Adler Pelzer - comment

Preliminary FY25 figures had already been released last month, and this morning’s audited results confirmed that, except for the lower revenue and the bigger-than-expected pay-down of its RCF, the model was accurate. We understand that shareholders are proposing a re-injection of approx. €15m to facilitate a refinancing, but don’t like this trade in an overall adverse environment for automotive suppliers. We remain sceptical about the amount of CapEx the company is spending and don’t consider the five points of upside into a refinancing worth the 20-point risk if the transaction fails.