DAVY VIEW

SIG has proved to be an immense challenge for a number of management teams over the last decade and longer. This challenge is now all the more daunting due to COVID-19 but the disposal of the group’s air handling business and the intention to raise £150m in equity will provide SIG with a much-needed financial firewall. The recently appointed CEO has outlined his strategy for the business and, on first take, it appears reasonable with a refocusing on sales. However, with SIG it is a case of “we have been here before” and caution is understandable. Clearly, delivery of its strategy will determine whether SIG remains a value trap or has a sustainable, independent future.