Sharelink ups LUI price target

Sharelink Securities & Financial Services, a member of SFS Group Pcl (SFS) has revised higher its price target on the share price of Louis Pcl (LUI) to EUR 0.71 per share and has raised its 2007 profit forecast for the Group to include a one-off profit booked on the sale of its controlling stake to the Marfin Popular Bank Group.

LUI announced that it has reached a preliminary agreement with the ‘Investment Bank of Greece’, which is 87% subsidiary of Marfin Popular Bank for the disposal of a 57% stake in its 77% subsidiary The Cyprus Tourism Development Public Company Ltd’ (CTDC). The agreement is subject to a due diligence and is expected to be finalized within 20 working days. The agreement provides for a cash consideration of CYP30 mln (EUR51.9 mln). LUI will retain approximately 20% of CTDC and presence on its Board of Directors.

CTDC is the owner of the 298-room ‘Cyprus Hilton Hotel’ in Nicosia. CTDC’s shareholders funds amounted to CYP 30.4 mln (EUR52.7 mln) on 30 September 2006. In 9M 2006 CTDC reported revenue of EUR10.1 mln (9M 2005: EUR9.1m), EBITDA of EUR3.1 mln (9M 2005: EUR2.7m), EBIT of EUR2.5 mln (9M 2005: EUR2.1m) and

profit after tax of EUR2.1 mln.