Pan-Asia Catalysts/Events, Quiddity Advisors

David Blennerhassett

Pan-Asia Catalysts/Events

Quiddity Advisors

Event-Driven

<ul>
<li>On the 28th Feb, PE-outfit CVC Asia Pacific bumped its NBIO to <a href="https://cdn-api.markitdigital.com/apiman-gateway/ASX/asx-research/1.0/file/2924-02778428-6A1195770" target="_blank" rel="noopener">A$2.00/share</a>, and was granted exclusive due diligence. On the 27th Mar, CVC said they were "<a href="https://announcements.asx.com.au/asxpdf/20240327/pdf/061xfbbszqpqm4.pdf" target="_blank" rel="noopener">unable to proceed</a>". </li>
<li>Today, the 8th April, Madison Dearborn Partners, holding ~29%, has pitched an non-indicative, non-binding Offer at A$1.40/share, in cash, by way of a Scheme. An unlisted scrip option is available.</li>
<li>A key condition is <a href="https://www.smartkarma.com/entities/apm-human-services-internation" target="_blank" data-smartkarma-citation="entities:34808:1" rel="noopener">APM Human Services (APM AU)</a>'s executive-chair Megan Wynne, founding related parties, and key management, electing scrip. The Independent Board Committee reckons the Offer Price is disappointing.</li>
</ul>


On the 28th Feb, PE-outfit CVC Asia Pacific bumped its NBIO to A$2.00/share, and was granted exclusive due diligence. On the 27th Mar, CVC said they were "unable to proceed". 
Today, the 8th April, Madison Dearborn Partners, holding ~29%, has pitched an non-indicative, non-binding Offer at A$1.40/share, in cash, by way of a Scheme. An unlisted scrip option is available.
A key condition is APM Human Services (APM AU)'s executive-chair Megan Wynne, founding related parties, and key management, electing scrip. The Independent Board Committee reckons the Offer Price is disappointing.


APM (APM AU): Madison Dearborn's "Disappointing" NBIO

IPOs and Catalysts/Events, Global Equity Research Ltd

Arun George

IPOs and Catalysts/Events

Uncompromised, Independent, Conflict-Free Research

Global Equity Research Ltd

Global Equity Research was started in 2017 by a group of experienced research professionals. It was founded on a passionate belief in the importance and the need for uncompromised, independent, conflict-free research. We aim to provide differentiated and actionable primary and bottom up fundamental research.

<ul>
<li>We summarise the latest spreads and newsflow of merger arb situations we cover across Hong Kong, Australia, New Zealand, Singapore, Japan, Indonesia, Malaysia, Philippines, Thailand and Chinese ADRs.</li>
<li>Highest spreads: <a href="https://www.smartkarma.com/entities/apm-human-services-internation" target="_blank" data-smartkarma-citation="entities:34808:1" rel="noopener">APM Human Services Internation (APM AU)</a>, <a href="https://www.smartkarma.com/entities/chilled-frozen-logistics-holdings-co-ltd" target="_blank" data-smartkarma-citation="entities:40987:1" rel="noopener">Chilled &amp; Frozen Logistics Holdings (9099 JP)</a>, <a href="https://www.smartkarma.com/entities/qantm-intellectual-property" target="_blank" data-smartkarma-citation="entities:24317:1" rel="noopener">Qantm Intellectual Property (QIP AU)</a>, <a href="https://www.smartkarma.com/entities/genex-power-ltd" target="_blank" data-smartkarma-citation="entities:29079:1" rel="noopener">Genex Power Ltd (GNX AU)</a>, <a href="https://www.smartkarma.com/entities/probiotec-ltd" target="_blank" data-smartkarma-citation="entities:12047:1" rel="noopener">Probiotec Ltd (PBP AU)</a>. 
</li>
<li>Lowest spreads: <a href="https://www.smartkarma.com/entities/roland-dg-corp" target="_blank" data-smartkarma-citation="entities:10653:1" rel="noopener">Roland DG Corp (6789 JP)</a>, <a href="https://www.smartkarma.com/entities/tietto-minerals-ltd" target="_blank" data-smartkarma-citation="entities:28006:1" rel="noopener">Tietto Minerals Ltd (TIE AU)</a>, <a href="https://www.smartkarma.com/entities/cpmc-holdings-ltd" target="_blank" data-smartkarma-citation="entities:10427:1" rel="noopener">CPMC Holdings (906 HK)</a>, <a href="https://www.smartkarma.com/entities/pact-group-holdings-ltd" target="_blank" data-smartkarma-citation="entities:692:1" rel="noopener">Pact Group Holdings (PGH AU)</a>, <a href="https://www.smartkarma.com/entities/vinda-international-holdings-limited" target="_blank" data-smartkarma-citation="entities:475:1" rel="noopener">Vinda International (3331 HK)</a>, <a href="https://www.smartkarma.com/entities/snow-peak-inc" target="_blank" data-smartkarma-citation="entities:7218:1" rel="noopener">Snow Peak Inc (7816 JP)</a>.</li>
</ul>


We summarise the latest spreads and newsflow of merger arb situations we cover across Hong Kong, Australia, New Zealand, Singapore, Japan, Indonesia, Malaysia, Philippines, Thailand and Chinese ADRs.
Highest spreads: APM Human Services Internation (APM AU), Chilled &amp; Frozen Logistics Holdings (9099 JP), Qantm Intellectual Property (QIP AU), Genex Power Ltd (GNX AU), Probiotec Ltd (PBP AU). 

Lowest spreads: Roland DG Corp (6789 JP), Tietto Minerals Ltd (TIE AU), CPMC Holdings (906 HK), Pact Group Holdings (PGH AU), Vinda International (3331 HK), Snow Peak Inc (7816 JP).


Merger Arb Mondays (25 Mar) - APM, Genex, C&F Logistics, Roland DG, IntelliCentrics, China TCM

<ul>
<li>
<a href="https://www.smartkarma.com/entities/apm-human-services-internation" target="_blank" data-smartkarma-citation="entities:34808:1" rel="noopener">APM Human Services Internation (APM AU)</a>’s revised non-binding proposal from CVC is A$2.00 per share, a 141.0% premium to the undisturbed price of A$0.83 per share (16 February).</li>
<li>CVC has been granted a four-week exclusivity period to 27 March. The proposal allows shareholders to receive scrip in an unlisted HoldCo. The Board will recommend a binding proposal.</li>
<li>While not a knockout offer, a concentrated and seemingly supportive shareholder register facilitates a binding proposal. At the last close, the gross spread was 25.0%.  </li>
</ul>



APM Human Services Internation (APM AU)’s revised non-binding proposal from CVC is A$2.00 per share, a 141.0% premium to the undisturbed price of A$0.83 per share (16 February).
CVC has been granted a four-week exclusivity period to 27 March. The proposal allows shareholders to receive scrip in an unlisted HoldCo. The Board will recommend a binding proposal.
While not a knockout offer, a concentrated and seemingly supportive shareholder register facilitates a binding proposal. At the last close, the gross spread was 25.0%.  


APM (APM AU): CVC’s Revised Non-Binding Proposal at A$2.00

<ul>
<li>Back on the 19th Feb, employment and disability services play <a href="https://www.smartkarma.com/entities/apm-human-services-internation" target="_blank" data-smartkarma-citation="entities:34808:1" rel="noopener">APM Human Services Internation (APM AU)</a> rejected PE-outfit CVC Asia Pacific's A$1.60 proposal, a 93% premium to undisturbed.</li>
<li>Undeterred, CVC has <a href="https://cdn-api.markitdigital.com/apiman-gateway/ASX/asx-research/1.0/file/2924-02778428-6A1195770" target="_blank" rel="noopener">returned</a> with A$2.00/share indicative Offer, by way of a Scheme, a 141% premium to undisturbed; yet a 44% discount to APM's November 2021 IPO price of A$3.55/share.</li>
<li>APM has determined it will engage and provide CVC with a four-week period of exclusivity. </li>
</ul>


Back on the 19th Feb, employment and disability services play APM Human Services Internation (APM AU) rejected PE-outfit CVC Asia Pacific's A$1.60 proposal, a 93% premium to undisturbed.
Undeterred, CVC has returned with A$2.00/share indicative Offer, by way of a Scheme, a 141% premium to undisturbed; yet a 44% discount to APM's November 2021 IPO price of A$3.55/share.
APM has determined it will engage and provide CVC with a four-week period of exclusivity. 


APM Human Services (APM AU): CVC's 141% Offer Premium

<ul>
<li>Employment and disability services play <a href="https://www.smartkarma.com/entities/apm-human-services-internation" target="_blank" data-smartkarma-citation="entities:34808:1" rel="noopener">APM Human Services (APM AU)</a> has rejected PE-outfit CVC Asia Pacific's proposal, which valued APM at less than half of its November 2021 IPO price.</li>
<li>APM confirmed it had received - on Friday, 16 February - a conditional and non-binding A$1.60/share indicative proposal. That's a 93% premium to undisturbed. Yet, APM's IPO Price was A$3.55/share.</li>
<li>CVC - and other suitors - need to persuade executive chair and founder Megan Wynne and US private equity group Madison Dearborn, who collectively control ~65% of the company.</li>
</ul>


Employment and disability services play APM Human Services (APM AU) has rejected PE-outfit CVC Asia Pacific's proposal, which valued APM at less than half of its November 2021 IPO price.
APM confirmed it had received - on Friday, 16 February - a conditional and non-binding A$1.60/share indicative proposal. That's a 93% premium to undisturbed. Yet, APM's IPO Price was A$3.55/share.
CVC - and other suitors - need to persuade executive chair and founder Megan Wynne and US private equity group Madison Dearborn, who collectively control ~65% of the company.


APM Human Services (APM AU) Rejects CVC's NBIO

Australia

APM Human Services International Limited provides management consulting services. The Company offers training, professional development, and career advancing learning programs. APM Human Services International serves customers worldwide.

APM Human Services (APM AU)

APM (APM AU): Madison Dearborn's "Disappointing" NBIO

CVC walked as they clearly didn't like what they saw. I don't see Wynne throwing her weight behind this proposal. Especially as the IBC has already...

David Blennerhassett

Merger Arb Mondays (25 Mar) - APM, Genex, C&F Logistics, Roland DG, IntelliCentrics, China TCM

This week, the highest gross spreads are APM (20.1%), C and F Logistics (18.1%), Qantm IP (17.2%), Genex (10.0%), Probiotec (9.4%), QV Equities...

Arun George

APM (APM AU): CVC’s Revised Non-Binding Proposal at A$2.00

While not a knockout offer, a concentrated and seemingly supportive shareholder register facilitates a binding proposal. At the last close, the...

Arun George