Digia: Acquisition in Sweden - Danske Bank
Conclusion We estimate that the acquisition adds 9% to Digia's 2021E sales and is margin-dilutive initially (4. 8% EBIT margin in 2019 vs. Digia 2020E 9. 6%).
We estimate 2021E net debt / EBITDA of 0. 7x after the acquisition vs. 0.
1x before it. Therefore, Digia can afford to do even more bolt-on M&A going forward. Valuation on EV/Sales is rouhgly in line with Digia's own, but on EV/EBIT above Digia's due to lower margins.