Korea/Asia, Events, IPOs, Douglas Research Advisory

Douglas Kim

Korea/Asia, Events, IPOs

Douglas Research Advisory

Equity Bottom-Up

Korean Air Lines Co., Ltd. operates air transportation services.  The Company's services include passenger and cargo transportation, aircraft maintenance, and air catering.  Korean Air Lines provides domestic and international airline services.

<ul>
<li>In this insight, we highlight the recent pricing gap divergences of the major Korean holdcos and opcos which could provide trading opportunities in 2Q 2025.</li>
<li>Among the 38 holdcos/opcos, there have been several pairs that have resulted in significant price ratio divergence which could provide trading opportunities in terms of their pricing gaps closing reversal.</li>
<li>Given the resumption in short selling in Korea, there is going to be a lot more interest in pair trades in Korea, especially among the major Korean holdcos/opcos. </li>
</ul>


In this insight, we highlight the recent pricing gap divergences of the major Korean holdcos and opcos which could provide trading opportunities in 2Q 2025.
Among the 38 holdcos/opcos, there have been several pairs that have resulted in significant price ratio divergence which could provide trading opportunities in terms of their pricing gaps closing reversal.
Given the resumption in short selling in Korea, there is going to be a lot more interest in pair trades in Korea, especially among the major Korean holdcos/opcos. 


Korean Holdcos Vs Opcos Gap Trading Opportunities in 2Q 2025

New Zealand Professional Investment Services Firm, Forsyth Barr

Forsyth Barr

New Zealand Professional Investment Services Firm

We are proud to be a New Zealand owned firm, with 21 offices throughout the country and over 300 employees. We assist personal, institutional and corporate clients providing a full range of investment services.

Forsyth Barr is a foundation New Zealand Exchange firm (NZX) and accredited market participant. We have been confirmed by the Financial Markets Authority as a Qualifying Financial Entity (QFE).

Research is the cornerstone of our advice. We have one of New Zealand's leading teams of analysts. Our global affiliations ensure comprehensive research coverage of all major investment markets.

Auckland International Airport / Equity Bottom-Up

Auckland International Airport Limited owns and operates the Auckland International Airport.  The Airport includes a single runway, an international terminal and two domestic terminals.  The Airport also has commercial facilities which includes airfreight operations, car rental services, commercial banking center and office buildings.

<ul><li>Auckland Airport has selected Lagardère as its new single duty-free concessionaire with an eight-year deal, expecting similar concession yields to existing ones.</li><li>The outlook for retail income is unlikely to benefit from a step-up due to anticipated disruptions from a full refurbishment of all duty-free stores.</li><li>Retail income per total pax is targeted to return to FY19 levels, but this is unlikely to happen by FY26 due to refurbishment disruptions.</li></ul>

Auckland Airport has selected Lagardère as its new single duty-free concessionaire with an eight-year deal, expecting similar concession yields to existing ones.The outlook for retail income is unlikely to benefit from a step-up due to anticipated disruptions from a full refurbishment of all duty-free stores.Retail income per total pax is targeted to return to FY19 levels, but this is unlikely to happen by FY26 due to refurbishment disruptions.

⬛ Auckland Airport ⬛ Lagardère Layover Extended

<ul><li>Auckland Airport has selected Lagardère as its new single duty-free concessionaire for an eight-year contract following a global tender process.</li><li>AIA will assume more risk under the new contract, sharing passenger risk with Lagardère, with minimum annual guarantees remaining a feature.</li><li>AIA aims to return its retail income per total passenger to FY19 levels but anticipates a gap until FY27 due to refurbishment disruptions.</li></ul>

Auckland Airport has selected Lagardère as its new single duty-free concessionaire for an eight-year contract following a global tender process.AIA will assume more risk under the new contract, sharing passenger risk with Lagardère, with minimum annual guarantees remaining a feature.AIA aims to return its retail income per total passenger to FY19 levels but anticipates a gap until FY27 due to refurbishment disruptions.

Auckland Airport (AIA.NZ) - Duty Free Tender Concluded

GMR Airports Infrastructure / Equity Bottom-Up

GMR Infrastructure is an infrastructure company with interests in airports, power and roads. The Company is developing a greenfield international airport at Hyderabad, and is also operating, managing and developing the Delhi airport. Additionally, it is involved in development and operation of power plants and road projects in India.

<ul><li>GMR Airports has met the investor test in New Zealand in anticipation of a potential acquisition.</li><li>The most likely targets for GMR Airports in New Zealand include Wellington Airport, regional airports, Queenstown Airport, and Christchurch Airport's investment in Tarras.</li><li>There is a strong possibility that GMR Airports' interest in acquiring New Zealand airports may not result in any actual transactions.</li></ul>

GMR Airports has met the investor test in New Zealand in anticipation of a potential acquisition.The most likely targets for GMR Airports in New Zealand include Wellington Airport, regional airports, Queenstown Airport, and Christchurch Airport's investment in Tarras.There is a strong possibility that GMR Airports' interest in acquiring New Zealand airports may not result in any actual transactions.

Transport Titbits - An Airport Transaction on the Runway?

Asia Pac IPO & Placement Research, China biotech, Aequitas Research

Ke Yan, CFA, FRM

Asia Pac IPO & Placement Research, China biotech

IPOs and Placements coverage across Asia Pacific

Aequitas Research

We cover all listing across the Asia Pacific along with follow-up placements. As of Dec 2020, our team had covered 539 IPOs with a hit rate of 73.5% and 685 placements with a hit rate of 66.8%.

We combine fundamental bottom-up views with our proprietary quantitative framework to provide a holistic coverage across new listings and placements. Our coverage includes pre-IPO notes before the deal is launched, follow-up analysis once the deal is live and post-listing trading analysis as well.

Quantitative Analysis

<ul>
<li>We analyzed the changes in short interest of Stock Exchange of Thailand as of Mar 28th.We estimate that they had an aggregated short interest worth USD0.8bn.</li>
<li>We tabulate league table for top short by value and short as multiple of ADT, as well as weekly increases &amp; decreases in short value, short as multiple of ADT.</li>
<li>We highlight short interest changes in CP AXTRA NVDR, Thai Oil, Central Pattana, Indorama Ventures, PTT E&amp;P, Airports of Thailand, Kasikornbank, Bangkok Bank, CP ALL.</li>
</ul>


We analyzed the changes in short interest of Stock Exchange of Thailand as of Mar 28th.We estimate that they had an aggregated short interest worth USD0.8bn.
We tabulate league table for top short by value and short as multiple of ADT, as well as weekly increases &amp; decreases in short value, short as multiple of ADT.
We highlight short interest changes in CP AXTRA NVDR, Thai Oil, Central Pattana, Indorama Ventures, PTT E&amp;P, Airports of Thailand, Kasikornbank, Bangkok Bank, CP ALL.


Thailand Short Interest Weekly (Mar 28th): CP AXTRA, Thai Oil, Central Pattana, Indorama Ventures

Aviation and Airlines
Aviation and Airlines Industry

Korean Holdcos Vs Opcos Gap Trading Opportunities in 2Q 2025

In this insight, we highlight the recent pricing gap divergences of the major Korean holdcos and opcos which could provide trading opportunities in...

Douglas Kim

⬛ Auckland Airport ⬛ Lagardère Layover Extended

Auckland Airport has selected Lagardère as its new single duty-free concessionaire with an eight-year deal, expecting similar concession yields to...

Forsyth Barr

Auckland Airport (AIA.NZ) - Duty Free Tender Concluded

Auckland Airport has selected Lagardère as its new single duty-free concessionaire for an eight-year contract following a global tender...

Forsyth Barr

Transport Titbits - An Airport Transaction on the Runway?

GMR Airports has met the investor test in New Zealand in anticipation of a potential acquisition. The most likely targets for GMR Airports in New...

Forsyth Barr

Thailand Short Interest Weekly (Mar 28th): CP AXTRA, Thai Oil, Central Pattana, Indorama Ventures

We analyzed SET short interest report for the past week and highlighted short interest changes in CP AXTRA NVDR, Thai Oil, Central Pattana,...

Ke Yan, CFA, FRM