The Brandes fund increases its bet on Grifols to 13.5% and already weighs more in its portfolio than Google or JPMorgan

MADRID 15 Nov. () –

Grifols has been among the eleven companies with the most weight in the portfolio of the American investment advisory firm specialized in ‘value’ investment Brandes Investment Partners, which has reached a 13.47% stake in class ‘B’ securities from Grifols.

Specifically, the Catalan company is the eleventh stock that weighs the most in Brandes’ portfolio, according to the documentation sent to the SEC regarding the end of the third quarter of 2024, which has led it to be placed above Alphabet, parent company. from Google; JPMorgan Chase, the largest bank in the United States by assets, or the American oil giant Chevron, according to data to which Europa Press has had access.

On their side, the following are positioned above Grifols: the Brazilian aeronautical manufacturer Embraer; the Canadian CAE; the American bank Wells Fargo; Fiserv; the American media corporation Comcast; Bank of America (BofA); Amdocs, Citigroup, Mckesson and Cigna.

Thus, Brandes owns 16,758,727 class ‘B’ shares, which do not have voting rights, of the hemoderivatives firm, while it has 18,447,582 ADRs (American Depositary Receipt), with which it is listed on the Stock Exchange. American, as recorded in the records of the US Securities and Exchange Commission (SEC).

The breakdown of holdings sent to the SEC only includes holdings of ADRs, but not the common shares that have been reported in another document. If the ordinary shares that Brandes holds in Grifols were taken into account, and if it does not have another series of stakes in the rest of the companies in its portfolio, Grifols would be Brandes’ main bet, above Embraer. As of September 30, the fund had 10.2 million shares of the aeronautical firm, valued at just over 360 million euros.

From the Spanish stock market, the American firm has a share package in Grifols valued at 154,766,843 euros, according to the price of the ‘B’ type securities of the blood products firm recorded at 1:30 p.m. this Friday, which was around 9,235 euros, with an increase of 0.27%.

In this context, Brandes’ stake in Grifols has gone from 9.87%, as of December 31, 2023, to 10.53%, as of January 31, 2024, following the attack by the bearish Gotham City fund Research, at the current 13.47%, registered on September 30.

POSSIBLE TAKEOVER OF BROOKFIELD AND FOUNDING FAMILY

This operation has occurred within the framework of the possible takeover bid (OPA) that the Brookfield fund would be preparing together with the founding family of Grifols for the Spanish firm.

The study by Brookfield to decide whether to launch a takeover bid for Grifols, according to ‘Expansión’ this Friday, is coming to an end.

In this context, Brookfield would have closed with Deutsche Bank and Banco Santander the refinancing of Grifols’ debt for 11,000 million euros, in an operation that could also be joined by Bank of America, JP Morgan, ING and BNP Paribas, as noted this Thursday the analysis direction of Banco Sabadell.

Sabadell analysts have commented in this regard that the refinancing of Grifols’ debt was a necessary condition for the launch of the takeover bid. “In our opinion it represents a relevant step forward on the part of Brookfield,” they indicated.

Likewise, Sabadell has agreed with the opinion of the Mason Capital fund, owner of 2.1% of Grifols’ class ‘A’ shares, that a valuation of the Spanish company of between 11 and 12 euros per share in the takeover bid It would mean undervaluing it.

This is how the entity spoke after learning that Mason Capital sent a letter last Friday, November 8, to the directors and shareholders of the Catalan company criticizing its management and governance, and indicating that it does not agree with the process of open sale with Brookfield.