The territorial development group Réalités climbed 10% to 37.50 euros this Friday, after signing a firm letter of intent on May 5 with the family holding company FDNGT to support the dynamic activity observed since the start of the financial year. and ensure the success of its “Ambitions 2025” plan, which aims to achieve a turnover of 800 ME with an operating profit rate of 8%.
This agreement provides for a capital increase for a total amount of 35 million euros, including 30 ME to be subscribed by the FDNGT family holding company. The founding directors and managers will subscribe for a total of 5 ME, demonstrating their commitment to the Group’s strategy and their desire to be supported over the long term by quality and trusted partners.
The operation is carried out at 45 euros per share. The completion of the capital increase is scheduled for the end of the first half of 2022.
Portzamparc speaks of an “atypical operation”…”Level ‘use of proceeds’, we put forward at the end of March in our research note the deterioration to come in 2022, 2023, 2024 of the WCR under the effect of the growth embedded (PZP gearing 2022 128%, 120% and 122% respectively for the following years), with however, following our discussions with the managers, an assumption of debt financing (no covenant on the group’s corporate loans)”. We mechanically adjust our target, from 51 to 49.5 euros, concludes the analyst.