Long awaited demerger fuels AvH, CFE shares
02/12/2021 08:57
** Shares in Belgian diversified group Ackermans & Van
Haaren (AvH) ACKB.BR and its construction division CFE
CFEB.BR rise about 2% and 10%, respectively, on plan to split
the unit into two separate listed groups - DEME and industrial
group CFE
** CFE says it intends to transfer its 100% stake in DEME to
a new company (working name: Newco) by means of a partial
demerger urn:newsml:reuters.com:*:nFWN2SM1HX
** AvH would remain the majority shareholder of the two
listed companies, holding unchanged stake of 62%
** The partial demerger and separate listing of Newco is
expected to be completed by the summer of 2022
** KBC Securities said it believes the investors have been
waiting for such news for a long time, adding that the demerger
will unlock shareholder value at DEME, especially in today's
market environment where sustainability is becoming an
increasingly important theme
** KBC notes that DEME is benefiting from strong momentum in
the U.S. offshore wind market
** Adds that post demerger CFE will fit nicely in AvH real
estate division
** AvH is the second best performer on BEL 20 .BFX index
and on track for best day in over three months
** CFE stock is set for best day in more than 15 months
(Reporting by Michal Aleksandrowicz)
((michal.aleksandrowicz@tr.com))