Smartkarma Daily Briefs

• Genes Tech Group Holdings (8257 HK), a turnkey solutions provider, has announced a rare, arm’s-length Offer, by way of a Scheme. 
• The Offeror, privately-held Tinicum, is offering HK$0.245/share (not declared final), a 87% premium to last close, and a four-plus-year high.
• Irrevocables comprising 69.79% of the register are supportive. Super clean deal

• Rapidly shifting technology could cause cable demand to plunge by 50% per unit of data center capacity as 800g becomes standard.
• We don’t anticipate any negative surprises in the coming 1-2 quarters, but we think consensus is overestimating post-3/26 EBIT by at least 20%.
• Even after a tech-led sell-off, at 25x EV/EBITDA, there is still no room for this kind of error. 

• BWX Technologies, Inc. reported robust financial performance in the third quarter of 2025, although there are notable elements that both support and challenge its broader financial landscape.
• The company highlighted a 12% rise in organic revenue alongside approximately 20% growth in both adjusted EBITDA and earnings per share, indicating effective operational execution.
• A robust book-to-bill ratio of 2.6 further underscored BWXT’s booking strength, driven by significant contracts in national security, particularly in defense fuels and high-purity depleted uranium.

• Seoul Express Bus Terminal is finally being redeveloped. Official registered value of this property is 1 trillion won. Market value could be much higher at more than 1.5 trillion won.
• Chunil Express owns 16.67% stake in Seoul Express Bus Terminal. We believe Chunil Express’ share price could rise sharply (more than double from here) in the next few days/weeks.
• Redevelopment of the Seoul Express Bus Terminal has been discussed repeatedly for more than two decades. It appears that the major redevelopment of this area will FINALLY be taking place. 

• Mader Group’s casual workforce model, diversification into segments beyond mining maintenance, and strong earnings growth rate, have Macquarie initiating with Outperform.
• -Mader Group is Australia’s largest provider of heavy equipment maintenance -Yet underpenetrated in Australia’s mining industry -Attractive model for employees, solid growth trajectory -Macquarie initiates with Outperform

• APAC Resources is a Hong Kong-listed investment holding company focused on natural resources, with a dual strategy of commodity trading and making strategic investments in mining and energy companies.
• The company exhibits strong top-line and bottom-line growth in the most recent two years, swinging from a significant loss to profitability. However, this performance is coupled with extremely volatile and recently negative operating cash flows, highlighting the cyclicality and risks inherent in its business model.
• Valuation appears attractive with a low price-to-book ratio and a high dividend yield, but this is counterbalanced by high uncertainty and a dependency on volatile global commodity markets, particularly those influenced by China’s demand.

This content is AI-generated and displayed for general informational purposes only. Please verify independently before use.

• Skylink provides financing and fleet solutions centered on commercial vehicles, ride-hailing cars, and related after-sales services.
• The model combines principal loan book generation, vehicle ownership and remarketing, and workshop support.
• Revenue is recognized on transfer of control for vehicle sales and over time for service elements where contracted.

• In this edition: • Universal Music Group | acquisition of Downtown Music likely to be blocked • Arcadis | enters into new 5-year framework agreement with Shell • PostNL | ACM raises concerns on proposed amendments Postal Act • E-commerce & Logistics | strong increase in peak season parcel volumes expected • Havas | denies being in talks with WPP on a possible takeover

• In the latest earnings results, Grab Holdings Limited showcased a mix of strong performance and strategic development, underscored by various operational highlights and anticipated challenges.
• The company reported substantial growth across its segments, reflecting increased user engagement and strategic product innovations.
• In terms of financial performance, Grab saw an impressive year-over-year increase in monthly transacting users by approximately 6 million, reaching 48 million.

• Sales and operating profit declined YoY in 1H, but new orders were up 17.5% and the book-to-bill ratio rose from 1.00 to 1.25. anagement has raised full-year guidance.
• Aerospace & Defense continue to lead growth, with nuclear energy and Asian EPC making significant contributions to new orders and the restructuring of Industrial Systems & Machinery boosting operating profit.
• Share price down 15% in two weeks to 23x FY Mar-26 EPS guidance. Once again a reasonably valued investment in Japan’s rising defense budget and corporate restructuring.

• Genes Tech Group Holdings (8257 HK), a turnkey solutions provider, has announced a rare, arm’s-length Offer, by way of a Scheme. 
• The Offeror, privately-held Tinicum, is offering HK$0.245/share (not declared final), a 87% premium to last close, and a four-plus-year high.
• Irrevocables comprising 69.79% of the register are supportive. Super clean deal

• Rapidly shifting technology could cause cable demand to plunge by 50% per unit of data center capacity as 800g becomes standard.
• We don’t anticipate any negative surprises in the coming 1-2 quarters, but we think consensus is overestimating post-3/26 EBIT by at least 20%.
• Even after a tech-led sell-off, at 25x EV/EBITDA, there is still no room for this kind of error. 

• BWX Technologies, Inc. reported robust financial performance in the third quarter of 2025, although there are notable elements that both support and challenge its broader financial landscape.
• The company highlighted a 12% rise in organic revenue alongside approximately 20% growth in both adjusted EBITDA and earnings per share, indicating effective operational execution.
• A robust book-to-bill ratio of 2.6 further underscored BWXT’s booking strength, driven by significant contracts in national security, particularly in defense fuels and high-purity depleted uranium.

• Seoul Express Bus Terminal is finally being redeveloped. Official registered value of this property is 1 trillion won. Market value could be much higher at more than 1.5 trillion won.
• Chunil Express owns 16.67% stake in Seoul Express Bus Terminal. We believe Chunil Express’ share price could rise sharply (more than double from here) in the next few days/weeks.
• Redevelopment of the Seoul Express Bus Terminal has been discussed repeatedly for more than two decades. It appears that the major redevelopment of this area will FINALLY be taking place. 

• Mader Group’s casual workforce model, diversification into segments beyond mining maintenance, and strong earnings growth rate, have Macquarie initiating with Outperform.
• -Mader Group is Australia’s largest provider of heavy equipment maintenance -Yet underpenetrated in Australia’s mining industry -Attractive model for employees, solid growth trajectory -Macquarie initiates with Outperform

• APAC Resources is a Hong Kong-listed investment holding company focused on natural resources, with a dual strategy of commodity trading and making strategic investments in mining and energy companies.
• The company exhibits strong top-line and bottom-line growth in the most recent two years, swinging from a significant loss to profitability. However, this performance is coupled with extremely volatile and recently negative operating cash flows, highlighting the cyclicality and risks inherent in its business model.
• Valuation appears attractive with a low price-to-book ratio and a high dividend yield, but this is counterbalanced by high uncertainty and a dependency on volatile global commodity markets, particularly those influenced by China’s demand.

This content is AI-generated and displayed for general informational purposes only. Please verify independently before use.

• Skylink provides financing and fleet solutions centered on commercial vehicles, ride-hailing cars, and related after-sales services.
• The model combines principal loan book generation, vehicle ownership and remarketing, and workshop support.
• Revenue is recognized on transfer of control for vehicle sales and over time for service elements where contracted.

• In this edition: • Universal Music Group | acquisition of Downtown Music likely to be blocked • Arcadis | enters into new 5-year framework agreement with Shell • PostNL | ACM raises concerns on proposed amendments Postal Act • E-commerce & Logistics | strong increase in peak season parcel volumes expected • Havas | denies being in talks with WPP on a possible takeover

• In the latest earnings results, Grab Holdings Limited showcased a mix of strong performance and strategic development, underscored by various operational highlights and anticipated challenges.
• The company reported substantial growth across its segments, reflecting increased user engagement and strategic product innovations.
• In terms of financial performance, Grab saw an impressive year-over-year increase in monthly transacting users by approximately 6 million, reaching 48 million.

• Sales and operating profit declined YoY in 1H, but new orders were up 17.5% and the book-to-bill ratio rose from 1.00 to 1.25. anagement has raised full-year guidance.
• Aerospace & Defense continue to lead growth, with nuclear energy and Asian EPC making significant contributions to new orders and the restructuring of Industrial Systems & Machinery boosting operating profit.
• Share price down 15% in two weeks to 23x FY Mar-26 EPS guidance. Once again a reasonably valued investment in Japan’s rising defense budget and corporate restructuring.