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 (07 Jun) - Kakaku, Edion/ Yamada, Shinko Shoji, MGM China, Atlas Arteria, Cygnus

Shinko Shoji (8141 JP): Intriguing Shareholder Movements Ahead of 26 June Close

Shinko Shoji (8141 JP): Kaga Lowers the Minimum to Aid Completion

Shinko Shoji (8141 JP): Kaga Electronics’ Tender Offer Could Attract an Activist or a Competing Bid

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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

<ul>
<li>On 15 May, <a href="https://www.smartkarma.com/entities/shinko-shoji-co-ltd" target="_blank" data-smartkarma-citation="entities:2322:1" rel="noopener">Shinko Shoji (8141 JP)</a> announced a tender offer from <a href="https://www.smartkarma.com/entities/kaga-electronics-co-ltd" target="_blank" data-smartkarma-citation="entities:14600:1" rel="noopener">Kaga Electronics (8154 JP)</a> at JPY1,580. While Murakami, the largest shareholder, provided an irrevocable, it could sell down. </li>
<li>Murakami <a href="https://disclosure2dl.edinet-fsa.go.jp/searchdocument/pdf/S100Y8GB.pdf?sv=2020-08-04&amp;st=2026-06-03T06%3A09%3A17Z&amp;se=2031-06-03T15%3A00%3A00Z&amp;sr=b&amp;sp=rl&amp;sig=6aj9kegCB9T6lczw0%2Bw7uYk3w2nCLTc7gWTKmQeEoYw%3D" target="_blank" rel="noopener">ceased</a> to be a substantial shareholder by reducing its stake from 15.85% to 4.53% of the outstanding shares. There is a high probability that they are no longer shareholders. </li>
<li>The Murakami entities disposed of the shares from 18 to 27 May when the shares were trading through terms, suggesting they were bought by one or more activists. </li>
</ul>


On 15 May, Shinko Shoji (8141 JP) announced a tender offer from Kaga Electronics (8154 JP) at JPY1,580. While Murakami, the largest shareholder, provided an irrevocable, it could sell down. 
Murakami ceased to be a substantial shareholder by reducing its stake from 15.85% to 4.53% of the outstanding shares. There is a high probability that they are no longer shareholders. 
The Murakami entities disposed of the shares from 18 to 27 May when the shares were trading through terms, suggesting they were bought by one or more activists. 


Shinko Shoji (8141 JP): An Increasing Chance for a Bump as Murakami Exits