Strix Share Price (KETL)

Link to note: https://www.equitydevelopment.co.uk/research/successful-placing-to-accelerate-deleveraging

Strix has completed a new equity placing initiated by an investor that will raise approx. £8m of proceeds, with the placing shares expected to be admitted to trading on 14 June. The funds will accelerate the pace at which it achieves self-imposed targets on the level of headroom on its key banking covenant. As such, the refinancing of the Group’s banking facility set for 2025 should now be on more favourable terms. The group can now speed up investment in sustainable growth should suitable opportunities arise, while remaining cognisant of the balance sheet.

We have slightly reduced our fair value to 167p / share, reflecting the level of adj. EPS dilution. In our view, the Group remains materially undervalued relative to its peers, particularly now its balance sheet has been strengthened.

Please note, that the research note is “ Non-independent and categorised as Marketing Material”

Research note

https://www.equitydevelopment.co.uk/research/successful-placing-to-accelerate-deleveraging?utm_campaign=Strix&utm_medium=email&_hsenc=p2ANqtz-9fhQP8Z9B6Wc4PKe1hi4WzNa9mwYBEeGyBcJdxzPvD3X1FIlHAFgKY82rhxxppynPYY3MHQfXUK9tz41sO0ANhFOADMggW9rHhfjFg_-MxCimvoGg&_hsmi=311212067&utm_content=311212067&utm_source=hs_email

The market likes it. ATM!

Sorry 5% not 4. At was getting late last night. Only reason I’m a bit disappointed is that they already had a plan in place, however on reflection is seems a great positive for the company as it was an existing investor that came to them with the offer, so someone has a lot of faith. I posted on the 27 of March that the BOD should consider a raise to deal with debt. Anyway let’s see what the market thinks today. I’m going to increase my hold by 10%.