3i Group earns Deutsche Bank price target lift following £660m Action deal

What Brokers Say Finance Written by: Ian Lyall 12:30 Fri 28 Aug 2026 --> Edited by: Jamie Ashcroft Disclaimer No investment advice About this content Editorial Standards & Policies Share article About this content × About Ian Lyall Ian Lyall, a seasoned journalist and editor, brings over three decades of experience to his role as Managing Editor at Proactive. Overseeing Proactive's editorial and broadcast operations across six offices on three continents, Ian is responsible for quality control, editorial policy, and content production. He directs the creation of 50,000 pieces of real-time news, feature articles, and filmed interviews annually. Prior to Proactive, Ian helped lead the business output at the Daily... Read more About the publisher Proactive financial news and online broadcast teams provide fast, accessible, informative and actionable business and finance news content to a global investment audience. All our content is produced independently by our experienced and qualified teams of news journalists. Proactive news team spans the world’s key finance and investing hubs with bureaus and studios in London, New York, Toronto, Vancouver, Sydney and Perth. We are experts in medium and small-cap markets, we also keep our community up to date with blue-chip companies, commodities and broader investment stories. This is content that excites and engages motivated private investors. The team delivers news and unique insights across the market including but not confined to: biotech and pharma, mining and natural resources, battery metals, oil and gas, crypto and emerging digital and EV technologies. Use of technology Proactive has always been a forward looking and enthusiastic technology adopter. Our human content creators are equipped with many decades of valuable expertise and experience. The team also has access to and use technologies to assist and enhance workflows. Proactive will on occasion use automation and software tools, including generative AI. Nevertheless, all content published by Proactive is edited and authored by humans, in line with best practice in regard to content production and search engine optimisation. 3i Group PLC ( LSE:III ) View Price & Profile 3i Group earns Deutsche Bank price target lift following £660m Action deal Published: 12:30 28 Aug 2026 BST 3i Group PLC (LSE:III) successfully increased its core stake in retail business Action following a new share issuance and saw its forecasts updated by Deutsche Bank. The investment firm traded steadily at 2,822p as the broker maintained a 'buy' rating and raised its target price from 3,527p to 3,570p. At the heart of the latest update is a direct transaction where the group issued 21 million new shares at a net asset value of £31.30. That specific issuance secures an additional 1.8% equity stake in Action, reflecting an existing investor’s desire to increase the liquidity of their holding. Crucially, those newly issued shares are subject to a standard nine-month lock-up agreement. The £660 million value of the new issuance largely offsets the share count reduction expected from a £750 million share buyback. Because the active buyback operates below net asset value while new shares were issued precisely at net asset value, analysts infer immediate value creation. In the same note, the broker highlighted that net asset value is unchanged despite a higher absolute amount driven by increased ownership on a larger share count. Updating its financial models, the bank raised its forecast for Action's financial year 2026 comparable sales growth from 3.5% to 4.3%. That shift coincides with the expected new space contribution falling to 9.4%, while overall EBITDA is projected to increase by 2% to €2,703 million. Looking beyond these immediate operational revisions, the analysts concluded that only very limited changes were applied to the outer-year forecasts within the wider valuation model. Continue reading