Daily Brief Consumer: Ashimori Industry, Hyundai Motor , WeRide, Seres Group , Seres Group, Comcast Corp Class A, Evolution, Hermes International, Eternal and more

• In August, Toyoda Gosei (7282 JP) announced a deal for Ashimori Industry (3526 JP) at 1.000x book value after writedowns. That was not a coincidence.
• The takeover is cheap for what it is. No synergies were counted. But it wasn’t truly offensive. MURAKAMI Takateru aimed an activist broadside, bought 19.73% across four entities. Then stopped. 
• The Bidder lowered the Tender Offer Minimum from 2.3081mm shares (38.29%) to 1.8001mm shares (29.86%). Shares dropped. As of 24-Sep, 2,111,226 shares had been tendered. This looks done. Maybe. 

• HMC buyback ~₩0.8–1.0tn (~1.5% SO). Street focus is ord/pref split, with prefs at ~25% discount. Mgmt urgency: lift equity value as K‑market rallies.
• Narrowing the pref gap seen as the cleanest lever—shareholder‑friendly signal, draws real money/offshore flows, de‑risks policy optics—so locals expect the first buyback leg skewed to prefs.
• Street sees HMC aiming mid‑teens pref discount via year‑end pref‑heavy buyback and dividend tax reform. Catalysts make narrowing trend look achievable.

• WeRide (WRD US), a provider of autonomous driving products and services, is seeking to raise between US$350 million through an HKEx listing.    
• It was listed on the Nasdaq on 25 October 2024, raising US$120 million at US$15.50 per ADS. Since listing, the shares are down 31%.
• The investment case centres around accelerating revenue growth, progress towards mass commercialisation and valuation in line with historical averages. However, the path to profitability remains uncertain.

• Seres Group (601127 CH), a Chinese NEV manufacturer, aims to raise around US$1.7bn in its H-share listing.
• Seres Group (SG) is principally engaged in the research and development, manufacturing, sales and services of new energy vehicles (NEV) as well as core NEV components.
• We have looked at the past performance and likely A/H premium in our previous note. In this note, we talk about the IPO pricing.

• Seres Group (601127 CH), a Chinese NEV manufacturer, has launched an H Share listing to raise US$1.7 billion.
• I discussed the H Share listing in Seres Group H Share Listing: The Investment Case.
• The proposed AH discount of 24.8% (based on the 24 October A Share price) is attractive, and I would participate in the H Share listing.

• Seres Group is getting ready to complete its IPO on the Hong Kong exchange in the coming weeks that could raise about US$1.7 billion.
• At the high end of the IPO price range of HK$131.50 per share, Seres would have a market capitalization of nearly HK$215 billion (about $27.6 billion).
• Seres Group is one of the largest new-energy vehicle makers in China. There are 22 cornerstone investors that have committed to purchase approximately 49% of the offer.

• Comcast’s planned spin-off of Versant Media creates two sharper investment profiles – broadband and infrastructure (Comcast ex-Versant) versus content and networks (Versant) – enabling clearer strategic focus and capital discipline.
• Post-Spin, Comcast retains $117B revenue and 30% margins, while Versant will have $7B media portfolio with 40% EBITDA margins.
• Our sum-of-the-parts (SOTP) valuation assigns 6.0× to Comcast and 8.4× to Versant, implying combined equity value of $146.5B, or $39 per share.

• Playtech was revealed to be funding negative research against Evolution, impacting their credibility
• Evolution saw a 7% drop in stock after announcing continued revenue decline, particularly in Asia
• Investor expectations for Evolution have shifted from growth stock to deep value territory due to stock performance and revenue contraction

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• Hermès International reported its financial performance for the first half of 2025, showcasing solid growth amidst a challenging global landscape.
• The company’s sales reached €8 billion, marking an 8% increase at constant exchange rates, highlighting the robust demand for Hermès products across all regions.
• Despite a fluctuating economic context, the strength and exclusivity of its artisanal model remain key drivers of its success.

• Eternal Ltd’s Q2FY26 revenue surged 183% YoY to INR 135B, driven by Blinkit’s shift to an owned-inventory quick commerce model, a major operational transformation.
• The new model boosts revenue and gross margins but pressures profits amid higher marketing costs, dark store expansion, and increased working capital needs.
• Eternal is prioritizing scale over near-term profits, investing heavily to strengthen its long-term leadership in Q-commerce and digital retail.