In today’s briefing:
- KRX Virtually Locks In Parentco Payout Rules for Spin-Off IPOs
- Tariff Risk Returns: Market Signals and Asia’s Volatility Momentum
- MegaRobo Pre-IPO Tearsheet
- Toyo Engineering (6330 JP): Coverage Initiation
- Friday Take Away: 27 June 2025
KRX Virtually Locks In Parentco Payout Rules for Spin-Off IPOs
- KRX is set to spotlight Philenergy’s 2023 IPO as the model, pushing spin-off deals to reward parentco holders—like Philoptics’ move to hand out IPO shares.
- Philoptics doubled pre-Philenergy IPO on crazy momentum, then round-tripped post-listing. Setups like this hint at bigger parentco moves ahead in future spin-off IPO plays.
- SK Enmove IPO is scrapped; but SK Plasma (SK Discovery) still live; LS E-Link (LS Corp) also likely to be an early test case for the new parentco compensation framework.
Tariff Risk Returns: Market Signals and Asia’s Volatility Momentum
- Context: The 90-day pause on US reciprocal tariffs expires on July 9, 2025. Japan, South Korea, Taiwan, and India, now face a return to steep US tariffs.
- Highlights: Markets reacted sharply to the original tariff announcement in April, with volatility peaking. While implied volatility eased in May, it has since climbed again, suggesting rising investor concern.
- Why Read: As markets face renewed risk of stress, this Insight helps investors understand which markets and sectors are most exposed, how volatility is evolving, and how best to position.
MegaRobo Pre-IPO Tearsheet
- MegaRobo Technologies (MRT HK) is looking to raise at least US$300m in its upcoming Hong Kong IPO. The deal will be run by Morgan Stanley, Huatai, Deutsche Bank, CCB International.
- It is a leading provider of autonomous agents in robotic applications in China, dedicated to improving productivity and driving innovation for businesses across both laboratory and manufacturing settings.
- It serves a diversified customer base with over 880 customers. Key account customers newly acquired in 2022, had a repurchase rate of 74%, and a revenue retention rate of 115%.
Toyo Engineering (6330 JP): Coverage Initiation
- In FY03/25, orders stood at JPY244.2bn (-47.2% YoY), including those received by equity-method affiliates.
- Revenue from completed construction contracts was JPY278.1bn (+6.6% YoY), operating profit JPY2.6bn (-61.4% YoY), recurring profit JPY6.5bn (-7.7% YoY), and net income attributable to owners of the parent JPY2.0bn (-79.4% YoY). Major contracts won during the year included a domestic plant for lithium-ion battery electrolyte production, several geothermal power plants in Indonesia, and an LNG-related facility in India. Despite higher revenue from completed construction contracts, operating profit declined YoY due to a drop in GPM caused by project delays. The company booked JPY4.1bn in equity in earnings of affiliates, narrowing the YoY decline in recurring profit relative to operating profit. Extraordinary losses included JPY1.4bn in impairment losses on fixed assets and roughly JPY3.0bn in tax-related expenses at subsidiaries.
- As a result, net income attributable to owners of the parent dropped 79.4% YoY.
Friday Take Away: 27 June 2025
- The developer of solid-state battery technology will be reporting Finals to April 2025 on 17 July.
- Ilika has developed ceramic-based lithium-ion technology which differentiates it from existing batteries by offering competitive energy density and charge times, while being inherently safe and easier to recycle.
- There was cash of £10m at the Interims and in May 2025 a further £4.3m was raised at 33p a share.
💡 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
