GreenVolt's biomass business to fuel growth, Exane starts with 'outperform'

Altri, SGPS

23/08/2021 10:19

** Exane BNP Paribas starts coverage of Portuguese renewable
energy company GreenVolt  GVOLT.LS  with "outperform" rating,
seeing the core biomass business offering high visibility and
further consolidation opportunities
    ** The company's biomass business benefits from an average
17 years of feed-in-tariffs, a long-term supply agreement with
Altri  ALSS.LS , and state-of the-art technology, says the
broker
    ** Exane also points to GreenVolt's acquisition of V-Ridium,
which has opened access to a 3.6 GW wind and solar pipeline and
management credentials, notably in Poland  urn:newsml:reuters.com:*:nS8N2O4026
    ** The broker expects GreenVolt to deliver about 40% EBITDA
CAGR between 2020-2025, driven by the consolidation in European
biomass and the successful execution of a large photovoltaic and
wind pipeline
    ** Exane adds that an asset rotation strategy should allow
value crystallization at an early stage and fund future growth

 (Reporting by Joao Manuel Mauricio)
 ((JoaoManuel.VicenteMauricio@thomsonreuters.com))