The Point for CEEMEA

Research evidence excerpt

The Point for CEEMEA

Point |

Friday, 17 July 2026

MENA | Emerging Europe | Sector | Strategy & Economics | Commodities | Fixed Income & FX | Key

Rating and Target Price Changes

MENA Must Read

East African Breweries PLC (EABL.NR) - Model Update Emerging Markets Economic Outlook

We update our EABL model to reflect 1H26 results and mark-to-market for FX. We & Strategy - One Shock to the Next –

are awaiting approval for the sale of Diageo's stake in EABL to Asahi for $2.3bn. We Macro Impact of El Niño on EM

roll over our DCF and update our PE valuation for latest peer multiples, which,

alongside the increased estimates, prompt an upgraded target price of KES275

(from KES230). We maintain our Neutral rating.

Simon Hales

Emerging Europe

Poland Electric Utilities - Feedback from Meeting with the President of Energy

Regulatory Office

We met with Mrs Renata Mroczek, president of Polish Energy Regulatory Office

(URE). Our overall conclusion from the meeting is that the future regulatory

environment in Poland is not going to be as easy as currently appears for electric

utilities while gas and heating tariffs seem to have less risk. Key conclusions: 1)

WACC for distribution is likely to come down beyond 2028 in order to reflect less

expensive KPO related funding costs, 2) There is no imminent introduction of cost

benchmarks for electricity distribution that would enable sector to reduce opex

and keep some of the efficiencies, 3) Retail tariffs reflect balancing costs based on

URE internal calculations and URE expects companies to achieve better costs in

this area, 4) Tariffs for gas are bound to reflect TGE benchmarks and therefore

Orlen will keep HH-TTF upside benefit, 5) Heating price benchmarks will continue

to benefit new efficient units.

Piotr Dzieciolowski