Pan-Asia Catalysts/Events, Quiddity Advisors

Travis Lundy

HK Type 4 license through Ballingal Investment Advisors Ltd. ("BIA" or "BIAL")

BACKGROUND
I have 20+yrs experience in Asia doing alternative strategies (i.e. non-delta1 non long-only) in fixed income, equity derivatives, and activist/catalyst/event-driven and long-short equity strategies with most of that time spent managing money. 

4 years in fixed income macro, 8 years running internal hedge fund and 4yrs investment banking at Citi in Japan, 3 years running an Asia multi-strat portfolio at a hedge fund, 4+yrs as an independent special situations analyst.

Pan-Asia Catalysts/Events

Quiddity Advisors

Equity Capital Markets

<ul>
<li>On Monday 6 April, <a href="https://www.smartkarma.com/entities/union-tool-co" target="_blank" data-smartkarma-citation="entities:8228:1" rel="noopener">Union Tool Co (6278 JP)</a> announced they were offering ¥30bn of Treasury shares to fund investment. It is a 28% increase in equity.</li>
<li>Union Tool is rich in terms of net cash+securities+OPCF, it didn't need to issue shares to fund the capex, so it feels like a "sell shares at the top" strategy.</li>
<li>Guidance seems conservative for the market environment but capacity utilisation is high, and they are investing for a higher run-rate going forward. Seems expensive but AI is a new paradigm.</li>
</ul>


On Monday 6 April, Union Tool Co (6278 JP) announced they were offering ¥30bn of Treasury shares to fund investment. It is a 28% increase in equity.
Union Tool is rich in terms of net cash+securities+OPCF, it didn't need to issue shares to fund the capex, so it feels like a "sell shares at the top" strategy.
Guidance seems conservative for the market environment but capacity utilisation is high, and they are investing for a higher run-rate going forward. Seems expensive but AI is a new paradigm.


[Japan Offering] Union Tool (6278 JP) Issuing ¥30bn of Shares For Investment Purposes