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Dolfines

CR
Bloomberg   ALDOL FP
Engineering-Heavy Constr.  /  France  Web Site   |   Investors Relation
Capital increase to bring some order
Target
Upside 600%
Price (€) 0.01
Market Cap (€M) 0.19
Perf. 1W: -15.8%
Perf. 1M: -9.82%
Perf. 3M: -87.0%
Perf Ytd: -97.0%
10 day relative perf. to stoxx600: -16.6%
20 day relative perf. to stoxx600: -56.1%
Strategic Plan09/06/2022

Development continues in renewables

The strategy update was in line with the recent communications from the company, but provided more details ahead of the capital increase. While the oil & gas activities continue to recover, the priority remains on renewables (both inorganic and organic). A large share of the proceeds will fund acquisitions, with one soon to be announced in renewables services. Furthermore, the company is aiming to break-even at operating cash flow level by the end of the year.


Fact

Guidance:

  • Short-term:
    • Activity growth
    • Operating cash flow break-even by the end of the year
  • Mid/Long-term:
    • Stable volumes
    • Develop added value from digitalization/ robotization/engineering smart solutions

Analysis

Of the €4m of targeted fundraising (a combination of shares and financing lines from Negma): 60% will be used for acquisitions (€2.4m), 15% in r&d (€600k), 10-15% in recruitment (€400-600k), 10-15% for working capital needs and deleveraging.

The company will announce a new acquisition soon and more are planned, on our understanding mainly in renewables services. The successful acquisition of 8.2 France seems to be a footprint for future targets. The synergies with Dolfines’ engineers are visible with the development of the telescopic arm for offshore heavy maintenance.

In research & development, most of the investments will be allocated to the development of the larger floater TrussFloat15. The OHMe (Offshore Heavy Maintenance enabler) project (telescopic arm) might receive external public funding.


Updates

23 Nov 22 Target Change
Capital increase slashes the valuation

28 Sep 22 Target Change
Costly financing cuts the target price

28 Jul 22 Earnings/sales releases
H1: Growth in both segments

09 Jun 22 Strategic Plan
Development continues in renewables

03 May 22 Earnings/sales releases
FY21: recap as investments accelerate in rene...

31 Mar 22 Other news/comments
Strong start of the year

11 Jan 22 Other news/comments
Prequalified in Saudi Arabia for rig inspection

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