MHP

MHP is the largest poultry producer in Ukraine with a 58% share of industrially produced poultry in 2016 and 33% of domestic poultry consumption (incl. imports). Sales of chicken meat and related products account for about 60% of annual revenues.

Shareholders Structure

SUMMARY

Market Price ($) 5.960
Market Cap ($m) 638
Enterprise Value ($m) 1,953
Shares Outstanding 107,038,208
Code MHPC LI

Recommendations

FV ($) ****
Upside (%) ****
Recommendation ****
Indicator 2016 2017 2018 2019E 2020E
Sales ($m) 1,135 1,288 *** *** ***
EBITDA ($m) 415 459 *** *** ***
Net Income ($m) 69 230 *** *** ***
Net Debt ($m) 1,081 1,032 *** *** ***
Indicator 2016 2017 2018 2019E 2020E
P/E 9.27 2.77 *** *** ***
P/Sales 0.56 0.50 *** *** ***
EV/EBITDA 4.1 3.6 *** *** ***
P/Book 0.92 0.65 *** *** ***

MHP is the largest poultry producer in Ukraine with a 58% share of industrially produced poultry in 2016 and 33% of domestic poultry consumption (incl. imports). Sales of chicken meat and related products account for about 60% of annual revenues.
Year 2024 2026 2029
Issue Volume ($m) 500 550 350
Coupon Rate (% p.a.) 7.75% 6.95% 6.25%
Coupon Frequency S/A S/A S/A
Maturity date 5/10/2024 4/3/2026 9/19/2029
Ratings: Moody`s/S&P/Fitch -/B/B+ -/B/B+ -/B/B+
Market Price* ($) 100.00 97.00 90.00
Market YTM* 7.75% 7.59% 7.78%
Spread over UST* 742 726 712
Note: *Based on bid price.
Year 2018 2019E 2020E
Net Sales ($m) 1,556 *** ***
EBITDA ($m) 450 *** ***
Net Income ($m) 128 *** ***
EBIT Coverage Ratio (x) 2.33 *** ***
Net Debt/Equity (%) 122.3% *** ***
Covenants
Restriction on payment of dividend -
Financial Reports A - within 135 days; S/A - within 90 days
Max. Consolidated Net Debt/EBITDA* 3:1
Events of Default
Failure to pay 30 days
Cross default $10m
Expiry of license, illegality, insolvency etc. -
Judgements $10m/60 days

Latest news about MHP

May 18, 2020
| Poultry

MHP — Notified of threshold crossing in GDRs

LSE-listed MHP, Ukraine’s largest poultry producer, announced that, on May 14, it was informed by Kopernik Global Investors about a threshold crossing in MHP SE in the amount of 5,512,612 GDRs (voting rights), which represented 5.15% of total voting rights (107,038,208 GDRs)
Apr 24, 2020
| Poultry

MHP — S&P affirms B rating

S&P affirmed its rating on LSE-listed MHP at B, saying that the recent easing of EU export curbs and resilient global demand for poultry would enable the company to maintain positive FOCF generation and cope with potential short-term headwinds from COVID-19.
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