Alcadon: How to spend it - SEB

Consolidating 6X International SpA, a former partner and well-known company to Alcadon Group, into our forecasts, we raise our EPS estimates by an average of 30% in 2021-22. This includes the new issue shares as part of the payments. Importantly, we forecast an average ROCE in 6X of 19.5% in 2021-23 making the acquisition clearly value accretive compared to our WACC of 7.6%. We raise our mid-point DCF-based equity value to SEK 50 per share.

https://research.sebgroup.com/pdf/Alcadon120121.pdf