Original-Research: MagForce AG (von GBC AG): suspended

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Original-Research: MagForce AG - von GBC AG

Einstufung von GBC AG zu MagForce AG

Unternehmen: MagForce AG
ISIN: DE000A0HGQF5

Anlass der Studie: Research Comment
Empfehlung: suspended
Kursziel: suspended
Letzte Ratingänderung:
Analyst: Cosmin Filker

MagForce AG unexpectedly files for insolvency; price target and rating
suspended

In an announcement dated 26.07.2022, MagForce AG informed the capital
market, to our complete surprise, that it intends to file for insolvency
proceedings due to insolvency. According to the company's announcement,
this had become necessary after reorganisation measures had not led to the
desired cost savings.

Even though the company has not yet been able to generate any significant
cash inflows from its operating business due to the fact that it has not
yet received approval for the treatment of prostate cancer in the USA, the
management has so far succeeded in securing external financing. In 2018, a
financing agreement was reached with the EIB (European Investment Bank) for
an amount of EUR35 million. In addition, there was an agreement with
Yorkville Advisors and Apeiron Investment Group Ltd. to issue convertible
bonds. After the balance sheet date of 31 December 2021, MagForce AG had
issued bearer bonds to Lansdowne Investment Company Cyprus Limited in the
amount of EUR 3.5 million. We had assumed that further financing would be
raised and had assumed the continued existence of the company in our
valuation. In the recently published Annual Report 2021, the company had
also pointed out that a financial plan had been drawn up on the basis of
the available credit lines, according to which the business activity can be
financed for the financial years 2022 and 2023. Therefore, the current
insolvency announcement is completely surprising.

According to the company's statement, talks are currently being held with
investors in order to restructure the operative business and the balance
sheet. It is also currently being examined whether insolvency applications
need to be filed for the subsidiaries.

Due to the surprising insolvency announcement, we are suspending our price
target and our rating for the time being until we have further information
on the future of MagForce AG.

Die vollständige Analyse können Sie hier downloaden:
http://www.more-ir.de/d/24699.pdf

Kontakt für Rückfragen
GBC AG
Halderstraße 27
86150 Augsburg
0821 / 241133 0
research@gbc-ag.de
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Offenlegung möglicher Interessenskonflikte nach § 85 WpHG und Art. 20 MAR. Beim oben analysierten Unternehmen ist folgender möglicher Interessenkonflikt gegeben: (5a,11); Einen Katalog möglicher Interessenkonflikte finden Sie unter:
http://www.gbc-ag.de/de/Offenlegung
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Date (time) of completion (german version): 27/07/2022 (2:51 pm)
Date (time) of first distribution (german version): 27/07/2022 (3:30 pm)
Date (time) of completion (english version): 27/07/2022 (4:33 pm)
Date (time) of first distribution (english version): 27/07/2022 (4:50 pm)

-------------------übermittelt durch die EQS Group AG.-------------------

Für den Inhalt der Mitteilung bzw. Research ist alleine der Herausgeber bzw.
Ersteller der Studie verantwortlich. Diese Meldung ist keine Anlageberatung
oder Aufforderung zum Abschluss bestimmter Börsengeschäfte.

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Quelle: dpa-AFX