27/06/17 -"What does the opportunity cost of Sika say about Saint-Gobain’s governance?"
27/06/17 -"What does the opportunity cost of Sika say about Saint-Gobain’s governance?"
Investment thesis
Table of contents
Saint-Gobain’s underperformance can no longer be ignored
I. A seven-year underperformance underlines the need for governance change
II. Per share value destruction
Governance matters
I. Governance shortcomings
II. Management’s shortcomings
Governance wish list
I. By-laws: one share, one (or two) vote(s)
II. Rejuvenating the board
III. Management-shareholders relationship
The Sika mess
I. Regarding Sika
II. Saint-Gobain’s hostile takeover attempt of Sika
III. Can Saint-Gobain have a hidden agenda?
IV. Alternatives to the Sika opportunity cost
V. Rising risk that the deal will fail
Our conclusion
Financial Research
I. Businesses & Trends
II. Money Making
III. Debt
IV. Valuation
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