Korea/Asia, Events, IPOs, Douglas Research Advisory

Douglas Kim

Korea/Asia, Events, IPOs

Douglas Research Advisory

Event-Driven

<ul>
<li>On 28 August, Samsung Biologics (207940 KS) announced a rights offering capital raise worth nearly 3 trillion won.</li>
<li>Samsung Biologics has shifted its funding strategy for the acquisition of the Swiss CDMO firm PolyPeptide from relying on existing cash reserves and borrowing to prioritizing a capital increase.</li>
<li>Final pricing of this rights offering will be confirmed on 4 November. Despite some near term negative outlook, I think there could be some trading opportunity on this rights offering.</li>
</ul>


On 28 August, Samsung Biologics (207940 KS) announced a rights offering capital raise worth nearly 3 trillion won.
Samsung Biologics has shifted its funding strategy for the acquisition of the Swiss CDMO firm PolyPeptide from relying on existing cash reserves and borrowing to prioritizing a capital increase.
Final pricing of this rights offering will be confirmed on 4 November. Despite some near term negative outlook, I think there could be some trading opportunity on this rights offering.


Samsung Biologics - Impact of 3 Trillion Won in Rights Offering Capital Raise

Pan-Asia Index Rebalances/ Events/ Delta One, Periscope Analytics

Brian Freitas

Pan-Asia Index Rebalances/ Events/ Delta One

Periscope Analytics

Periscope Analytics focuses on event-driven trades across Asia Pacific and provides comprehensive, timely and systematic coverage of index changes to major Asia Pacific indices in a structured manner.

The analysis includes forecasted inclusions and exclusions to all major Asian indices that have significant amount of tracking assets, including estimates of passive buy/sell flow on the stocks. The service also provides commentary and impact of market consultations, ground rule changes, and other events (IPOs, spin-offs, M&A) that could lead to index changes and passive flow.

Periscope Analytics works with multi-strategy hedge funds, proprietary trading firms, stat arb trading groups and long-only investors that invest and trade in the Asia Pacific region with the data being used to trade index rebalances, avoid pre-positioning and passive flow, and to time entry into and exit from stocks.

Event-Driven Trades Across Asia Pacific

Korea Stock Exchange KOSPI 200 / Event-Driven

Korea Stock Exchange KOSPI 200 (KOSPI2 INDEX EQUITY)

<ul>
<li>Since short selling was banned in November 2023, short interest has plunged in Korea as shorts were covered. Markets have not done much over the last 16 months though. </li>
<li>Foreign investor holdings have dropped from 32.05% in July to 28.57%. The top 25 stocks bought by foreign investors outperformed the top 25 stocks sold by 128% in 16 months.</li>
<li>There will be trade opportunities across indices, pref/ords, index migrations and deletions, potential market upgrades and overvalued stocks being sold.</li>
</ul>


Since short selling was banned in November 2023, short interest has plunged in Korea as shorts were covered. Markets have not done much over the last 16 months though. 
Foreign investor holdings have dropped from 32.05% in July to 28.57%. The top 25 stocks bought by foreign investors outperformed the top 25 stocks sold by 128% in 16 months.
There will be trade opportunities across indices, pref/ords, index migrations and deletions, potential market upgrades and overvalued stocks being sold.


Korea: Short Selling Is Back in March; Trade Ideas

Global Healthcare Analyst

Tina Banerjee

Equity Bottom-Up

<ul>
<li>
<a href="https://www.smartkarma.com/entities/samsung-biologics-co-ltd" target="_blank" data-smartkarma-citation="entities:22932:1" rel="noopener">Samsung Biologics (207940 KS)</a> reported 2Q26 revenue and operating profit of KRW1.3T (+30% YoY) and KRW586B (+23% YoY), driven by stable operations across Plants 1–4 and favorable Fx.</li>
<li>The company is on track to meet the upper end of FY guidance range, driven by stable operation of Rockville facility, progressive ramp-up of Plant 5, and favorable Fx.</li>
<li>Samsung Biologics announced all-cash public tender offer to acquire PolyPeptide, a leading global CDMO specializing in peptide-based API, for CHF1.5B. The transaction is expected to be completed this year.</li>
</ul>



Samsung Biologics (207940 KS) reported 2Q26 revenue and operating profit of KRW1.3T (+30% YoY) and KRW586B (+23% YoY), driven by stable operations across Plants 1–4 and favorable Fx.
The company is on track to meet the upper end of FY guidance range, driven by stable operation of Rockville facility, progressive ramp-up of Plant 5, and favorable Fx.
Samsung Biologics announced all-cash public tender offer to acquire PolyPeptide, a leading global CDMO specializing in peptide-based API, for CHF1.5B. The transaction is expected to be completed this year.


Samsung Biologics (207940 KS): Robust 2Q Result; New Acquisition to Expand Modality into Peptides

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.

<ul>
<li>We're starting to see some local market players getting ready and setting up trades that bet on a potential split for Samsung Electronics.</li>
<li>Samsung could leverage the buzz around spinning off its foundry business to split key units—foundry, memory chips, and others—into two or three separate companies at the shareholder meeting.</li>
<li>Additionally, the valuation gap between Samsung Electronics and Biologics has narrowed more than it has in the last decade, making it an even more attractive opportunity.</li>
</ul>


We're starting to see some local market players getting ready and setting up trades that bet on a potential split for Samsung Electronics.
Samsung could leverage the buzz around spinning off its foundry business to split key units—foundry, memory chips, and others—into two or three separate companies at the shareholder meeting.
Additionally, the valuation gap between Samsung Electronics and Biologics has narrowed more than it has in the last decade, making it an even more attractive opportunity.


Surging Buzz Around the Potential Split of Samsung Electronics

Korea Stock Exchange Kospi Index / Event-Driven

Korea Stock Exchange Kospi Index (KOSPI INDEX)

<ul>
<li>Media reports indicate that the National Pension Service (NPS) could invest up to KRW 11tn (US$8.2bn) in a new index tracking stocks with low Price to Book ratios.</li>
<li>Filtering stocks with market cap higher than US$500m, ADTV of atleast US$1m, div yield of atleast 1.5% and Price to Book less than 1 throws up 94 potential index candidates.</li>
<li>Choosing an index of 50 stocks will require managers to buy between 1.7-3.4% of the float on the stocks. Increasing the number of constituents will reduce the impact.</li>
</ul>


Media reports indicate that the National Pension Service (NPS) could invest up to KRW 11tn (US$8.2bn) in a new index tracking stocks with low Price to Book ratios.
Filtering stocks with market cap higher than US$500m, ADTV of atleast US$1m, div yield of atleast 1.5% and Price to Book less than 1 throws up 94 potential index candidates.
Choosing an index of 50 stocks will require managers to buy between 1.7-3.4% of the float on the stocks. Increasing the number of constituents will reduce the impact.


Korea Value-Up Index: Probable Constituents & Impact of NPS' US$8.2bn Allocation

South Korea

Samsung Biologics Co.,Ltd. manufactures bio-healthcare products. The Company develops, refines, and distributes biopharmaceutical products.

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

Samsung Biologics (207940 KS)

Samsung Biologics - Impact of 3 Trillion Won in Rights Offering Capital Raise

On 28 August, Samsung Biologics (207940 KS) announced a rights offering capital raise worth nearly 3 trillion won, mainly to fund the acquisition...

Douglas Kim

Korea: Short Selling Is Back in March; Trade Ideas

Short selling in Korea commences from Monday. There will be a lot of interest in shorting stocks/sectors depending on how they have performed since...

Brian Freitas