Pan-Asia Catalysts/Events, Quiddity Advisors

David Blennerhassett

HK Type 4 license through Ballingal Investment Advisors Ltd. 

I'm a highly experienced sell-side analyst with in excess of 22 years of covering Asia Pacific equities, the past 19 years immersed in event strategies encompassing M&A risk arbitrage, directional long/short, stub trades and restructuring.  

My background also includes accountancy (liquidation/bankruptcy/receivership) earlier in my career and as a chief financial officer of a global commodity company based in the US and Mexico.

Pan-Asia Catalysts/Events

Quiddity Advisors

Event-Driven

Back in September 2017, Lawrence Ho, <a href="https://www.smartkarma.com/entities/20644" target="_blank" data-smartkarma-citation="entities:20644:1">Summit Ascent Holdings (102 HK)</a>'s major shareholder, reduced his stake to 18.75% from 27.06% (at between $1.13-$1.60/share, but mainly at the low end of this range), according to Hong Kong Exchange disclosure of interest <a href="http://sdinotice.hkex.com.hk/di/NSNoticePersonList.aspx?sa2=np&amp;scpid1=3963&amp;scpid3=0&amp;scpid2=162&amp;sa1=pl&amp;scsd=03%2f04%2f2017&amp;sced=03%2f04%2f2019&amp;pn=Ho+Lawrence+Yau+Lung&amp;src=MAIN&amp;lang=EN&amp;" target="_blank">filings</a>. The share price of this Russian integrated gaming play declined 34% to $1.06/share in the following five trading days. Who bought those shares was not disclosed - CCASS shows these shares moving out of VC Brokerage into at least 10 different brokerage accounts.
Shortly after, Howard Klein quoted one insider in his insight <a href="https://www.smartkarma.com/insights/melco-resorts-a-gem-hiding-in-plain-sight-offers-an-entry-point-after-a-recent-dip?utm_campaign=insight%2Bsharing&amp;utm_content=sharing%2Blink&amp;utm_medium=direct%2Blink&amp;utm_source=direct" target="_blank">Melco Resorts: A Gem Hiding in Plain Sight Offers an Entry Point After a Recent Dip</a> that the sell-down wasn't likely a sign "Ho has lost confidence in the area."
On the 15 December, Ho <a href="http://www3.hkexnews.hk/listedco/listconews/SEHK/2017/1218/LTN20171218025.pdf" target="_blank">announced</a> a complete exit from Summit, selling 17.37% of shares out. Concurrently Ho resigned from his NED and chairman positions. Those shares moved from VC Brokerage to Sun Hung Kai Investments on the 20 December 2017. Shares traded unchanged on the news. 
At the same time, <a href="https://www.smartkarma.com/entities/13851" target="_blank" data-smartkarma-citation="entities:13851:1">First Steamship (2601 TT)</a> <a href="http://sdinotice.hkex.com.hk/di/NSNoticePersonList.aspx?sa2=np&amp;scpid1=29165&amp;scpid3=0&amp;scpid2=162&amp;sa1=pl&amp;scsd=03%2f04%2f2017&amp;sced=03%2f04%2f2019&amp;pn=First+Steamship&amp;src=MAIN&amp;lang=EN&amp;" target="_blank">disclosed</a> it held 12.67% on the 18 December 2017. Concurrently, Kuo Jen Hao was <a href="http://www3.hkexnews.hk/listedco/listconews/SEHK/2017/1228/LTN201712281107.pdf" target="_blank">appointed</a> as NED and Chairman of the Board, with effect from 28 December 2017.  Kuo is also the chairman and the general manager of First Steamship. First Steamship gradually increased its stake to 19.11% as at 24 October 2018.
The New News
Yesterday, Summit Ascent <a href="http://www3.hkexnews.hk/listedco/listconews/SEHK/2019/0402/LTN201904021669.pdf" target="_blank">announced</a> it has been informed that First Steamship and Kuo are in talks to sell their entire shareholdings. No numbers were disclosed. This stake sale would not trigger an MGO and there was no reference to the release of an announcement pursuant to the Codes on Takeovers and Mergers and Share Buy-Backs in Hong Kong. Shares are up 24%.
With increased liquidity surrounding the news, this looks like a great opportunity to exit.

Back in September 2017, Lawrence Ho, Summit Ascent Holdings (102 HK)'s major shareholder, reduced his stake to 18.75% from 27.06% (at between $1.13-$1.60/share, but mainly at the low end of this range), according to Hong Kong Exchange disclosure of interest filings. The share price of this Russian integrated gaming play declined 34% to $1.06/share in the following five trading days. Who bought those shares was not disclosed - CCASS shows these shares moving out of VC Brokerage into at least 10 different brokerage accounts.
Shortly after, Howard Klein quoted one insider in his insight Melco Resorts: A Gem Hiding in Plain Sight Offers an Entry Point After a Recent Dip that the sell-down wasn't likely a sign "Ho has lost confidence in the area."
On the 15 December, Ho announced a complete exit from Summit, selling 17.37% of shares out. Concurrently Ho resigned from his NED and chairman positions. Those shares moved from VC Brokerage to Sun Hung Kai Investments on the 20 December 2017. Shares traded unchanged on the news. 
At the same time, First Steamship (2601 TT) disclosed it held 12.67% on the 18 December 2017. Concurrently, Kuo Jen Hao was appointed as NED and Chairman of the Board, with effect from 28 December 2017.  Kuo is also the chairman and the general manager of First Steamship. First Steamship gradually increased its stake to 19.11% as at 24 October 2018.
The New News
Yesterday, Summit Ascent announced it has been informed that First Steamship and Kuo are in talks to sell their entire shareholdings. No numbers were disclosed. This stake sale would not trigger an MGO and there was no reference to the release of an announcement pursuant to the Codes on Takeovers and Mergers and Share Buy-Backs in Hong Kong. Shares are up 24%.
With increased liquidity surrounding the news, this looks like a great opportunity to exit.

Summit Ascent Holdings

Summit Ascent's Slippery Slope