Pan-Asia Catalysts/Events, Quiddity Advisors

David Blennerhassett

Pan-Asia Catalysts/Events

Quiddity Advisors

Event-Driven

Last Week in Event SPACE: Soho China, Toshiba, China Logistics, Invesco Office, Yantian's Backlog

<div>
<p>Back on the 11 May,  real estate manager <a href="https://www.smartkarma.com/entities/apn-property-group-ltd" target="_blank" data-smartkarma-citation="entities:3730:1" rel="noopener">Apn Property Group (APD AU)</a> announced it had entered into a Scheme with <a href="https://www.smartkarma.com/entities/dexus" target="_blank" data-smartkarma-citation="entities:403:1" rel="noopener">Dexus Property (DXS AU)</a> at a price of A$0.915/share (including a A$0.015/share dividend), a 50% premium to last close, and a decade-plus high. The Offer had the unanimous backing of APN directors. In addition, APN directors holding 33% of APN's outstanding shares intend to vote in favour of the Scheme.</p>
</div>
<div>
<p>Separately, APN Chairman Chris Aylward had granted Dexus a call option over 19.9% of APN's shares, exercisable in the event a competing proposal.</p>
</div>
<div>
<p>This was, and is, a done deal.</p>
<div>
<p>The Scheme Booklet is now <a href="https://cdn-api.markitdigital.com/apiman-gateway/ASX/asx-research/1.0/file/2924-02385052-3A568916?access_token=83ff96335c2d45a094df02a206a39ff4" target="_blank" rel="noopener">out</a>. The Scheme Meeting will be held on the 27 July, with an expected implementation date of the 13 August.</p>
</div>
<div>
<p>The Independent Expert has concluded the Scheme is fair and reasonable in the absence of a superior proposal. </p>
</div>
<div>
<p>More below the fold.</p>
</div>
</div>


Back on the 11 May,  real estate manager Apn Property Group (APD AU) announced it had entered into a Scheme with Dexus Property (DXS AU) at a price of A$0.915/share (including a A$0.015/share dividend), a 50% premium to last close, and a decade-plus high. The Offer had the unanimous backing of APN directors. In addition, APN directors holding 33% of APN's outstanding shares intend to vote in favour of the Scheme.


Separately, APN Chairman Chris Aylward had granted Dexus a call option over 19.9% of APN's shares, exercisable in the event a competing proposal.


This was, and is, a done deal.

The Scheme Booklet is now out. The Scheme Meeting will be held on the 27 July, with an expected implementation date of the 13 August.


The Independent Expert has concluded the Scheme is fair and reasonable in the absence of a superior proposal. 


More below the fold.



APN Property (APD AU): Scheme Booklet Out. EGM Firmed

Last Week in Event SPACE: Prosus/Naspers, Wilmar, Invesco Office, Boral, Honshu Chem, Crown Resorts

<p>This morning real estate manager <a href="https://www.smartkarma.com/entities/apn-property-group-ltd" target="_blank" data-smartkarma-citation="entities:3730:1" rel="noopener">Apn Property Group (APD AU)</a> made an <a href="https://cdn-api.markitdigital.com/apiman-gateway/ASX/asx-research/1.0/file/2924-02373507-3A566928?access_token=83ff96335c2d45a094df02a206a39ff4" target="_blank" rel="noopener">announcement</a> it had entered into a Scheme with <a href="https://www.smartkarma.com/entities/dexus" target="_blank" data-smartkarma-citation="entities:403:1" rel="noopener">Dexus Property (DXS AU)</a> at a price of A$0.915/share, a 50% premium to last close.</p>
<p>The Offer has the unanimous backing of APN directors. In addition, APN directors holding 33% of APN's outstanding shares intend to vote in favour of the Scheme.</p>
<p>APN Chairman Chris Aylward has separately granted Dexus a call option equal to 19.9% of APN's shares, exercisable in the event a competing proposal is announced.</p>
<p>The Scheme meeting is expected to be held mid-July with implementation potentially early August. </p>
<p>Board support, a hefty premium to last close, and a decade-plus high - this is priced to complete and is trading accordingly.</p>
<p>More below the fold.</p>

This morning real estate manager Apn Property Group (APD AU) made an announcement it had entered into a Scheme with Dexus Property (DXS AU) at a price of A$0.915/share, a 50% premium to last close.
The Offer has the unanimous backing of APN directors. In addition, APN directors holding 33% of APN's outstanding shares intend to vote in favour of the Scheme.
APN Chairman Chris Aylward has separately granted Dexus a call option equal to 19.9% of APN's shares, exercisable in the event a competing proposal is announced.
The Scheme meeting is expected to be held mid-July with implementation potentially early August. 
Board support, a hefty premium to last close, and a decade-plus high - this is priced to complete and is trading accordingly.
More below the fold.

Head of Research, IPOs & Placements, Aequitas Research

Sumeet Singh

Head of Research, IPOs & Placements

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.

Equity Capital Markets

Cromwell Property / Equity Capital Markets

<p><a href="https://www.smartkarma.com/entities/cromwell-property-group" target="_blank" data-smartkarma-citation="entities:2780:1" rel="noopener">Cromwell Property (CMW AU)</a> plans to raise US$260m (A$375m) in order to pursue over A$1bn of identified acquisition opportunities across Australia and Europe, as per the company. As per our back of the envelope calculations, given the large dilution, the company would have to announce acquisiton of at least A$1.1bn+ in order to just mantain its earnings.</p><p>This is the third fund raising by an Australian property group that we have covered since May 2019. The other two deals did reasonably ok. However, both were done to part fund acquisitions which were announced along with the placement. Hence, this deal is not exactly comparable. </p><p>The deal scores well on our framework owing to its track record, although performance of the stock in its past deals has been mixed. </p>

Cromwell Property (CMW AU) plans to raise US$260m (A$375m) in order to pursue over A$1bn of identified acquisition opportunities across Australia and Europe, as per the company. As per our back of the envelope calculations, given the large dilution, the company would have to announce acquisiton of at least A$1.1bn+ in order to just mantain its earnings.This is the third fund raising by an Australian property group that we have covered since May 2019. The other two deals did reasonably ok. However, both were done to part fund acquisitions which were announced along with the placement. Hence, this deal is not exactly comparable. The deal scores well on our framework owing to its track record, although performance of the stock in its past deals has been mixed. 

Cromwell Property Placement - Trickier than Others - Past Deals Have Been Mixed

Australia

Dexus provides real estate services. The Company manages and invests in a portfolio of diversified properties, including office and industrial buildings, retail shopping centers, and car parks. Dexus serves customers in Australia and New Zealand.

Price Gauge
52-week Range	0.00 - 0.00
Market Cap (USDm)	0.00
P/E	0.00
Dividend (Yield)	0.00

Dexus Property (DXS AU)

Last Week in Event SPACE: Soho China, Toshiba, China Logistics, Invesco Office, Yantian's Backlog

The weekend is here! Pour yourself a coffee, grab a comfortable seat, and sift through a brief summary of insights on various events discussed...

David Blennerhassett

APN Property (APD AU): Scheme Booklet Out. EGM Firmed

Done deal and trading tight at a 1.1%/7.2% gross/annualised spread. Given the spread and APN's low liquidity, this insight is bearish.

David Blennerhassett

Last Week in Event SPACE: Prosus/Naspers, Wilmar, Invesco Office, Boral, Honshu Chem, Crown Resorts

The weekend is here! Pour yourself a coffee, grab a comfortable seat, and sift through a brief summary of insights on various events discussed...

David Blennerhassett

APN Prop (APD AU): Dexus' Done Deal

Board support, a hefty premium to last close, and a decade-plus high - this is priced to complete and is trading accordingly.

David Blennerhassett

Cromwell Property Placement - Trickier than Others - Past Deals Have Been Mixed

Cromwell Property (CMW AU) plans to raise US$260m (A$375m) in order to pursue over A$1bn of identified acquisition opportunities across Australia...

Sumeet Singh

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)