(News Bulletin 247) – The Peugeot family holding company sold 1.9 million shares of the manufacturer of assembly solutions and components at a price of 21 euros per share. This brings Peugeot Invest’s participation to just over 10% of Lisi’s capital.

A withdrawal that does not go unnoticed. Lisi plunged 9.8% to 21.55 euros this Friday on the Paris Stock Exchange, showing one of the biggest drops in the SRD.

This heavy drop is not linked to bad news announced by the manufacturer of assembly solutions and components. It is rather to be put into perspective with a disengagement of Peugeot Invest, the holding company of the Peugeot family, in the capital of Lisi. The latter thus sold a block of 1.9 million shares representing approximately 4.08% of the capital of the manufacturer of assembly solutions and components as part of a private placement with institutional investors.

A block sale at 21 euros per share

This block sale was carried out at a price per share of 21 euros, a discount of 12% compared to Lisi’s closing price on Thursday evening. This explains the strong selling pressure on the stock this Friday, which is therefore logically based on this price on the Paris Stock Exchange.

The operation carried out this Friday comes following the reorganization of Lisi’s shareholder structure, in which Peugeot Invest participated alongside the company’s other family shareholders. This reorganization was then announced in February 2023 and was finalized in July of the same year.

As part of this operation, the manufacturer of assembly solutions and components also offered its shareholders who so wished, an exit at 27 euros per share as part of a public share buyback offer ( OPRA).

Formerly called FFP, and having taken over the name Peugeot once the name of the manufacturer became Stellantis, the listed holding company also participated in this OPRA explaining “monetizing part” of its investment in Lisi, whose development it has supported since 1977 .

Peugeot Invest second shareholder of Lisi

At the end of this operation communicated this Friday, Peugeot Invest would remain the second shareholder of the group with a little more than 10% of the capital and 5% of the voting rights in its possession. Peugeot Invest specifies that it has undertaken to retain its entire residual stake for a minimum period of 180 days.

Lisi will publish its annual results on February 22, after the markets close. And its accounts should be improving according to the outlook formulated by Lisi last October. The manufacturer of assembly and component solutions is still targeting “strong growth” in annual revenue for 2023 and continues to count on an improvement in its main financial indicators in absolute value for the past year. This last point nevertheless remains conditional on “a favorable outcome of the commercial negotiations carried out by the company. Lisi is also banking on a positive free cash flow, “with inventory control as a priority objective”.