OHLA - comment
The execution of Guarantees in favour of Kuwait will tie up €39.5m of liquidity. OHLA has sufficient liquidity, but the outflow raises the possibility of further equity dilution if a proposed €50m convertible is issued. The board is arguing over its composition and trying to remove two investor representatives. A €290m claim from the OHLA consortium against Kuwait was rejected in 2023 but appealed.
The board's disagreements continue, with the Amodio brothers trying to remove two investor representatives who are also part of the Excelsior consortium. The infighting is depressingly familiar but should not immediately impact the company's operational management. Still, executing sales depends on board approval, and the Amodio brothers' backtracking on promises to sell assets led to the restructuring last year.