IRDEY - Iren: F2i Could Still Be Open To Exits From Iren Acqua
2024-05-23 16:21:39 ET
Summary
- Iren pays a solid dividend, and is achieving resilient results consistent with a regulated utility.
- Prices are still depressed, but there could be return on top of the dividend from possible asset revaluations, with reports of F2i possibly looking for exits still being valid considerations.
- With a stabilising rate environment in Europe, we may see more sponsor to sponsor transactions that could revalue Iren Acqua, in which F2i has a stake, if it exits.
- Even without that, a solid set of income streams and growing businesses make Iren quite attractive.
Iren ( OTCPK:IRDEF )( OTCPK:IRDEY ) manages to maintain solid results on the back of lower commodity prices in the retail segment, offsetting the lower realised prices on the generation business. Otherwise, in the regulated utility business, tariff changes are driving overall growth as compensation rises for a higher cost of capital environment. Waste management continues to be solid, with new tenders won for municipal contracts that should start contributing in the coming quarters. Energy businesses did alright on commodity normalisation, and also having dodged another cold winter year, as we feared last time. With the recalibrating of gas supply chains, we are less concerned about this risk now....
Iren: F2i Could Still Be Open To Exits From Iren Acqua