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Smartkarma Daily Briefs

Daily Brief Industrials: J&T Global Express, CJ Logistics and more

By | Daily Briefs, Industrials

In today’s briefing:

  • J&T Global Express Pre-IPO Tearsheet
  • J&T Global Express IPO: The Bull Case
  • Catching Up With CJ Logistics (000120 KS): With Shares Beaten Down, Management Forced to Refocus


J&T Global Express Pre-IPO Tearsheet

By Clarence Chu

  • J&T Global Express (1936374D CH) is looking to raise about US$1bn in its upcoming Hong Kong IPO.
  • J&T Global Express (J&T) is a global logistics service provider. 
  • As per Frost & Sullivan (F&S), the firm is the leading express delivery business in Southeast Asia, with a 22.5% market share as per 2022 parcel volume.

J&T Global Express IPO: The Bull Case

By Arun George

  • J&T Global Express (1936374D CH), a leading express delivery business in Southeast Asia and China has filed for a HKEx IPO to raise US$1 billion, according to press reports.   
  • J&T is the number one express delivery operator in Southeast Asia by parcel volume from 2020 to 2022, according to Frost & Sullivan. 
  • The key elements of the bull case rest on large addressable markets, market share gains, robust reported revenue growth and narrowing losses which set a path to profitability.

Catching Up With CJ Logistics (000120 KS): With Shares Beaten Down, Management Forced to Refocus

By Daniel Hellberg

  • Previously, we criticized CJ Logistics as unfocused, pursuing deals in low-margin segments around the world as if to fill a logistics ‘Bingo!’ card rather than in-line with a rational strategy
  • In recent years, investors have punished the company’s shares, which have fallen by more than half since reaching a high of over 184,000 won per share in March 2021. 
  • However, with management de-emphasizing its Global segment and focusing instead on the more promising Parcel / E-commerce line of business, there is cause for optimism, in our view

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Daily Brief Industrials: J&T Global Express, CJ Logistics and more

By | Daily Briefs, Industrials

In today’s briefing:

  • J&T Global Express Pre-IPO Tearsheet
  • J&T Global Express IPO: The Bull Case
  • Catching Up With CJ Logistics (000120 KS): With Shares Beaten Down, Management Forced to Refocus


J&T Global Express Pre-IPO Tearsheet

By Clarence Chu

  • J&T Global Express (1936374D CH) is looking to raise about US$1bn in its upcoming Hong Kong IPO.
  • J&T Global Express (J&T) is a global logistics service provider. 
  • As per Frost & Sullivan (F&S), the firm is the leading express delivery business in Southeast Asia, with a 22.5% market share as per 2022 parcel volume.

J&T Global Express IPO: The Bull Case

By Arun George

  • J&T Global Express (1936374D CH), a leading express delivery business in Southeast Asia and China has filed for a HKEx IPO to raise US$1 billion, according to press reports.   
  • J&T is the number one express delivery operator in Southeast Asia by parcel volume from 2020 to 2022, according to Frost & Sullivan. 
  • The key elements of the bull case rest on large addressable markets, market share gains, robust reported revenue growth and narrowing losses which set a path to profitability.

Catching Up With CJ Logistics (000120 KS): With Shares Beaten Down, Management Forced to Refocus

By Daniel Hellberg

  • Previously, we criticized CJ Logistics as unfocused, pursuing deals in low-margin segments around the world as if to fill a logistics ‘Bingo!’ card rather than in-line with a rational strategy
  • In recent years, investors have punished the company’s shares, which have fallen by more than half since reaching a high of over 184,000 won per share in March 2021. 
  • However, with management de-emphasizing its Global segment and focusing instead on the more promising Parcel / E-commerce line of business, there is cause for optimism, in our view

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Daily Brief Health Care: Takeda Pharmaceutical, Alteogen Inc, Viva Biotech Holdings and more

By | Daily Briefs, Healthcare

In today’s briefing:

  • Takeda: Clinical Development of HUTCHMED’s Fruquintinib Progressing Well
  • Alteogen (196170 KS): Milestone Payments and Pipeline Progress Strengthen Business Growth Prospect
  • Viva Biotech Holdings (1873.HK) – The Restructuring Plan Would Not Turn Things Around


Takeda: Clinical Development of HUTCHMED’s Fruquintinib Progressing Well

By Shifara Samsudeen, ACMA, CGMA

  • HUTCHMED developed Fruquintinib has demonstrated positive results in a Phase III FRESCO-2 study which reduced the risk of death by 34% in patients with previously treated metastatic colorectal cancer.
  • In addition, Fruquintinib also has been validated and accepted for regulatory review (for marketing authorization) by the European Medicines Agency (EMA) last week.
  • In January 2023, Takeda Pharmaceutical (4502 JP) entered into an exclusive licensing agreement with HUTCHMED to further develop and commercialise Fruquintinib outside of Mainland China, Macau and Hong Kong.

Alteogen (196170 KS): Milestone Payments and Pipeline Progress Strengthen Business Growth Prospect

By Tina Banerjee

  • Alteogen Inc (196170 KS)‘s partner has submitted marketing application for Herceptin biosimilar in China. Alteogen will be entitled for royalty after the product is approved and sold in China.  
  • In April 2023, Alteogen announced that the company will receive additional milestone of $3 million (~KRW4 billion) from its first ALT-B4 technology transfer partner.
  • Alteogen has completed patient recruitment for global phase 3 trial for Eylea biosimilar. Marketing application is expected to be filed in early 2024, with marketing expected to start from 1H25.

Viva Biotech Holdings (1873.HK) – The Restructuring Plan Would Not Turn Things Around

By Xinyao (Criss) Wang

  • In the past few years, the investment business and M&A of Viva accelerated based on a series of financing tools such as IPO/placement/convertible bonds. Thus, Viva’s scale has grown rapidly.
  • Continuous decline in stock price ultimately triggered a “redemption crisis” for Viva’s convertible bonds.Although Viva resolved it by transferring equity in its CRO subsidiary, the prospects are still not optimistic.
  • Due to the downturn in innovative drug industry and deterioration of financing environment,whether the high valuation of Viva’s CRO business would be recognized by secondary market is a question mark.

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Daily Brief Consumer: LG Energy Solution, MOG Holdings, Amara Holdings, Fast Retailing, Shiyue Daotian, Ottogi Corporation, Tokyo Stock Exchange Tokyo Price Index Topix and more

By | Consumer, Daily Briefs

In today’s briefing:

  • Two Trading Opportunities from LG Chem’s Stake Sale in LG Energy Solution
  • MOG Digitech (1942 HK): What the Flow Is Going On?
  • Amara Holdings Gains On Possible Offer
  • Fast Retailing: Opportunities for Long-Term Growth Overshadowed by High Valuation
  • Shiyue Daotian (十月稻田) Pre-IPO: Aggressive Brands – A Local Viewpoint
  • Ottogi Corp: Strong Financial Growth and an Environmental Champion
  • Watch for Changes in Proxy Voting by Domestic Institutional Investors on Shareholder Proposals


Two Trading Opportunities from LG Chem’s Stake Sale in LG Energy Solution

By Sanghyun Park

  • This issue offers two trading opportunities. The first is the passive inflow resulting from an increase in the float rate. The second is the possibility of additional stake sales.
  • It will provide LG Energy with a passive inflow of 760K shares (₩426.4 billion), which is a significant passive impact at approximately 3.2x ADTV.
  • There would be further stake sales of LG Chem’s shares in LG Energy. LG Chem plans to pursue additional stake sales targeting local institutional investors.

MOG Digitech (1942 HK): What the Flow Is Going On?

By Brian Freitas

  • MOG Holdings (1942 HK) has been skyrocketing in price since the start of the year. Remarkably, there is little change in the number of shares that trade daily.
  • MOG Holdings (1942 HK) has a market cap of US$6.44bn and trades at a modest Price/Sales ratio of 75x and an equally modest Price to Book Value of 89.5x.
  • Liquidity has improved to the point where the stock could be added to some indices. However, there is a precedent of stocks not being added following market participant feedback.

Amara Holdings Gains On Possible Offer

By David Blennerhassett

  • Hotel and investment property play Amara Holdings (AMA SP) announced that its controlling shareholders are in discussions with a third party in relation to a possible transaction. 
  • Shares up for grabs controlled by the Teo family are estimated to exceed 65% of shares out. 
  • No price was mentioned. And there is no guarantee a firm Offer will unfold. Shares have gained 38% in the past three trading sessions. 

Fast Retailing: Opportunities for Long-Term Growth Overshadowed by High Valuation

By Oshadhi Kumarasiri

  • Japan’s strong domestic demand and a rebound in China fuel optimistic growth outlook for Fast Retailing (9983 JP) in the short term.
  • Furthermore, the markets such as Europe, North America, South East Asia, India, and Australia present promising long-term growth opportunities.
  • However, Fast Retailing’s valuation is a cause for concern as it currently trades at a consensus FY27 OP of 20.0x.

Shiyue Daotian (十月稻田) Pre-IPO: Aggressive Brands – A Local Viewpoint

By Ming Lu

  • The company mainly sells its products online and spends much of its advertising budget online.
  • The rice market is fragmented and there are two main competitors, Arawana and Fortune.
  • We believe the company’s dry food can use the reputation of its rice to boost sales.

Ottogi Corp: Strong Financial Growth and an Environmental Champion

By Heejeong (Hollie) Park

  • Ottogi Corporation not only achieved remarkable revenue and net income growth in 2022, but also maintained an ESG rating of A for five consecutive years.
  • Ottogi demonstrates strong sustainability performance, with high scores in “Environment Policy”, “Chemical Management”, and “Human Rights, Shared Growth & Community”.
  • Ottogi’s 10-year dedication to environmental management is evidenced by tangible data, demonstrating remarkable achievements in the management of greenhouse gas (GHG) emissions, energy usage, water consumption, and waste recycling.

Watch for Changes in Proxy Voting by Domestic Institutional Investors on Shareholder Proposals

By Aki Matsumoto

  • Many companies that cannot make significant investments in growth will reduce cash from their balance sheets through shareholder returns, and ROE+DOE will continue to reach high levels in FY2023.
  • A company with a P/B of less than 1x for a long time should consider the option of going private after weighing the costs and benefits of being listed.
  • Although most of the shareholder proposals will be rejected unless the foreign ownership is very high, whether the voting rights of domestic institutional investors will change remains to be seen.

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Daily Brief Energy/Materials: Syngenta AG, Yankuang Energy Group, Gold and more

By | Daily Briefs, Energy & Materials Sector

In today’s briefing:

  • Syngenta IPO – Index Entry Possibilities
  • Morning Views Asia: Yankuang Energy Group
  • El Nino is here // River Rhine is drying up again // Managers are net short commodities


Syngenta IPO – Index Entry Possibilities

By Brian Freitas

  • Syngenta AG (SYNN SW) has passed the listing committee meeting to raise CNY 65bn (US$9.1bn) in a Main Board listing on the Shanghai Stock Exchange.
  • We forecast Syngenta AG (SYNN SW) will be added to the SSE180 Index, SSE50 Index and the CSI 300 Index (SHSZ300 INDEX) indices at the December rebalance.
  • Inclusion in the SSE A Share Index could take a year and that will hold up inclusion in Northbound Stock Connect and consequently in global indices.

Morning Views Asia: Yankuang Energy Group

By Charles Macgregor

Lucror Analytics Morning Views comprise our fundamental credit analysis, opinions and trade recommendations on high yield issuers in the region, based on key company-specific developments in the past 24 hours. Our Morning Views include a section with a brief market commentary, key market indicators and a macroeconomic and corporate event calendar.


El Nino is here // River Rhine is drying up again // Managers are net short commodities

By The Commodity Report

  • El Nino is here (like we forecasted) S&P Global highlighted some facts regarding the effects of the weather phenomenon on crop yields.
  • I found the following chart about soybean yields quite interesting and also important going forward.
  • Makes one think how sustainable last week’s price surge in beans actually is!!! El Nino tends to be good for soybean yields in Argentina and Brazil but also in the US.

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Daily Brief Financials: HDFC Asset Management Co Ltd, Axis Bank Ltd, Binance Coin and more

By | Daily Briefs, Financials

In today’s briefing:

  • HDFC AMC Placement – It’s a Cleanup but the Momentum Is Very Weak
  • Will Citi’s Retail Customers Stick with Axis Bank, the Private Sector Market Leader in Complaints?
  • The Data Behind Tether’s Depeg


HDFC AMC Placement – It’s a Cleanup but the Momentum Is Very Weak

By Sumeet Singh


Will Citi’s Retail Customers Stick with Axis Bank, the Private Sector Market Leader in Complaints?

By Hemindra Hazari

  • Erstwhile Citibank India’s retail customers are high-income, high spending and demand excellent customer service
  • In FY2022, as per the latest data, Axis Bank has the dubious distinction of becoming the customer complaints market leader in private sector banking
  • If Axis Bank does not improve its customer service, erstwhile Citibank’s lucrative retail customers will flee to competitors

The Data Behind Tether’s Depeg

By Kaiko

  • Last week, there was a possible attempt to depeg Tether (USDT), the world’s largest stablecoin.
  • The company has since claimed the destabilization was caused by manipulation ahead of a big documents release, which shed new light on the firm’s banking relationships and commercial paper exposure. 
  • While the facts remain blurry, the selling started a few days before USDT dipped to as low as $.995 on both centralized and decentralized exchanges, suggesting some holders may have had advanced warning of the release. 

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Daily Brief Credit: Morning Views Asia: Yankuang Energy Group and more

By | Credit, Daily Briefs

In today’s briefing:

  • Morning Views Asia: Yankuang Energy Group


Morning Views Asia: Yankuang Energy Group

By Charles Macgregor

Lucror Analytics Morning Views comprise our fundamental credit analysis, opinions and trade recommendations on high yield issuers in the region, based on key company-specific developments in the past 24 hours. Our Morning Views include a section with a brief market commentary, key market indicators and a macroeconomic and corporate event calendar.


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Daily Brief Equity Bottom-Up: LG Chem: Considering a Block Deal Sale of About 2 Trillion Won of LG Energy Solution: A Big Overhang and more

By | Daily Briefs, Equity Bottom-Up

In today’s briefing:

  • LG Chem: Considering a Block Deal Sale of About 2 Trillion Won of LG Energy Solution: A Big Overhang
  • Takeda: Clinical Development of HUTCHMED’s Fruquintinib Progressing Well
  • Alibaba (BABA US): Watch Headlines and Stay Grounded in Numbers
  • Alteogen (196170 KS): Milestone Payments and Pipeline Progress Strengthen Business Growth Prospect
  • Fast Retailing: Opportunities for Long-Term Growth Overshadowed by High Valuation
  • Meta’s Moat
  • Viva Biotech Holdings (1873.HK) – The Restructuring Plan Would Not Turn Things Around
  • 1Spatial – First wins for key SaaS product
  • Catching Up With CJ Logistics (000120 KS): With Shares Beaten Down, Management Forced to Refocus


LG Chem: Considering a Block Deal Sale of About 2 Trillion Won of LG Energy Solution: A Big Overhang

By Douglas Kim

  • After the market close on 16 June, it was reported in the local media that LG Chem is close to selling about 2 trillion won worth of LG Energy Solution.
  • This block deal sale is likely to pose overhang on more stake sales of LG Energy Solution (about 10% stake) in the next 3-5 years.
  • Our NAV valuation analysis of LG Chem suggests an implied price of 1,057,770 won per share, which is 41% higher than current share price.

Takeda: Clinical Development of HUTCHMED’s Fruquintinib Progressing Well

By Shifara Samsudeen, ACMA, CGMA

  • HUTCHMED developed Fruquintinib has demonstrated positive results in a Phase III FRESCO-2 study which reduced the risk of death by 34% in patients with previously treated metastatic colorectal cancer.
  • In addition, Fruquintinib also has been validated and accepted for regulatory review (for marketing authorization) by the European Medicines Agency (EMA) last week.
  • In January 2023, Takeda Pharmaceutical (4502 JP) entered into an exclusive licensing agreement with HUTCHMED to further develop and commercialise Fruquintinib outside of Mainland China, Macau and Hong Kong.

Alibaba (BABA US): Watch Headlines and Stay Grounded in Numbers

By Eric Chen

  • We expect June quarter results to beat consensus and demonstrate a balanced growth across topline and bottom-line.
  • During a time when headlines drive BABA share price, it is more important to stay grounded in numbers, see what is in price and make trades accordingly.
  • We maintain US$500 billion target market cap on 20x RMB180 billion non-GAAP net profit by FY25.

Alteogen (196170 KS): Milestone Payments and Pipeline Progress Strengthen Business Growth Prospect

By Tina Banerjee

  • Alteogen Inc (196170 KS)‘s partner has submitted marketing application for Herceptin biosimilar in China. Alteogen will be entitled for royalty after the product is approved and sold in China.  
  • In April 2023, Alteogen announced that the company will receive additional milestone of $3 million (~KRW4 billion) from its first ALT-B4 technology transfer partner.
  • Alteogen has completed patient recruitment for global phase 3 trial for Eylea biosimilar. Marketing application is expected to be filed in early 2024, with marketing expected to start from 1H25.

Fast Retailing: Opportunities for Long-Term Growth Overshadowed by High Valuation

By Oshadhi Kumarasiri

  • Japan’s strong domestic demand and a rebound in China fuel optimistic growth outlook for Fast Retailing (9983 JP) in the short term.
  • Furthermore, the markets such as Europe, North America, South East Asia, India, and Australia present promising long-term growth opportunities.
  • However, Fast Retailing’s valuation is a cause for concern as it currently trades at a consensus FY27 OP of 20.0x.

Meta’s Moat

By MBI Deep Dives

  • During the weekend, I asked my twitter followers: What do you think Facebook’s DAU to MAU ratio was in 2009?
  • The number that got the highest votes was ~80% even though I mentioned the most recent number was ~68%.
  • I asked this question a couple of friends in real life too and they too picked the ~80% number.

Viva Biotech Holdings (1873.HK) – The Restructuring Plan Would Not Turn Things Around

By Xinyao (Criss) Wang

  • In the past few years, the investment business and M&A of Viva accelerated based on a series of financing tools such as IPO/placement/convertible bonds. Thus, Viva’s scale has grown rapidly.
  • Continuous decline in stock price ultimately triggered a “redemption crisis” for Viva’s convertible bonds.Although Viva resolved it by transferring equity in its CRO subsidiary, the prospects are still not optimistic.
  • Due to the downturn in innovative drug industry and deterioration of financing environment,whether the high valuation of Viva’s CRO business would be recognized by secondary market is a question mark.

1Spatial – First wins for key SaaS product

By Edison Investment Research

1Spatial has won its first two contracts for 1Streetworks, the company’s SaaS-based Traffic Management Plan Automation product. This is an important development for the company in that the potential addressable market for this product is large; management estimates around £250m for low speed roads in the UK alone and 1Spatial looks well positioned to gain a significant market share. 1Streetworks also runs on the company’s newly launched cloud-based platform, representing an important milestone in 1Spatial’s migration to a scalable, SaaS-based model. Both contracts are for a three-month term initially, with the intention to move to annual or multi-year contracts upon successful completion. We are not changing our estimates at this stage. Further deal flow for 1Streetworks (or other SaaS products), together with the continuation of these initial deals to longer engagements, could be the catalyst for stronger growth and margin expansion to become priced in.


Catching Up With CJ Logistics (000120 KS): With Shares Beaten Down, Management Forced to Refocus

By Daniel Hellberg

  • Previously, we criticized CJ Logistics as unfocused, pursuing deals in low-margin segments around the world as if to fill a logistics ‘Bingo!’ card rather than in-line with a rational strategy
  • In recent years, investors have punished the company’s shares, which have fallen by more than half since reaching a high of over 184,000 won per share in March 2021. 
  • However, with management de-emphasizing its Global segment and focusing instead on the more promising Parcel / E-commerce line of business, there is cause for optimism, in our view

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Daily Brief ECM: HDFC AMC Placement – It’s a Cleanup but the Momentum Is Very Weak and more

By | Daily Briefs, ECM

In today’s briefing:

  • HDFC AMC Placement – It’s a Cleanup but the Momentum Is Very Weak
  • Far EasTone Placement – Parent Selling, Recent Momentum Has Been Strong
  • J&T Global Express Pre-IPO Tearsheet
  • J&T Global Express IPO: The Bull Case
  • Shiyue Daotian (十月稻田) Pre-IPO: Aggressive Brands – A Local Viewpoint
  • Mobvoi IPO: Rapidly Growing AI Unicorn And Creator of Universal LLM “Xuliehouzi.”


HDFC AMC Placement – It’s a Cleanup but the Momentum Is Very Weak

By Sumeet Singh


Far EasTone Placement – Parent Selling, Recent Momentum Has Been Strong

By Sumeet Singh

  • Far Eastone Telecomm (4904 TT)’s (FE) parent aims to raise around US$165m via selling 1.9% of its stake.
  • As far as we could see this appears to be the first selldown by the parent and doesn’t seem to have been well flagged.
  • In this note, we will run the deal through our ECM framework and comment on other deal dynamics.

J&T Global Express Pre-IPO Tearsheet

By Clarence Chu

  • J&T Global Express (1936374D CH) is looking to raise about US$1bn in its upcoming Hong Kong IPO.
  • J&T Global Express (J&T) is a global logistics service provider. 
  • As per Frost & Sullivan (F&S), the firm is the leading express delivery business in Southeast Asia, with a 22.5% market share as per 2022 parcel volume.

J&T Global Express IPO: The Bull Case

By Arun George

  • J&T Global Express (1936374D CH), a leading express delivery business in Southeast Asia and China has filed for a HKEx IPO to raise US$1 billion, according to press reports.   
  • J&T is the number one express delivery operator in Southeast Asia by parcel volume from 2020 to 2022, according to Frost & Sullivan. 
  • The key elements of the bull case rest on large addressable markets, market share gains, robust reported revenue growth and narrowing losses which set a path to profitability.

Shiyue Daotian (十月稻田) Pre-IPO: Aggressive Brands – A Local Viewpoint

By Ming Lu

  • The company mainly sells its products online and spends much of its advertising budget online.
  • The rice market is fragmented and there are two main competitors, Arawana and Fortune.
  • We believe the company’s dry food can use the reputation of its rice to boost sales.

Mobvoi IPO: Rapidly Growing AI Unicorn And Creator of Universal LLM “Xuliehouzi.”

By Andrei Zakharov

  • Mobvoi, the innovative Chinese AI company backed by Google, Volkswagen Group, and top-tier VC firms, filed for a Hong Kong IPO. The company plans to raise between $200M and $300M. 
  • Mobvoi is a rapidly growing AI unicorn. Revenue from AI software solutions skyrocketed 400%+ y/y in 2022. The company will launch AI painting assistant and AI writing assistant 2.0. soon.
  • China-Based startup chose CICC and CMB international to tap capital markets to develop universal LLM, market expansion, strategic alliances, acquisitions, and working capital. 

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Daily Brief Event-Driven: Two Trading Opportunities from LG Chem’s Stake Sale in LG Energy Solution and more

By | Daily Briefs, Event-Driven

In today’s briefing:

  • Two Trading Opportunities from LG Chem’s Stake Sale in LG Energy Solution
  • Canon Strikes Again. One Buyback Done, Another Begins. Shareholder Structure STILL Matters
  • Syngenta IPO – Index Entry Possibilities
  • MOG Digitech (1942 HK): What the Flow Is Going On?
  • Amara Holdings Gains On Possible Offer


Two Trading Opportunities from LG Chem’s Stake Sale in LG Energy Solution

By Sanghyun Park

  • This issue offers two trading opportunities. The first is the passive inflow resulting from an increase in the float rate. The second is the possibility of additional stake sales.
  • It will provide LG Energy with a passive inflow of 760K shares (₩426.4 billion), which is a significant passive impact at approximately 3.2x ADTV.
  • There would be further stake sales of LG Chem’s shares in LG Energy. LG Chem plans to pursue additional stake sales targeting local institutional investors.

Canon Strikes Again. One Buyback Done, Another Begins. Shareholder Structure STILL Matters

By Travis Lundy

  • Canon Inc (7751 JP) has, as discussed in these pages, conducted 18 buybacks since the GFC. Every single one is ¥50bn. They are short and sharp. The longest? 23 days.
  • The most recent took 18 days, and was only 15% of ADV, significantly lower than the average of the last dozen at 23-24%.
  • This time, 3 days after the finished they launched another. The stock popped 5% the first day. There’s a reason for that. Shareholder structure STILL matters a lot. 

Syngenta IPO – Index Entry Possibilities

By Brian Freitas

  • Syngenta AG (SYNN SW) has passed the listing committee meeting to raise CNY 65bn (US$9.1bn) in a Main Board listing on the Shanghai Stock Exchange.
  • We forecast Syngenta AG (SYNN SW) will be added to the SSE180 Index, SSE50 Index and the CSI 300 Index (SHSZ300 INDEX) indices at the December rebalance.
  • Inclusion in the SSE A Share Index could take a year and that will hold up inclusion in Northbound Stock Connect and consequently in global indices.

MOG Digitech (1942 HK): What the Flow Is Going On?

By Brian Freitas

  • MOG Holdings (1942 HK) has been skyrocketing in price since the start of the year. Remarkably, there is little change in the number of shares that trade daily.
  • MOG Holdings (1942 HK) has a market cap of US$6.44bn and trades at a modest Price/Sales ratio of 75x and an equally modest Price to Book Value of 89.5x.
  • Liquidity has improved to the point where the stock could be added to some indices. However, there is a precedent of stocks not being added following market participant feedback.

Amara Holdings Gains On Possible Offer

By David Blennerhassett

  • Hotel and investment property play Amara Holdings (AMA SP) announced that its controlling shareholders are in discussions with a third party in relation to a possible transaction. 
  • Shares up for grabs controlled by the Teo family are estimated to exceed 65% of shares out. 
  • No price was mentioned. And there is no guarantee a firm Offer will unfold. Shares have gained 38% in the past three trading sessions. 

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