(Boursier.com) — METabolic Explorer plunged 15% to 1.36 euros after securing funding for the deployment of its strategy. The group announced the signing, on December 23, of an agreement with its main partners securing the liquidity needed to execute the Group’s strategy and the 2023-2024 industrial transformation plan.
This Agreement incorporates new financing enabling the Group to make the first investments needed to deploy its strategy without delay, to boost the sales forces, and to gradually resume production at the METEX NØØVISTAGO plant in Amiens, in order to guarantee its customers a local supply of amino acids and low-carbon functional solutions.
Benjamin Gonzalez, CEO of METex, declares: “I would like to thank the Group’s partner financial institutions as well as Bpifrance, our reference shareholder, the SPI – Sociétés de Projets Industriels fund managed by Bpifrance Investissement and certain key historical suppliers who have each agreed to review the existing agreements and reiterate their confidence in our strategic plan. This Agreement gives the Group the necessary visibility to accelerate its transformation towards products and services with higher added value that meet the challenges of its customers in animal nutrition, cosmetics and biopolymers. I am also delighted that all the METEX NØØVISTAGO teams will be able to resume production in the coming weeks”.
The main terms of the Agreement, the fulfillment of which remains subject to certain conditions precedent, are as follows.
With regard to activity, the group notes that it is picking up again in a more favorable context thanks, in particular, to: improved clarity and control of energy costs (electricity, gas for steam generation), in connection with systems put in place by the State; a value proposition of METEX, local and low carbon perfectly aligned with the European objectives of reducing carbon emissions from the animal sector, which is confirmed by the recent evolution of the European regulatory framework (regulation on imported deforestation, carbon adjustment mechanism at borders, etc.).
Taking into account a gradual resumption of activity, a cautious view of economic conditions and government aid for 2023, the implementation of the Agreement in accordance with its terms, and the continued efforts to reduce costs and cash management, as well as in consideration of a transformation investment envelope of approximately €87 million over the next three years, the Company is aiming for a prudent 2023 financial year with consolidated revenue of order of 275 ME; consolidated EBITDA between -8 ME and breakeven; and operating cash flow (before financing and investments) between -4 and -14 ME.
It aims for a 2025 financial year allowing a return to a more normal situation with the first effects of transformation investments, and thus a consolidated turnover of around 420 ME; a consolidated EBITDA of around 46 ME; and operating cash flow (before financing and investments) of around 42 ME.
The breakdown of consolidated sales between commodity products (essentially Lysine, Threonine and co-products) and specialty products is also expected to move towards a 40-60 ratio by 2025, the opposite of the current one. order of 60-40.
The Group also plans for the 2022 financial year a consolidated turnover of around 230 ME and a consolidated EBITDA between -20 and -30 ME.