ClearStar (CLSU) : Corp

Entering the facilities management market

Key data

  • Share price (p) 49.0
  • Target price (p) 90.0
  • Market cap (£m) 17.8
  • Enterprise value (£m) 18.6

The provider of Human Capital Integrity technology-based services has been appointed by a leading facilities management company to provide background screening of service providers in its healthcare locations. This is ClearStar’s first contract in the growing facilities management sector and is worth at least $0.4m this year during the roll-out phase. There are no changes to forecasts or TP at this stage, although this expands the market opportunity and helps to underpin our expectations.

Lorne Daniel 020 7220 0545 ldaniel@finncap.com

Lok’nStore (LOK) : Corp

Financial strength, capacity and opportunity to grow

Key data

  • Share price (p) 720.0
  • Target price (p) 810.0
  • Market cap (£m) 211.7
  • Enterprise value (£m) 241.0

In a positive H1 update Lok’nStore has confirmed trading has remained strong with self-storage revenue up +7.0% like-for-like driven by increased occupancy. Another store has been added to the pipeline and planning permission recently granted on another. The total pipeline of new stores now stands at 15, which will take the portfolio to 49 stores when fully developed. We make no changes to our forecasts but upgrade our target price from 697p to 810p, based on a 20% discount to the peer group valuation vs. historic NAV.

Guy Hewett 020 7220 0549 ghewett@finncap.com

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