Pan-Asia Catalysts/Events, Quiddity Advisors

Travis Lundy

Pan-Asia Catalysts/Events

Quiddity Advisors

Event-Driven

<ul>
<li>WellNeo Sugar (2117) today announced a deal to buy <a href="https://www.smartkarma.com/entities/toyo-sugar-refining-co-ltd" target="_blank" data-smartkarma-citation="entities:2182:1" rel="noopener">Toyo Sugar Refining (2107 JP)</a> at a 27% premium. This is a small ¥11bn deal where insiders own 45%. </li>
<li>Normally I wouldn't even talk about a deal this small but this one has something going for it. Two things actually. </li>
<li>And readers will have to read all the way down to the conclusions to find out the key one, but the setup is that it is too cheap.</li>
</ul>


WellNeo Sugar (2117) today announced a deal to buy Toyo Sugar Refining (2107 JP) at a 27% premium. This is a small ¥11bn deal where insiders own 45%. 
Normally I wouldn't even talk about a deal this small but this one has something going for it. Two things actually. 
And readers will have to read all the way down to the conclusions to find out the key one, but the setup is that it is too cheap.


WellNeo Sugar (2117) To Buy Toyo Sugar (2107) - Too Cheap, No Synergies Paid, but Too Small

<ul>
<li>Today after the close, <a href="https://www.smartkarma.com/entities/global-food-creators-co-ltd" target="_blank" data-smartkarma-citation="entities:20883:1" rel="noopener">Global Food Creators (7559 JP)</a> announced that the CEO would sell his 1.23% of the company into an MBO by a company he set up. </li>
<li>The family company which owns 27%, and he would fund the takeover of the other 73% with 1% equity taken from his share sale, and 99% bank loans. </li>
<li>The TOB is at 0.65x book for a cash-rich company. Liquidate the cash and the rest is being taken over at 0.33x book. Aaaaargh. </li>
</ul>


Today after the close, Global Food Creators (7559 JP) announced that the CEO would sell his 1.23% of the company into an MBO by a company he set up. 
The family company which owns 27%, and he would fund the takeover of the other 73% with 1% equity taken from his share sale, and 99% bank loans. 
The TOB is at 0.65x book for a cash-rich company. Liquidate the cash and the rest is being taken over at 0.33x book. Aaaaargh. 


Global Foods Creators (7559) - Another Stupidly Cheap MBO With Rigged DCF

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>
<a href="https://www.smartkarma.com/entities/t-gaia-corp" target="_blank" rel="noopener">T Gaia Corp (3738 JP)</a> disclosed a Bain tender offer at JPY2,670, a 35.9% premium to the undisturbed price but a 27.2% discount to the last close.</li>
<li>Bain has set the minimum number of shares to be purchased at a 12.67% ownership ratio to appease the Board, which has a neutral recommendation. </li>
<li>Bain hopes the offer’s harsh reality check will burst the share price bubble, nudging minorities to accept. An auction process suggests that the chance of a competing offer is low.   </li>
</ul>



T Gaia Corp (3738 JP) disclosed a Bain tender offer at JPY2,670, a 35.9% premium to the undisturbed price but a 27.2% discount to the last close.
Bain has set the minimum number of shares to be purchased at a 12.67% ownership ratio to appease the Board, which has a neutral recommendation. 
Bain hopes the offer’s harsh reality check will burst the share price bubble, nudging minorities to accept. An auction process suggests that the chance of a competing offer is low.   


T-Gaia (3738 JP): Reality Check as Bain Launches a Takeunder

<ul>
<li>I kind of hate this, but I also can't ignore it. Apparently, an expensive media service Reporting on Deals or about the Market for Mergers, had an article today.</li>
<li>Bloomberg carried a small blurb saying there was "speculation on a tender offer.... according to traders". The stock is untraded, limit up.  </li>
<li>The most informative comment comes from Japanese stock market portal '<em>kabutan</em>' which suggests "overseas media" thinks Sumitomo Corp will sell its shares. I look at the possibilities below.</li>
</ul>


I kind of hate this, but I also can't ignore it. Apparently, an expensive media service Reporting on Deals or about the Market for Mergers, had an article today.
Bloomberg carried a small blurb saying there was "speculation on a tender offer.... according to traders". The stock is untraded, limit up.  
The most informative comment comes from Japanese stock market portal 'kabutan' which suggests "overseas media" thinks Sumitomo Corp will sell its shares. I look at the possibilities below.


T-Gaia (3738 JP) - Possible Premium Takeout Story

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

Korea Stock Exchange Kospi Index / Technical Analysis

<ul>
<li>Throughout 2024 we've discussed the theme of more global indexes/Sectors breaking out to new highs, the latest being the UK's FTSE 100, South Korea's KOSPI, and Norway's Oslo OBX.</li>
<li>This is classic bull market behavior. The long list of breakouts discussed throughout 2024 include the MSCI EM, ACWI, MSCI EAFE (in local currency), Israel, Germany, Sweden, France, and Ireland.</li>
<li>Another important thing to note is that none of these breakouts are failing; they all remain above their major breakout levels, a very bullish sign. We remain bullish.</li>
</ul>


Throughout 2024 we've discussed the theme of more global indexes/Sectors breaking out to new highs, the latest being the UK's FTSE 100, South Korea's KOSPI, and Norway's Oslo OBX.
This is classic bull market behavior. The long list of breakouts discussed throughout 2024 include the MSCI EM, ACWI, MSCI EAFE (in local currency), Israel, Germany, Sweden, France, and Ireland.
Another important thing to note is that none of these breakouts are failing; they all remain above their major breakout levels, a very bullish sign. We remain bullish.


More Countries Breaking Out; Bullish Outlook Intact; FTSE 100, KOSPI, and Oslo OBX Breaking Out

Japan

HIKARI TSUSHIN, INC. is a mobile telecommunication service subscription agency. The Company also operates telecommunication services stores, HIT SHOP, which sell cellular telephones, and related goods.  Hikari Tsushin also sells office automation equipment and insurance.

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

Hikari Tsushin (9435 JP)

WellNeo Sugar (2117) To Buy Toyo Sugar (2107) - Too Cheap, No Synergies Paid, but Too Small

The former Nissin Sugar now called WellNeo Sugar is taking over tiny cap Toyo Sugar. Marubeni owns 40% and is selling. There was one activistish-y...

Travis Lundy

Global Foods Creators (7559) - Another Stupidly Cheap MBO With Rigged DCF

Dirt cheap very smallcap MBO. Being done at 0.65x book outright, and 0.33x ex-cash book. Simple small company making prepared foods for hotels...

Travis Lundy

T-Gaia (3738 JP): Reality Check as Bain Launches a Takeunder

Bain hopes the offer’s harsh reality check will burst the share price bubble, nudging minorities to accept. An auction process suggests that the...

Arun George

T-Gaia (3738 JP) - Possible Premium Takeout Story

T-Gaia has settled higher and is now trading down at month-end. A split price takeover would result in a minority price well higher than here. A...

Travis Lundy

More Countries Breaking Out; Bullish Outlook Intact; FTSE 100, KOSPI, and Oslo OBX Breaking Out

Bullish Outlook Intact; More Countries Breaking Out, including UK's FTSE 100, South Korea's KOSPI, and Norway's Oslo OBX; Buys in global...

Vermilion Research

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)