Report by ResearchGreece
Intends to IPO its US business by early 2025 - using an EV/EBITDA of 9x for the US business and applying 5x EBITDA on non-US operations, yields a targeted total EV at €3.7bn and a targeted equity value of €3.1bn or €40 per share (30% upside). ResearchGreece’s implied targeted 2024 EV/EBITDA of 6.5x and P/E of 10.8x are both below Holcim’s current 8.2x EBITDA and 13.8x EPS, which derives 39% of sales and 31% of EBITDA from the US (vs. Titan’s 58% of sales and 55% of EBITDA) and which also plans to list its North American business in the US (the shares are up c.25% since the announcement in Jan).