Mutares Turns Profit in Q1 While Executing Its Biggest Acquisition and Prepping Record Exits

Mutares posts positive EBITDA, largest acquisition (SABIC thermoplastics), record exit pipeline, but stock down 27% from high, market skeptical.

The contrast at Mutares has rarely been starker. On one side, the restructuring specialist just reported its first positive adjusted EBITDA in a year, sealed the largest acquisition in its history, and claims its exit pipeline is fuller than ever. On the other, the stock has shed roughly 10% since January and sits more than a quarter below its 52-week peak. Investors are waiting to see whether the operational momentum can break through the market skepticism.

Revenue for the first quarter of 2026 climbed 10% year on year to €1.68 billion, fuelled by the integration of newly acquired portfolio companies. More telling for the bottom line, adjusted EBITDA swung to €11.1 million from a significant loss in the prior-year period. Management had flagged that the unit-level turnarounds were starting to flow through, and the numbers confirm the machinery is working.

That operational strength will now be tested on a much larger scale. Mutares has agreed to buy SABIC’s engineered thermoplastics business, a target that generates around €2 billion in annual revenue. The deal dwarfs any previous acquisition by the company and instantly enlarges its collective footprint. CFO Mark Friedrich and CIO Johannes Laumann have said that with this addition, the group’s medium-term target of €10 billion in consolidated revenue is likely to be reached before the 2028 deadline. For the current financial year, the board continues to forecast a holding-level surplus between €165 million and €200 million.

The flipside of the growth story is the exit pipeline, which management describes as the largest in the company’s history. Mutares’ model depends on buying distressed companies, restructuring them, and then selling them at a profit. A record pipeline of mature portfolio businesses increases the probability of transaction closures in the coming quarters, and successful divestitures are the foundation for free cash flow and dividend payments. Investors are watching for the first concrete deals to emerge.

At the same time, the holding is tidying up its balance sheet. Mutares has launched a buyback offer for the Nordic Bond 2023/27, using cash generated from completed sales and advisory fees to reduce liabilities. The move is a proactive step to manage debt ahead of the larger acquisition and signals confidence in the group’s liquidity position.

Still, the share price has not caught up with the internal progress. On Wednesday the stock traded at €26.90, a modest 1% gain on the day and about 8% higher than a month ago. But against the 52-week high of €36.75, the shares are still roughly 27% in the red. The 50-day moving average of €27 offers a near-term resistance level that the stock has yet to reclaim decisively. For the rally to take hold, analysts say the market will need to see not just successful integration of the SABIC assets but also the first exits from that record pipeline. Until then, the gap between the numbers and the valuation is likely to keep investors on edge.