This weekly newsletter pulls together summaries of the top ten most-read Insights across Equity Capital Markets on Smartkarma.
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1. Hynix ADR Listing Timing and Expected Rollout, Plus Likely Conversion Book Open Mechanics
- Assuming NASDAQ listing on July 10, pay in hits July 14, triggering issuance; KSD registration follows, with KOSPI listing July 29, marking first ADR to local conversion window.
- Street view is wide Form F-6 over registration, but Citi may keep conversion shut post July 14 to defend ADR scarcity premium despite volatility risk.
- Watch ADR premium and ADTV; expect ~1% gradual tranche releases. If premium holds 5-10% post July 14, Citi likely steps in, signaling arb into local or GDR versus ADR spreads.
2. Hynix Filed F 6: 25 Percent Headroom, Phased Rollout Expected
- 1.78bn ADS equals about 25 percent float. Syndicate set headroom far above 2.5 percent, fully rolling GDR into ADR with a more aggressive than expected structure.
- Key is Citi book stance. Expected phased rollout: initial GDR to ADR conversion, then capped flow after one month, and full 25 percent open by 3 to 6 months.
- Early 5 to 10 percent ADR premium looks embedded. Trade is to track widening then fade via ADR short versus KOSPI long as window expansion guidance emerges.
3. [Japan Offering] Kawasaki Heavy (7012 JP) Looking at an Offering
- Today Reuters carried an article suggesting Kawasaki Heavy Industries (7012 JP) would soon announce a ¥200bn capital raise – combo equity and convertible bond offering – in an ABO.
- ¥200bn would be a 23% increase in equity but about 6-7% dilution in realtime (equity+CB delta). ¥100bn of each would be 3x ADV, 4.8% of Shs Out, 10.7% of MRWF.
- The shares fell 8% today, putting them 13% off the recent high as a ratio against MitHeavy+IHI. The shares aren’t cheap, but this looks to be “easy.”
4. Aequitas ECM Weekly (29 June 2026) – SK Hynix, Kioxia, Lingyi, SG Micro, Circuit Fab, Merdeka, Anker
- Aequitas Research’s weekly update on the IPOs, placements, lockup expiry and other ECM linked events that were covered by the team over the past week.
- On the IPO front, SK Hynix (000660 KS) announced the timeline for its ADR, and Kioxia Holdings (285A JP) was said to be finalising banks as well for its ADR.
- Over the past week, there were a number of placements in India, along with a few large deals in Hong Kong as well.
5. [Japan Offering] Kawasaki Heavy Offering Details Out
- Kawasaki Heavy Industries (7012 JP) has just announced their capital raising intentions. ¥93.7bn (estimated) of shares (37.35mm shares), and ¥100bn of 2031/2033 convertible bonds.
- The Reuters article presaging this seemed to say this would be aimed at International Investors (i.e. an ABO). The extraordinary filing to EDINET suggests an Open Offering to the same.
- A bookbuilding between 14-16 July, but only for international investors. No greenshoe. Weird. 2.8x ADV, 4.5% of shares out, 10% of Max Real World Float. Should be easy. But weird.
6. Foundation Healthcare Pre-IPO: Leadership Amid Favorable Market Dynamics to Drive Sustainable Growth
- Foundation Healthcare, Singapore’s largest private multi-specialty healthcare network, has filed for Singapore IPO. The IPO will consist of fresh issue as well as OFS from SeaTown (indirectly owned by Temasek).
- The company plans to use IPO proceeds to fund acquisitions in Singapore, investments to support expansion plans in new geographies, and for general corporate and working capital purposes.
- Foundation Healthcare has a proven track record of strong growth in revenue and Adjusted EBITDA. With scalable business model, bottomline outpaced revenue growth.
7. Ecopro BM: Rights Offering of 1.2 Trillion Won
- On 30 June, Ecopro BM (247540 KS) announced that it will conduct a rights offering capital raise worth 1.2 trillion won.
- The planned issue price for the rights offering is 121,200 won, and the final issue price will be determined on October 12.
- Despite its expected better sales and profits in 2027, the company’s valuation multiples are unattractive. It is trading at P/E of 143.6x in 2027 and 75.6x in 2028.
8. Aequitas: Guangdong Dtech Technology A/H Listing – Peak Growth, Margins and Valuations
- Guangdong Dtech Technology aims to raise around US$600m in its H-share listing.
- Dtech is an integrated provider of precision manufacturing solutions for key process segments of the global printed circuit board (PCB) fabrication value chain.
- In this note, we look at its past performance and other deal dynamics that might impact the listing.
9. [Japan Offering] Retailer Valor Holdings (9956) Raising New Money for New Stores
- Today after the close, Valor Holdings (9956 JP) announced an equity offering worth ¥20bn at last price, which will probably mean a lower strike.
- The Use of Proceeds is new stores and refurbishment of existing stores in Gifu, Aichi, and Tokyo.
- Valor also announced the terms of its Capital and Business Alliance with Kohnan Shoji (7516 JP) after the basic agreement signed in February and Kohnan’s April Tender for Alleanza HD.
10. Eacon Group IPO: Worth Mining For Value
- Eacon Group launched its Hongkong IPO aiming to raise up to HK$2.3B (~ US$ 293M). They focus on the commercial deployment of autonomous driving solutions in the mining industry.
- Eacon Group intends to use the IPO proceeds for research & development, IT infrastructure development, overseas business expansion, strategic alliance/acquisition and working capital.
- The medium-term outlook for Eacon Group looks bright. We would recommend investors with to consider the name, given its potential.
