Prior to the forthcoming first tranche of public offering of Telelink Business Services Group (TBS Group) shares on the Bulgarian Stock Exchange, as of 27 January 2020, ELANA Trading research team issued an in-depth corporate profile research report on the company to support investors in their decisions.
Snapshot of TBS Group offering
The Group is to list on the Bulgarian Stock Exchange with current shareholders open to build up to 30% free float at min. BGN 7.60 per share. The latter yields min. BGN 95m market cap or 11.7x P/E ttm and aims at taking a mature company to the next level, onboarding reputable investors and establishing an attractive profit sharing proposition by distributing min. 50% of profits. 2020 dividend expected at BGN 0.32 per share or 4.2% DY at the minimum offer price.
The first tranche of the offering will last from 27th Jan’20 to 31st Jan’20, and the second one will be held in the second half of Sep’20. ELANA Trading is the brokerage managing the offering.
TBS Group: Strong revenue generating power on solid client base across locations
For 2016-2018, revenues marked a steady 9% CAGR across various locations on the Balkans with sales in home market Bulgaria contributing 43% on average to the top line, followed by Serbia (32%) and Slovenia (17%). Adding international clients since 2016 by servicing their global locations boosted the Group’s presence to 30+ countries on a solid 200+ client base in the telecom, finance, utilities, logistics and pharma industries and the public sector.
Expansion focused on profitability
Planned expansion across multiple markets combined with targeting the growing demand for high-margin cloud-based, managed services and equipment-as-a-service solutions are expected to deliver considerable top and bottom line growth as well as margin expansion by 2024. Preliminary 2019 data signal slight decline in sales but further boost in margins.
The TBS Group Corporate Profile is available in ELANA Online Investors’ Hub. Research reports are open for reading to ELANA Trading customers.