GBC AG: DN Deutsche Nachhaltigkeit AG | Rating: BUY

Classification of GBC AG to DN Deutsche Nachhaltigkeit AG

Company Name:	DN Deutsche Nachhaltigkeit AG
ISIN:	DE000A3DW408
Reason for the research:	Research study (Anno)
Recommendation:	BUY
Target price:	6,42 EUR
Target price on sight of:	31.12.2025
Last rating change:
Analyst:	Cosmin Filker, Marcel Goldmann

Realignment of business model towards impact investing

In the past financial year, DN Deutsche Nachhaltigkeit AG (DN AG) realigned its business model. The company's current focus is described by the term 'impact investing'. This means that, in future, investments will be made in companies that, in addition to generating returns, also have a positive social or environmental impact. DN Deutsche Nachhaltigkeit AG has identified AI, mobility, the circular economy, nutrition, health and energy as potential future sectors.

The new corporate strategy is also reflected in a fundamental change to the investment portfolio. Until the 2024 financial year, publity AG, which operates in the real estate investment sector, was the company's main investment. As part of the new strategy, it was sold to Olek Capital GmbH. The portfolio currently comprises First Move! AG, More Impact AG and EasyMotionSkin Tec AG, representing three significant investments.

The listed investment More Impact AG is a high-tech medical hub that has developed inhaler technology. This technology enables smokers to benefit from gradual nicotine withdrawal. Another technology is the needle-free syringe 'Speedinject', which can help patients with needle phobia or chronic injection requirements. Although the shares in First Move! AG have already been transferred to DN AG, the registration of the capital increase through contribution in kind is still pending. First Move! AG has patented automated car park technology that significantly optimises the use of parking spaces. Finally, the third significant investment, EasyMotionSkin Tec AG, manufactures high-tech suits with integrated EMS devices for the fitness and health industry.

Operating performance in the 2024 financial year was dominated by the implementation of the new strategy. On the one hand, the company reported total income of €204.45 million (previous year: €76.41 million), which resulted in particular from a revaluation of the investment in More Impact AG. However, this was offset by significantly higher other operating expenses, which are likely to be connected to the sale of publity below their carrying amount. The after-tax result of €20.19 million (previous year: €19.36 million), which mainly stems from valuation gains, was on a par with the previous year.

We determined the fair value of Deutsche Nachhaltigkeit AG using a NAV approach. The net asset value (NAV) represents the economic equity capital resulting from the market values of the assets less liabilities. The shares in affiliated companies, which are attributable exclusively to More Impact AG, represent by far the largest asset item of the company at €280.93 million. After adding other assets (investment in EasyMotion, own bonds) and deducting interest-bearing liabilities and overheads, we have determined a fair enterprise value of €282.62 million. This corresponds to €6.42 per share. Based on the current share price of €5.10, we assign a 'BUY' rating.

You can download the research here: 20250729_DN_Anno_engl

Contact for questions:
GBC AG
Halderstraße 27
86150 Augsburg
0821 / 241133 0
research@gbc-ag.de

++++++++++++++++

Offenlegung möglicher Interessenskonflikte nach § 85 WpHG und Art. 20 MAR
Beim oben analysierten Unternehmen ist folgender möglicher
Interessenkonflikt gegeben: (5a,11); Einen Katalog möglicher
Interessenkonflikte finden Sie unter: http://www.gbc-ag.de/de/Offenlegung

+++++++++++++++
Completion (german): 28.07.2025 (11:47 am)
First disclosure (german): 28.07.2025 (2:30 pm)
Completion (engl): 29.07.2025 (09:45 am)
First disclosure (engl): 29.07.2025 (11:00 am)