Mutares weighs sale or Lisbon IPO for Efacec

Mutares is exploring strategic options for Portuguese engineering company Efacec, including a sale or an initial public offering in Lisbon, Bloomberg reported, citing people familiar with the matter. The move matters for international investors because it could lead to a rare new listing on Portugal’s stock market or a cross-border industrial deal.

According to Bloomberg, the German investment group, which completed the acquisition of Efacec in 2023, is working with financial advisers including JPMorgan Chase. The report said Efacec has drawn interest from potential buyers, although no final decision has been taken and there is no certainty that a transaction will go ahead.

Bloomberg also said Efacec, which has about 1,660 employees and a €700 million order pipeline, is on track to reach EBITDA of between €40 million and €50 million. Citing data from financial analysis firm Cantor, the agency said the company could have an enterprise value of between €300 million and €420 million, with scope for a higher valuation in a competitive sale process.

If Mutares opts for an IPO, it would be the first on Euronext Lisbon since Greenvolt listed in 2021. The PSI index currently has 16 companies, making it one of the smallest main stock market indices in western Europe.

Originally published at Eco.pt