Atkinsrealis Group Inc T.ATRL

Alternate Symbol(s): SNCAF

Industrials Conglomerates

Atkinsrealis Group Inc., formerly SNC-Lavalin Group Inc., is a professional services, and project management company. It delivers end-to-end services across the whole life cycle of an asset including consulting, and advisory and environmental services. Its segments include Engineering Services; Nuclear; O&M; Linxon; LSTK Projects, and Capital. The Engineering Services segment includes consultancy, engineering, design and project management services. The Nuclear segment supports clients across the entire nuclear lifecycle with the full spectrum of services from consultancy, EPCM services, field services, technology services, spare parts, reactor support and decommissioning and waste management. The O&M segment consists of providing operations, maintenance, and asset management solutions. The Linxon segment offers engineering, procurement, management, and construction services. The LSTK Projects is comprised of the remaining LSTK construction contracts of the Company.

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Atkinsrealis Group Inc > SNC 2021 valuation

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Comment by SNC2021on Jan 20, 2021 12:45pm

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Post# 32334205

RE:RE:SNC 2021 valuation

Gabriel...I agree with your numbers as a base but I would argue they are light because interest rates were more than double what they are now when the sale of the 407 was made. This is likely the best asset in the world in a low interest rate environment. In a world of $18b in negative rates and pension funds and fixed income investors willing to buy bonds these negative yielding bonds the price pr value of their remaining concessions may be a great deal higher than $15 per share. (Margin of safety)

So let's back out capital from the share price because it could be spun off for more than $15 per share. Snc's peers do not own a portfolio of world class royalty assets like this so we will take their value and income out of the equation.

SNC trades for $8.50 with the royalty portfolio backed out of the equation.

Gabriel would you break down what the nuclear division is worth when compared to its peers multiples in the market place today as a stand-alone unit please.

Thanks