Upsized debt de-risks balance sheet of Australia's Whitehaven Coal - Bell Potter

Bell Financial

12/01/2024 24:43

** Analyst at Bell Potter sees upsized debt facility to
de-risk Whitehaven Coal's  WHC.AX  balance sheet 
    ** Coal miner says it raised $1.1 bln credit facility to
refinance the $900 mln acquisition of Blackwater and Daunia
mines from BHP Group  BHP.AX  
    ** Brokerage firm raises price target to A$7.25 from A$6.50
and maintains "Sell" rating 
    ** Expects WHC to acquire additional $100 mln debt funding
by the June 2024 quarter
    ** Broker estimates co's net gearing to lift to 20% by the
end of FY24
    ** Shares of WHC fall as much as 1.3% to A$7.945
    ** Six of 11 analysts rate the stock "Buy" or higher, three
"Hold" and two "Sell" or lower; their median PT is A$8.20 ––
LSEG data
    ** Stock fell 21% in 2023, after two consecutive years of
gains 

 (Reporting by Sneha Kumar in Bengaluru)
 ((Sneha.Kumar@thomsonreuters.com;))