Australia's BWX: Citi sees Flora & Fauna buy boosting distribution

F&F Holdings

18/05/2021 24:37

** Citi Research lifts price target on Australia's Skin and
hair products maker BWX Ltd  BWX.AX  to A$5.60 from A$5.35;
maintains "buy" rating
    ** BWX on Monday announces acquisition of 100% of Flora &
Fauna (F&F) for consideration expected to be between A$27.9 mln
($21.67 mln) to A$30.8 mln($23.92 mln)  urn:newsml:reuters.com:*:nASN00177S
    ** F&F is an Australian-curated online retail platform
exclusively focused on vegan, ethical and sustainable products
    ** Brokerage says F&F buy provides BWX with another
opportunity to continue expanding distribution of its major
brands
    ** Citi upgrades FY22 and FY23 estimated net profit after
tax (NPAT) by 1% accounting for the acquisition of Flora & Fauna
    ** Nine out of 10 analysts who cover the stock rate "buy" or
higher, and one analyst rate "hold"; median PT is A$38–
Refinitiv data
    ** BWX up 17% this year, as of last close
($1 = 1.2875 Australian dollars)

 (Reporting by Aditya Munjuluru in Bengaluru)
 ((aditya.srivastsav@thomsonreuters.com))