2025
JB Capital, 24 January 2025
“DIA’s 4Q24 sales beat out estimates by 10%”
JB Capital, 24 January 2025
“The main value driver is Spain, where the company also topped our estimate by 2& on better-than-expected LfL growth (7.7% vs our estimate of 5.5%). DIA is doing great in Spain and we expected the upcoming Capital Markets Day (in 1Q24, date TBC) to be a key event, as management may unveil expansion plans following a long but successful turnaround period”
JB Capital, 24 January 2025
“We reiterate our Buy on attractive risk/reward as the stock discounts an undemanding 2025 EV/ Sales of 0.18x for Spain in our estimates, vs the 0.50x at which it sold part of its network to Alcampo”
2024
JB Capital, 30 July 2024
“We increase our TP by 5% to €0.031 and reiterate Buy. The stock looks cheap.”
JB Capital, 30 July 2024
“DIA’s 2Q24 Adjusted EBITDA (including rent but excluding restructuring costs) beat our forecast by 30% on a better-than-expected margin in Spain, underpinning the success of its turnaround efforts.”
Alantra, 24 April 2024
“DIA: on the path to becoming investable […] Spain is back on track. After selling the large format stores and the HPC Clarel chain, DIA is now focused on its core proximity model, having remodeled most of the stores in the L3Y. The restructuring is bearing fruit.”
JB Capital, 29 Feb 2024
“We reiterate Buy […] DIA has reported a strong set of 2H23 results, with adjusted EBITDA (includes rents but excludes restructuring costs) beating our estimate by 44%. The key market is Spain."
JB Capital, 20 Feb 2024
“DIA has reported a strong set of 2H23 results, with adjusted EBITDA beating our estimates by 44%... We believe this data shows great progress in the turnaround process.”
2025
Europa Press, 27 January 2025
“The minority shareholder expressed their "satisfaction" after learning about the performance of the business in Spain, which recorded a 5.4% increase in net sales, as well as an improvement in its market share. However, Western Gate pointed out that the fact that the shares closed lower on Friday despite this positive development highlights "all the work still to be done to increase investor interest" in the brand.”
European Supermarket Magazine, 27 January 2025
Western Gate questioned the high cost of its new financing deal with HPS Investment Partners, noting that it is 'more expensive' given DIA's improving performance, and requested further details about the decision-making process.”
2024
La Información, 27 December 2024
“The concerns raised by the minority shareholders focus on three main areas: the lack of experience on the board, insufficient market engagement, and the company’s lack of liquidity. The coalition also claims that the illiquidity of Dia’s shares prevents them from reflecting their true value.”
EuropaPress, 27 December 2024
“The coalition […] criticized the illiquidity of Dia’s shares, which they claim prevents the shares from reflecting their true value.
elEconomista, 26 December 2024
“Separately, about 50 minority shareholders of Dia, led by Western Gate, recently addressed a letter to the board of directors, requesting a representative on the governing body of the company and a strategic plan with medium-term objectives.”
El Español, 18 December 2024
“Francisco Santos [Director of Western Gate] believes this is the ideal time to dilute Letterone's stake…"Now you have a clean company that is gaining market share and growing significantly," he said. He noted the positive impact of Dia's exit from the Portuguese and Brazilian markets, as well as the sale of Clarel to Colombian group Trinity. "They have focused on their core business, and things have gone very well in Spain," he added.”
El Confidencial, 15 December 2024
"The letter circulated this Friday by minority shareholders gathered around Western Gate has once again forced Grupo DIA to confront the mirror of its past sins, just as the company seeks to demonstrate that those wrongs have already been purged."
Dow Jones, 13 December 2024
“In their letter, the minority shareholders criticize the current composition of the Board, arguing that most members lack relevant experience in the food retail sector. This deficiency, they claim, hinders the company’s ability to make strategic decisions for its proximity-focused business model, which forms the operational backbone of Dia. They also note that none of the Board members have worked in this segment in the past decade.”
Bolsamanía, 13 December 2024
“Minority shareholders believe that this is a "positive first step", but they do not hide their concern about the "significant undervaluation" of the supermarket chain compared to similar companies in the sector. In this way, in the letter they assure that their concerns are based on an "exhaustive" analysis and are grouped into three main areas: the "lack of experience on the board, of commitment to the market, and the lack of liquidity" of the company.”
20 Minutos, 13 December 2024
"Some fifty minority shareholders in the supermarket group Dia, led by Western Gate, have sent an urgent letter the company's board of directors, asking for a representative on the governing body and a strategic plan with medium-term objectives. The coalition has urged "urgent" changes to be made at Dia, after it announced this week the refinancing of its debt with an agreement of 885 million euros and the implementation of a reverse-split operation.”
Estrategias de Inversión, 13 December 2024
“A coalition of minority shareholders in Dia has sent a letter to the board of directors requesting a representative on the body and a medium-term strategic plan. Minority shareholders in DIA , around 50 led by Western Gate , have sent a letter to the supermarket chain's board of directors demanding a representative on the governing body and a strategic plan with medium-term objectives . The coalition has urged "urgent" changes to be made at the company, after it announced this week the refinancing of its debt with an agreement of 885 million euros and the implementation of a share pooling operation ('reverse split') .”
Financial Food, 12 December 2024
"We welcome yesterday's announcement as a first positive step, but it is only the beginning of the necessary changes at Dia. This marks a key milestone in our campaign, and we ask the board to work with us to unlock value, address the significant undervaluation of Dia, and drive the transformation the company desperately needs," stated Luís Amaral.”
European Supermarket Magazine, 25 November 2024
“A coalition of minority shareholders at Spanish retail group DIA convened in Madrid to discuss strategies that the retailer needs to implement to achieve its true potential. The meeting of minority shareholders is part of the coalition's efforts to call for urgent changes at DIA. The Coalition, united by concerns over DIA’s significant undervaluation relative to its peers and the board’s lack of transparency, seeks to promote better corporate governance at the Spanish supermarket chain.”
Foodretail.es, 22 November 2024
“At the meeting, the minority shareholders outlined several necessary strategies to help Dia achieve its "true value." These included "capitalizing on the current positive operational momentum and establishing a clear investor relations strategy to improve stock price performance. They believe that both the company’s management and the board should be appropriately incentivized, with total remuneration tied to stock price performance.”
Bolsamanía, 22 November 2024
“The businessman Luis Amaral, who owns 2.18% of Dia through Western Gate, has assured that this meeting is an "important step forward" for this coalition, which is made up of more than 40 minority shareholders. "We have been supporting Dia for a long time and we want this outstanding Spanish player to recover its former glory. The time has come for Dia to make the necessary changes in its board of directors to act responsibly and listen to all shareholders, not just the majority shareholder, LetterOne," he stressed.”
O Jornal Economico, 22 November 2024
“The Coalition revealed that it outlined several necessary strategies for the retail chain to achieve its “true value.” These include leveraging the current positive operational momentum and establishing a clear investor relations strategy to improve stock price performance. The Coalition reiterated that both the management and the Board of Directors should be adequately incentivized so that their total compensation is linked to stock performance.”
European Supermarket Magazine, 12 September 2024
"DIA’s market valuation has been in 'freefall' and the stock remains materially undervalued since LetterOne increased its stake in the company to 74.8% in 2019"
European Supermarket Magazine, 12 September 2024
“The shareholder group also supported the idea of LetterOne considering the sale of part of its stake in DIA to boost market liquidity, as its substantial holding in the company contributes to DIA's low market valuation."
Business Insider España, 11 September 2024
"It also divested its business in Portugal, sold 235 stores to Alcampo and 1,015 (Clarel's) to another operator whose name has not been disclosed. With these changes, the company began to see the first green shoots, but the lack of transparency of the managers behind these important decisions has prevented share prices from reflecting the real value of the company"
Business Insider España, 11 September 2024
"Although Dia has implemented transformations in its business, focusing its activity on proximity supermarkets and selling non-strategic assets, the coalition criticizes the fact that these developments have not been adequately communicated to the market."
Business Insider España, 11 September 2024
"A coalition of Dia's minority shareholders, led by Western Gate, has again demanded a seat on the company's board of directors. They denounce management inaction in the face of a continuing share price decline since 2019, even though the company has taken drastic measures to improve its economic and financial situation."
Business Insider España, 11 September 2024
"It's time for the company to change": Dia's minority shareholders demand a seat on the board in the face of a ‘free fall’ in the share price."
Bolsamanía, 11 September 2024
“[The Coalition] claims that they have formally expressed to the Board their concerns about governance, transparency and upholding the protection of all shareholders and ‘the current Board of Directors has only two members with experience in the retail sector and neither of them has worked in the food retail sector for more than ten years.’"
Europa Press, 11 September 2024
"The Coalition has advocated the idea of LetterOne selling part of its stake in DIA to increase market liquidity, as shareholders believe that limited liquidity contributes to the company's low market valuation."
Europa Press, 11 September 2024
"The minority shareholders therefore point the finger directly at the Board, chaired by LetterOne's representative, and reproach it for not wanting to ‘proactively promote DIA's turnaround to the market.'"
Expansion, 31 July 2024
“In Spain, the group reported above-market growth in like-for-like sales, driven by volume and the increase in digital customers and online sales, almost doubling EBITDA to €114 million.”
Agencia, EFE, 30 July 2024
“The DIA Group obtained a net turnover of 2,816 million euros in the first half of 2024, 6.3% more than in the same period last year.”
El Espanol, 24 April 2024
“Dia is set in Spain to achieve organic growth this year thanks to the strengths of the value proposition, reducing capex needs. To this end, it aims to achieve an increase in loyalty through Club Dia, an increase in the frequency and number of visits thanks to an improved assortment of fresh products, an increase in the average basket thanks to the continuous review and innovation within the assortment and the improvement and growth of the online channel and the digitalisation of our customers.”
Alantra, 24 April 2024
“Dia is set in Spain to achieve organic growth this year thanks to the strengths of the value proposition, reducing capex needs. To this end, it aims to achieve an increase in loyalty through Club Dia, an increase in the frequency and number of visits thanks to an improved assortment of fresh products, an increase in the average basket thanks to the continuous review and innovation within the assortment and the improvement and growth of the online channel and the digitalisation of our customers.”
2023
El Confidencial, 17 October 2023
“The controversial arrival of Letterone … as the company's controlling shareholder …. represented a turning point in the evolution of the business, but has so far been far from being a springboard for the group's share price. Since he took control of the board of directors in May of that year, Dia's shares have fallen by almost 85%.”
El Confidencial, 17 October 2023
“From almost 5,000 to less than 100 million euros in just over four years . The story of Dia's stock market collapse can be counted as one of the most turbulent on the Spanish stock market in recent times.”
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