Sequana Medical - Lack of financial visibility hinders investment case
Last week, Sequana announced a EUR 3m convertible bond, the imminent launch of a EUR 13m capital raise, the focus on its PMA approval and an agreement with lenders to postpone debt repayment.We have included these changes in our model and rolled forward our DCF one year. We increased our WACC to 22% to reflect the concerning financial situation of the company. We trim our TP to EUR 2.9 vs. EUR 10 previously.Although our belief in the investment case did not changed, the uncertainty surrounding its financial situation leads us to give Sequana a Hold rating. The company has runwaySequana Medical NV. Sequana Medical NV is a Belgium-based company, which manufactures medical devices. The Company focuses mainly on the development of treatment solutions for the management of liver disease, heart failure, malignant ascites and other fluid imbalance disorders. Sequana Medical NV provides alfapump, which is an implantable, programmable, wireless-charged and battery-powered system that is CE-marking for the management of refractory ascites due to liver cirrhosis and malignant ascites. Over 650 alfapump systems have been implanted. Apart from the Alfapump, the Company also aims to develop a direct sodium removal (DSR) therapy, which is a propriety approach to the treatment of volume overload in heart failure.
We are an investment house with Belgian roots founded on more than 150 years of trust.
As a private company owned by long-term committed shareholders, we are independent. Naturally and structurally. Our experts have the knowledge to think and act without bias, and to make decisions that benefit our clients. Today and tomorrow.
Unfortunately, this report is not available for the investor type or country you selected.
Browse all ResearchPool reportsReport is subscription only.
Thank you, your report is ready.
Thank you, your report is ready.