Carbios (ALCRB)

Business description

Carbios develops enzyme-based processes for biodegradation and bioproduction of plastics, with a long-term aim of displacing current recycling and production practices.

Y/E Dec Revenue (€m) EBITDA (€m) PBT (€m) EPS (fd) (c) P/E (x) P/CF (x)
2015A 0.8 (3.9) (4.0) (81.3) N/A N/A
2016A 8.9 3.8 3.6 131.9 5.8 6.4
2017E 1.2 (3.8) (4.0) (71.9) N/A N/A
2018E 2.0 (3.0) (3.2) (64.1) N/A N/A

Last updated on 21/08/2017

Investment summary

Carbios addresses the issue of plastics disposal in the face of growth in demand for plastics driven by major global trends, as well as environmental and sustainable solutions via breakthrough technologies for a circular plastics economy. Our fair value range is €23-37 per share, based on probability-weighted cash flows. Carbios needs to reach the industrialisation and commercialisation stage in 2017. It recently completed the fourth key stage of its research project and expects a milestone payment for stage five in 2017. It also recently signed a contract with TechnipFMC to conduct the engineering work for the construction of a PET biorecycling pilot plant. On 19 July, the company sold €4.2m of equity and increased the equity base by over 10%; the funds will be used in the pilot of its enzymatic biorecycling process for PET plastics.

Last updated on 06/09/2017

Industry outlook

Growing volumes, environmental concerns and an increasing focus on sustainability are becoming ever more important challenges to conventional plastic market participants. Biological plastic production and recycling is the single most important aim of the industry as a response. The target is a circular economy whereby plastic is constantly reused and recycled.

Last updated on 06/09/2017

Key management

Jean-Claude Lumaret, CEO

Company address

rue Emile Duclaux
Parc d'activts du Biopole
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