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Research Tree provides access to ongoing research coverage, media content and regulatory news on ABENGOA SA -CL A. We currently have 5 research reports from 1 professional analysts.
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ABENGOA SA -CL A
ABENGOA SA -CL A
Narrow escape from bankruptcy
19 Aug 16
It is confirmed that Abengoa will survive thanks to a combination of debt to equity swap and new debt funding. Old shareholders will be left with 5% of the company. Signing off by stakeholders should be completed by late October. Debt holders should represent at least 75% of the outstanding debt to get the plan through. Non-players will be left with 3% of their principal. Globally, the total input of liquidity represents €1,169m of which €515m has already been received by the company since September 2015.
Abengoa reported losses in Q1 amid a restructuring process
13 May 16
While negotiations with creditors are still in progress to reach a final restructuring agreement, the company reported Q1 16 results showing a significant slowdown in all activities, coupled with a strong negative impact on the financial results. Main facts In Q1 16,revenues reached €719m and EBITDA €48m corresponding to a 6.7% margin, versus €1,559m and €321m in Q1 15. The net result represents a loss of €340m mainly due to the decrease in activity and the negative impact from the valuation of certain financial instruments. Concerning the financial restructuring process, the company reported it has filed with the Mercantile Court of Seville nº 2 an application for the judicial approval of the standstill agreement which garnered support from 75.04% of the company’s lenders. The standstill agreement will enable the company to continue negotiations on its refinancing plan, and Abengoa aims to achieve a global agreement as soon as possible. The recent judicial approval for the standstill agreement was obtained, extending protection from creditors until 28 October 2016.
New restructuring plan: a heavy price to pay for shareholders
17 Mar 16
Abengoa detailed yesterday afternoon, in a conference call, its restructuring plan to avoid bankrupcy. We retain the main following points: The new Abengoa will have a less capital intensive business model, leading to a refocus on Engineering & Construction and third-party projects (which is about €4.2bn revenue and double-digit EBITDA), and selected concession-type projects (minority stakes limited to 10% instead of a majority stake). A 45% reduction in structuring costs expected in two years from €450m to €250m, while non-core businesses will be sold by Q4 16. A new management is in place. Restructuring plan: 1/ Debt reduction of 70% (corresponding to €5.5bn debt) in exchange for 35% of post-reorganisation equity. 2/ New money: facility (€1.5-1.8bn) and new bonds (€800m) in exchange for respectively 55% and 5% of equity. Consequently, equity assigned to creditors will represent 95% and, as a result, shareholders will maintain 5% of post reorganisation equity, be entitled to up to 5% of warrants after full amortisation of new debt, roll-over debt and old debt struck at par with a 5.5 year maturity. The company will have €4,923m corporate net debt post restructuring. The listing will be maintained and the dual share structure will be collapsed into a single class share holding political and economic rights. The restructuring plan is expected to be finished by 28 March 2016.
The worst case scenario is beginning to materialise
25 Nov 15
Abengoa reported this morning that Gonvarri, which should have been Abengoa's new reference shareholder and the main support for the pending €650m capital increase, has withdrawn from the transaction as conditions to which the agreement was subject to have not been satisfied. The company reported it will continue negotiations with banks and aims at "reaching an agreement that ensures the company’s financial viability, under the protection of article 5 bis of the Spanish Insolvency Law (Ley Concursal), which the company intends to apply for as soon as possible".
Strong Q3 cash outflow stress; further capital needed
18 Nov 15
Abengoa reported Q3 15 results which were weaker than expected. The strong backlog was maintained at €8.8bn at the end of September 2015 but the slow-down in E&C's Q3 15 revenue led to a 4% decline yoy in the first 9M sales (vs +3% at the end of H1 15). In Q3 15 alone, it reached €1,483m, a -16% yoy versus Q3 14. EBITDA was €891m for 9M15, a 2% yoy decline (vs €907m). For Q3 alone, the EBITDA reached €241m (vs €312m last year), corresponding to a 16.2% margin. The company failed to confirm its FY15 guidance of 8-10% revenue growth (€7,750-7,850m) with an EBITDA of €1,330-1,380m (margin at c.17.3%), as this now looks clearly out of reach. Besides these figures, Q3 15 corporate FCF was a strong negative cash burn of €639m and corporate liquidity was impacted due to the business slow-down in Q3 and cash outflow from WC. The company reported several strategic actions put in place to restore liquidity and reinforce the balance sheet: •New capital increase for €250m to be fully subscribed by new investors (subject to conditions) and a €400m rights issue, together with a new financial package. •General expenses reduction plan launched with a revised target of €100m/year in savings. •It is making progress in all the announced strategic measures to improve leverage ratios.
GMP FirstEnergy ― UK Energy morning research package
06 Dec 16
Transglobe Energy (TGL CN); BUY, C$5.25: Homeward bound… back to Canada | Great Eastern Energy Corporation (GEEC LN) (not covered): Reserves update in India | BP (BP LN) (not covered): Acquiring interest in Tangguh in Indonesia | Exillon Energy (EXI LN) (not covered): Production update in Russia | Genel Energy (GENL LN); SPECULATIVE BUY, £2.60: Receipt of payment for Taq Taq export in Kurdistan | ExxonMobil (XOM US) (not covered): Relinquishing blocks in Kurdistan
The Slide Rule
12 Jan 17
What is The Slide Rule? The Slide Rule has been designed to dramatically simplify the identification of the best companies in the UK small/mid-cap sector by making a quantitative assessment of the relative potential of each company. At its core, The Slide Rule aims to identify those companies that create genuine shareholder value through strong returns on capital and solid growth, but also present a value opportunity with the potential tailwind of earnings momentum. Companies are assessed within a Quality, Value, Growth and Momentum (QVGM) framework.
The Monthly January 2017
09 Jan 17
Despite all the hullaballoo of the Brexit vote and the subsequent election of Donald Trump as the next US President, the UK stock market prospered last year, especially in the latter few months of 2016. The combination of a depreciating currency – making $ earnings more valuable in relative terms - and the Trump emphasis on infrastructure expenditure drove the stock market higher
16 Jan 17
We take a look at the rankings of the various countries in Africa that have a significant exposure to mining. We take the Transparency International corruption rankings as our starting point and modify these for exceptional geology and for current UK government travel warnings. Ghana, Botswana and Namibia come out as our top three, with Eritrea, Kenya and Zimbabwe at the bottom of our rankings.
Small Cap Breakfast
17 Jan 17
Global Energy Development (GED.L) — To be renamed Nautilus Marine Services. Schedule 1 from developer and seller of hydrocarbons and related products. Reverse takeover. Raising $10.5m via a convertible. Expected 9 Feb. Eco (Atlantic) Oil & Gas—TSX-V listed oil and gas exploration has announced its intention to float on AIM. Assets in Guyana and Namibia. Proposed £2m-£3m fundraise. Diversified Gas & Oil—According to LSE website first day of trading on AIM now expected for 30 January.