Added to YB: 2025-01-17
Pitch date: 2025-01-16
VLN.TO [bullish]
Velan Inc.
-10.36%
current return
Author Info
No bio for this author
Company Info
Velan Inc. designs, manufactures, and markets industrial valves worldwide. The company offers quarter-turn valves; gate, globe, and check valves; API 600 cast steel gate, globe, and check valves; corrosion-resistant steel gate, globe, and check valves; API 602 small forged gate, globe, and check valves; API 6D/API 6A through conduit and double expanding gate valves; large forged pressure seal and bolted bonnet gate, globe, and check valves; y-pattern valves; Proquip dual-plate check valves; API 6D/API 6A non slam and swing check valves; quarter-turn valves; resilient-seated ball valves; Securaseal metal-seated ball valves; Coker ball valves; API 6D/API 6A pipeline ball valves; modular double block and bleed ball valves; Torqseal triple-offset butterfly valves; and other products.
Market Cap
CAD 220.3M
Pitch Price
CAD 16.18
Price Target
31.60 (+118%)
Dividend
0.78%
Sector
Machinery
Category
special_situation
$VLN.TO: Clean-up and take-out
VLN.TO: Sold French biz for $198.4M (2x rev), settled $143M asbestos liability. Q3 adj EBITDA $14.3M (19.5% margin). LTM adj EBITDA $39.3M, trading at 4.3x. Mgmt hints at sale, removed French regulatory hurdle. Bull case: 2x rev multiple = $31.60/share. Risks: margins not sustainable, no takeover.
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