Magnora ASA - At the forefront of the green transition

[Northern_Crow]

I wouldn’t say that Magnora has demonstrated any significant long-term value creation capability. The company seems to follow hot trend markets behind the curve by quickly building a nominally large project portfolio in them. What the quality and marketability of such project portfolios actually are is, once again, the Wild West to validate from the outside with these data points. The entire portfolio might contain assets that fundamentally will not receive grid connections unless they get lucky along the way. In Magnora’s case, the track record for sales doesn’t look very convincing, which strongly suggests portfolio inflation/overpitching. If a portfolio has enough quality, it will definitely sell. However, in these markets, it tends to be the case that the best developers are ahead of the curve and pick their project opportunities when the market isn’t hot yet. In other words, they should have gotten into the data center side properly ahead of the curve in, say, 2022 rather than 2025.