Leonardo rises on plan to sell 6.3% stake in U.S. unit DRS

Leonardo DRS

16/11/2023 08:56

** Shares in Italy's Leonardo  LDOF.MI  rise 1.6%, pares
gains after rising as much as 2.2%, after the group said on
Wednesday it would sell on the market a 6.3% stake in Leonardo
DRS  DRS.O , its U.S. unit 
    ** "We deem the news positive due to the strong valuation
delta between LDO  Leonardo  and DRS", says Banca Akros, adding
Leonardo could cash in $343-394 millions 
    ** The broker says DRS share price is up 63% year-to-date
and the stock traded at about 25.7x on its FY24 expected earning
per shares at Wednesday closing, while Leonardo stock traded at
about 9.9x
    ** At 0855 GMT Leonardo stock is up 1.6% and trades at 14.59
euros per share

    
    



 (Reporting by Alberto Chiumento, Andrea Mandalà)
 ((Alberto.Chiumento@thomsonreuters.com;))