Whilst the phrase is overused, we believe the acquisition of its UK distributor is genuinely transformative for Surgical Innovations. Not only is it materially earnings enhancing (EPS +39% in FY18), the increased scale, direct distribution capability, strengthened management team and attractive purchase price (8.3x historic EBITDA) all add up to a compelling deal rationale. We increase our TP to 5.5p (from 4.8p) and reiterate our strong Buy recommendation.

07 Aug 2017
N+1 Singer - Surgical Innovations Group - Transformational acquisition of Elemental

Sign up to access
Get access to our full offering from over 30 providers
Get access to our full offering from over 30 providers
N+1 Singer - Surgical Innovations Group - Transformational acquisition of Elemental
Surgical Innovations Group plc (SUN:LON) | 1.2 0 (-11.5%) | Mkt Cap: 10.7m
- Published:
07 Aug 2017 -
Author:
Chris Glasper -
Pages:
8 -
Whilst the phrase is overused, we believe the acquisition of its UK distributor is genuinely transformative for Surgical Innovations. Not only is it materially earnings enhancing (EPS +39% in FY18), the increased scale, direct distribution capability, strengthened management team and attractive purchase price (8.3x historic EBITDA) all add up to a compelling deal rationale. We increase our TP to 5.5p (from 4.8p) and reiterate our strong Buy recommendation.