Daily Brief Event-Driven: Raysum (8890 JP) Mystery Bidder Is a Hedge Fund - And That Makes It More Interesting and more

In today’s briefing:

Raysum (8890 JP) Mystery Bidder Is a Hedge Fund – And That Makes It More Interesting
Straits Times Index Quiddity Leaderboard Mar 23: Sembcorp/Keppel Situation Could Cause Index Changes
Fengxiang’s Judicial Auction Set for 10 October, Potential MGO

Raysum (8890 JP) Mystery Bidder Is a Hedge Fund – And That Makes It More Interesting

Raysum Co Ltd (8890 JP) has been in a weird kind of limbo for well over a year. The Chairman/Founder resigned late last year for health reasons.
The company needed to take action to stay listed on TSE Standard. There was a plan to transfer 60+% of the shares to a foundation, through an odd arrangement.
Then a hedge fund stepped up and said “I’ll have 64% of the company at a near life-time high.” So now we have an interesting deal. And interesting potential future.

The FTSE Straits Times Index (STI) (STI INDEX) has a quarterly rebalancing cycle with index reviews performed in March, June, September, and December every year.
The March and September reviews are complete index reviews while the June and December reviews are only for new listings.
In this insight, we take a look at the potential index changes that can take place between now and the end of the March 2023 index review.

On 16 September, the administrator published the details for the auction of Shandong Fengxiang Co Ltd-H (9977 HK) controlling shareholder’s 70.92% stake in Alibaba Judicial Auction.
If the auction is successful and results in any person and a group of persons acting in concert holding 30%+ of the voting rights, it will result in an MGO.
The base bid implies an MGO price of HK$1.563 per H Share, a 103.0% premium to the last close. The auction will be held from 10 October to 11 October.

Before it’s here, it’s on Smartkarma

The Smartkarma Preview Pass is your entry to the Independent Investment Research Network