Latecoere shares continued to fall on Monday morning on the Paris Bourse, following the publication of a press release concerning the Group's recapitalization project.

After several downward bookings, the share is now down over 27% to new all-time lows, bringing its decline since the start of the year to over 60%.

The aeronautical equipment manufacturer announced on Friday evening that its accounts for the 2022 financial year had been approved by its Annual General Meeting held last Wednesday.

For the record, the company recorded a 39% increase in sales last year, to 468.3 million euros, for an Ebitda that came out negative at 8.5 million euros.

The group also confirmed that Thierry Mootz, its current CEO, had been elected Chairman of the Board following the meeting.

Above all, Latecoere returned to the launch of its share consolidation, which should result in the exchange of ten existing shares for one new share, prior to the completion of its €100 million capital increase.

There's nothing new in all these announcements", commented one broker interviewed by Cercle Finance.

"This simply confirms the prospect of another massive capital increase after the 222 million euro fund-raising that had already been concluded in 2021", continued another professional.

"In view of the company's development, we are entitled to wonder what these funds were really used for, and whether it was necessary to return to the market two years later", added the latter.

For the manager, it is now legitimate to wonder about the company's future, or at least about the sustainability of its stock market listing.

"Searchlight Capital Partners (SCP), which already holds 75% of the capital, has committed to underwrite this capital increase to the tune of 100 million euros", he points out.

Following this increase in value, the American fund could begin to approach the 90% threshold, necessitating the launch of a squeeze-out offer, which would put an end to the company's stock market adventure", he concludes.

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