Daily Brief Financials: Henderson Land Development, Bank of Jiangsu , Japan Post Bank, Cantor Equity Partners I, Grupo Catalana Occidente Sa, Jefferson Capital, Martin Currie Portfolio Invest and more

• Henderson Land Development (12 HK) will be added to a global sector index at the close on 20 June.
• Estimated passive buying in Henderson Land Development (12 HK) is 42m shares (US$131.5m; 7.5x ADV).
• The stock is up over the last 2 months as shorts have covered. Performance is in line with peers and positioning does not appear to be excessive.

• The iShares A50 China (2823 HK) and CSOP China A50 (HKD) (2822 HK) ETFs will rebalance their holdings at the close on 20 June.
• Bank of Jiangsu (600919 CH) will replace Great Wall Motor (601633 CH) in the ETFs and passives will need to trade between 0.4-0.6x ADV in the stocks.
• This change is a surprise to us and there could be a short-term move in the stocks.

• Non-Controversial changes in asset allocation will provide a big boost to earnings.
• Demand problems brewing in the JGB market may provide the catalyst
• The path is clear to enter new businesses after parent lowers  stake below 50%

• CEPO and CEPT SPACs, run by Howard Lutnick, trade above trust value with potential multibagger upside in crypto-related deals.
• Cantor Fitzgerald, led by Lutnick’s son, has deepened its crypto involvement, including a 5% stake in Tether.
• Cantor’s SPACs feature no warrants, a sponsor note boosting trust value, and no specified target sectors.

• Inocsa seeks 75%+ control of GCO via a near-fair €49.45/share offer, aiming for strategic delisting. Minority holders risk illiquidity if they do not tender.
• GCO’s fundamentals remain strong: 9.2x NTM P/E, 0.9x P/TBV, 242% solvency, and ample excess capital suggest fair value is higher than the offer.
• While upside is capped, low risk and firm financing support offer risk-arb desks an annualized ~4% return before a likely late-August settlement.

• They are a leading analytically driven purchaser and manager of charged-off and insolvency consumer accounts with four geographic regions with the majority of their operations landing in the USA.
• The principal purposes of this offering are to increase their capitalization and flexibility, facilitate an orderly distribution for the selling stockholders, and create a public market for their common stock.
• We anticipate this offering to likely find participation from sector dedicated investors and not draw the attention of “traditional” IPO players.

Franklin Global Trust (FRGT) was formerly the Martin Currie Global Portfolio Trust. Since October 2018 it has been managed by Zehrid Osmani, who is head of Franklin Templeton’s Edinburgh-based Global Long-Term Unconstrained (GLTU) team. As a result of the decision to retire the Martin Currie brand, on 12 July 2025, the GLTU team will join Franklin Equity Group’s (FEG’s) team of around 65 investment professionals, and Jonathan Curtis, FEG’s CIO, will become co-manager of the trust. FRGT’s investment strategy will remain unchanged, but being part of a wider investment operation should enhance the GLTU team’s research capability. FEG’s focus on high-growth sectors including technology and healthcare should be a good fit with FRGT’s approach of seeking innovative companies with long-term growth potential.