Partial sale of interest in VillageMD weigh on Kinnevik shares

Kinnevik AB

15/10/2021 10:26

** Shares of Sweden-based investment firm Kinnevik
 KINVb.ST  are down 3% and among worst performers on STOXX 600
 .STOXX  index
    ** DNB analyst Joachim Gunell point to the partial sale of
interest in VillageMD  urn:newsml:reuters.com:*:nASN001RG3, one of Kinnevik's largest
unlisted assets, the company announced on Thursday, which had a
neutral impact on the firm's net asset value (NAV)
    ** "Now that we have recent up to date transactions valuing
its two largest unlisted assets (Babylon and VillageMD) in-line
with Kinnevik's own reported NAV, this have some investors
questioning these 'perceived over values' in its unlisted
portfolio implied by its 18% premium to reported NAV, Gunell
says
    ** Kinnevik, which expects to retain an about 4% stake in
VillageMD, said the deal values the investment at SEK 7.7 bln
($892.30 million) versus valuation of SEK 7.86 bln in the
company's half-year report
    ** Out of eight analysts that cover Kinnevik, two rate the
stock "strong buy" or "buy,"​five rate "hold" and one rates the
stock "sell"
    
    


($1 = 8.6294 Swedish crowns)

 (Reporting by Tommy Lund)
 ((Tommyalexander.lund@thomsonreuters.com))