NLB d.d.

NLB position long Gavin Baker, Atreides Management

Thesis

NLB was initiated as a position during its IPO in November 2018 due to a compelling setup where the Slovenian government was under pressure to sell a stake in a cleaned-up bank. The bank's valuation at around 7x earnings and a dividend yield above 7% presents a significant margin of safety relative to intrinsic value, especially with excess capital expected to be returned to shareholders or used for M&A.

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