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.

Event-Driven

<ul>
<li>On 13 May, Bain/<a href="https://www.smartkarma.com/entities/ly-corp" target="_blank" data-smartkarma-citation="entities:19603:1" rel="noopener">LY (4689 JP)</a> sent <a href="https://www.smartkarma.com/entities/kakaku-com-inc" target="_blank" data-smartkarma-citation="entities:7408:1" rel="noopener">Kakaku.com Inc (2371 JP)</a> a revised non-binding offer at JPY3,232, a 7.7% premium to EQT’s JPY3,000 offer but 4.9% below the last close.</li>
<li>While remaining non-binding, the Board will be forced to engage under its fiduciary-out clause and <a href="https://www.smartkarma.com/entities/digital-garage-inc" target="_blank" data-smartkarma-citation="entities:13747:1" rel="noopener">Digital Garage (4819 JP)</a> and <a href="https://www.smartkarma.com/entities/kddi-corp" target="_blank" data-smartkarma-citation="entities:639:1" rel="noopener">KDDI Corp (9433 JP)</a>’s competing-offer clauses.</li>
<li>Bain/LY’s second offer, belatedly and publicly, sets in motion an auction process. My analysis suggests that a competing bidding war could result in an offer of at least JPY3,500.</li>
</ul>


On 13 May, Bain/LY (4689 JP) sent Kakaku.com Inc (2371 JP) a revised non-binding offer at JPY3,232, a 7.7% premium to EQT’s JPY3,000 offer but 4.9% below the last close.
While remaining non-binding, the Board will be forced to engage under its fiduciary-out clause and Digital Garage (4819 JP) and KDDI Corp (9433 JP)’s competing-offer clauses.
Bain/LY’s second offer, belatedly and publicly, sets in motion an auction process. My analysis suggests that a competing bidding war could result in an offer of at least JPY3,500.


Kakaku.com (2371 JP): How High Can It Go as Bain/LY Ups the Ante?

<ul>
<li>
<a href="https://www.smartkarma.com/entities/kakaku-com-inc" target="_blank" data-smartkarma-citation="entities:7408:1" rel="noopener">Kakaku.com Inc (2371 JP)</a> has recommended a tender offer from <a href="https://www.smartkarma.com/entities/eqt-ab" target="_blank" data-smartkarma-citation="entities:28922:1" rel="noopener">EQT (EQT SS)</a> at JPY3,000, a 2.6% premium to the last close and a 41.4% premium to the undisturbed price of JPY2,121. </li>
<li>At first glance, the offer is attractive compared to historical trading ranges and IFA peer multiples, and it is above the midpoint of the IFA DCF valuation range.</li>
<li>The conspicuous lack of Oasis’s support, the absence of an auction despite a Bain/LY bid, reliance on passives' vote and irrevocables with competing offer clauses suggest a bump is probable.  </li>
</ul>



Kakaku.com Inc (2371 JP) has recommended a tender offer from EQT (EQT SS) at JPY3,000, a 2.6% premium to the last close and a 41.4% premium to the undisturbed price of JPY2,121. 
At first glance, the offer is attractive compared to historical trading ranges and IFA peer multiples, and it is above the midpoint of the IFA DCF valuation range.
The conspicuous lack of Oasis’s support, the absence of an auction despite a Bain/LY bid, reliance on passives' vote and irrevocables with competing offer clauses suggest a bump is probable.  


Kakaku.com (2371 JP): Pass the Popcorn as EQT Launches a Tender Offer

Index Rebal/Special Situations, Quiddity Advisors

Janaghan Jeyakumar, CFA

Index Rebal/Special Situations

Quiddity Advisors

Pan-Asia Catalysts/Events

Index Rebalance

<ul>
<li>JPX-Nikkei400 Index comprises common stocks listed on the Tokyo Stock Exchange. The index has a complex selection methodology considering size, fundamentals, governance factors. Public pensions and ETFs track the index.</li>
<li>The annual index review takes place in August every year. We look at the latest rankings of potential ADDs/DELs each month.</li>
<li>Below is a look at potential Inclusions and Removals for the JPX-Nikkei 400 Rebalance scheduled for August 2026 based on trading data as of end-April 2026.</li>
</ul>


JPX-Nikkei400 Index comprises common stocks listed on the Tokyo Stock Exchange. The index has a complex selection methodology considering size, fundamentals, governance factors. Public pensions and ETFs track the index.
The annual index review takes place in August every year. We look at the latest rankings of potential ADDs/DELs each month.
Below is a look at potential Inclusions and Removals for the JPX-Nikkei 400 Rebalance scheduled for August 2026 based on trading data as of end-April 2026.


Quiddity JPX-Nikkei 400 Rebal 2026: End-Apr 2026 Ranks

Technical Analyst, Vermilion Research

Joe Jasper

Technical Analyst

Technical and Quantitative Research

Vermilion Research

Vermilion’s objective is to deliver timely, actionable, and unique technical research to professional investors through the application of our various technical indicators.

Our research strategists seek to highlight securities which we believe are at major inflection points, based on our various technical and quantitative indicators, and offer asymmetric risk/return profiles. Our unique research methodology, centered on relative strength, enables our strategists to deliver superior investment recommendations.

Our process begins by organizing the universe of actively traded stocks into discrete sectors, then into industry groups. We then apply our technical and quantitative tools to identify developing price trends. Once attractive trends are identified within a selected sector or group, we screen for individual stocks which we believe offer the best risk/reward profile. We provide a historical perspective that often reveals, through our long-term charts, how price patterns often repeat themselves over time.

Technical Analysis

In last week's Int'l Compass (Sept. 2), we highlighted emerging markets (EEM-US, Shanghai Comp) and Japan (TOPIX, TOPIX Small) as areas of bullish interest, with short-term bullish inflections suggesting the tide was turning in favor of these markets. This remains the focus in today's report, and especially on Japan; bullish price inflections and breakouts have started to proliferate, which suggests this could be the start of a broad-based rally for Japan in the weeks and months ahead.

In last week's Int'l Compass (Sept. 2), we highlighted emerging markets (EEM-US, Shanghai Comp) and Japan (TOPIX, TOPIX Small) as areas of bullish interest, with short-term bullish inflections suggesting the tide was turning in favor of these markets. This remains the focus in today's report, and especially on Japan; bullish price inflections and breakouts have started to proliferate, which suggests this could be the start of a broad-based rally for Japan in the weeks and months ahead.

Buy Japan On This Breakout ; TOPIX Breaking Out To 21-Year Highs; Actionable Theme: Growth Sectors

'Quantamental' Japan Specialist, LightStream Research

Campbell Gunn

'Quantamental' Japan Specialist

Long-Short Analysis on Japan, Asia and the World

LightStream Research

LightStream conducts quantitatively rigorous and data-driven analysis with a focus on Japan and Asia.

We consistently cover the Tech, Consumer and Industrial sectors, and provide ECM and Events coverage more broadly.

We supplement traditional qualitative insights from company relationships with a robust quantitative foundation that examines as much historical data as is available.
We further refine the accuracy of our insights and calls through the use of alternative data to flesh out current trends, and through a valuation framework that emphasises non-superficial peer group selection and a proper attempt to understand the metrics and changes that have driven security valuations in the past.

Thematic (Sector/Industry)

• RESULTS - 7th APRIL •<figure class="editor-figure mceNonEditable"><img src="https://static-prod.smartkarma.com/images/media/000/199/374/original/image_44350750721617829220885.png?1617829221" class="editor-image img-responsive" data-smartkarma-image-id="199374"></figure>RESULTS - All of the larger caps reporting on Wednesday scored negatively, with <a href="https://www.smartkarma.com/entities/bell-system24-holdings-inc" target="_blank" data-smartkarma-citation="entities:27224:1" rel="noopener">Bellsystem24 (6183 JP)</a> faring the worst - the company is also forecasting only single-digit growth in FY22. <figure class="editor-figure mceNonEditable"><img src="https://static-prod.smartkarma.com/images/media/000/199/375/original/image_88110638531617829511197.png?1617829511" class="editor-image img-responsive" data-smartkarma-image-id="199375"></figure>• FORECASTS/REVISIONS - 7th APRIL •<figure class="editor-figure mceNonEditable"><img src="https://static-prod.smartkarma.com/images/media/000/199/376/original/image_19503684441617829618279.png?1617829618" class="editor-image img-responsive" data-smartkarma-image-id="199376"></figure>FORECASTS/REVISIONS - Welcia's FY22 projection of a decline in net income confirms the market's pessimism towards drugstores. <a href="https://www.smartkarma.com/entities/dip-corp" target="_blank" data-smartkarma-citation="entities:6209:1" rel="noopener">DIP (2379 JP)</a> compensated for poor fourth-quarter results and a weak interim forecast with a full-year forecast of record sales and a return to 30% operating margins in the second half.<figure class="editor-figure mceNonEditable"><img src="https://static-prod.smartkarma.com/images/media/000/199/377/original/image_45189507451617831214172.png?1617831214" class="editor-image img-responsive" data-smartkarma-image-id="199377"></figure><figure class="editor-figure mceNonEditable"><img src="https://static-prod.smartkarma.com/images/media/000/199/378/original/image_70346033161617831341739.png?1617831342" class="editor-image img-responsive" data-smartkarma-image-id="199378"></figure><figure class="editor-figure mceNonEditable"><img src="https://static-prod.smartkarma.com/images/media/000/199/379/original/image_97042980771617831451634.png?1617831452" class="editor-image img-responsive" data-smartkarma-image-id="199379"></figure>

• RESULTS - 7th APRIL •RESULTS - All of the larger caps reporting on Wednesday scored negatively, with Bellsystem24 (6183 JP) faring the worst - the company is also forecasting only single-digit growth in FY22. • FORECASTS/REVISIONS - 7th APRIL •FORECASTS/REVISIONS - Welcia's FY22 projection of a decline in net income confirms the market's pessimism towards drugstores. DIP (2379 JP) compensated for poor fourth-quarter results and a weak interim forecast with a full-year forecast of record sales and a return to 30% operating margins in the second half.

🇯🇵 JAPAN • Results & Revisions 04/​​​07 - Bellsystem24, Welcia & DIP

Japan

DIP Corporation provides matching services through Internet for job agencies and job seekers. The Company also provides matching services for companies and part-time workers as well as companies and job agencies.

Price Gauge
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Dip Corp (2379 JP)

Kakaku.com (2371 JP): How High Can It Go as Bain/LY Ups the Ante?

Bain/LY’s second offer, belatedly and publicly, sets in motion an auction process. My analysis suggests that a competing bidding war could result...

Arun George

Kakaku.com (2371 JP): Pass the Popcorn as EQT Launches a Tender Offer

The conspicuous lack of Oasis’s support, the absence of an auction despite a Bain/LY bid, reliance on passives' vote and irrevocables with...

Arun George

Quiddity JPX-Nikkei 400 Rebal 2026: End-Apr 2026 Ranks

In total, there are 50 Potential ADDs and 46 Potential DELs (unique names) presented in the current Quiddity Leaderboard. There are roughly two...

Janaghan Jeyakumar, CFA

Buy Japan On This Breakout ; TOPIX Breaking Out To 21-Year Highs; Actionable Theme: Growth Sectors

Japan (TOPIX, TOPIX Small) was a big focus for us last week, and it remains the focus in today's report; this could be the start of a broad-based...

Vermilion Research

🇯🇵 JAPAN • Results & Revisions 04/07 - Bellsystem24, Welcia & DIP

RESULTS - All of the larger caps reporting on Wednesday scored negatively, with Bellsystem24 (6183 JP) faring the worst - the company is also...

Campbell Gunn

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)

Kakaku.com (2371 JP): How High Can It Go as Bain/LY Ups the Ante?

Bain/LY’s second offer, belatedly and publicly, sets in motion an auction process. My analysis suggests that a competing bidding war could result...

Arun George

Kakaku.com (2371 JP): Pass the Popcorn as EQT Launches a Tender Offer

The conspicuous lack of Oasis’s support, the absence of an auction despite a Bain/LY bid, reliance on passives' vote and irrevocables with...

Arun George

Quiddity JPX-Nikkei 400 Rebal 2026: End-Apr 2026 Ranks

In total, there are 50 Potential ADDs and 46 Potential DELs (unique names) presented in the current Quiddity Leaderboard. There are roughly two...

Janaghan Jeyakumar, CFA

Buy Japan On This Breakout ; TOPIX Breaking Out To 21-Year Highs; Actionable Theme: Growth Sectors

Japan (TOPIX, TOPIX Small) was a big focus for us last week, and it remains the focus in today's report; this could be the start of a broad-based...

Vermilion Research

🇯🇵 JAPAN • Results & Revisions 04/​​​07 - Bellsystem24, Welcia & DIP

RESULTS - All of the larger caps reporting on Wednesday scored negatively, with Bellsystem24 (6183 JP) faring the worst - the company is also...

Campbell Gunn

🇯🇵 JAPAN • Results & Revisions 04/07 - Bellsystem24, Welcia & DIP