EuroAPI falls as arbitrator appointment casts uncertainty over financing

Euroapi SA

07/06/2024 09:01

** Shares in EuroAPI  EAPI.PA  fall 9% after the
pharmaceutical supplier said it had appointed a third-party
arbitrator to help restructure its debt
    ** This "mandataire ad hoc" will help accelerate discussions
started last February about the financing of EuroAPI's
transformation plan, it says
    ** "The group is sufficiently financed for 2024 and this is
a discussion with key stakeholders to secure financing for the
medium and long term," J.P.Morgan says
    ** JPM also notes the process was initiated by the company
and not by creditors to speed up financing discussions
    ** "While we expect shares to underperform significantly due
to uncertainty over financing, EuroAPI's detailed
FOCUS27 update, still expected by the end of this month, could
ultimately provide some reassurance over its mid-term and
long-term financing plan and outlook," JPM adds
    ** The stock is the worst performer on France's SBF 120
index  .SBF.120 
    

 (Reporting by Federica Mileo in Gdansk)
 ((Federica.mileo@thomsonreuters.com))