Graanul - Apollo's options

Following our note earlier in the week, we have expanded our analysis to focus on how Apollo’s options affect bondholder recovery. Having updated for Q1 numbers (minor), we calculate through recapitalisation tables for a couple of scenarios, resulting in unsurprisingly similar consequences, but under different incentive packages. We interlink these scenarios with our assumptions on pellet price and volumes beyond FY27 to help us determine the relative negotiating positions, which confirms our positioning in the name.