In today’s briefing:
- [Japan M&A] TechnoPro Holdings (6028) May Be Up For Grabs
- ESR (1821 HK): Pre-Cons Done. Scheme Doc By 22nd May
- LG Chem: To Issue Exchangeable Bond Worth US$1 Billion
- OneConnect Financial (6638 HK/OCFT US): Ping An Firms Offer @ HK$2.068/Share
- Mayne Pharma’s Merger with Cosette Pharmaceuticals: Navigating FDA Concerns, Shareholder Approval, and Market Reactions
- Under Review: Banking on Politics in BBVA’s Bid for Sabadell
[Japan M&A] TechnoPro Holdings (6028) May Be Up For Grabs
- Technopro Holdings (6028 JP) is a temp/contract staffing platform which specialises in engineering staff (IT engineers far more than machinery, construction, chemicals). The company has been growing.
- Overnight, an article appeared in MergerMarket – a high-dollar M&A-related news service – saying the company was going through a sale process. The company confirmed it was one possibility.
- The stock went limit up. This quick writeup looks at the framework of the idea, and possibilities.
ESR (1821 HK): Pre-Cons Done. Scheme Doc By 22nd May
- Back on the 4th December 204, Starwood/Warburg Pincus Consortium announced a firm pre-conditional Offer for ESR Group (1821 HK) at HK$13/share (best & final), by way of a Scheme.
- The list of pre-cons was extensive. Last night (15th May), ESR announced the satisfaction of all pre-cons.
- The Scheme Doc is now required to be dispatched by the 22nd May, suggesting payment around mid-July. Assuming no dispatch delays.
LG Chem: To Issue Exchangeable Bond Worth US$1 Billion
- On 15 May, LG Chem announced that it plans to issue foreign currency exchangeable bond worth US$1 billion using shares of its subsidiary LG Energy Solution as the underlying asset.
- The purpose of this EB issue is to repay the amount of EB issued two years ago.
- The exchange price premium was lowered from 130% in 2023 to 110-115% this time, and the maturity has been shortened from 7 years to 3 years.
OneConnect Financial (6638 HK/OCFT US): Ping An Firms Offer @ HK$2.068/Share
- Back on 3rd March, dual-listed OneConnect Financial (6638 HK/OFT US), a digital retail banking/commercial banking/digital insurance play, announced a non-binding proposal from Ping An, OneConnect’s controlling shareholder with 32.12%.
- By way of a Scheme, Ping An offered HK$2.068/share, or US$7.98/ADS, a 72.33% premium to last close, and a 131.66% premium to the 30-day average. The price was final.
- SAMR has now signed off on the deal and terms are now firmed. M&G is supportive (1.98% of shares out, ~8% of disinterested shares). Perhaps mid-September completion.
Mayne Pharma’s Merger with Cosette Pharmaceuticals: Navigating FDA Concerns, Shareholder Approval, and Market Reactions
- Mayne Pharma’s acquisition by Cosette Pharmaceuticals at A$7.40/share faces a 14% spread, with closing expected in 1.5 months.
- The FDA issued an Untitled Letter to Mayne Pharma about Nexstellis promotional materials, but it is unlikely to trigger a material adverse effect.
- Shareholder approval for the merger appears likely, with key stakeholders supporting the deal and a vote scheduled for June 18.
Under Review: Banking on Politics in BBVA’s Bid for Sabadell
- BBVA’s hostile bid for Sabadell has cleared regulatory hurdles but faces political resistance (public consultation ending today 16 May), with final Government review pending by June 26.
- A potential Sabadell–Abanca merger appears unlikely; Escotet would be the top shareholder (~33–36%) in such a deal, but Abanca has publicly denied interest.
- The offer trades at a negative gross spread, suggesting market doubts or expectations of a sweetened bid — supporting a long SAB / short BBVA pair trade setup.
💡 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
