With the two conditions preceding to the merger of Ageas N.V. and Ageas SA/NV being fulfilled as from today, the Belgian company Ageas SA/NV, with a permanent establishment in the Netherlands, is the sole company of the Ageas Group.
Simultaneously with the merger, Ageas carried out a reverse stock split and a reverse VVPR split. As a consequence of the reverse stock split, there are 243,121,272 Ageas SA/NV shares outstanding which as of today are listed on NYSE Euronext Brussels.
One new Ageas SA/NV share (ISIN: BE0974264930) has beenissued this morning for every 10 Ageas units (ISIN: BE0003801181). And each multiple of 20 Ageas VVPR Strips (ISIN: BE 0005591624) has been converted into 1 VVPR Strip (ISIN: BE0005646204). These reverse splits may potentially result in fractions of shares and VVPR strips. These fractions will be paid out in cash beginning of September 2012.
We adjusted our target price (from € 2.85 to € 28.5), our FY12E dividend forecast (from € 0.09 to € 0.9) and EPS forecast (under review following earnings publication) accordingly.
Conclusion:
We maintain our Buy rating and € 28.50 (adjusted for 10/1 reverse stock split) target price.