Citi analysts advised a measured approach to the planned sale of approximately A$800 million in non-core property assets by Entertainment and Travel Group (ASX: EVT), citing rising development and financing costs as key risks to valuation.
The brokerage noted that executing the divestment on a value-first basis over the coming years would require patience, particularly as higher input costs and tighter credit conditions could compress buyer pricing power. Citi also highlighted the possibility of structural changes to EVT’s business as part of the broader asset rationalization strategy.
EVT’s shares have gained 22.1% year-to-date through the last close, reflecting investor optimism despite the operational challenges outlined in the asset sale plan.
