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Most Read: Toshiba Corp, Wakita & Co Ltd, Coca Cola Amatil, WeDoctor Holdings, HealthCare Global Enterprises and more

In today’s briefing:

  • Toshiba – CVC Capital Partners Bid Highlights Value
  • Japan Activism: A Look into Wakita (8125 JP) Potential Pre-Event
  • Coca Cola Amatil (CCL AU): This Is It
  • We Doctor Pre-IPO (微医) – Remedying Pain Points
  • Smartkarma Corporate Webinar | HealthCare Global: New Opportunities in Cancer Care in India

Toshiba – CVC Capital Partners Bid Highlights Value

By Mio Kato

Nikkei Asia reported today that CVC Capital Partners would propose a privatisation of Toshiba valuing the company at $20.8bn. CVC will discuss the terms of the deal with management and will also need to win approval from the Finance Ministry. The question is whether shareholders would accept such a bid as it looks perhaps a little light.

Japan Activism: A Look into Wakita (8125 JP) Potential Pre-Event

By Travis Lundy

Wakita & Co Ltd (8125 JP) has been a deep value stock for years. It has had deep value investors owning stakes before.

However, the company has pretty low ROE based on truly awful capital allocation policy. A very large portion of the long-term assets in the firm are effectively managed by people with little to no experience in the space, in a sub-optimal capital structure. The company has large amounts of net cash, and securities, and more securities and crossholdings. And the entire company is effectively a leasing business with some add-ons, and it finances itself with almost zero debt. 

While it is dangerous to call a paradigm change on companies where there is a significant corporate cross-holding and significant family holding and control, there are times when the confluence of events make stocks like Wakita worth a deeper look.

This may be such a time.

Coca Cola Amatil (CCL AU): This Is It

By David Blennerhassett

Back on the 26 October, Australia’s largest non-alcoholic beverage bottler Coca Cola Amatil (CCL AU) announced an indicative proposal of A$12.75/share from Coca-Cola European Partners plc (CCEP). A firm Offer was announced on the 4 November. Reports immediately surfaced that some major shareholders considered the proposal inadequate. 

Responding to shareholder pushback, CCEP and CCL entered into a Scheme Implementation Deed at A$13.50/share on the 15 February, a 5.9% bump to the firm Offer on the 4 November, and a  25.6% premium to the undisturbed price. The Offer was declared best and final. 

Independent CCL shareholders will vote on the proposal at the Scheme Meeting to be held on the 16 April. Coca-Cola Co (KO US) (TCCC) with 30.808% of shares out, will abstain from voting. 

CCEP has now advised CCL that it has elected to purchase all the remaining shares held by TCCC at the implementation of the Scheme, for cash. TCCC will subsequently cease to be a shareholder of CCL.

As always, more below the fold.

We Doctor Pre-IPO (微医) – Remedying Pain Points

By Zhen Zhou, Toh

WeDoctor Holdings (1737089D HK)  is looking to raise US$2bn in its upcoming Hong Kong IPO. 

Prior to the filing, we had looked at the background of the company, did an app walkthrough, and brief comparison with other online medical providers like JD Health and Ping An Good Doctor

In this note, we will take a closer look at the company’s business models, financials, operating data and share our initial thoughts on the company.

Smartkarma Corporate Webinar | HealthCare Global: New Opportunities in Cancer Care in India

By Smartkarma Research

In our next Smartkarma Corporate Webinar, we are glad to welcome Niraj Didwania, Head of Corporate Development and Investor Relations at HealthCare Global Enterprises Limited (HCG IN). Niraj will share a short presentation about the company and have a fireside chat with Smartkarma Insight Provider Ankit Agrawal, CFA, followed by a live Q&A session.

The Corporate Webinar will be hosted live on Tuesday, 13 April 2021, 14:30 IST / 17:00 SGT.

It will also be recorded for future reference by Smartkarma and HCG.

Corporate Webinars by Smartkarma Corporate Solutions feature discussions with IROs and Executives, discussing their companies, the challenges they face, and the opportunities in their sectors and markets.

Before it’s here, it’s on Smartkarma