Analysts differ on value of Kinnevik's unlisted assets
04/02/2022 11:15
** Following publication of Kinnevik's KINVb.ST Q4 report,
which sent the Swedish investor's shares down 10% on Thursday,
Danske Bank and DNB take different stances on the stock's rating
** Danske cuts its recommendation to "sell" from "hold,"
pointing to sharp drop in share prices of listed peers to
Kinnevik's unlisted portfolio, where it kept the reported fair
values stable quarter-on-quarter
** "While Kinnevik presents reasons for not adjusting the
values of its unlisted assets we believe that the wider gap in
value development between listed and unlisted assets and the
uncertainty this creates regarding the valuation of the unlisted
assets will continue to weigh on the share," the broker says
** In contrary, DNB calls Kinnevik's unlisted portfolio a
"rarity value," saying that the company is blossoming into one
of Europe's leading growth investors
** "We expect only low-single-digit negative net asset value
(NAV) revisions in Q1, offset by strong operating momentum in
unlisted assets, and see potential upside to NAV in 2022 for
holdings such as Budbee, MatHem, Oda," it says
** On Thursday Kinnevik reported NAV of SEK 72.4 bln and net
profit turning to loss of SEK 3.47 bln in Q4 urn:newsml:reuters.com:*:nFWN2UD1CW
** Shares in Kinnevik are down 3% at 1100 GMT, hitting its
lowest level since May 2020
(Reporting by Marie Mannes)
((Marie.mannes@thomsonreuters.com))