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

Tatsuta Electric Wire & Cable / Event-Driven

<ul>
<li>18 months after announcing the offer, <a href="https://www.smartkarma.com/entities/eneos-holdings-inc" target="_blank" data-smartkarma-citation="entities:638:1" rel="noopener">ENEOS Holdings (5020 JP)</a> secured SAMR approval for the <a href="https://www.smartkarma.com/entities/tatsuta-electric-wire-cable-co-ltd" target="_blank" data-smartkarma-citation="entities:12509:1" rel="noopener">Tatsuta Electric Wire &amp; Cable (5809 JP)</a> tender offer at JPY720 per share.   </li>
<li>The tender offer is expected to be launched on 21 June, subject to securing the recommendation from the special committee and the Board.</li>
<li>A bump is required due to the material market rerating since 21 December 2022. An offer of JPY828, a 15.1% premium to the current offer, implies a P/B of 1x.  </li>
</ul>


18 months after announcing the offer, ENEOS Holdings (5020 JP) secured SAMR approval for the Tatsuta Electric Wire &amp; Cable (5809 JP) tender offer at JPY720 per share.   
The tender offer is expected to be launched on 21 June, subject to securing the recommendation from the special committee and the Board.
A bump is required due to the material market rerating since 21 December 2022. An offer of JPY828, a 15.1% premium to the current offer, implies a P/B of 1x.  


Tatsuta Electric (5809 JP): Eneos Finally Secures SAMR Approval but Needs to Bump

Pan-Asia Catalysts/Events, Quiddity Advisors

Travis Lundy

Pan-Asia Catalysts/Events

Quiddity Advisors

<ul>
<li>
<a href="https://www.smartkarma.com/entities/eneos-holdings-inc" target="_blank" data-smartkarma-citation="entities:638:1" rel="noopener">ENEOS Holdings (5020 JP)</a> announced a deal to buy out their affiliate <a href="https://www.smartkarma.com/entities/tatsuta-electric-wire-cable-co-ltd" target="_blank" data-smartkarma-citation="entities:12509:1" rel="noopener">Tatsuta Electric Wire &amp; Cable (5809 JP)</a> 18 months ago. The TOB was expected to start June 2023.</li>
<li>June 2023 came around and China's SAMR still hadn't approved. ENEOS provided quarterly updates in Sep and Dec and monthly updates since. The May update was different. </li>
<li>The May update cut the "re-update" schedule to mid-month June. There are reasons to look at what has changed since the Dec 2022 announcement. </li>
</ul>



ENEOS Holdings (5020 JP) announced a deal to buy out their affiliate Tatsuta Electric Wire &amp; Cable (5809 JP) 18 months ago. The TOB was expected to start June 2023.
June 2023 came around and China's SAMR still hadn't approved. ENEOS provided quarterly updates in Sep and Dec and monthly updates since. The May update was different. 
The May update cut the "re-update" schedule to mid-month June. There are reasons to look at what has changed since the Dec 2022 announcement. 


Tatsuta Electric (5809 JP) Crunch Time = Bump Time?

David Blennerhassett

<ul>
<li>I tally 50 - mostly firm, mostly Asia-Pac - transactions currently being discussed and analysed on Smartkarma. Inside is a timetable of upcoming key events for each deal.</li>
<li>Three new deals discussed this week: <a href="https://www.smartkarma.com/entities/fancl-corp" target="_blank" data-smartkarma-citation="entities:15862:1" rel="noopener">Fancl (4921 JP)</a>'s Tender offer, <a href="https://www.smartkarma.com/entities/a8-new-media-group-ltd" target="_blank" data-smartkarma-citation="entities:3444:1" rel="noopener">A8 New Media (800 HK)</a>'s Scheme, and <a href="https://www.smartkarma.com/entities/jeisys-medical-inc" target="_blank" data-smartkarma-citation="entities:36766:1" rel="noopener">Jeisys Medical (287410 KS)</a>'s delisting offer. Bain also approached <a href="https://www.smartkarma.com/entities/bapcor-ltd" target="_blank" data-smartkarma-citation="entities:8433:1" rel="noopener">Bapcor (BAP AU)</a>.</li>
<li>Key updates took place on: <a href="https://www.smartkarma.com/entities/sigma-healthcare-ltd" target="_blank" data-smartkarma-citation="entities:15966:1" rel="noopener">Sigma Healthcare (SIG AU)</a>, <a href="https://www.smartkarma.com/entities/alumina-ltd" target="_blank" data-smartkarma-citation="entities:939:1" rel="noopener">Alumina (AWC AU)</a>, <a href="https://www.smartkarma.com/entities/greatview-aseptic-packaging" target="_blank" data-smartkarma-citation="entities:10802:1" rel="noopener">Greatview Aseptic Packaging (468 HK)</a>, <a href="https://www.smartkarma.com/entities/helios-techno-holding-co-ltd" target="_blank" data-smartkarma-citation="entities:13934:1" rel="noopener">Helios Techno (6927 JP)</a>, and <a href="https://www.smartkarma.com/entities/tatsuta-electric-wire-cable-co-ltd" target="_blank" data-smartkarma-citation="entities:12509:1" rel="noopener">Tatsuta Electric Wire &amp; Cable (5809 JP)</a>.</li>
</ul>


I tally 50 - mostly firm, mostly Asia-Pac - transactions currently being discussed and analysed on Smartkarma. Inside is a timetable of upcoming key events for each deal.
Three new deals discussed this week: Fancl (4921 JP)'s Tender offer, A8 New Media (800 HK)'s Scheme, and Jeisys Medical (287410 KS)'s delisting offer. Bain also approached Bapcor (BAP AU).
Key updates took place on: Sigma Healthcare (SIG AU), Alumina (AWC AU), Greatview Aseptic Packaging (468 HK), Helios Techno (6927 JP), and Tatsuta Electric Wire &amp; Cable (5809 JP).


(Mostly) Asia-Pac M&A: Fancl, Jeisys Medical, A8 New Media, Bapcor, Helios Techno,Tatsuta Electric

Shinko Electric Industries / Event-Driven

<ul>
<li>At first glance, the <a href="https://www.smartkarma.com/entities/shinko-electric-industries" target="_blank" rel="noopener">Shinko Electric Industries (6967 JP)</a> and China TCM merger arb has little or no similarities regarding the region, precondition, sector, type of offeror, or offer structure.</li>
<li>The aftermath of <a href="https://www.smartkarma.com/entities/china-traditional-chinese-medicine" target="_blank" data-smartkarma-citation="entities:351:1" rel="noopener">China Traditional Chinese Medicine (570 HK)</a> has resulted in funds resizing well-held merger arb positions, mainly long-dated names with tail event risks. This has increased the Shinko spread. </li>
<li>Shinko’s tail event risk (no SAMR approval) remains low. Timing remains the primary risk, as a delay is possible. At the last close, the gross/annualised spread was 8.9%/29.2%.</li>
</ul>


At first glance, the Shinko Electric Industries (6967 JP) and China TCM merger arb has little or no similarities regarding the region, precondition, sector, type of offeror, or offer structure.
The aftermath of China Traditional Chinese Medicine (570 HK) has resulted in funds resizing well-held merger arb positions, mainly long-dated names with tail event risks. This has increased the Shinko spread. 
Shinko’s tail event risk (no SAMR approval) remains low. Timing remains the primary risk, as a delay is possible. At the last close, the gross/annualised spread was 8.9%/29.2%.


Shinko Electric (6967 JP): A Casualty of the China TCM Deal Break

<ul>
<li>In August, <a href="https://www.smartkarma.com/entities/shinko-electric-industries" target="_blank" data-smartkarma-citation="entities:15066:1" rel="noopener">Shinko Electric Industries (6967 JP)</a> announced that the JIC consortium Tender Offer due to be launched by end-August would be delayed. Next update? January 2025.</li>
<li>Everyone had expected a delay, but the stock fell. Then tech/AI fell out of bed, Ibiden crashed, China export restrictions noise/pushback caused further upset. But Ibiden and tech are rebounding.</li>
<li>At 9% it was a raging buy;post-dip at 7% it was good. Now it's 6+%. Still wide, still interesting, still stable but year-end path dependency... So I still like Ibiden.</li>
</ul>


In August, Shinko Electric Industries (6967 JP) announced that the JIC consortium Tender Offer due to be launched by end-August would be delayed. Next update? January 2025.
Everyone had expected a delay, but the stock fell. Then tech/AI fell out of bed, Ibiden crashed, China export restrictions noise/pushback caused further upset. But Ibiden and tech are rebounding.
At 9% it was a raging buy;post-dip at 7% it was good. Now it's 6+%. Still wide, still interesting, still stable but year-end path dependency... So I still like Ibiden.


Shinko Electric (6967 JP) Takeover - Still Buy Dips, and Ibiden (4062 JP)

Japan

TATSUTA ELECTRIC WIRE AND CABLE CO., LTD. manufactures wires and cables. The Company's products include power cables, optic fiber cables and its related devices, bonding wires, and water leakage detection systems.  Tatsuta Wire & Cable also produces environmentally friendly cables.

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

Tatsuta Electric Wire & Cable (5809 JP)

Tatsuta Electric (5809 JP): Eneos Finally Secures SAMR Approval but Needs to Bump

A bump is required due to the material market rerating since 21 December 2022. An offer of JPY828, a 15.1% premium to the current offer, implies a...

Arun George

Tatsuta Electric (5809 JP) Crunch Time = Bump Time?

ENEOS' takeover of Tatsuta Electric is now 18mos in process - 12mos beyond expected launch date. Progress report timing changed end-May. Update/TOB...

Travis Lundy

(Mostly) Asia-Pac M&A: Fancl, Jeisys Medical, A8 New Media, Bapcor, Helios Techno,Tatsuta Electric

This insight provides a summary of gross/annualised spreads (on deals discussed on Smartkarma) across Asia-Pacific as at the last trading date, and...

David Blennerhassett

Shinko Electric (6967 JP): A Casualty of the China TCM Deal Break

The aftermath of the China TCM deal break has resulted in funds resizing well-held merger arb positions, mainly long-dated names with tail event...

Arun George

Shinko Electric (6967 JP) Takeover - Still Buy Dips, and Ibiden (4062 JP)

The periodic Shinko Electric Arb Update still says buy dips and again says Ibiden is a buy. Go figure. It's a good risk here. We still have four...

Travis Lundy

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)