Pan-Asia Catalysts/Events, Quiddity Advisors

Travis Lundy

Pan-Asia Catalysts/Events

Quiddity Advisors

Event-Driven

The Naspers spinoff of Prosus this past summer was much talked about on Smartkarma.
We got some things right and some things wrong. We got the general direction of some of the spreads right, though they did not move as much as expected. 
We got the index impact timing from selling of Prosus wrong, but that was in timing, not necessarily in quantum. Data subsequent to the index event shows the main expected seller sold little at the time but has been almost 30% of volume since (selling). 
The spread-widening from the actual spinoff can be broken down into component spreads, and doing so is highly instructive. The Just Eat bid was clearly important in spread dynamics. The post-spinoff large seller was probably also an important factor. 
There are some ongoing pressures which could widen Prosus/Basket, despite the fact that it is near post-spinoff wides. Furthermore, the Naspers selldown of Prosus shares last week which could enable a buyback on Naspers shares from its near-wides of 42% discount to look-through basket may have a good reason. There are long-term selling pressures on Naspers as well. 
We explore the movement, timing, and spread de-composition below.

The Naspers spinoff of Prosus this past summer was much talked about on Smartkarma.
We got some things right and some things wrong. We got the general direction of some of the spreads right, though they did not move as much as expected. 
We got the index impact timing from selling of Prosus wrong, but that was in timing, not necessarily in quantum. Data subsequent to the index event shows the main expected seller sold little at the time but has been almost 30% of volume since (selling). 
The spread-widening from the actual spinoff can be broken down into component spreads, and doing so is highly instructive. The Just Eat bid was clearly important in spread dynamics. The post-spinoff large seller was probably also an important factor. 
There are some ongoing pressures which could widen Prosus/Basket, despite the fact that it is near post-spinoff wides. Furthermore, the Naspers selldown of Prosus shares last week which could enable a buyback on Naspers shares from its near-wides of 42% discount to look-through basket may have a good reason. There are long-term selling pressures on Naspers as well. 
We explore the movement, timing, and spread de-composition below.

Naspers & Prosus Vs Basket Spinoff Plus Four Months - Where Do We Stand?

South Africa

Naspers Limited operates in the technology industry. The Company invests in global internet companies across the world.

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

Naspers (NPSNY US)

Naspers & Prosus Vs Basket Spinoff Plus Four Months - Where Do We Stand?

The Naspers spinoff of Prosus this past summer was much talked about on Smartkarma. We got some things right and some things wrong. We got the...

Travis Lundy

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)