Folli Follie Group debuts

Shares in the newly formed group arising from the merger of Hellenic Duty Free Shops, Folli Follie and Elmec will start trading on the Athens bourse today. The new entity will have a simpler, more efficient structure than the previous ones, creating the possibility of some synergies and cost efficiencies, Proton Research said in a note to investors on Wednesday. »Given the above and the fact that a large part of the business is outside Greece (especially in China), we assign an outperform rating on the stock,» it said. Among the risks cited by the brokerage for the newly formed entity, called the Folli Follie Group, is its sensitivity to changes in demand for luxury goods and delays in the planned network expansion. Proton Research has a 13.20 euros per share target price on the stock, implying an upside of nearly 12 percent. The share’s opening price is calculated at 11.81 euros, Proton added.