(News Bulletin 247) – Grifols rose on the Madrid Stock Exchange on Wednesday following information that the Spanish health group was considering selling part of its stake in Shanghai RAAS (SR).
The Barcelona-based plasma-derived medicine specialist says his project is still in the planning stage and there are still some uncertainties surrounding the completion of the operation.
If the transaction were to succeed, Grifols estimates that it could derive some $1.5 billion from the operation while remaining a major shareholder in SR.
‘This potential sale should enable the company to meet its debt reduction objectives and reassure investors that it will carry out its strategic projects,’ react AlphaValue analysts.
‘Today’s share jump is a welcome relief for the group’s shareholders, who were beginning to worry about the excessive level of debt accumulated in recent years’, adds the research department.
The title rose by more than 8% in the middle of the afternoon, while the European index STOXX 600 of the health sector advanced by 0.5%.
As a reminder, in 2019 Grifols entered into a strategic partnership with Shanghai RAAS, a Chinese manufacturer of plasma derivatives, relating to the manufacture, marketing and development of products
blood products and diagnostic products for blood transfusion in the Chinese market.
As part of this alliance, Grifols had taken a 26.2% stake in Shanghai RAAS, which had become its exclusive distributor in China.
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