“The group has embarked on positive developments in a bid to pare down its debt that stood at $264 million as at end-September 2020, or 1.1x net gearing. The high gearing is one of the biggest concerns for the group, besides the challenging environment due to the Covid-19 pandemic,” writes Ling in a Feb 19 note.
mm2 Asia has deleveraging initiatives in place, with corporate actions set to reduce gearing and more than halve debt, say analysts.
DBS Group Research analyst Ling Lee Keng is upgrading the media production company to “hold” from “fully valued”, with a reduced target price of 8.4 cents from 13 cents in November.
