Unipetrol will officially sign the contract regarding the sale of Kaucuk subsidiary to Dwory today. The price has not been disclosed. Dwory reportedly offered CZK 4.1bn in the first phase of the tender and Unipetrol have been criticized from the side of minority owner Goldenfrazil that the price is too low and they were seeking for some CZK 8-9bn. Press conference is scheduled today at 9:30 CET.
Our view:
The closing of the deal was already expected for a long time. According to our DCF-calculation the fair value of Kaucuk comes at CZK 2.6bn, which is much lower than the amount reportedly offered by Dwory. Since the actual price was not disclosed and the rumored purchase price of CZK 4.1bn was already priced in by the market, we expect the news to have a neutral trading impact on the stock.