ODDO BHF SECURITIES Small & MIDCAP MORNING NEWS – 09/01/2025

ODDO BHF SECURITIES LARGE CAPS MORNING NEWS 09/01/2025

ODDO BHF SECURITIES Small & MIDCAP MORNING NEWS – 01/09/2025

Stada Arzneimittel : Refinancing of SS FRNs; apparently high demand given the material upsizing

Stada offered initially 7NC1 EUR 550m SS FRNs to refinance non-portable SS FRNs and amounts drawn under the RCF and later materially upsized the transaction in a unique move to address the EUR 600m SS FRNs due 2030. Closing of the CapVest/Stada transaction (a very large one for CapVest with reportedly EUR 10bn AuM) is expected for Q1 26. We do not expect regulatory headwinds. We change our Credit Opinion to Stable (vs. Positive) as Stada left the IPO route. The refinancing is a leverage-neutral transaction. Starting net leverage is at 5.7x. Note the EUR 1.4bn of PIK debt outside the restricted...

Stada Arzneimittel : Refinancing of SS FRNs; apparently high demand given the material upsizing

Stada offered initially 7NC1 EUR 550m SS FRNs to refinance non-portable SS FRNs and amounts drawn under the RCF and later materially upsized the transaction in a unique move to address the EUR 600m SS FRNs due 2030. Closing of the CapVest/Stada transaction (a very large one for CapVest with reportedly EUR 10bn AuM) is expected for Q1 26. We do not expect regulatory headwinds. We change our Credit Opinion to Stable (vs. Positive) as Stada left the IPO route. The refinancing is a leverage-neutral transaction. Starting net leverage is at 5.7x. Note the EUR 1.4bn of PIK debt outside the restricted...

ODDO : Defensive hierarchy amid a cyclical downturn

The three players are operating in a tough environment, causing their results to tumble and making it difficult to predict when the cycle will pick up again. We are lowering our expectations, with 2025-27 underlying operating profit estimates cut by 8% on average. In our industry hierarchy, we are leaning toward quality balance sheets, exposure to Europe and guidance disclosure; this is why we favour Manitou (Outperform, TP € 25) over Exel Industries (Neutral, TP € 40) and Haulotte (Underperform, TP € 1.15 vs € 2).