Korea / Special Situations, Clepsydra Capital

Sanghyun Park

Korea / Special Situations

Korea / Special Sits, Pairs, Index Rebalancing

Clepsydra Capital

Investigate special situations, pairs, and index rebalancing trades in Korea.

Event-Driven

<ul>
<li>MBK launches a tender offer to acquire 14.6% of Korea Zinc at ₩660,000 per share, a ₩2T deal with an 18.7% premium. Offer runs from September 13 to October 4.</li>
<li>On top of that, MBK’s also rolling out a tender offer for Young Poong Precision at ₩20,000 per share—a hefty 113% premium over yesterday’s close.</li>
<li>Spread action is possible if the Choi family counters, driving volatility. The market’s watching for a higher bid, which could create trading opportunities amid rising spread volatility.</li>
</ul>


MBK launches a tender offer to acquire 14.6% of Korea Zinc at ₩660,000 per share, a ₩2T deal with an 18.7% premium. Offer runs from September 13 to October 4.
On top of that, MBK’s also rolling out a tender offer for Young Poong Precision at ₩20,000 per share—a hefty 113% premium over yesterday’s close.
Spread action is possible if the Choi family counters, driving volatility. The market’s watching for a higher bid, which could create trading opportunities amid rising spread volatility.


MBK’s Dual Tenders for Korea Zinc and Youngpoong Precision: The Largest Deal Ever in Korea

<ul>
<li>The momentum for getting ahead on positions with KOSPI 200 rebalancing is holding steady. With around 60% of the screening period behind us, it’s time to start preparing our positions.</li>
<li>The current rebalancing's screened changes have a relatively lower price volatility, suggesting a stronger chance for more aggressive position build-up now compared to previous rebalancings.</li>
<li>Trading volumes vary greatly among these changes, affecting their passive impact sizes. Consider using different weights in basket trading instead of equal weights.</li>
</ul>


The momentum for getting ahead on positions with KOSPI 200 rebalancing is holding steady. With around 60% of the screening period behind us, it’s time to start preparing our positions.
The current rebalancing's screened changes have a relatively lower price volatility, suggesting a stronger chance for more aggressive position build-up now compared to previous rebalancings.
Trading volumes vary greatly among these changes, affecting their passive impact sizes. Consider using different weights in basket trading instead of equal weights.


KOSPI 200 December Rebalancing: Key Points to Watch for in Proactive Position Build-Up

<ul>
<li>The market is watching closely for when Hyundai Motor might sell its 5% stake in Korea Zinc, with the lockup ending on October 7th.</li>
<li>Hyundai might mediate to end the lawsuit and lift the injunction, potentially agreeing to sell the stake to a third party or on the market.</li>
<li>The uncertainty around Hyundai’s Korea Zinc stake sale makes trading challenging, but its actions in Q4 could significantly affect Korea Zinc’s stock price and create trading opportunities.</li>
</ul>


The market is watching closely for when Hyundai Motor might sell its 5% stake in Korea Zinc, with the lockup ending on October 7th.
Hyundai might mediate to end the lawsuit and lift the injunction, potentially agreeing to sell the stake to a third party or on the market.
The uncertainty around Hyundai’s Korea Zinc stake sale makes trading challenging, but its actions in Q4 could significantly affect Korea Zinc’s stock price and create trading opportunities.


Trading Situation for Hyundai Motor's 5% Stake in Korea Zinc, Set to Be Unlocked in October

Korea/Asia, Events, IPOs, Douglas Research Advisory

Douglas Kim

Korea/Asia, Events, IPOs

Douglas Research Advisory

Equity Bottom-Up

<ul>
<li>On 7 August, Korea Zinc (010130 KS) announced several impressive capital return plan that should help to increase shareholder value.</li>
<li>The separation of Korea Zinc between the Choi and Jang families has been in progress in the past several years. The exact timing of when this occurs remains uncertain. </li>
<li>Our NAV Analysis of Young Poong is NAV per share of 470,065 won, representing a 52% upside from current levels. </li>
</ul>


On 7 August, Korea Zinc (010130 KS) announced several impressive capital return plan that should help to increase shareholder value.
The separation of Korea Zinc between the Choi and Jang families has been in progress in the past several years. The exact timing of when this occurs remains uncertain. 
Our NAV Analysis of Young Poong is NAV per share of 470,065 won, representing a 52% upside from current levels. 


Korea Zinc: Impressive Capital Return Plans and a Big Price Gap Between Korea Zinc and Young Poong

<ul>
<li>We discuss the potential additions and deletions to KOSPI 200 in December 2024 amid big declines in share prices of many stocks in KOSPI in the past week.</li>
<li>The eight potential additions are up on average 8.5% from end of 2023. The eight potential deletion candidates are down on average 39.1% YTD.</li>
<li>The average market cap of the seven potential additions is 1.9 trillion won. The average market cap of the seven potential deletion candidates is 0.6 trillion won.</li>
</ul>


We discuss the potential additions and deletions to KOSPI 200 in December 2024 amid big declines in share prices of many stocks in KOSPI in the past week.
The eight potential additions are up on average 8.5% from end of 2023. The eight potential deletion candidates are down on average 39.1% YTD.
The average market cap of the seven potential additions is 1.9 trillion won. The average market cap of the seven potential deletion candidates is 0.6 trillion won.


Potential Additions and Deletions to KOSPI 200 in December 2024 Amid Market Downturn

South Korea

Young Poong Corporation produces and markets non-ferrous metals, such as zinc ingots, sulfate, and cadmium.  The Company also generates income from leasing buildings.

Price Gauge
52-week Range	0.00 - 0.00
Market Cap (USDm)	0.00
P/E	0.00
Dividend (Yield)	0.00

Young Poong (000670 KS)

MBK’s Dual Tenders for Korea Zinc and Youngpoong Precision: The Largest Deal Ever in Korea

This post details MBK Parnters' dual tender offers for Korea Zinc and Youngpoong Precision, which is the largest deal ever in Korea’s stock market...

Sanghyun Park

KOSPI 200 December Rebalancing: Key Points to Watch for in Proactive Position Build-Up

This post previews the KOSPI 200 December rebalancing and discusses key points for proactive position build-up, now that 60% of the screening...

Sanghyun Park

Trading Situation for Hyundai Motor's 5% Stake in Korea Zinc, Set to Be Unlocked in October

This post explores the Korea Zinc proxy battle and examines how Hyundai Motor's 5% stake, set to be released in October, factors into the mix.

Sanghyun Park

Korea Zinc: Impressive Capital Return Plans and a Big Price Gap Between Korea Zinc and Young Poong

Korea Zinc announces capital return plan to increase shareholder value, while separation between Choi and Jang families continues with uncertain...

Douglas Kim

Potential Additions and Deletions to KOSPI 200 in December 2024 Amid Market Downturn

We discuss the potential additions and deletions to KOSPI 200 in December 2024 amid big declines in share prices of many stocks in KOSPI in the...

Douglas Kim

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)

MBK’s Dual Tenders for Korea Zinc and Youngpoong Precision: The Largest Deal Ever in Korea

This post details MBK Parnters' dual tender offers for Korea Zinc and Youngpoong Precision, which is the largest deal ever in Korea’s stock market...

Sanghyun Park

KOSPI 200 December Rebalancing: Key Points to Watch for in Proactive Position Build-Up

This post previews the KOSPI 200 December rebalancing and discusses key points for proactive position build-up, now that 60% of the screening...

Sanghyun Park

Trading Situation for Hyundai Motor's 5% Stake in Korea Zinc, Set to Be Unlocked in October

This post explores the Korea Zinc proxy battle and examines how Hyundai Motor's 5% stake, set to be released in October, factors into the mix.

Sanghyun Park

Korea Zinc: Impressive Capital Return Plans and a Big Price Gap Between Korea Zinc and Young Poong

​Korea Zinc announces capital return plan to increase shareholder value, while separation between Choi and Jang families continues with uncertain...

Douglas Kim

Potential Additions and Deletions to KOSPI 200 in December 2024 Amid Market Downturn

We discuss the potential additions and deletions to KOSPI 200 in December 2024 amid big declines in share prices of many stocks in KOSPI in the...

Douglas Kim

Korea Zinc announces capital return plan to increase shareholder value, while separation between Choi and Jang families continues with uncertain...