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.

Equity Bottom-Up

<ul><li>Table gaming revenue recovery lagging and compliance cost burden increasing</li><li>No major capex projects planned, focus on maximising value in Auckland</li><li>TAB/Entain deal a positive development in the battle for regulation of online casinos in NZ</li></ul>

Table gaming revenue recovery lagging and compliance cost burden increasingNo major capex projects planned, focus on maximising value in AucklandTAB/Entain deal a positive development in the battle for regulation of online casinos in NZ

SkyCity: Looking to the Horizon — 2023 Investor Day

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.

Equity Capital Markets

Star Entertainment Group / Equity Capital Markets

<ul>
<li>
<a href="https://www.smartkarma.com/entities/star-entertainment-group-ltd" target="_blank" data-smartkarma-citation="entities:926:1" rel="noopener">Star Entertainment Group (SGR AU)</a> will raise A$800 million with a fully underwritten 3:5 pro rata accelerated non-renounceable entitlement offer and institutional placement at A$1.20, a 13.6% discount to TERP.</li>
<li>The equity raise of A$800 million will maintain leverage within the targeted 2.0x-2.5x net debt/EBITDA long-term range in our fines high-case scenario.</li>
<li>Adjusting for the raise, Star trades at a discount to peers. While the shares will be under short-term pressure due to the raise, there is long-term value for the brave. </li>
</ul>



Star Entertainment Group (SGR AU) will raise A$800 million with a fully underwritten 3:5 pro rata accelerated non-renounceable entitlement offer and institutional placement at A$1.20, a 13.6% discount to TERP.
The equity raise of A$800 million will maintain leverage within the targeted 2.0x-2.5x net debt/EBITDA long-term range in our fines high-case scenario.
Adjusting for the raise, Star trades at a discount to peers. While the shares will be under short-term pressure due to the raise, there is long-term value for the brave. 


Star Entertainment (SGR AU): A$800m Highly Dilutive Raise to Fix the Balance Sheet

<ul><li>We lower our rating on SkyCity (SKC) to NEUTRAL from OUTPERFORM in light of a regulatory backdrop that we expect will remain uncertain for more than the next 12 months</li><li>We accept that SKC appears good value (one year forward PE of ~13x) at current levels, though the risk of regulatory intervention into the current status quo is elevated</li><li>Our valuation now incorporates a material regulatory discount in addition to an anticipated AUSTRAC fine of NZ$50m. </li></ul>

We lower our rating on SkyCity (SKC) to NEUTRAL from OUTPERFORM in light of a regulatory backdrop that we expect will remain uncertain for more than the next 12 monthsWe accept that SKC appears good value (one year forward PE of ~13x) at current levels, though the risk of regulatory intervention into the current status quo is elevatedOur valuation now incorporates a material regulatory discount in addition to an anticipated AUSTRAC fine of NZ$50m. 

SkyCity: 1H23 — Downgrade on Regulatory Risks

<ul><li>SkyCity (SKC) reported a 1H23 result that was modestly above expectations and an upgrade to its full year earnings guidance</li><li>SKC also modestly lifted its FY23 normalised EBITDA guidance +3% at the midpoint to between NZ$305-320m.</li><li>The midpoint of this guidance implies 2H23 normalised EBITDA of NZ$150m, with SKC anticipating increasing cost pressures in the second half.</li></ul>

SkyCity (SKC) reported a 1H23 result that was modestly above expectations and an upgrade to its full year earnings guidanceSKC also modestly lifted its FY23 normalised EBITDA guidance +3% at the midpoint to between NZ$305-320m.The midpoint of this guidance implies 2H23 normalised EBITDA of NZ$150m, with SKC anticipating increasing cost pressures in the second half.

SkyCity (SKC): 1H23 Result First Impressions

<ul><li>SkyCity's (SKC) 1H23 result (due 15 February 2023) will feature strong operating momentum. 1H23 is the first period SKC has operated restriction free at all of its properties since 1H20.</li><li>Its 1Q23 trading update highlighted positive early signs in the gaming recovery had been maintained</li><li>We expect 2Q23 has been more of the same, aided by a full cruise ship summer season in its key market, Auckland, and a progressive recovery in hospitality earnings.</li></ul>

SkyCity's (SKC) 1H23 result (due 15 February 2023) will feature strong operating momentum. 1H23 is the first period SKC has operated restriction free at all of its properties since 1H20.Its 1Q23 trading update highlighted positive early signs in the gaming recovery had been maintainedWe expect 2Q23 has been more of the same, aided by a full cruise ship summer season in its key market, Auckland, and a progressive recovery in hospitality earnings.

Australia

Collins Foods Ltd. operates fast-food restaurants.  The Company operates chains of steak and chicken restaurants in Australia.

Jumbo Interactive Limited develops e-commerce and online retailing technologies. The Company also operates a web site that offers Australian lottery tickets for purchase online as well as distributes a wide range of software products.

The Star Entertainment Group Limited owns and operates casinos and hotels. The Company offers services and amenities such as gaming facilities, nightclubs, bars, restaurants, exhibition centers. The Star Entertainment Group conducts business in Australia.

Tabcorp Holdings Limited operates as a holding company. The Company, through its subsidiaries, provides gambling, gaming, wagering, and entertainment services. Tabcorp Holdings serves customers in Australia and in the United Kingdom.

Helloworld Travel Limited operates as a travel company. The Company provides corporate travel management services to corporate and government customers including booking flights, cruises, and accommodation. Helloworld Travel serves customers worldwide.

Ainsworth Game Technology Limited designs, develops and manufactures gaming machines and games combination software and other related equipment for the gaming industry in Australia. Products include the Ambassador video gaming machines, video games and Embassy Jackpot systems.

Retail Food Group Ltd is a retail food brand manager and franchiser. The Company currently manages donut stores and cafes.

Elanor Investor Group is an investment and funds management business. The Company diversifies its investments within funds management, hotels and leisure, and special situation investments.

Reef Casino Trust operates The Reef Hotel Casino Complex in Cairns, North Queensland.  The complex includes a 128-room hotel, nightclub, a conservatory, a gaming area, lounge and bar, restaurants and conference facilities.

Corporate Travel Management Ltd. offers corporate travel management services. The Company operates on a fee for service model and provides business travel advice and services; bookings; ticketing, and ancillary services; and offers travel data diagnostics and recommendations.

PLENUS Co., Ltd. sells take-out boxed meals through a franchise system as well as operates Japanese restaurants.  The Company also sells foodstuff, packaging material, and business uniforms.

LiJiang YuLong Tourism Co., Ltd. provides travel services in Lijiang, Yunnan. The Company provides cableway transportation, bus transportation, food and beverages services, and other related tourism services.

Hna-Caissa Travel Group is in the business of public transportation catering service, including airline catering and railway catering services. It also provides hotel catering services.

Ruth's Hospitality Group Inc. operates a chain of upscale steak houses. The Company's restaurants are located throughout the United States and in several international locations.

ARCLAND SERVICE CO., LTD. operates a restaurant chain based in Tokyo. The Company mainly serves pork cutlets and barbecue.

Cafe De Coral Holdings Limited, through its subsidiaries, operates quick service restaurants, fast casual dining, institutional catering and specialty restaurant chains, and food manufacturing business.

HIDAY HIDAKA Corp. operates a chain of Oriental noodle and Chinese restaurants mainly in Saitama Prefecture.  The Company produces noodles, soup, and dumplings at its own factory.

DOUTOR NICHIRES Holdings Co., Ltd is establish through merger of DOUTOR COFFEE and NIPPON RESTAURANT SYSTEM.  The Company operates a coffee shop and restaurant chain. DOUTOR NICHIRES manages all business operations, from producing and procuring coffee beans to roasting, wholesaling, and retailing.

Biglari Holdings Inc. operates as a holding company. The Company, through its subsidiaries, invests in food and insurance companies. Biglari Holdings serves clients in the State of Texas.

Hana Tour Service Inc. wholesales a variety of travel related services.  The Company provides outbound, inbound and domestic travel packages and cooperates with credit card companies and Internet shopping malls to market its services. Hana Tour Service also works as general sales agency (GSA) of overseas cruise and rail passes.

SKYCITY Entertainment Group Ltd. provides gaming and casino services. The Company offers various casinos accompanied with various bars, hotels, restaurants, and convention centers. SKYCITY Entertainment Group offers services 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

Skycity Entertainment (SKC AU)

SkyCity: Looking to the Horizon — 2023 Investor Day

SkyCity's (SKC) Investor Day reiterated key themes and included a modest FY23 guidance downgrade; The focus of the day was on the value...

Forsyth Barr

Star Entertainment (SGR AU): A$800m Highly Dilutive Raise to Fix the Balance Sheet

Adjusting for the raise, Star trades at a discount to peers. While the shares will be under short-term pressure due to the raise, there is long...

Arun George

SkyCity: 1H23 — Downgrade on Regulatory Risks

We lower our rating on SkyCity (SKC) to NEUTRAL from OUTPERFORM in light of a regulatory backdrop that we expect will remain uncertain for more...

Forsyth Barr

SkyCity (SKC): 1H23 Result First Impressions

SkyCity (SKC) reported a 1H23 result that was modestly above expectations and an upgrade to its full year earnings guidance; 1H23 normalised EBITDA...

Forsyth Barr

SkyCity: Cashing In — 1H23 Preview

SkyCity's (SKC) 1H23 result (due 15 February 2023) will feature strong operating momentum. 1H23 is the first period SKC has operated restriction...

Forsyth Barr

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)