Gemina Advances as ADR Unit Gets Offer for Retail: Milan Mover

Gemina SpA (GEM) rose the most in one year in Milan after its Rome airport manager unit received an offer for its retail business at a higher-than-expected price.

Aeroporti di Roma said yesterday that Lagardere SCA’s Aelia offered 229.4 million euros ($288 million) for ADR Retail. The sale is subject to approval from ADR’s board, antitrust authorities and creditor banks, the Rome-based company said. ADR said it will use the proceeds to cut debt.

Gemina shares rose as much as 10 percent, the biggest intraday jump in a year, and were up 3.4 percent at 62.05 cents as of 2:30 p.m. in Milan. The stock has risen 4 percent this year, giving the company a market value of 914 million euros.

The offer price is higher than estimates by CA Cheuvreux, Intermonte SIM and Mediobanca Securities and more than double Equita SIM SpA’s estimate, according to notes sent to clients. Kepler Capital Markets raised its price estimate for the shares to 85 cents from 80 cents after the announcement.

“The deal underlines how depressed the current trading multiples are,” Mediobanca said in a note. The resulting debt cut will improve Gemina’s risk profile, said Mediobanca, which has an outperform recommendation on the stock.

ADR, which manages Rome’s Fiumicino and Ciampino airports, is awaiting final approval from Italian authorities for an agreement allowing it to raise tariffs for airlines and passengers. ADR is ready to invest as much as 12 billion euros when the rules are approved, Gilberto Benetton told Il Corriere della Sera in an interview last month. The Benetton family controls Gemina.

ADR is also selling its ADR Mobility parking unit. That may fetch more than 120 million euros, Equita said. The company has received “several” expressions of interest, it said on May 3.

To contact the reporters on this story: Marco Bertacche in Milan at; Francesca Cinelli in Milan at

To contact the editor responsible for this story: Jerrold Colten at

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