IPOs and Catalysts/Events, Global Equity Research Ltd

Arun George

Arun has over 15 years’ experience covering the Technology sector. During this time, he has worked with technology start-ups and as an equity analyst in investment banks and independent research firms. He was formerly a Technology Analyst for Canaccord Genuity, Altium Securities, Espirito Santo Investment Bank, Noble Group and Clear Capital. He has a dual Master’s degree in Financial Engineering and Industrial and Operations Engineering from the University of Michigan. He obtained his Bachelor’s degree in Mechanical Engineering from the Indian Institute of Technology, Bombay. He is also a CFA charterholder.

IPOs and Catalysts/Events

Weekly Deals Digest (15 Feb) - Hisamitsu, Takara Bio, Toyota Ind, Mandom, Dongfeng, Pepper Money

Kobayashi Pharma (4967 JP): CVC/NSSK Buyout Rumour Faces an Oasis Hurdle

Hisamitsu Pharma (4530 JP): An Imminent MBO at a Rumoured JPY450 Billion Valuation

Hisamitsu Pharma (4530 JP): MBO at JPY6,082

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Global Equity Research Ltd

Global Equity Research was started in 2017 by a group of experienced research professionals. It was founded on a passionate belief in the importance and the need for uncompromised, independent, conflict-free research. We aim to provide differentiated and actionable primary and bottom up fundamental research.

Event-Driven

Hisamitsu Pharmaceutical Co / Event-Driven

<ul>
<li>Since announcing the offer, <a href="https://www.smartkarma.com/entities/hisamitsu-pharmaceutical-co" target="_blank" data-smartkarma-citation="entities:17008:1" rel="noopener">Hisamitsu Pharmaceutical Co (4530 JP)</a>’s shares have traded consistently above the MBO offer price of JPY6,082. The offer closes on 19 February. </li>
<li>While there was no auction, the offer is reasonable. The spate of recent MBOs that attracted activists successfully securing better terms may also be behind the share price action.</li>
<li>The probability of a bump is low due to no visible activism, peers not re-rating, irrevocables, several crossholders, and the minimum can be lowered. Take profits.  </li>
</ul>


Since announcing the offer, Hisamitsu Pharmaceutical Co (4530 JP)’s shares have traded consistently above the MBO offer price of JPY6,082. The offer closes on 19 February. 
While there was no auction, the offer is reasonable. The spate of recent MBOs that attracted activists successfully securing better terms may also be behind the share price action.
The probability of a bump is low due to no visible activism, peers not re-rating, irrevocables, several crossholders, and the minimum can be lowered. Take profits.  


Hisamitsu Pharma (4530 JP): Risk/Reward as Shares Trade Through Terms