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Siili Solutions: Q1 growth still muted but then kicking off - SEB

Ahead of Siili’s Q1 management review, we believe the structural growth case continued to weather the pandemic situation well. The recent international growth acquisition, Supercharge, will be included from the end of February onwards, but will boost growth for the next quarters. We think that the risks have declined, and therefore we have lowered our WACC to 9.0% and lift our fair value range mid-point by EUR 3.0.

With the pandemic situation improving significantly in Finland and the restrictions likely to be lifted relatively soon, we find the short-term risks declining. We take our WACC down to 9.0% and hike our fair value range to EUR 19-21 (previously EUR 16-18).
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