Escher Group - FY2017 results in-line with expectations; Hanover bid remains the key driver

Davy Research
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The success of the bid by Hanover to acquire the equity in Escher is (and will remain) the main driver of share price movements in the company (we expect further news by the end of the month). Nonetheless, we note that Escher remained net-cash positive in 2017 despite restructuring and other one-off costs and now has a right-sized cost base from which to build.