Uddrag fra Nordeas analyse af BankNordik:
BankNordik will sell its Danish business on 1 March 2021 and we expect that over the next two years it will pay out close to 70% of its current market cap, equivalent to DKK 105 per share. Adjusted for excess capital, BankNordik trades at a 2022E P/E of ~3.4x, which is 50% below Danish peers. We lift 2021E EPS by 33% to reflect a DKK 80m gain on the sale but lower 2022E EPS by 30% due to the divestment. Our Gordon growth-based fair value range is DKK 200-240.
Back to its roots
BankNordik underwent an IPO in 2007 and the stars were aligned for high profitable growth, but due to the financial crisis and acquisitions in Denmark and Iceland, as well as very tough capital requirements. However, we consider the sale of the Danish business to Spar Nord to be very positive, as the CET1 ratio will return to the pre-IPO level of >30% and preprovision profitability will improve – the Danish business has contributed only low single-digit returns over the past ten years. We also like the bank’s more focused strategy following the divestment and its dominant Faroese market position.
