TDR is now formally the majority shareholder in ASDA having completed the acquisition of Zuber Issa’s 22.5% stake. The transaction
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The DDE segment performed strongly, but SMO was disappointing (down 50%) due to a shift of deliveries into Q4. Full-year guidance was
Read MoreThe alternative Class B is now out and we are preparing a scenario in which both sides have a blocking minority in the As and may have to achieve a
Read MoreIt is reported that the Company has started confidential discussions with Senior lenders. The company is proposing several versions, including partial debt
Read MoreS&P has downgraded Victoria to B—with a negative outlook due to increasing leverage and upcoming maturities,
Read MoreThe sale of 4 logistics properties from the ViB portfolio will raise around €150m. The rationale for the deal is the diversification of ViB’s portfolio, so ViB may
Read MoreIf the Dayan family execute the 15% sale of Vivion for €375m, it implies an equity valuation of €2.5bn on the business; the impact for creditors will be
Read MoreThe confirmation of the sale of another 8% of its tower business was expected and reported in the FT in September. VMED is shifting
Read MoreOCI selling its methanol business to Methanex means ownership of the Natgasoline JV (operated by CEL) is under discussion. The Natgasoline plant cost around
Read MoreEmies (previously Orpea) reported their Q3 revenue numbers, confirming the occupancy and pricing trends already reported by Clariane. Emies revenue is up
Read MoreWhat crisis? Heimstaden Bostad issued a €500m 5-yr unsecured bond at 3.875%. Heimstaden Bostad remains a BBB- with a negative outlook at S&P and
Read MoreWe still have TAP bonds lying around from a time when we thought these would be redeemed early. It never happened. TAP are refinancing with
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Further doubts on Brookfield’s potential take-private bid of Grifols were cast this morning in El Confidencial. Brookfield is struggling to secure the required c. €10bn of debt to refinance the outstanding debt and fund the equity portion of the deal. The article indicates the deal is not dead, but the uncertainty has caused the equity to fall 2%.
The situation remains too binary to take a position.
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The numbers were worse than we expected as volumes in the US continue to fall and Europe/Africa only generates modest improvements. The H2 volume
Read MoreOnce again, a rabbit from the hat arrives when Boparan is refinancing. The sale of the European business will reduce headline leverage to 2.7x. The new SSN is a £390m 5-year (NC2) deal on an Adjusted EBITDA of £141m and a margin of 6.4%. Margins of ~6.5% will likely be under pressure as supermarkets previously saw 5% as normal. In previous refinancings, pressure in the supply chain has followed quickly. We will take a proper look at the OM, but our bias is to look at Boparan as a short once the deal is done.
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The call at 1 pm may be more interesting as investors will seek further details on potential large-scale asset disposal, but the quarterly release is very operational in detail. Rental growth continues to show improvement and with Net Operating Margin improving 300 bps on both a quarterly and LTM basis, cash flow continues to improve. The Privatisation Program reached SEK 2.4bn in the quarter, continuing to achieve a premium (24%) to book value. Heimstaden Bostad continues demonstrating its access to the financial markets (mainly secured) via its €725m sustainability-linked secured credit facility in the Netherlands and two SEK bonds totalling SKE 2,300m issued in the quarter.
The S&P-defined LTV is 57.7% with an ICR of 1.6x. Despite the improving operational data, the ICR continues to fall, and our model shows that they will be unable to maintain their credit rating without strategic large-scale asset disposal. Expect the investor call to focus on this.
Read MoreProposals are chasing each other as the As and Bs are squaring up ahead of a December process. This morning, Thames Water announced a proposed
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Atos issued a business plan in early September, so the Q3 numbers to the end of September were previously guided. The actual numbers confirm
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