Most Sofia bourse indices fall, Fibank paces blue-chip losers
UPDATE 1 - Bulgarian regulator okays 6.5% hike in Dec natgas price
Zarneni Hrani Bulgaria boosts 9-mo cons net profit, revenue falls
Fitch reaffirms Euroins Insurance Group at B+, outlook stable
Croatia's competition watchdog opens probe into Cakovecki Mlinovi, Tvornica Stocne Hrane
Oct 11, 2007 13:36 EEST
LJUBLJANA (Slovenia), October 11 (SeeNews) – Austria’s Raiffeisen Centrobank (RCB) has launched coverage of Slovenian logistics company Intereuropa with a "hold" recommendation and has set its target price at 40 euro ($57), RCB said.
“We initiate coverage with a “hold” recommendation and derive a 12-month price target of 40 euro. We believe in Intereuropa's strong growth perspectives in SEE (southeastern European) and CEE (central and eastern European) markets based on organic as well as M&A (mergers and acquisitions) driven growth, but think that the market has already priced in a takeover premium,” Raiffeisen analyst Darko Kovacic said in a report issued late on Wednesday.
Shares in blue-chip Intereuropa lost 1.03% to an averegce price of 40.61 euro in morning trading on the Ljubljana Stock Exchange on Thursday.
Recently Intereuropa’s management confirmed its intention to increase sales through organic growth as well as external growth. Organic growth is supported by a huge investment cycle. On Tuesday Intereuropa said it has signed an agreement to buy 65.82% of its Montenegrin rival Zetatrans for 12.4 million euro. The company plans further enlargement in the region, including Romania, Bulgaria, Albania and Greece.
“We expect Intereuropa to increase net sales by 11.2% to 244.1 million euro in 2007,” RCB said.
For this year RCB forecasts a group net profit including the sale of Intereuropa's share in Slovenian bank Banka Koper of 25.8 million euro. The company booked a financial gain of 23.4 million euro from the sale of its stake in the bank.
“An increase of financial expenses is projected due to a huge investing cycle financed with borrowings and an increase of interest rates,” the report said.
The Intereuropa group aims to become the leading provider of logistics services in southeastern Europe by 2011. It is present in Croatia, Serbia, Bosnia and Herzegovina, Macedonia, France, Germany, Austria, Ukraine and Russia.
The company provides a variety of logistical solutions in the area of continental, sea and air transport, in terminal services and customs broking. The group is undergoing a reorganisation process from being a freight forwarding and transport company to a logistics company offering a wide range of logistics services. The main focus is on the development of the European transport corridor X, connecting Germany, Austria, Slovenia, Croatia, Bosnia and Herzegovina, Serbia, Macedonia, Montenegro and Greece, where the company targets the number one position.
($ = 0.71 euro)
You have run out of free articles this month.
Sign up in for
and get ten (10) free articles per month or sign up for
and get unlimited access.
Browse our free newsletter options