis, Dusseldorf, L.

Next Holy (IRE) (f. by Holy Roman Emperor (IRE)), won 2 races at 3 and 4 years in Germany and £10,277 and placed twice including third in racebets.com - Diana-Trial, Dusseldorf, L.

Next Style (IRE) (c. by Desert Style (IRE)), won 1 race, second in Junioren Preis, Dusseldorf, L. Next Green (GER) (f. by Green Desert (USA)), won 1 race, second in Winterkonigin Trial, L.

3rd Dam NIGHTROCKETTE (GER), won 3 races at 3 and 4 years in West Germany and placed 3 times; dam of nine winners from 9 runners and 9 foals of racing age including-

NIGHTDANCE (GER), won 2 races in Germany including Grosser Stutenpreis der EKB Dusseldorf, Krefeld, L., third in P. der Stadtsparkasse Hannover & VGH, Hannover, Gr.3; dam of winners. NIGHTDANCE FOREST (IRE), won Grosser Preis der Stadtsparkasse, Dusseldorf, L.

NIGHT YEAR (IRE), won 2 races at 3 years in Germany and placed twice; dam of winners. NEAR HONOR (GER), won Sachsenpreis, Dresden, L., third in Deutsches Derby, Gr.1; sire. Near Galante (GER), 1 race in Germany, second in Henkel Trial, Dusseldorf, L.; dam of NEAR

ENGLAND (IRE), won Grosser Preis Von DSW21 St Leger, Gr.3, (rated 93 in Germany). NIGHT TEENY (GB), won 1 race at 3 years in Germany and placed 3 times; dam of winners.

NIGHT OF MAGIC (IRE), 1 race in Italy viz Oaks d'Italia, Milan, Gr.2; dam of NIGHTFLOWER (IRE), Champion 3yr old filly in Germany in 2015, Champion older mare in Germany in 2016, 3 races at 3 and 4 years, 2016 in Germany viz Preis von Europa, Gr.1 (twice), second in Grosser Preis von Baden, Gr.1 (twice) (rated 115).

Neele (IRE), 2 races in Germany, second in Fahrhofer Stutenpreis, Hamburg, Gr.3; dam of NYMPHEA (IRE), won Grosser Preis von Berlin, Gr.1, NUTAN (IRE), Champion 3yr old colt in Germany in 2015, won Deutsches Derby, Hamburg, Gr.1.

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WINDMILL BLOODSTOCK EIS WINDMILL BLOODSTOCK EIS

Manduro (GER)Monsun (GER) Konigsstuhl (GER)

Mosella (GER)SALONMARE(GER)(2013)A Chesnut Mare

Mandellicht (IRE) Be My Guest (USA)Mandelauge (GER)

Salonblue (IRE)(1998)

Bluebird (USA) Storm Bird (CAN)Ivory Dawn (USA)

Salonrolle (IRE) TirolSalesiana (GER)

Covered by LAWMAN (FR). Last Service April 5th.

SALONMARE (GER), €100,000 foal - Sheamus Mills BS, won 1 race at 3 years, 2016 in Germany;

1st DamSALONBLUE (IRE), won 3 races at 3 years in Germany and £36,321 including Baden-Baden Cup, L.

and Korver-Rennen Dortmunder Stutenpreis, Dortmund, L., second in Lotto Hessen Pokal, Frankfurt,Gr.3, (rated 104) (A.Schütz);

dam of five winners from 7 runners and 9 foals of racing age including-MONBLUE (GB) (f. by Monsun (GER)), €400,000 mare - Belmont BS, won 4 races at 2 to 4 years in

Italy and £110,190 including Premio Tadolina Memorial Patrizio Galli, Rome, L., second inPremio Alberto Zanoletti di Rozzano, Milan, L., Premio Baggio, Milan, L., Premio Giovanni Falck,Milan, L. (rated 106 in Italy) (B. Grizzetti and A. Royer Dupre); broodmare.

SALON SOLDIER (GER) (c. by Soldier Hollow (GB)), won 4 races in Australia, Germany includingMelbourne Cup Day Plate, L., second in Grand Prix-Aufgalopp, L., third in GrosserSparkassenpreis Dusseldorf, Gr.3 (rated 94 in Germany) (P. Schiergen/K. A. Lees).

Sommernachtstraum (GER) (g. by Shirocco (GER)), won 4 races in Australia, in France and inGermany, second in Iffezheimer Derby-Trial, Baden-Baden, L. (rated 89 in Germany).

Saloon Rum (GER), placed twice in Germany; dam of 3 winners.Saloon Sold (GER) (f. by Soldier Hollow (GB)), €40,000 yearling - Horst Putwill, 2 races at 2

and 3 years, 2017 in Germany, £43,186, third in Preis Medienhauses Winterkonigin Trial, L.SALOONMEDICUS (GER), 3 races at 3 and 4 years, 2017 in Germany and placed twice.

Salon Law (GER) (2016 f. by Lawman (FR)).

2nd DamSalonrolle (IRE), won 2 races at 2 years in Germany and placed twice including third in ARAG Preis

(1000 Guineas), Dusseldorf, Gr.2 (rated 87 in Germany);dam of nine winners from 9 runners and 9 foals of racing age including-

PEPPERTREE LANE (IRE) (g. by Peintre Celebre (USA)), won 9 races at 3 to 5 years and£254,260 including Curragh Cup, Gr.3, Aston Park Stakes, Newbury, L. second in SagaroStakes, Ascot, Gr.3, Grosser Preis von DSW21-St Leger, Dortmund, Gr.3, (rated 110).

SALONHONOR (GER) (c. by Highest Honor (FR)), won 7 races in Germany and in Hong Kong and£285,194 including Grosser Radeberger Pilsner Preis, Dresden, L., placed 13 times includingsecond in Volkswagen Preis der Deutschen Einheit, Hoppegarten, Gr.3 (rated 104 in Germany).

Salon Turtle (GER) (c. by Turtle Island (IRE)), won 7 races in France and in Germany and £55,174and placed 17 times including second in Prix Tantieme, Saint-Cloud, L. (rated 98 in France).

SALONTASCHE (GER), won 2 races at 3 years in Germany; dam of winners.SAPHIR (GER), 3 races at 3 and 5 years in Germany and £57,013 including onextwo.com

Bavarian Classic, Munich, Gr.3, placed 4 times (rated 110).SARANDIA (GER), won Preis der Badener Hotellerie/Gastronomie, L., G. P. Jungheinrich

Gabelstapler Neue Cup, Hannover, L., second in Preis der Diana, Dusseldorf, Gr.1.SAINT PELLERIN (GER), won Criterium du Fonds Europeen de L'Elevage, Deauville, L. and

second in Prix des Chenes, Longchamp, Gr.3.Salontanzerin (GER), 5 races in Germany, second in Prix Belle de Nuit, Deauville, L.

3rd DamSALESIANA (GER), won 3 races in West Germany and placed twice;dam of seven winners from 8 runners and 10 foals of racing age including-

SONNENKRANICH (GER), won 7 races at 2 to 5 years in West Germany including Rudolf Oetker-Rennen, Krefeld, L., placed third in Zukunfts-Rennen, Baden-Baden, Gr.2.

Salonrolle (IRE), see above.SAITE (GER), won 3 races at 3 and 4 years in West Germany; dam of winners.

SALDE (GER), won Dortmunder Stutenpreis, Dortmund, L.; dam of SALDENSCHWINGE(GER), 5 races in Germany including Deutscher Stutenpreis, Hannover, Gr.3,SALDENTIGERIN (GER), Champion 3yr old filly in Germany in 2004, 3 races inGermany including Baden-Wurttemberg-Trophy, Gr.3, second in Preis von Europa, Gr.1;grandam of SALOMINA (GER), Champion 3yr old filly in Germany in 2012, 4races in Germany including Preis der Diana, Dusseldorf, Gr.1, SERIENHOLDE (GER),Champion 3yr old filly in Germany in 2016, 3 races at 3 years, 2016 in Germanyincluding Henkel Preis der Diana, Dusseldorf, Gr.1, SERIENHOEHE (IRE), 3 races inGermany including Maurice Lacroix-Trophy, Baden-Baden, Gr.3, SALUT (GER), won Preisdes Casino Baden-Baden, Baden-Baden, L., second in Premio St Leger Italiano, Milan, Gr.3.

WINDMILL BLOODSTOCK EIS

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Ninas Rainbow and 2017 colt by Motivator at 3 weeks old

Salonmare 2013 by Manduro ex Salonbleu

2017 Filly by Golden Horn ex Gaze at 2 weeks old

Windmill Stud in 2015

2017 Filly by Golden Horn ex Gaze at 2 weeks old

Windmill Stud in 2015

WINDMILL BLOODSTOCK EIS LIMITED WINDMILL STUD LAMBOURN WOODLANDS

HUNGERFORD BERKSHIRE RG17 7BN

EMAIL: fiona@fionamarner.com

WEBSITE: WWW.FIONAMARNER.COM

TELEPHONE +44 (0) 1488 72201

MOBILE: +44 (0)7836 553000