(News Bulletin 247) – The specialist in composite materials is benefiting from a spotlight from EuroLand Corporate, which is beginning to monitor the stock for purchase. The action took the opportunity to move away from its historical lows.

Altheora puts the rubber on the Paris Stock Exchange. The title of the specialist in composite parts rose 9.4% to move away from its historic lows at 0.74 euros hit the day before. This sudden awakening of the title is to the credit of Euroland Corporate, which has just initiated the coverage of the title to the purchase by targeting 1.35 euro. At current prices, this objective represents an upside potential of 57%.

The design office is sensitive to the growth potential of the company listed on the stock market since 1988 and listed since 2016 on Euronext Growth. Founded in 1934, Altheora, previously known as Mecelec, was originally a specialist in electrical network equipment. The company quickly located in Ardèche to position itself after the war on the transformation of composite materials and plastics.

Its most well-known products to the general public are connection boxes for electricity, water gas and telecom distribution networks, but the group manufactures a much wider range of parts, for the transport industry in particular. In May 2022, the Ardèche specialist in composite materials was integrated into the giant order won by Alstom-Bombardier for the modernization of the Paris metro, by supplying seats and backrests to the subcontractor responsible for the seats.

EuroLand Corporate recalls that the company is largely committed to the reindustrialization of the Auvergne-Rhône-Alpes region (AURA) since it generates 90% of its turnover in France.

“Complementary bricks”

Since 2017, Altheora has been engaged in a major change that allows it to display dynamic activity, recalls Sid Bachir, analyst in charge of Altheora coverage. To achieve this, the Ardèche group primarily targets companies that would provide complementary services, products or skills.

At the end of 2022, the composite parts specialist, for example, got its hands on Chris France Plastique, a manufacturer of large plastic parts located in the heart of the famous Plastics Vallée in Ain. This company has injection presses with a capacity ranging from 23 to 2,300 tons, allowing it to machine technical or large-sized parts.

The acquisition of Chris France Plastique thus allows Altheora to be positioned in the manufacture of large-scale parts and to be able to meet the most demanding demands of its customers. With this acquisition, the company should reach 50 million euros in turnover in 2023, against 35 million euros last year.

“In the same line as the 2022 financial year, we expect for 2023 a turnover of 49.5 million euros (+41.4%) and a gross operating surplus of 2.8 million euros. euros (5.6%). From 2024, the company will post a positive net result which will allow it to strengthen its balance sheet” indicates EuroLand Corporate.

For Sid Bachir, this performance highlights Altheora’s ability to integrate new targets without “always sacrificing organic growth”. A profitable strategy for the analyst, which the company should pursue for all of its segments with the acquisition of competitors in order to acquire new complementary bricks.

A target of 100 million turnover in 2026

The group will therefore be halfway to its objective, namely a turnover of 100 million euros by 2026. To achieve this, the company will carry out new targeted acquisitions allowing it to enrich its expertise in image of Chris France Plastique in the plastic injection of large parts. In 2020, Altheora took over the company Biousse, which specializes in the application of industrial paint. to strengthen its offering in the industrial parts finishing sector.

“With a team of 10 people dedicated to R&D and strategic acquisitions (Chris-France Plastiques in December 2022), Altheora has acquired the means to further accelerate its growth by meeting new needs in terms of composite innovation” indicates Euroland Corporate, which expects an average annual increase in turnover of 18.2% between 2022 and 2026, including the latest acquisition of the Chris-France Plastiques group.