Banc Sabadell | Italian infrastructure firm Atlantia would have made a bid valued at ~1 billion euros for 100% of Yunex (0.7% capitalisation of Siemens), according to Bloomberg. Yunex’s business focuses on mobility signalling. We recall that in the last few months a competitive sale process had started, including participants like KKR or Bridgepoint.
This is positive news, although of limited impact, as it was already known that a sale process was underway. The deal fits in with Siemens strategy of divesting its businesses with lower margins.
We estimate that the EBIT margin 2022 for Yunex is ~5% SB(e) vs 13.5% of the Group SB (e). And if the transaction is closed at the rumoured price, it would be carried out at a multiple of ~12,5x EV/EBIT (vs 15,1x EV/EBIT 2022 de SIE). Although the divestment would contribute to improving Siemens’ margin, the impact would be reduced given that the division in which Yunex is integrated represents ~1% del EBIT 2022 del Grupo SB(e). With regard to leverage, the operation would contribute to cutting Siemens net debt by ~3% (3,3x ND/EBITDA 2022 SB(e).
Siemens: Buy (Target Price: 168,23 euros).
