In today’s briefing:
- Curator’s Cut: Japan Insurers Vs Banks, the State of the Chinese EV Sector and Asian Ports in Focus
- Quiddity Leaderboard Hang Seng Index Sep25: BeOne, TME, and Pop Mart Among Our Top Picks
- Sichuan Kelun Biotech (6990 HK): Price Surge & Global Index Inclusion
- Dickson Concept (113 HK): More Minority Teeth Bared As Another Scheme Fails
- Merger Arb Mondays (21 Jul) – ENN Energy, HEC Pharma, Shibaura, Abacus Storage, Insignia, Zeekr
- Pre-IPO 52TOYS Development – The Business Model and the Concerns Behind
- Bright Smart (1428 HK): Valuation Update
- ECM Weekly (21 July 2025) – Muyuan, Unisplendour, NTT, Kasumigaseki, Anthem, Leads, SBI, Ascentage
Curator’s Cut: Japan Insurers Vs Banks, the State of the Chinese EV Sector and Asian Ports in Focus
- Welcome to Curator’s Cut, a fortnightly roundup of standout themes from the 1,000+ insights published in the past two weeks on Smartkarma
- In this cut, we compare Japanese insurers versus banks, look at the Chinese EV sector and explore how tariff hikes benefit Asian port operators
- Want to dig deeper? Comment or message with the themes you’d like to see highlighted next
Quiddity Leaderboard Hang Seng Index Sep25: BeOne, TME, and Pop Mart Among Our Top Picks
- The Hang Seng Index is the main benchmark index for Hong Kong stocks. It follows a highly-subjective selection process which makes it difficult to predict index changes.
- In this insight, we take a look at a group of names with reasonably high likelihood of being involved in index changes during the next review in September 2025.
- The index changes are expected to be confirmed on 22nd August 2025.
Sichuan Kelun Biotech (6990 HK): Price Surge & Global Index Inclusion
- The recent placement and price surge in Sichuan Kelun-Biotech Biopharm (6990 HK) could result in the stock being added to a global index in August.
- Sichuan Kelun-Biotech Biopharm has outperformed its peers as the entire industry has been trading well. There is a small increase in short interest in the stock.
- Positioning has increased steadily over the last month. Momentum in the stock and its peers could lead to further upside before profit taking kicks in.
Dickson Concept (113 HK): More Minority Teeth Bared As Another Scheme Fails
- Three for three. Three low-balled Hong Kong Offers, by way of Schemes, have now lapsed over the past ten weeks.
- Both Goldlion Holdings (533 HK) and Soundwill Holdings (878 HK) spectacularly failed back in May.
- Now Dickson Concepts Intl (113 HK) has followed suit. But the vote was (much) closer than it should have been.
Merger Arb Mondays (21 Jul) – ENN Energy, HEC Pharma, Shibaura, Abacus Storage, Insignia, Zeekr
- I summarise the latest spreads and newsflow of merger arb situations we cover across Hong Kong, Australia, New Zealand, Singapore, Japan, Indonesia, Malaysia, Philippines, Thailand and Chinese ADRs.
- Highest spreads: Mayne Pharma (MYX AU), ENN Energy (2688 HK), Yichang HEC Changjiang Pharma (1558 HK), Insignia Financial (IFL AU), Santos Ltd (STO AU), Smart Share Global (EM US).
- Lowest spreads: Bright Smart Securities (1428 HK), Humm Group (HUM AU), New World Resources (NWC AU), Hainan Meilan International Airport (357 HK), Avjennings Ltd (AVJ AU), ZEEKR (ZK US).
Pre-IPO 52TOYS Development – The Business Model and the Concerns Behind
- For IP toy, the ability to provide a variety of categories is valuable,which means brands have access to diverse/creative designs/production based on IP characteristics, highlighting/interpreting the core of each IP.
- Driven by top-tier licensed IPs, 52TOYS achieved solid growth, but its revenue scale/profit margin are inferior to peers. Due to intense competition, 52TOYS’s market share may be further squeezed.
- The post-money valuation after Series C+ Financing is RMB4.27 billion. Based on the analysis, we think valuation of 52TOYS should be lower than Pop Mart (9992 HK), Bloks (325 HK).
Bright Smart (1428 HK): Valuation Update
- Bright Smart Securities (1428 HK) rallied by 132% since our last Insight, fueled by the euphoria in the brokerage and securities sector on the HK government’s stablecoin initiative.
- At HK$16.44, it is at 100% PER premium to the sector average, ex-Guotai Junan International (1788 HK). The risk-reward payoff now looks less attractive.
- It also implies net profit to grow by 150% by FY31F and priced at 18x PER. This appears stretched in the near term, though long-term prospects stay decent.
ECM Weekly (21 July 2025) – Muyuan, Unisplendour, NTT, Kasumigaseki, Anthem, Leads, SBI, Ascentage
- Aequitas Research’s weekly update on the IPOs, placements, lockup expiry and other ECM linked events that were covered by the team over the past week.
- On the IPO front, filings and listings have cooled off going into the general summer lull.
- On the placements front, State Bank Of India (SBIN IN) pulled the trigger on its long touted QIP.
💡 Before it’s here, it’s on Smartkarma
Sign Up for Free
The Smartkarma Preview Pass is your entry to the Independent Investment Research Network
- ✓ Unlimited Research Summaries
- ✓ Personalised Alerts
- ✓ Custom Watchlists
- ✓ Company Data and News
- ✓ Events & Webinars
