The news of the listed company Eagle Filters could have been lost in Thursday’s rush of earnings news, but according to an external evaluator, the fair value of the industrial property in Kotka owned by the subsidiary is 4.4 million euros. Eagle Filters purchased the property last year for only 0.3 million euros, so the value determined now is almost 15 times the purchase price. It is located in the former Hovinsaari factory area in Kotka and was auctioned last year with Eagle Filters winning the bid at 275,400 euros. The property was sold by its previous owner, a real estate investment company from Lahti called EMP-Invest.
A total of 107 offers were received during the auction, with seven buyer candidates in the running. The CEO of Eagle Filters, Jarkko Joki-Tokolan, mentioned that the property is being used for industrial purposes, with Eagle Filters conducting its industrial activities there. The company is currently renting the property and there are other tenants in the area as well. Despite the low purchase price, Joki-Tokola sees the property as a significant opportunity given its size and potential.
Eagle Filters Group, formerly known as Loudspring, is an investment company with a subsidiary called Eagle Filters that specializes in air filtration technology. The increase in the property’s value of 4.1 million euros is substantial compared to the company’s market value on the stock exchange, which is less than 10 million euros. The company has been loss-making for some time, but managed to grow its turnover significantly last year.
In terms of the property valuation, an estimate was made by Newsec Advisory Finland, a well-respected operator in the field. There were discussions on the Inderes investment forum regarding accounting practices and how the increase in valuation would be recorded in the balance sheet’s equity. Joki-Tokola mentioned that no decisions have been finalized and the company will act carefully in informing the market and shareholders.
While Eagle Filters continues to focus on growth and achieving profitability, the increase in the property’s value has sparked interest and questions from investors. The company’s performance and future outlook will be closely monitored by stakeholders as it navigates through these developments.