First Berlin – Media and Games Invest plc Research Update (07/05/2021)

First Berlin Equity Research has published a research update on Media and Games Invest plc (ISIN: MT0000580101). Analyst Ellis Acklin reiterated his BUY rating and decreased the price target from EUR 6.10 to EUR 5.80.

Media and Games Invest (MGI) has completed a direct issue of 20,930,232 shares for gross proceeds of SEK900m (€88.2m). The issue was oversubscribed by Swedish and international investors at SEK43 per share, following an accelerated book-building procedure. We recently upped our forecasts on better than expected Q1/21 results with organic growth overshooting our targets. Based on the full deal pipeline, we expect the company will be able to put the fresh liquidity to work in the near future. The dilutive effects of a higher share count result in a €5.8 price target (old: €6.1). We remain Buy-rated on MGI.