MILAN, Jan. 26 (Class Editori) — Stellantis signed agreements with Engie EPS in the e-Mobility sector. This morning FCA Italy, controlled by Stellantis, and Engie EPS announced they have signed the whole series of agreements, including the investment and the shareholder’s ones, in order to create a joint venture in the e-Mobility sector. The agreements have been signed after the Memorandum of Understanding announced on last November 12.
The joint venture will offer a full range of services and innovative solutions as residential, business and public charging infrastructures, as well as energy recharge subscriptions and Vehicle-to-Grid technologies, with the aim of making the access to e-Mobility easy and affordable for everyone. The transaction is expected to be completed in the upcoming months, once all the conditions precedent for the authorization requested by the Antitrust authorities in charge will be satisfied.
Yesterday, meanwhile, Stellantis scheduled a shareholders Extraordinary Meeting for March 8 in order to approve the distribution to the holders of its ordinary shares of a maximum of 54,297,006 Faurecia ordinary shares. More than €308 million will be assigned, corresponding to the amount of PSA’s income from the sale of Faurecia ordinary shares in October 2020.
"On the basis of our estimates and of the current Faurecia share price, the value of Faurecia/cash distribution should be around €0.81 per each Stellantis share; in particular, we estimate that Stellantis shareholders will receive 0.017225 Faurecia shares plus €0.09771 in cash for each Stellantis share they hold. We believe that the distribution of Faurecia shares could take place in March or by the end of the first quarter of 2020," Banca Akros has pointed out today (buy rating and target price at €17.40 confirmed on the stock, which currently trades on the Stock Exchange at +1.54% at €12.818).
While depending on the developments in the upcoming months, Stellantis should come to a decision on a possible extraordinary dividend of €1 billion (about €0.32 per share). This possibility was envisaged last September when FCA and PSA changed the terms of their agreement, with the aim of reducing cash distributions to strengthen Stellantis' financial structure.
For some analysts, the news is reasonable because the possibility of the dividend, despite being extraordinary and therefore not linked to the results of the financial year, was contingent upon the performance and outlook of the new group. In addition, thanks to the good results that analysts expect for the fourth quarter and to the net cash position, which is estimated at almost 14 billion at the end of 2020 (10% of turnover), experts do not encounter any obstacles to the distribution of the extraordinary dividend. Further news on the subject may come after March 3, when 2020's results will be published.
Adding its estimates on FCA to those of the Bloomberg consensus on PSA and subtracting those of Faurecia, Banca Akros has estimated revenues of €134.497 billion for Stellantis at the end of 2020, EBITDA of 13.276 billion, EBIT of 5.020 billion, net profit of 2.415 billion and net debt of 9.765 billion. The numbers are expected to grow this year: revenues are expected to reach 152.789 billion, EBITDA 18.198 billion, EBIT 9.798 billion, net profit 6.620 billion and net debt 11.630 billion.
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