071011 CSM - lactic acid rocks 071011 CSM - lactic acid rocks

Lactic acid rocks!

071105 CSM - market still underestimates Purac’s costs savings 071105 CSM - market still underestimates Purac’s costs savings

Market still underestimates Purac's costs savings.

080924 CSM - Present Value Of Purac’s Bio-degradable Plastic 080924 CSM - Present Value Of Purac’s Bio-degradable Plastic

Present Value Of Purac's Bio-degradable Plastic.

091020 CSM - promising innovations at Bakery Supplies and take off of PLA forthcoming 091020 CSM - promising innovations at Bakery Supplies and take off of PLA forthcoming

Promising innovations at Bakery Supplies and take off of PLA forthcoming.

080701 CSM - Purac's Future Made In The Next 6 Months 080701 CSM - Purac's Future Made In The Next 6 Months

Purac's Future Made In The Next 6 Months.

071023 CSM - Purac’s path towards 15-20% ROS 071023 CSM - Purac’s path towards 15-20% ROS

Purac's path to 15-20% ROS.

080909 CSM - Synbra first PLA customer 080909 CSM - Synbra first PLA customer

Purac On Schedule To Change Company's Profile.

130326 CSM | full value for bio-based ingredients company 130326 CSM | full value for bio-based ingredients company


No. pages 4
Description At the current share price the continuing businesses of CSM are fully valued. To justify the stretched EV multiples the bio-based ingredients businesses should record at least high single digit organic growth rate. In 2012 this growth rate was negative and for the current fiscal year such an organic growth rate is unlikely. For the moment we believe the current share price fully reflects the value of the - new - company. Only an offer for the company would move the share to a higher level.
  • valuation for bio-based ingredients company
  • growth drivers for the new entity
  • conclusions

141126 Corbion | Reality Checks 141126 Corbion | Reality Checks

No. pages 31

Corbion's last CMD and the targets set might have disappointed those who anticipated further portfolio restructuring, major contract signing in the area of bio-plastics, more bullish financial targets and/or larger returns to shareholders, than the ones announced. We would describe Corbion's approach as a "Step by Step" delivery towards mid-term targets which appear do-able, realistic and both address and account with the various challenges out there. Once achieved, we believe there seems at least room for upward revisions, in terms of targets, in terms of portfolio changes and in terms of cash returns to shareholders. Too often, predecessor CSM failed to deliver hence the route chosen makes perfectly sense, in our view.

Although there still remain strategic questions un-answered, Corbion has at least drawn a line in the sand with regards to potential further investments in PLA by making these conditional upon tangible progress. Furthermore, we should not forget that post exiting the mature, North American and European bakery operations today's Corbion has a stronger growth and higher margin profile than CSM. Additionally, its returns on capital invested are superior to those once achieved by CSM. Based on not too excessive growth expectations, savings and capital discipline, we believe Corbion should be able to deliver in terms of value enhancement, something which rarely happened at CSM.

Despite a recent recovery, its share price performance and hence its valuation multiples have not reflected yet that improved profile and perspectives. In conclusion, we see further share price upside from current levels.

  • Summary and Conclusions
  • Corbion vs CSM: "Step by Step" instead of a "Long Term Perspective"
  • A better growth profile
  • A better margin profile
  • A better return profile
  • A better profile at similar multiples
  • Conclusions

150512 Corbion | More than a swallow 150512 Corbion | More than a swallow

No. pages 15
Description Post exiting the its European and US Bakery operations re-named Corbion has narrowed its focus on lactic acid (derivatives), lactides, as well as functional blends including enzymes, emulsifiers, mineral and vitamins.Its largest division, Biobased Ingredients services B2B customers in Food, Chemicals, Pharma/Medical, HPC and Animal Health.Niche Biobased Innovations includes Corbion's activities in e.g. PLA and Succinic Acid.

We continue to support Corbion's investment case following the better than expected organic sales growth and EBITDA's, still favourable prospects including tailwinds from FX and savings and last but not least the announced next step in PLA.


1 Results on the mend
2 Last but not least, next step taken in PLA
3 Further share price upside
4 Appendix


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