Daily Brief TMT/Internet: Hennge KK, SK Inc, Amicro Technology, GCash (Mynt), Kakaku.com Inc and more

• On Friday 2 October, just three business days before the TSE announces the restructuring of the TOPIX Index which would not include it, Hennge KK (4475 JP) squeezes in.
• To effect that inclusion, the company has announced a secondary equity offering where three of the top four execs (all with the company nearly 30yrs) are selling 1.75mm shares and… 
• …there is a new share offering of 1.1mm shares. Total should be about US$30mm. 5x ADV. ~9% of shares out. Supply/demand dynamics are interesting. The stock is not cheap.

• Chairman Chey’s landmark 2.3% share sale in SK Inc. (disclosed on October 2, 2026 for 944 billion won) is a watershed moment for South Korean corporate governance. It proves that personal liquidity pressures from his divorce settlement are overriding the historical “no-sale” taboo of controlling stakes, yet the innovative use of a Price Return Swap (PRS) for 400 billion won of the transaction preserves his economic interest and minimizes immediate market dump.
• The 2.3 trillion won divestment of SK Inc.’s 70.6% stake in SK Siltron to Doosan in July 2026 signals the final, execution-heavy phase of SK’s three-year group-wide rebalancing. This cash injection directly supports the holding company’s Value-up commitment, enabling the planned cancellation of its 20% treasury stock and funding the floor dividend of 5,000 won per share.
• SK Inc. remains plagued by a “double discount” structural trap, trading at an approximate 50% discount to NAV. Because 98% of affiliate SK Square’s value is tied to its 20% stake in SK Hynix, SK Inc. sits two layers removed from the group’s primary semiconductor engine, creating massive cash-flow friction and leakage as dividends flow through multiple corporate entities before reaching the top.

• HENNGE K.K. (4475 JP) is Japan’s leading independent Identity-as-a-Service (IDaaS) and cloud security platform provider, benefiting structurally from enterprise Zero Trust migration, software-as-a-service (SaaS) adoption, and stringent corporate data protection requirements.
• Financial fundamentals remain robust, characterized by a >85% gross margin profile, 3-year revenue CAGR of 24.6%, and 3-year EPS CAGR of 62.3%, underpinned by the mission-critical recurring revenue base of HENNGE One.
• While near-term ARPU expansion has moderated to 0.2% YoY, management’s product roadmap expansion into Endpoint & Managed Security, Mesh Network, and Domain Protection positions the company for medium-term wallet-share expansion and ARR re-acceleration.

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• Strong but Fragile Market Position: Amicro holds a leading 2.2% market share in China’s single-modal robotics solution market and 5.9% in the multi-modal segment, making it the third-largest player overall with a 4.2% total market share in 2025. However, this highly fragmented market prevents any player from exercising true pricing power, exposing Amicro to severe margin pressure.
• Financial and Capital Allocation Headwinds: While revenue has grown rapidly to RMB 407 million in 2025, the company remains deeply unprofitable with a net loss of RMB 155 million in 2025 and a net loss of RMB 66.74 million in the first four months of 2026. Amicro’s massive R&D intensity (consistently above 30% of revenue) and complex “five-layer” platform strategy stretch its 273-person R&D team across too many hardware and software domains, diluting its competitiveness against focused chip-only peers.
• High-Stakes HK IPO under Chapter 18C: Having cleared its HKEX listing hearing on September 30, 2026, Amicro is testing investor appetite for “robotics-brain” platforms. The estimated US$100 million-plus offering is a critical lifeline to replenish its dwindling cash reserves (RMB 172 million as of April 30, 2026) and fund the necessary transition from low-margin single-modal home cleaning chips to high-margin industrial multi-modal AI platforms.

• GCash (Mynt) (GCASH PM) is the No.1 finance super app in the Philippines. It is seeking to raise US$845m at PHP6.60 per share. The listing is on 20 October.
• I discussed the IPO in Mynt (GCash) IPO: The Investment Case and Mynt (GCash) IPO: 2Q and Valuation Update. 
• The cornerstone commitment is unchanged at PHP36.5bn, about 69% of the offer. GCash is fairly valued at the IPO price.

• We know that Bain knew that their mid-September overbid for Kakaku.com Inc (2371 JP) did not meet the so-called KDDI Threshold, yet they made that bid anyway (¥3,720 vs EQT’s ¥3,680).
• IF Sankei Real Estate (2972 JP) trades wide, consider going long the arb, but generally, need to participate unless it does trade wide. There’re other more interesting deals out there.
• Despite the lower-than-expected bid optics compared to prior negotiations, ReNew Energy Global (RNW US)‘s Offer looks done. All ducks are lined up. Just a question of timing on regulatory approvals.