Daily Brief Financials: Judo Capital, Klarna Group, AIA Group Ltd, Invesco Ltd, Yuexiu Real Estate Investment Trust, Deutsche Beteiligungs AG and more

• Bain and GIC looking to raise US$130m by selling their remaining stake in Judo Capital (JDO AU).
• The deal will be a large one to digest at 30.8 days of the stock’s three month ADV, representing 9.2% of its shares outstanding.
• In this note, we will talk about the placement and run the deal through our ECM framework.

• Klarna Group (KLAR US) is forecasted to be excluded from all the main US & EU indices because of a sole US foreign listing.
• Klarna Group (KLAR US) can be added to one Global index at the December 2025 review due to a non-ADR listing given it passes the fcap threshold and voting rights.
• Klarna Group (KLAR US) is expected to be excluded from rasel due to a non-US nationality assignment based on the company’s asset & revenue geographical locations.

• Ownership levels in AIA Group Ltd (1299 HK) and HDFC Bank (HDFCB IN) have started to reverse from the highs. 
• SK Hynix, Meituan and Mediatek Inc all make recent gains in fund ownership, while HDFC Bank and AIA Group see closures.
• UBS in AIA Group and TT International in HDFC Bank lead the fund-level closures.

• Invesco makes investment in Korea senior living portfolio by acquiring local operator Caredoc.
• KKR, Gaw, Alyssa Partners collaborate to host forum discussing Japan multi-family housing on Wednesday.
• Thailand approves funding of $2.7B for data centers with a total capacity of 347MW.

• In today’s Morning Views publication we comment on developments of the following high yield issuers: Yuexiu REIT, Cikarang Listrindo, Nickel Industries
• In the US, the import price index rose 0.4% m-o-m (0.0% e / 0.4% revised p) in February. Separately, industrial production came in above estimates at 0.7% m-o-m (0.2% e / 0.3% revised p), with capacity utilisation up at 78.2% (77.8% e / 77.7% revised p).
• Meanwhile, housing starts grew 11.2% m-o-m (1.4% e / -11.5% p) in February to 1.50 mn units, rebounding from the decline in January, which had been driven by cold weather. The February (preliminary) building permits fell 1.2% m-o-m (-1.4% e / -0.6% p) to 1.46 mn units.

We see early signs that macroeconomic and sector headwinds affecting Deutsche Beteiligungs’ (DBAG’s) recent performance may be gradually abating. Although its NAV per share fell by 4.8% in the short financial year (SFY24, from 1 October 2024 to 31 December 2024), management believes DBAG’s broad portfolio is on the verge of earnings growth, as restructuring measures and the portfolio shift away from more traditional industrial holdings are bearing fruit. Sentiment towards German equities is improving across the market cap spectrum following the recent parliamentary elections. Moreover, the European private equity (PE) market is gradually rebounding, with a rise in deal activity and robust fund-raising. This should be put in the context of DBAG’s wide 24% discount to the NAV of its private markets investments, on top of which DBAG’s shares offer exposure to its fund services business generating recurring earnings (guided at €8–13m in FY25).