IPOs and Catalysts/Events, Global Equity Research Ltd

Arun George

IPOs and Catalysts/Events

Uncompromised, Independent, Conflict-Free Research

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>The IFA considers the S$0.40 per share offer for <a href="https://www.smartkarma.com/entities/hwa-hong-corp-ltd" target="_blank" data-smartkarma-citation="entities:6648:1" rel="noopener">Hwa Hong Corp (HWAH SP)</a> to be fair and reasonable. Consequently, the recommending directors recommend that shareholders accept the offer.  </li>
<li>The offer which closes on 28 June continues to be subject to a 50%+ minimum acceptance condition. The offeror including valid acceptances represents 24.86% of outstanding shares.</li>
<li>Ong directors/families (29.26% stake) will not accept the offer hoping for an increasingly unlikely superior proposal. The shares are trading tight to terms (1.3% gross spread).</li>
</ul>


The IFA considers the S$0.40 per share offer for Hwa Hong Corp (HWAH SP) to be fair and reasonable. Consequently, the recommending directors recommend that shareholders accept the offer.  
The offer which closes on 28 June continues to be subject to a 50%+ minimum acceptance condition. The offeror including valid acceptances represents 24.86% of outstanding shares.
Ong directors/families (29.26% stake) will not accept the offer hoping for an increasingly unlikely superior proposal. The shares are trading tight to terms (1.3% gross spread).


Hwa Hong’s Directors Recommend Accepting the S$0.40 Voluntary Conditional Offer

Pan-Asia Catalysts/Events, Quiddity Advisors

David Blennerhassett

Pan-Asia Catalysts/Events

Quiddity Advisors

<ul>
<li>On the 1 June, a consortium comprising Ong Choo Eng, his son Ong Eng Yaw, Roswell Assets, Dymon Asia, and Crytalic Star dispatched the Offer for <strong><a href="https://www.smartkarma.com/entities/hwa-hong-corp-ltd" target="_blank" data-smartkarma-citation="entities:6648:1" rel="noopener">Hwa Hong (HWAH SP)</a></strong>.</li>
<li>With shares trading through terms, there was no tendering. The consortium has now bumped the Offer to S$0.40 from S$0.37/share and declared the terms final.</li>
<li>The revised Offer price is a 37.9% premium to last close and a 9-year high. The question is whether this is enough to settle Hwa Hong's intergenerational shareholder squabble.</li>
</ul>


On the 1 June, a consortium comprising Ong Choo Eng, his son Ong Eng Yaw, Roswell Assets, Dymon Asia, and Crytalic Star dispatched the Offer for Hwa Hong (HWAH SP).
With shares trading through terms, there was no tendering. The consortium has now bumped the Offer to S$0.40 from S$0.37/share and declared the terms final.
The revised Offer price is a 37.9% premium to last close and a 9-year high. The question is whether this is enough to settle Hwa Hong's intergenerational shareholder squabble.


Hwa Hong Corp (HWAH SP): The Consortium Bumps And Declares Offer Final

<ul>
<li>Sanjuro United has increased its voluntary conditional cash offer for <a href="https://www.smartkarma.com/entities/hwa-hong-corp-ltd" target="_blank" data-smartkarma-citation="entities:6648:1" rel="noopener">Hwa Hong Corp (HWAH SP)</a> by 8.1% to S$0.40 per share. The offer may be revised in a competitive situation.</li>
<li>The offer which closes on 28 June continues to be subject to a 50%+ minimum acceptance condition. The offeror including valid acceptances represents 24.70% of outstanding shares.</li>
<li>The shares are trading in line with the revised offer price. The brewing family feud for the control of Hwa Hong suggests a possibility of a counterbid. </li>
</ul>


Sanjuro United has increased its voluntary conditional cash offer for Hwa Hong Corp (HWAH SP) by 8.1% to S$0.40 per share. The offer may be revised in a competitive situation.
The offer which closes on 28 June continues to be subject to a 50%+ minimum acceptance condition. The offeror including valid acceptances represents 24.70% of outstanding shares.
The shares are trading in line with the revised offer price. The brewing family feud for the control of Hwa Hong suggests a possibility of a counterbid. 


Hwa Hong’s Revised Voluntary Conditional Offer at S$0.40

Asian Insight Provider - Actionable ideas, CrossASEAN Research

Henry Soediarko

Asian Insight Provider - Actionable ideas

CrossASEAN Research

At CrossASEAN Research we strive to produce unbiased and differentiated on the ground insights on companies across South East Asia. Our Research is produced for the most part after face to face meetings and conversations with company management to dig deep into the long term vision and strategy of the companies we cover. We seek to deliver investable and actionable themes on sectors and markets across SE Asia, often in collaboration with other Insight Providers across the region, pooling the vast experience of the analysts within the Smartkarma Ecosystem. We also offer bespoke work and tailor made trips for our clients. 

Insights across South East Asia

Equity Bottom-Up

Far East Hospitality Trust / Equity Bottom-Up

<ul>
<li>Not all hospitality REITs in Singapore are beneficiaries of the rebound in tourism in Singapore. </li>
<li>Genting, OUE Commercial REIT, and Fraser Hospitality Trust are not exactly beneficiaries to the current tourism rebound. </li>
<li>Only Far East Hospitality Trust has a 100% exposure in hotels in Singapore while CDL Hospitality Trust has 41% of the total contribution from Singapore. </li>
</ul>


Not all hospitality REITs in Singapore are beneficiaries of the rebound in tourism in Singapore. 
Genting, OUE Commercial REIT, and Fraser Hospitality Trust are not exactly beneficiaries to the current tourism rebound. 
Only Far East Hospitality Trust has a 100% exposure in hotels in Singapore while CDL Hospitality Trust has 41% of the total contribution from Singapore. 


Southeast Asia Tourism: Who Are the Beneficiaries

<ul>
<li>Ong Choo Eng and his son Ong Eng Yaw, together with Roswell Assets, Dymon Asia Private Equity, and Crytalic Star have launched a voluntary Offer for <strong><a href="https://www.smartkarma.com/entities/hwa-hong-corp-ltd" target="_blank" data-smartkarma-citation="entities:6648:1" rel="noopener">Hwa Hong (HWAH SP)</a></strong>.</li>
<li>The S$0.37/share Offer is a nine-year high and a 27.6% premium to last close. It has not been declared final. </li>
<li>However, it appears not all of the founding members of the company are on the same page. The family fissure became public after the last independent director resigned this month. </li>
</ul>


Ong Choo Eng and his son Ong Eng Yaw, together with Roswell Assets, Dymon Asia Private Equity, and Crytalic Star have launched a voluntary Offer for Hwa Hong (HWAH SP).
The S$0.37/share Offer is a nine-year high and a 27.6% premium to last close. It has not been declared final. 
However, it appears not all of the founding members of the company are on the same page. The family fissure became public after the last independent director resigned this month. 


Hwa Hong's Conditional Offer Amid Family Tussle

Singapore

City Developments Limited is a property developer and owner. The Company, through its subsidiaries, are principally engaged in the investment of properties and shares, property management, project management and the provision of consultancy services, hospitality-related information technology, and procurement services. City Developments has a global presence.

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City Developments (CIT SP)

Hwa Hong Corp (HWAH SP): The Consortium Bumps And Declares Offer Final

This remains a hostile Offer. I expected a bump and we got one. It has been declared final. I can see this Offer failing to meet the 50%...

David Blennerhassett

Hwa Hong’s Revised Voluntary Conditional Offer at S$0.40

The shares are trading in line with the revised offer price of S$0.40 per share. The brewing family feud for the control of Hwa Hong suggests a...

Arun George

Southeast Asia Tourism: Who Are the Beneficiaries

the real beneficiaries of the Singapore rebound in tourism (ex-China) are limited to a few names only. Far East Hospitality Trust and CDL...

Henry Soediarko

Hwa Hong's Conditional Offer Amid Family Tussle

I'd pay up to S$0.35-S$0.36/share, or ~15% annualised, assuming around three months to complete from here. It's a hostile Offer. It has not been...

David Blennerhassett

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Hwa Hong’s Directors Recommend Accepting the S$0.40 Voluntary Conditional Offer

We think that the offer will meet the 50%+ minimum acceptance condition. At the last close, the gross spread to the offer is 1.3%.

Arun George

Hwa Hong Corp (HWAH SP): The Consortium Bumps And Declares Offer Final

This remains a hostile Offer. I expected a bump and we got one. It has been declared final. I can see this Offer failing to meet the 50%...

David Blennerhassett

Hwa Hong’s Revised Voluntary Conditional Offer at S$0.40

The shares are trading in line with the revised offer price of S$0.40 per share. The brewing family feud for the control of Hwa Hong suggests a...

Arun George

Southeast Asia Tourism: Who Are the Beneficiaries

the real beneficiaries of the Singapore rebound in tourism (ex-China) are limited to a few names only. Far East Hospitality Trust and CDL...

Henry Soediarko

Hwa Hong's Conditional Offer Amid Family Tussle

I'd pay up to S$0.35-S$0.36/share, or ~15% annualised, assuming around three months to complete from here. It's a hostile Offer. It has not been...

David Blennerhassett