After confirming that its bonds were not going to default and verifying how data on activity in the service sector of countries that are immersed in the de-escalation process are very encouraging, the value of Codere in the Stock Market has shot up more than 120% in recent sessions, also starting the week yesterday Monday with a spectacular 31% appreciation that leaves Codere's stock price at € 2.26.
Codere has achieved what few expected after seeing the evolution of its share price in the past weeks, where especially due to the closure of its premises in the eight countries where the multinational has a presence (Spain and Italy in Europe and Argentina, Brazil, Colombia, Mexico, Panama and Uruguay in Latin America): doubling its market value in just three sessions. And also, yesterday the week started with a rise of 31%, exceeding 2.25 euros per share for the first time in months.
Behind this spectacular reaction, there are two reasons: the good news coming from most countries regarding the evolution of the de-escalation and the opening of stores and the announcement of having fully assumed the payment of their bonds.
Certainly, the impact of Covid-19 on its business has been very great since it has meant the temporary closure of all its face-to-face operations gradually since March 8, but especially after satisfying the payment of the coupon of its bonds and confirming a position of cash was 83 million euros, things look different and it is expected that the year can be closed in a much more positive way than expected.
