Announcement • May 26
DSM-Firmenich AG has completed a Follow-on Equity Offering in the amount of €733.264232 million. DSM-Firmenich AG has completed a Follow-on Equity Offering in the amount of €733.264232 million.
Security Name: Ordinary Shares
Security Type: Common Stock
Securities Offered: 6,696,477
Price\Range: €109.5
Transaction Features: Rule 144A; Subsequent Direct Listing Recent Insider Transactions • Apr 05
Key Executive recently sold €438k worth of stock On the 31st of March, Dimitri de Vreeze sold around 4k shares on-market at roughly €106 per share. This transaction amounted to 3.4% of their direct individual holding at the time of the trade. This was the largest sale by an insider in the last 3 months. This was Dimitri's only on-market trade for the last 12 months. Reported Earnings • Mar 08
Full year 2022 earnings released: EPS: €2.63 (vs €4.75 in FY 2021) Full year 2022 results: EPS: €2.63 (down from €4.75 in FY 2021). Revenue: €8.39b (up 15% from FY 2021). Net income: €454.0m (down 45% from FY 2021). Profit margin: 5.4% (down from 11% in FY 2021). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 4.7% p.a. on average during the next 3 years, compared to a 2.4% growth forecast for the Chemicals industry in Europe. Over the last 3 years on average, earnings per share has increased by 13% per year but the company’s share price has only increased by 5% per year, which means it is significantly lagging earnings growth. Reported Earnings • Feb 20
Full year 2022 earnings released: EPS: €2.63 (vs €6.25 in FY 2021) Full year 2022 results: EPS: €2.63 (down from €6.25 in FY 2021). Revenue: €8.39b (down 8.8% from FY 2021). Net income: €454.0m (down 58% from FY 2021). Profit margin: 5.4% (down from 12% in FY 2021). The decrease in margin was driven by lower revenue. Revenue is forecast to grow 4.7% p.a. on average during the next 3 years, compared to a 3.0% growth forecast for the Chemicals industry in Europe. Over the last 3 years on average, earnings per share has increased by 15% per year but the company’s share price has only increased by 1% per year, which means it is significantly lagging earnings growth. Announcement • Feb 18
DSM Firmenich Announces Intention Pay Final Gross Dividend DSM Firmenich announced intention to pay a gross dividend of EUR 423 million, which will be almost EUR 1.6 per share as a sort of final dividend. Recent Insider Transactions • Nov 16
Key Executive recently bought €587k worth of stock On the 7th of November, Thomas Leysen bought around 5k shares on-market at roughly €117 per share. This transaction amounted to 99% of their direct individual holding at the time of the trade. This was the largest purchase by an insider in the last 3 months. This was Thomas' only on-market trade for the last 12 months. Announcement • Nov 14
Royal DSM NV Sponsored ADR to Be Deleted from OTC Equity Koninklijke DSM N.V. (Royal DSM NV) Sponsored ADR (Netherlands) will be deleted from OTC Equity effective from November 14, 2022, due to ADR /GDR Program Terminated. Valuation Update With 7 Day Price Move • Nov 10
Investor sentiment improved over the past week After last week's 16% share price gain to €129, the stock trades at a forward P/E ratio of 32x. Average forward P/E is 16x in the Chemicals industry in Europe. Total returns to shareholders of 18% over the past three years. Simply Wall St's valuation model estimates the intrinsic value at €87.96 per share. Announcement • Nov 01
Koninklijke DSM N.V. to Report Fiscal Year 2022 Results on Feb 16, 2023 Koninklijke DSM N.V. announced that they will report fiscal year 2022 results on Feb 16, 2023 Reported Earnings • Aug 03
First half 2022 earnings released: EPS: €1.68 (vs €2.41 in 1H 2021) First half 2022 results: EPS: €1.68 (down from €2.41 in 1H 2021). Revenue: €4.12b (down 8.3% from 1H 2021). Net income: €290.0m (down 30% from 1H 2021). Profit margin: 7.0% (down from 9.3% in 1H 2021). The decrease in margin was driven by lower revenue. Over the next year, revenue is forecast to grow 4.6%, compared to a 15% growth forecast for the industry in Austria. Over the last 3 years on average, earnings per share has increased by 16% per year whereas the company’s share price has increased by 14% per year. Announcement • Aug 02
Koninklijke DSM N.V. Announces Interim Dividend Koninklijke DSM N.V. announced interim dividend of €0.93 per ordinary share. Announcement • Jun 08
Koninklijke DSM N.V. (ENXTAM:DSM) agrees to acquire Prodap Participacoes S/A. Koninklijke DSM N.V. (ENXTAM:DSM) agrees to acquire Prodap Participacoes S/A on June 7, 2022. The transaction which remains subject to customary conditions, is expected to close in 2022. Announcement • May 12
Koninklijke DSM N.V. Declares Dividend for the Financial Year 2021, Payable as from 3 June 2022 Royal DSM (Koninklijke DSM N.V.) confirmed its resolution to declare a dividend for the financial year 2021 of €2.50 per ordinary share was passed on 10 May 2022, at its Annual General Meeting of Shareholders. This represents an increased dividend versus the €2.40 paid for 2020. The ex-dividend date will be 12 May 2022, the record date 13 May 2022 and the dividend will be payable as from 3 June 2022. Upcoming Dividend • May 05
Upcoming dividend of €1.70 per share Eligible shareholders must have bought the stock before 12 May 2022. Payment date: 01 June 2022. Payout ratio is a comfortable 40% and this is well supported by cash flows. Trailing yield: 1.6%. Lower than top quartile of Austrian dividend payers (4.6%). Lower than average of industry peers (3.3%). Announcement • May 03
Koninklijke DSM N.V. Reaffirms Earnings Guidance for the Year 2022 Koninklijke DSM N.V. reaffirmed earnings guidance for the year 2022. The company's outlook for the full year is unchanged. Announcement • Apr 21
Avient Corporation (NYSE:AVNT) entered into agreement to acquire Protective Materials business of Koninklijke DSM N.V. (ENXTAM:DSM) for €1.4 billion ($1.5 billion). Avient Corporation (NYSE:AVNT) entered into agreement to acquire Protective Materials business of Koninklijke DSM N.V. (ENXTAM:DSM) for €1.4 billion ($1.5 billion) on April 19, 2022. The proposed transaction includes all of DSM’s Protective Materials activities, chiefly consisting of Dyneema®, the world’s strongest fiber. In conjunction with this proposed acquisition, Avient has also announced that it plans to explore sale options for its Avient Distribution business. DSM expects to receive €1.33 billion net in cash following closing, after transaction costs and capital gains tax. Committed financing for the acquisition is being provided by Morgan Stanley and J.P. Commitment Parties will commit to provide Avient with a €593.2 million ($640 million) senior secured term loan facility and a €834.2 million ($900 million) senior unsecured bridge loan.
The business represented €335 million of DSM’s total annual net sales and €105 million of DSM’s total EBITDA for 2021. The acquisition has been approved by the Boards of Directors at both Avient and DSM. Completion of the transaction, which is subject to the customary conditions and approvals, is expected in H2, 2022. The acquisition will be immediately accretive to EPS, adding approximately €0.32 per share ($0.35 per share) on a pro forma basis for 2022. Jones Day acted as legal advisor for Avient. Announcement • Feb 24
DSM receives landmark EU market approval for its methane-reducing feed additive Bovaer Royal DSM announced that European Union (EU) member states approved the marketing of the methane-reducing feed additive for dairy cows, Bovaer®, in the EU. After inclusion in the EU registry, expected in the coming weeks, it is the first time a feed additive authorised in the EU for environmental benefits can be marketed. This marks a significant milestone for DSM, paving the way for Bovaer® to revolutionize the dairy market. Bovaer® will contribute to the greening of the EU's agriculture, and to the objectives of the Farm to Fork Strategy. As stated in the European Commission's confirmation of approval, the innovative feed additive is safe for use without impacting the quality of dairy products and is the first of its kind to be available within the EU which can reduce methane emissions. DSM's ruminant feed additive Bovaer® consistently reduces these methane emissions by around 30%. EU market authorization therefore represents a ground-breaking step toward more sustainable milk production, giving farmers, dairy companies and retailers a trusted and safe product with proven efficacy that will substantially lower dairy's carbon footprint. And ultimately it enables the consumer to purchase sustainable dairy. Bovaer® is the result of a decade of scientific research, including more than 50 peer-reviewed studies published in independent scientific journals and 48 on-farm trials in 14 countries across 4 continents. DSM has entered into partnerships with several major dairy companies to prepare for the implementation of Bovaer® at large scale. These preparations will contribute to Bovaer®'s smooth incorporation into existing farming practices and ensure its impact can be felt as soon as possible. DSM has also already begun engineering works for a large-scale Bovaer® plant at DSM's manufacturing site in Dalry, Scotland. Announcement • Feb 01
Lanxess Reportedly Teams Up with Advent to Bid for DSM's Materials Ops LANXESS Aktiengesellschaft (XTRA:LXS) (Lanxess AG) has joined hands with Advent International Corporation to make an offer for the engineering plastics business of Koninklijke DSM N.V. (ENXTAM:DSM) (Royal DSM NV), business daily Handelsblatt said on January 28, 2022, citing sources familiar with the matter. The Cologne-based company is hiving off its own materials operations into a separate company called HPM which should be combined with DSM's business and turned into a platform for more acquisitions in the area, the report says. Both businesses focus on the production of high-performance plastics which are used for the construction of electric vehicles and batteries. DSM Engineering Plastics Inc.'s value is estimated at about €3 billion ($3.34 billion) which by far exceeds HPM's value, according to the sources. The Dutch company is considering selling the business, together with its protective materials operations, in a push to focus on its health, nutrition and bioscience activities. Announcement • Dec 18
Koninklijke DSM N.V. (ENXTAM:DSM) completed the acquisition of Vestkorn Milling AS. Koninklijke DSM N.V. (ENXTAM:DSM) signed an agreement to acquire Vestkorn Milling As for an enterprise value of €65 million on November 29, 2021. The transaction is Subject to customary conditions and is expected to close in 4th quarter of 2021.
Koninklijke DSM N.V. (ENXTAM:DSM) completed the acquisition of Vestkorn Milling AS on December 17, 2021. Announcement • Nov 30
Koninklijke DSM N.V. (ENXTAM:DSM) signed an agreement to acquire Vestkorn Milling As for an enterprise value of €65 million. Koninklijke DSM N.V. (ENXTAM:DSM) signed an agreement to acquire Vestkorn Milling As for an enterprise value of €65 million on November 29, 2021. The transaction is Subject to customary conditions and is expected to close in 4th quarter of 2021. Announcement • Sep 10
Koninklijke DSM N.V. Receives First Full Market Authorizations for Methane-Reducing Feed Additive Bovaer® for Beef and Dairy in Brazil and Chile Royal DSM has received full regulatory approval from the Brazilian and Chilean authorities to commercialize Bovaer®, its novel methane-reducing feed additive for ruminants. These first market authorizations, covering beef, dairy, sheep and goats, mark a significant milestone for DSM. Intense collaboration among scientists and external partners across the globe has made Bovaer® a reality. That endeavor, known as Project Clean Cow, encompassed over 10 years, 45 on-farm trials in 13 countries across 4 continents, and more than 48 peer-reviewed studies published in independent scientific journals. Following the first regulatory approvals, DSM can now start introducing its breakthrough innovation to the market. Executive Departure • May 12
Independent Deputy Chairwoman of Supervisory Board has left the company On the 6th of May, Pauline Francoise van der Meer Mohr's tenure as Independent Deputy Chairwoman of Supervisory Board ended after 10.0 years in the role. As of December 2020, Pauline Francoise personally held 1.53k shares (€219k worth at the time). A total of 4 executives have left over the last 12 months. Executive Departure • May 12
Independent Chairman of Supervisory Board Robert Routs has left the company On the 6th of May, Robert Routs' tenure as Independent Chairman of Supervisory Board ended after 10.0 years in the role. We don't have any record of a personal shareholding under Robert's name. A total of 4 executives have left over the last 12 months. Announcement • May 07
Royal DSM Declares Final Dividend for the Financial Year 2020, Payable from 1 June 2021 The DSM Annual General Meeting of Shareholders passed a resolution on 6 May 2021 to declare a dividend for the financial year 2020 of €2.40 per ordinary share, a stable dividend versus the €2.40 paid for 2019. An interim dividend of €0.80 per ordinary share having been paid in August 2020, the final dividend thus amounts to €1.60 per ordinary share. At the discretion of the shareholder, the final dividend will be made available in cash or, under the conditions set out below, in ordinary shares of DSM. The period in which this choice can be made is from 12 May 2021 to 25 May 2021 (3.00 pm CET). To the extent the final dividend is paid out in shares, these shares will be primarily transferred out of the own shares DSM holds in stock. Should the total number of own shares not be sufficient, additional shares will be acquired. The stock dividend is paid from the tax-exempt share premium reserve and thus free from withholding tax in the Netherlands. Where shareholders have opted to receive their dividend in shares, the corresponding cash value of €1.60 per ordinary share will be deducted from the profit attributable to shareholders and added to the reserves. In order to avoid negative tax consequences for DSM, a maximum of 40% of the total dividend amount is available for stock dividend. If shareholders in total wish to receive in aggregate a distribution in shares which exceeds this maximum percentage of the total dividend, those shareholders who have opted for distribution in the form of shares will receive their stock dividend on a pro rata basis, with the remainder being distributed in cash. The conversion rate of the stock dividend to that of the cash dividend will be determined on 26 May 2021 based on the Volume Weighted Average Price ('VWAP') of all DSM shares traded on Euronext Amsterdam ('Euronext') over a period of five trading days from 19 May 2021 up to and including 25 May 2021. The value of the stock dividend, based on this VWAP, will - subject to rounding - be equal to the cash dividend. There will be no trading in stock dividend rights. The ex-dividend date will be 10 May 2021, the record date 11 May 2021 and the dividend will be payable as from 1 June 2021. Payment of the dividend on the ordinary shares and delivery of ordinary shares, with settlement of fractions in cash, if required, will take place as from 1 June 2021 based on the number of dividend rights delivered. Upcoming Dividend • May 04
Upcoming dividend of €1.60 per share Eligible shareholders must have bought the stock before 10 May 2021. Payment date: 03 June 2021. Trailing yield: 1.6%. Lower than top quartile of Austrian dividend payers (3.3%). Lower than average of industry peers (2.4%). Recent Insider Transactions • Apr 04
Key Executive recently sold €750k worth of stock On the 31st of March, Dimitri de Vreeze sold around 16k shares on-market at roughly €46.49 per share. This was the largest sale by an insider in the last 3 months. Dimitri has been a seller over the last 12 months, reducing personal holdings by €1.0m. Announcement • Mar 12
Worthen Industries, Inc. agreed to acquire Advanced Solar Backsheets Business of Koninklijke DSM N.V. from Koninklijke DSM N.V. (ENXTAM:DSM). Worthen Industries, Inc. agreed to acquire Advanced Solar Backsheets Business of Koninklijke DSM N.V. from Koninklijke DSM N.V. (ENXTAM:DSM) on March 11, 2021. The team from the Advanced Solar Backsheets Business will be joining Worthen Industries. Completion of the transaction is expected mid-2021. Announcement • Mar 05
Koninklijke Dsm N.V. Announces Board Changes Royal DSM announced that Mr. Rob Routs will retire as Chairman and member of the DSM Supervisory Board at the close of the Annual General Meeting of Shareholders to be held on 6 May 2021. The Supervisory Board has appointed Mr. Thomas Leysen to succeed him as Chairman. Furthermore it announces that the Supervisory Board will nominate Mrs. Corien M. Wortmann-Kool to join as a new Supervisory Board member. Mr. Rob Routs has been a member of the DSM Supervisory Board since April 2010 and Chairman since May 2011. He was reappointed for a final term by the 2020 Annual General Meeting of Shareholders to facilitate a smooth transfer and continuity to the new Co-CEO leadership structure. When Mr. Rob Routs took over, DSM had successfully transformed from a chemical company into a Life Sciences and Materials Sciences company. Mr. Thomas Leysen (1960, Belgian national) has joined the Supervisory Board in 2020 and will succeed Mr. Rob Routs after the upcoming Annual General Meeting of Shareholders. Reported Earnings • Feb 20
Full year 2020 earnings released: EPS €2.64 (vs €4.27 in FY 2019) The company reported a poor full year result with weaker earnings, revenues and profit margins. Full year 2020 results: Revenue: €8.11b (down 10.0% from FY 2019). Net income: €452.0m (down 40% from FY 2019). Profit margin: 5.6% (down from 8.3% in FY 2019). Over the last 3 years on average, earnings per share has fallen by 46% per year but the company’s share price has increased by 19% per year, which means it is well ahead of earnings. Analyst Estimate Surprise Post Earnings • Feb 20
Revenue misses expectations Revenue missed analyst estimates by 4.2%. Over the next year, revenue is forecast to grow 7.4%, compared to a 3.2% growth forecast for the Chemicals industry in Austria. Announcement • Jan 21
Royal DSM Announces Executive Changes Royal DSM announced that Chris Goppelsroeder, currently President & CEO DSM Nutritional Products (DNP) and member of the DSM Executive Committee, will retire and leave the company as of April 1, 2021. Dimitri de Vreeze, DSM's Co-CEO will step into Chris' DNP leadership role in his capacity as COO. Chris Goppelsroeder has had a long and successful career at DSM, having first joined in 2003 when DSM acquired Roche Holding AG's vitamins division. In 2013 he became President & CEO DNP. Since then he has led DSM's business to above-market growth and transformed its operating model to a customer-centric innovation powerhouse that is a world leader in health through nutrition. He was instrumental in DNP's growth organically as well as through acquisitions, including recently Glycom and Erber Group. In addition, Chris played a crucial role in the development of big innovation projects such as Clean Cow/Bovaer, Veramaris and DSM's new moves in the space of precision and personalized nutrition. Announcement • Dec 15
Valio and Royal Dsm Announces Collaboration Agreement to Develop Sustainable Dairy Products VALIO and Royal DSM have signed a collaboration agreement to significantly reduce the carbon footprint of dairy production in Finland. VALIO, chosen as Finland’s most sustainable brand, is determined to improve animal and human welfare, while taking active measures to reduce their environmental and climate impacts. VALIO’s milk ranks among the cleanest in the world. VALIO aims to make its dairy value chain carbon-neutral by 2035. This collaboration with DSM is one of the steps to reach this ambition. Over the past 10-years, DSM has developed a feed additive, named Bovaer®, which consistently and effectively reduces enteric methane emissions from cattle by ~30%. DSM is working with partners from the dairy and beef value chain to prepare for market introduction. The activities include joint trials to confirm effectiveness in local farming systems, co-development of low-carbon dairy products, and establishment of business models. The collaboration with VALIO is a significant step towards market introduction. VALIO and DSM collaborate in an end-to-end demonstration scenario to develop, build and test Bovaer® in the VALIO production and marketing systems. The activities in this trial are amongst others tracking animal and milk performance parameters and calculating the eco footprint reduction. VALIO will conduct quality and processability assessments to qualify Bovaer® as a feed additive for use on VALIO farms. Announcement • Nov 04
DSM Suspends Overall Earnings Outlook for the Full Year 2020 DSM suspended its overall earnings outlook for the full year 2020 earlier this year owing to COVID-19 related uncertainties in Materials. For Nutrition, DSM indicated it expected to deliver at least a mid-single digit increase in Adjusted EBITDA for 2020, which is unchanged. Announcement • Oct 02
Covestro AG (XTRA:1COV) reached an agreement to acquire Resins & Functional Materials and associated businesses from Koninklijke DSM N.V. (ENXTAM:DSM) for purchase price of €1.6 billion. Covestro AG (XTRA:1COV) reached an agreement to acquire Resins & Functional Materials and associated businesses from Koninklijke DSM N.V. (ENXTAM:DSM) for €1.6 billion on September 30, 2020. Considering cash equivalents at Resins & Functional Materials business, the purchase price corresponds to a net enterprise value of approximately €1.55 billion. Acquisition will be financed through a combination of equity and debt instruments. The acquisition will be financed from a fully underwritten bridge financing in place for €1.6 billion by relationship banks. Covestro intends to refinance this financing with an accelerated book building of new Covestro shares equivalent to approximately €450 million, bond issuance of approximately €600 million long-term debt and approximately €550 million of own cash.
Transaction include all of DSM's Resins & Functional Materials businesses, including DSM Niaga, DSM Additive Manufacturing and the coatings activities of DSM Advanced Solar. These businesses represented €1.012 billion of DSM's 2019 total annual net sales and €133 million of DSM's 2019 total EBITDA. The transaction is subject to regulatory approvals, including antitrust clearance and other customary conditions. Closing of the transaction is expected for the first quarter of 2021. DSM expects to receive approximately €1.4 billion net in cash following closing, including repayment of RFM's net debt. JPMorgan Chase & Co. acted as financial advisor to Koninklijke DSM N.V. Barclays PLC acted as financial advisor to Covestro. Evercore Inc. (NYSE:EVR) acted as financial advisor to Covestro AG (XTRA:1COV) in the transaction. Is New 90 Day High Low • Sep 30
New 90-day high: €141 The company is up 16% from its price of €122 on 26 June 2020. The Austrian market is down 3.0% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Chemicals industry, which is up 9.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is €69.76 per share. 