Pan-Asia Catalysts/Events, Quiddity Advisors

David Blennerhassett

Pan-Asia Catalysts/Events

Quiddity Advisors

Event-Driven

<ul>
<li>
<a href="https://www.smartkarma.com/entities/jardine-cycle-carriage-ltd" target="_blank" data-smartkarma-citation="entities:347:1" rel="noopener">Jardine Cycle &amp; Carriage (JCNC SP)</a>'s implied stub value is around its highest-ever level, dating back to 2004. </li>
<li>The simple ratio of JCNC/ <a href="https://www.smartkarma.com/entities/astra-international-tbk-pt" target="_blank" data-smartkarma-citation="entities:46:1" rel="noopener">Astra International (ASII IJ)</a> is also the highest level outside the brief spikes post-Covid and during the 2008 GFC.</li>
<li>There is no apparent justification for the current valuation. And a takeover from <a href="https://www.smartkarma.com/entities/jardine-matheson-holdings-ltd" target="_blank" data-smartkarma-citation="entities:19718:1" rel="noopener">Jardine Matheson Holdings (JM SP)</a> at these levels appears unrealistic. </li>
</ul>



Jardine Cycle &amp; Carriage (JCNC SP)'s implied stub value is around its highest-ever level, dating back to 2004. 
The simple ratio of JCNC/ Astra International (ASII IJ) is also the highest level outside the brief spikes post-Covid and during the 2008 GFC.
There is no apparent justification for the current valuation. And a takeover from Jardine Matheson Holdings (JM SP) at these levels appears unrealistic. 


Equity Bottom-Up

Mandarin Oriental International / Equity Bottom-Up

<ul>
<li>Hong Kong is - very gradually - rolling back Covid restrictions</li>
<li>That's a welcome relief for tourists, and for hospitality companies dependent on tourism. </li>
<li>
<a href="https://www.smartkarma.com/entities/mandarin-oriental-international-ltd" target="_blank" data-smartkarma-citation="entities:4773:1" rel="noopener">Mandarin Oriental International (MAND SP)</a> is trading cheap at 0.7x P/B against 1.8x on average (five years) pre-Covid.</li>
</ul>


Hong Kong is - very gradually - rolling back Covid restrictions
That's a welcome relief for tourists, and for hospitality companies dependent on tourism. 

Mandarin Oriental International (MAND SP) is trading cheap at 0.7x P/B against 1.8x on average (five years) pre-Covid.


Mandarin Oriental (MAND SP): Life Is Suite

<ul>
<li>
<a href="https://www.smartkarma.com/entities/jardine-cycle-carriage-ltd" target="_blank" data-smartkarma-citation="entities:347:1" rel="noopener">Jardine Cycle &amp; Carriage (JCNC SP)</a>'s current implied stub value is around its highest-ever level.</li>
<li>The simple ratio of JCNC/<a href="https://www.smartkarma.com/entities/astra-international-tbk-pt" target="_blank" data-smartkarma-citation="entities:46:1" rel="noopener">Astra International (ASII IJ)</a> is around its highest level outside the 2008 GFC.</li>
<li>A weak Indonesian rupiah is likely a factor. Still, JCNC is trading rich to its NAV. A takeover from parent <a href="https://www.smartkarma.com/entities/jardine-matheson-holdings-ltd" target="_blank" data-smartkarma-citation="entities:19718:1" rel="noopener">Jardine Matheson Holdings (JM SP)</a> is idealistic.</li>
</ul>



Jardine Cycle &amp; Carriage (JCNC SP)'s current implied stub value is around its highest-ever level.
The simple ratio of JCNC/Astra International (ASII IJ) is around its highest level outside the 2008 GFC.
A weak Indonesian rupiah is likely a factor. Still, JCNC is trading rich to its NAV. A takeover from parent Jardine Matheson Holdings (JM SP) is idealistic.


External broker reports(aggregated public sources), UOB Kay Hian

UOB Kay Hian

External broker reports(aggregated public sources)

Backed by the UOB Group, UOB Kay Hian is one of Asia’s largest brokerage firms. Headquartered in Singapore, we are supported by more than 80 branches worldwide including a growing network of offices across Southeast Asia, Greater China, the United Kingdom and North America. Our global footprint and strong international presence have enabled us to feel the pulse of key financial markets and deliver incisive intelligence across industry sectors and asset classes. Content available is external broker reports authored by a third party outside the Smartkarma network and has been aggregated by an online aggregator through publicly available sources and is displayed by Smartkarma in this format for user's convenience and general informational purposes only. Content does not constitute investment or financial advice and Smartkarma makes no representation or warranty regarding its accuracy or contents. Original third party author retains all copyright and other proprietary rights in the content. Access or use of third party links not controlled by Smartkarma are at the user's own risk.

Dairy Farm International Holdings / Equity Bottom-Up

<ul><li>Reading the lines and between the lines of DFI’s 1Q23 business update, it would appear that the overall business is building on the positive momentum that was heard during its FY22 analyst briefing.</li><li>Maintain BUY on DFI with target price of US$3.72.</li><li>DFI Retail Group (SGX:D01) provided a 1Q23 business update which was barren of numbers but instead expressed broad management commentary on the various business segments’ performance during the quarter as summarised in the table below.</li></ul>Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

Reading the lines and between the lines of DFI’s 1Q23 business update, it would appear that the overall business is building on the positive momentum that was heard during its FY22 analyst briefing.Maintain BUY on DFI with target price of US$3.72.DFI Retail Group (SGX:D01) provided a 1Q23 business update which was barren of numbers but instead expressed broad management commentary on the various business segments’ performance during the quarter as summarised in the table below.Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

DFI Retail Group - The Tea Leaves Indicate Mostly Positive Momentum

<ul>
<li>According to Sing Tao, two PRC firms and a mainland bank have formed a consortium to acquire <a href="https://www.smartkarma.com/entities/hongkong-land-holdings-ltd" target="_blank" data-smartkarma-citation="entities:15465:1" rel="noopener">Hongkong Land (HKL SP)</a>'s 33-storey Three Exchange Square.</li>
<li>This "news" is straight out of left field. For its part, HKL said the market rumour is pure speculation.</li>
<li>HKL's P/B of 0.24x is closing in on its all-time low of 0.21x during the depths of Covid. </li>
</ul>


According to Sing Tao, two PRC firms and a mainland bank have formed a consortium to acquire Hongkong Land (HKL SP)'s 33-storey Three Exchange Square.
This "news" is straight out of left field. For its part, HKL said the market rumour is pure speculation.
HKL's P/B of 0.24x is closing in on its all-time low of 0.21x during the depths of Covid. 


Hongkong Land: Exchange Square Sale Would Be BIG News. (If True)

Singapore

Dairy Farm International Holdings Limited and its subsidiaries operate retail stores such as supermarkets, drugstores, and convenience stores in Hong Kong, Taiwan, China, Singapore, Malaysia, Indonesia, India.

Dairy Farm International Holdings (DFI SP)

Dairy Farm International Holdings (DFI SP)

JCNC's Logic-Defying Valuation

There is no apparent justification for the current level. Expect Matheson to chip away at minorities. But a full-blown Offer appears unrealistic....

David Blennerhassett

Mandarin Oriental (MAND SP): Life Is Suite

Mandarin Oriental is trading cheap at 0.7x P/B against 1.8x on average (5 years) pre-Covid. Business will continue to improve from here. The...

David Blennerhassett

Jardine Cycle & Carriage Is A Short

Jardine Cycle & Carriage's premium to NAV is not justifiable. I'd look to reverse the stub here - Short JCNC, Long Astra.

David Blennerhassett

DFI Retail Group - The Tea Leaves Indicate Mostly Positive Momentum

Reading the lines and between the lines of DFI’s 1Q23 business update, it would appear that the overall business is building on the positive...

UOB Kay Hian

Hongkong Land: Exchange Square Sale Would Be BIG News. (If True)

Reportedly two PRC firms and a mainland bank intend to acquire Hongkong Land''s Three Exchange Square. HKL said the rumor is pure speculation....

David Blennerhassett