New management in unveiling its strategic review is transitioning the investment case from a roll out investment thesis to unlocking value of the existing asset base. We have reviewed the proposed operational and strategic plans and feel there is now the basis of a more credible recovery story, which if successfully executed should lead to a major reassessment of Goals. An added attraction is the significant balance sheet deleverage forecasted over the next 3 years, which should support a higher equity value. Whilst the accompanying fund raise leads us to cut EPS forecasts by 11%-21%, we reinstate our Buy with a TP of 150p (FY17 P/E of 15x and 10x EV/EBITDA).
