The markets reacted positively to the initiative of Amber Fund CEO Joseph Ugurlyan, who recently noted in an interview Bloomberg this is I want Indra to be divided into two different companies. On the one hand, the division of digital transformation and information technology (Missayt), and on the other, the division of transport and defense.

Ugurlyan’s proposal to secede from Minsayt has been lauded by analysts and investors who understand that “spin-offs” of divisions or subsidiaries of the same group have traditionally proven to be value generators for shareholders and investors.

As President Amber explained, with this movement only the digital transformation and information technology division could achieve market valuations between 1,500 and 2,000 million euros compared to Indra’s stock market capitalization of about 1,650 million.

Recently, some analysts and investment companies supported this initiative.. Thus, Manuel Lorente, an analyst at Mirabaud, notes that this operation is an interesting opportunity to assess the potential of different Indra businesses, since there is practically no synergy between the two divisions of the company.

For his part, Juan Peña, an analyst at GVC Gaesco, stated that being in the same group with Indra (given the presence in the capital of his state) can become an obstacle for the Minsight to access certain types of clients, especially private companies.

Same way, Oddo analysts estimate that the spin-off of Minsait could lead to a potential overvaluation of the business by up to 70%.. And Bestinver Securities believes this move could allow both companies (Minsait on the one hand and Transport and Defense on the other) to trade at the level of their competitors. And this will give a joint estimate of about 3 billion euros.

The change in Indra’s stake, this time by Goldman Sachs, is indicative of the market giant’s commitment to operations. Goldman Sachs recently increased its stake in Indra by 3.7% after increasing its direct weight by 2.87%, with the remaining 0.9% in derivatives. The US firm has nearly tripled its weight in the company since late June last year.and became one of the main shareholders after SEPI (25.2%), Fidelity (9.9%), Amber Capital (5.1%) and SAPA (5%).

Most significant is that this stake increase in Indra comes in a share price growth scenario companies. Joseph Ogurlian’s commitment to splitting Minsait to optimize the company’s value seems to be the key to this move.