Renewi Share Discussion Threads

[dplewis1] 30/12/2020 09:43

Nice .. bid and ask with a 4 handle

[george stobbart] 30/12/2020 09:36

it would be nice if this finished the year >40p

[its the oxman] 29/12/2020 23:39

To me chart says this wants to go higher , possibly a lot higher.

[dplewis1] 29/12/2020 08:25

Only about 30k shares left on L2 before it's through 40p

[gregsc] 23/12/2020 08:26

I see that someone on the Dutch thread is watching us, because they are quoting George's estimate of RWI's value

[robsy2] 23/12/2020 08:16

You make the point well George. I’ve loaded up a bit more this morning. It looks way too cheap still. Bid or no bid the value will be recognised. This was a 100p stock 3 years ago. It can get back there fairly easily.200p is not outlandish either for a cleaned up,focussed and profitable RWI. it looks like an attractive target.

[george stobbart] 22/12/2020 19:11

The paragraph called "THE CONTEMPLATED DISPOSAL" clearly highlights the agreed value:

"The contemplated transaction values the business transferred at €1,100m (Enterprise Value)."

But of course it is still contemplated and should take a while to complete given how bureaucratic EU competition regulators are.

[gregsc] 22/12/2020 18:51

It wasn't clear to me what the SUEZ sale price is. The article states an enterprise value, the actual purchase price hasn't been agreed as far as I can see.
If Dieter Schwarz really wants the company I would have expected a premium.

[george stobbart] 22/12/2020 18:25

Using basic maths above you can see by how much Renewi is undervalued.

It's worth mentioning that the Benelux waste market is effectively a duopoly (Suez vs Renewi) and there is no reason for this wide valuation gap to exist.

That is why I'm confident that Rewewi will be taken over in 2021 at a decent premium.

[george stobbart] 22/12/2020 18:19

Actually the sale of the Suez Benelux assets has been agreed in terms of pricing with the Schwarz family as below and is currently under exclusivity period:

Suez Takeover Price

Enterprise Value: EUR 1100mn
EBITDA: EUR 100mn
So the takeover multiple is x11 EV/EBITDA

Now let's value Renewi at an x11 EV/EBITDA multiple:
FY Mar-22 EBITDA (mean analyst estimate): EUR 188.08mn
Net Debt: EUR 381mn
Implied Equity Market Capitalisation: (11X188.08)-381= EUR 1687.88mn
Renewi Shares Outstanding: 800,141,536
Equity Value per Share: EUR 2.11 per share
Current Share Price: EUR 0.43 per share


hxxps://www.suez.com/en/news/press-releases/suez-prezero-strategic-partnership-of-intent-and-exclusive-negotiations-for-the-sale-of-suez-recycling-and-recovery-operations-in-four-continental-europe-countries

[gregsc] 22/12/2020 16:26

Following the link kindly supplied by George earlier I came across a news article from Aug 7. I don't know if it has any relevance to RWI.

German billionaire Dieter Schwarz has his eye on the European waste management activities of the French water purification and waste management company Suez. The owner of retail chains Lidl and Kaufland would consider making an offer, Bloomberg news agency reports based on insiders.

The activities that Suez wants to sell concern waste processing in the Netherlands, Belgium, Luxembourg and Germany. The value of the part is estimated at about 3 billion euros. At the end of June, it was leaked that the French company is working with advisors on a possible sale, but it is unclear how that will happen.

Schwarz is the richest man in Germany with a wealth of more than 20 billion euros, Bloomberg calculated. His investment vehicle Schwarz Group previously bought the German waste processor Tönsmeier.

[8robson] 22/12/2020 15:26

As someone who also bought significantly at the lows for this year, I pleasantly surprised by the trading since half-year results. I wasn't sure if it could maintain interest, clearly, it has. Congrats to all holders of this share for having high enough conviction to see the reversal. Merry Christmas all

[outsizeclothes.com] 22/12/2020 12:40

We are now getting back to the £300m market cap where investment funds will start to look seriously at us again.

[catch007] 22/12/2020 12:38

Those of us brave souls who bought at 18p are getting a nice return unfortunately I was averaging down having bought at much higher levels previously before the affected land issues. GregSC I do hope you becomes a millionaire as I will break even!!!

[gregsc] 22/12/2020 11:20

Thanks George, I've bookmarked that. I can see this share making me a millionaire in the future, so I am holding on.

[george stobbart] 22/12/2020 11:02

link below to the dutch 'advfn' chat forum and RWI thread

hxxps://www.iex.nl/Forum/Topic/1367455/Renewi_Forum-Renewi-geopend.aspx?page=Last#LastPost

i'm keeping an eye there to see information coming from local investors/traders that perhaps have better local knowledge of the company compare to some of us

[dplewis1] 22/12/2020 11:00

I was wrong about volume tailing off, some pretty determined buying even in Xmas week

[cwhall] 22/12/2020 09:02

Many thanks , appreciated

[george stobbart] 21/12/2020 16:25

turns green for the day???

[gnawe] 21/12/2020 13:34

Shares. GTD is a type of trade order; the term GTD stands for “good till date/day/time”; this means that this order is valid till a specified date or time unless it has been already fulfilled or cancelled

[cwhall] 21/12/2020 11:20

Sorry what is GTD? (New to dealing)Many thanks

[dplewis1] 18/12/2020 19:25

That looks to me like someone had a GTD order to complete before the end of the week and the balance was chucked in the auction. Volumes will be rubbish now until the new year

[george stobbart] 18/12/2020 16:39

yep with good volume as well

[gregsc] 18/12/2020 16:36

Interesting jump on close today.

[robsy2] 16/12/2020 11:40

I’m loving this. Lots more to come.