The capital increase that Duro Felguera will undertake for the second time in five years to strengthen its solvency has not gone down well on the stock market, even though it is an operation that, announced as the firm will of the company and as part of the commitments of the public bailout of 2021, should have been discounted by investors.
Despite this, since the announcement on Tuesday night of the entry project for two Mexican investors and the capital increase that will allow the company to raise 90 million euros through an issuance of new shares, Duro Felguera has been listed on the stock market on 10 .36% of its value in two sessions, which implies a decrease in its market capitalization of just over 9.21 million.
Engineering closed the session on Tuesday with a market value of just over 88.89 million and today ended the day at 79.68 million. Yesterday’s fall was 5.08% of its value (it went from 0.926 euros per title to 0.879 euros, despite the fact that in the early stages of the negotiation it rose 4%) and today another 4.89% and closed at 0.983 euros.
Corrective
In the absence of more information, this correction for an operation that guarantees the solvency and strength of the group and that will open up new business opportunities, could be attributed to the dilution that the operation will imply for the current shareholders, even though one of the stretches of the extension for a maximum amount of 40 million of the total of 90 million. Thus, the adjustment would anticipate that while the dilution (the current owners of the company will have a lower percentage of the company) will be immediate, the benefit via improved results will be a delayed effect.