Korea / Special Situations, Clepsydra Capital

Sanghyun Park

I investigate special situations in Korea.

Korea / Special Situations

Shorting SKT on MSCI Upweight Next Monday (Effective Day)

SKT MSCI Weight Doubling: New Situation (SKT Buyback in Sep) & New Trade Approach

Closing SKT Long Position on MSCI Upweight Amid Change in Dynamic

Event-Driven

SKT finally announced a ₩500bil buyback.It is more than initially anticipated (₩400bil), and also it is sooner than expected (September) as well.But the buyback duration is one year instead of three months. The average daily buyback, if bought at an equal amount, is only 1.54% of the 1M average DTV.So, we shouldn't expect immediate impact to be substantial.<figure class="editor-figure mceNonEditable"><img src="https://static-prod.smartkarma.com/images/media/000/155/473/original/1.png?1598574601" class="editor-image img-responsive" data-smartkarma-image-id="155473"></figure><figure class="editor-figure mceNonEditable"><img src="https://static-prod.smartkarma.com/images/media/000/155/474/original/2.png?1598574778" class="editor-image img-responsive" data-smartkarma-image-id="155474"></figure><figure class="editor-figure mceNonEditable"><img src="https://static-prod.smartkarma.com/images/media/000/155/475/original/3.png?1598574830" class="editor-image img-responsive" data-smartkarma-image-id="155475"></figure>

SKT finally announced a ₩500bil buyback.It is more than initially anticipated (₩400bil), and also it is sooner than expected (September) as well.But the buyback duration is one year instead of three months. The average daily buyback, if bought at an equal amount, is only 1.54% of the 1M average DTV.So, we shouldn't expect immediate impact to be substantial.

SKT Buyback with One-Year Duration: Short Idea Is Still Valid

SK Telecom

SKT Buyback with One-Year Duration: Short Idea Is Still Valid