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Smartkarma Daily Briefs

Sep 12
0

Daily Brief South Korea: Samsung Electronics Pref Shares, Hanwha Galleria , The Born Korea and more

By | Daily Briefs, South Korea

In today’s briefing:

  • Exploring Why Samsung Electronics’ Pref Discount Narrowing Took a Sharp Turn Yesterday
  • Hanwha Galleria Tender Results Are in with No Proration Issue Despite a Fat Spread. What’s Next?
  • The Born Korea IPO Valuation Vs Recent M&A Valuation of Compose Coffee by Jollibee Foods
  • Kim Dong-Sun Likely to Purchase More Shares of Hanwha Galleria Post Tender Offer

Exploring Why Samsung Electronics’ Pref Discount Narrowing Took a Sharp Turn Yesterday

By Sanghyun Park

  • Samsung’s preferred shares lagged significantly behind the common shares yesterday, showing the largest daily sigma move we’ve seen in a while.
  • Samsung’s delayed value-up announcement, despite regulatory pressure, has fueled speculation about a potential Biologics stake purchase from C&T.
  • It’s time to pause the trade on Samsung’s preferred discount narrowing that I highlighted in early August. The main inflection point will be when Samsung makes its value-up announcement.

Hanwha Galleria Tender Results Are in with No Proration Issue Despite a Fat Spread. What’s Next?

By Sanghyun Park

  • Hanwha Galleria’s tender offer, led by Kim Dong-sun, closed today with a subscription rate just over 80%, according to the local brokerage after market close.
  • Retail investors in small caps like Hanwha Galleria often skip tender offers, hoping for price gains. Kim Dong-sun may try to buy the remaining 10-15% soon, possibly via open-market buys.
  • Watch for signs that Kim Dong-sun might go for a second tender to take Galleria private. He might be aiming to avoid taxes and boost his stake’s value.

The Born Korea IPO Valuation Vs Recent M&A Valuation of Compose Coffee by Jollibee Foods

By Douglas Kim

  • In this insight, we compare the IPO valuation of The Born Korea (475560 KS) versus the recent M&A valuation of Compose Coffee by Jollibee Foods (JFC PM).
  • Using the recent M&A multiples of Compose Coffee by Jollibee Foods suggests an attractive upside to The Born Korea (relative to the IPO price range).
  • No other listed company in Korea has a restaurant business model that is consistently profitable, with strong balance sheet, and solid sales growth as The Born Korea. 

Kim Dong-Sun Likely to Purchase More Shares of Hanwha Galleria Post Tender Offer

By Douglas Kim

  • The tender offer period for Hanwha Galleria ended on 11 September. Its share price closed down 7.4% but still up 8.2% from its price prior to the tender offer announcement.
  • The local media accounts mentioned today that about 80-90% of the shares targeted in this tender offer have been filled.
  • If 90% of the tender offer is successful, Kim Dong-Sun’s stake in the company will rise from 2.3% to 18.1%.

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Sep 12
0

Daily Brief Singapore: Dyna Mac Holdings, Silverlake Axis , Innotek Ltd and more

By | Daily Briefs, Singapore

In today’s briefing:

  • Dyna-Mac (DMHL SP): Hanwha’s Voluntary Conditional Offer
  • Silverlake Axis (SILV SP): Goh’s Hybrid Offer Now Open
  • Hanwha Group Makes A Move On Dyna-Mac
  • 10 in 10 with InnoTek Limited – Precision Metal Components for the Future

Dyna-Mac (DMHL SP): Hanwha’s Voluntary Conditional Offer

By Arun George

  • Dyna Mac Holdings (DMHL SP) disclosed a voluntary conditional offer from Hanwha Aerospace (012450 KS) and Hanwha Ocean (042660 KS) at S$0.60, a 21.2% premium to the undisturbed price.
  • The offer is conditional on regulatory approval (Competition and Consumer Commission of Singapore) and a 50% minimum acceptance condition. 
  • The offer is reasonable compared to peer multiples. However, it may face resistance as it is below the recent high of S$0.615 and Dyna-Mac’s improving outlook (S$681 million order book). 

Silverlake Axis (SILV SP): Goh’s Hybrid Offer Now Open

By David Blennerhassett

  • Back on the 26 August, Goh Peng Ooi, the executive chair and founder, made a voluntary unconditional general Offer for the 25.9% in Silverlake Axis (SILV SP) not held.
  • The Offer Doc is now out for this S$0.36/share cash Offer. The first close is the 7th October.
  • There was no IFA opinion in this Doc. This will appear in the Response Doc within a fortnight. It’ll be interesting how the mixed consideration alternative is assessed. Or not.

Hanwha Group Makes A Move On Dyna-Mac

By David Blennerhassett

10 in 10 with InnoTek Limited – Precision Metal Components for the Future

By Geoff Howie

  • 10 Questions for https://investors.sgx.com/_security-types/stocks/M14 What are some of the latest updates from InnoTek with reference to its financial performance? Net profit for 1H24 remained steady at S million, unchanged from the previous year, which includes a S million provision for inventory obsolescence.
  • In the past two years, InnoTek has diversified its customer base into technologically advanced sectors such as GPU servers, gaming machines, medical equipment, and ATMs.

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Sep 12
0

Daily Brief United States: Bitcoin Pro, Crude Oil, Natural Gas and more

By | Daily Briefs, United States

In today’s briefing:

  • A Tale of Two Markets
  • [US Crude Oil Options Weekly 2024/36] WTI Crude Hits 2024 Low as Demand Woes Linger
  • [US Nat Gas Options Weekly 2024/36] Henry Hub Up on LNG Exports, Output Cut Offsets Hurricane Impact

A Tale of Two Markets

By Delphi Digital

  • TradFi shows resilience, while crypto struggles—BTC is down, and ETH underperforms US Treasuries.
  • Powell’s Pivot promises hope, but crypto markets await the real demand catalyst for recovery.
  • Despite market weakness, short-term opportunities exist—learn to navigate price action and volume dynamics.

[US Crude Oil Options Weekly 2024/36] WTI Crude Hits 2024 Low as Demand Woes Linger

By Suhas Reddy

  • WTI futures closed at its 2024 low on 10/Sep, as demand concerns dragged prices down as the supply risk premium dimmed.
  • WTI options Put/Call volume ratio fell to 1.09 (10/Sep) from 1.20 the week prior as put volume fell 13.6% WoW while call volume fell by only 4.3%.
  • WTI OI PCR was unchanged at 0.77 for the week ending 10/Sep from 04/Sep. Call OI rose 6.8% WoW and put OI picked up by 6.4%.

[US Nat Gas Options Weekly 2024/36] Henry Hub Up on LNG Exports, Output Cut Offsets Hurricane Impact

By Suhas Reddy

  • US natural gas prices rose 7% for the week ending 06/Sep, boosted by higher cooling demand, rising LNG exports, falling output, and moderate build-up in US natural gas storage.
  • Henry Hub Put/Call volume ratio fell to 1.06 (10/Sep) from 1.17 (04/Sep) as put volumes fell by 17.9% WoW, while call volumes declined by 9.6%.
  • Put OI increased for expiries on 25/Sep, Oct, and Nov. While call OI picked up for contracts expiring in Dec, Jan, Feb, and Mar. 

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Sep 12
0

Daily Brief India: DAM Capital, Rajshree Polypack, Blue Star Ltd and more

By | Daily Briefs, India

In today’s briefing:

  • DAM Capital Pre-IPO Tearsheet
  • RPPL: Scaling Up Well With Consistent Execution
  • Narrative and Numbers | Industrials (VOLT, JCHAC, HAVL, BLSTR) | FY24

DAM Capital Pre-IPO Tearsheet

By Akshat Shah

  • DAM Capital (930970Z IN) is looking to raise at least US$100m in its upcoming India IPO. The deal will be run by Nuvama Wealth.
  • DAM Capital provides a range of financial solutions in investment banking comprising equity capital markets, mergers and acquisitions, private equity, structured finance advisory; and institutional equities comprising broking and research.
  • According to CRISIL, DAM Capital was the fastest growing investment bank in India by revenue CAGR from FY22-24 along with the highest profit margin in FY24.

RPPL: Scaling Up Well With Consistent Execution

By Ankit Agrawal, CFA

  • RPPL reported a strong Q1FY25 led by margin improvement. EBITDA margin rose to 14.7% vs 13.5% QoQ and 12.0% YoY. Stability in raw material pricing and operating efficiencies helped margins. 
  • While growth in overall revenues was average at 8.3% YoY, growth in high-margin packaging products segment, which contributes 80% of total revenues, was strong at 16% YoY. 
  • Exports at INR 9.2cr were below the INR 10cr+ run-rate, however, the growth momentum is intact. RPPL is in process of finalizing an export contract with a major global distributor.

Narrative and Numbers | Industrials (VOLT, JCHAC, HAVL, BLSTR) | FY24

By Pranav Bhavsar

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Sep 12
0

Daily Brief China: China Shipbuilding Industry Group Power, Hozon New Energy Automobile Co Ltd, China Jinmao Holdings, Sinopharm Group Co Ltd H, China Water Affairs and more

By | China, Daily Briefs

In today’s briefing:

  • CSI300 Index Rebalance Preview: Round-Trip Trade Tops US$6bn as ETF Creations Soar
  • Hozon New Energy Automobile Pre-IPO – The Negatives – Remains Far from Being Profitable
  • Morning Views Asia: China Jinmao Holdings, Continuum Green Energy, Sands China
  • Sinopharm Group (1099.HK) – Don’t Waste the Low Point of Performance, Valuation Will Bounce Back
  • Morning Views Asia: China Water Affairs, Meituan

CSI300 Index Rebalance Preview: Round-Trip Trade Tops US$6bn as ETF Creations Soar

By Brian Freitas

  • There could be 17 changes at the December rebalance with the Industrials sector gaining 3 index spots and the Information Technology sector losing 3 spots.
  • We estimate one-way turnover of 2.9% at the rebalance leading to a one-way trade of CNY 21.96bn (US$3.1bn). There are 22 stocks with over 3x ADV to trade.
  • Impact on the stocks has increased as creations in ETFs linked to the CSI 300 Index continue. That flow will reverse from the deletions in the next few months.

Hozon New Energy Automobile Pre-IPO – The Negatives – Remains Far from Being Profitable

By Sumeet Singh

  • Hozon New Energy Automobile is looking to raise up to US$1bn in its upcoming HK IPO.
  • Hozon New Energy Automobile (HNEA) is a NEV technology company which sells cars under the Neta brand. The prices of its vehicles generally range between US$15,000 to US$45,000.
  • In this note, we talk about the not-so-positive aspects of the deal.

Morning Views Asia: China Jinmao Holdings, Continuum Green Energy, Sands China

By Leonard Law, CFA

Lucror Analytics Morning Views comprise our fundamental credit analysis, opinions and trade recommendations on high yield issuers in the region, based on key company-specific developments in the past 24 hours. Our Morning Views include a section with a brief market commentary, key market indicators and a macroeconomic and corporate event calendar.

Sinopharm Group (1099.HK) – Don’t Waste the Low Point of Performance, Valuation Will Bounce Back

By Xinyao (Criss) Wang

  • 2024 would be the low point in performance/valuation of Sinopharm. Due to the low base in 2024, revenue/net profit in 2025 is expected to rebound (e.g. high single-digit positive growth).
  • Declining financial cost ratio is key driving force for profitability.Since the Fed would cut interest rate, a low interest rate environment helps Sinopharm reduce financial costs, thereby increasing profit margin.
  • Since China hopes to establish a valuation system with Chinese characteristics, it would help drive up valuation of SOEs.Thus, there’s valuation repair opportunity for Sinopharm (e.g. P/E return to 8).

Morning Views Asia: China Water Affairs, Meituan

By Leonard Law, CFA

Lucror Analytics Morning Views comprise our fundamental credit analysis, opinions and trade recommendations on high yield issuers in the region, based on key company-specific developments in the past 24 hours. Our Morning Views include a section with a brief market commentary, key market indicators and a macroeconomic and corporate event calendar.

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Sep 12
0

Daily Brief Japan: Terumo Corp, Seiren Co Ltd, Geechs Inc, Trial Holdings and more

By | Daily Briefs, Japan

In today’s briefing:

  • Taking Advantage of Terumo (4543) Weakness And After-Offering Flow
  • Seiren (3569) | Synthetic Leather, Real Growth
  • Geechs (7060 Jp) – 1Q Follow-Up
  • Trial Holdings IPO Lockup – Large Number of Small Holders Hold Around US$400m of Stock

Taking Advantage of Terumo (4543) Weakness And After-Offering Flow

By Travis Lundy

  • Terumo Corp (4543 JP) was able to hang in well after the announcement, up until the day or two before pricing date, then the shares were walloped into Pricing. 
  • After pricing, they have fallen and erased most of the discount. That’s an opportunity. 
  • The shares have underperformed Peers, and there is flow to come. This deal was, as advertised, smaller than it first appeared. 

Seiren (3569) | Synthetic Leather, Real Growth

By Mark Chadwick

  • Activist investor, Oasis Management, recently disclosed that they had taken a significant 6.3% stake in the company
  • I suspect that Oasis don’t need to be overly aggressive with this one. Given the fundamental outlook, we see the financial model delivering double digit earnings growth
  • After a strong Q1 report, we expect an upward revision to guidance. The stock is cheap at <11x earnings. We see over 30% upside

Geechs (7060 Jp) – 1Q Follow-Up

By Sessa Investment Research

  • 1Q FY2025/3 results review: On August 9th, 2024, Geechs Inc. (hereafter, the “Company”) announced its 1Q FY2025/3 earnings results.
  • Net sales fell 2.0% YoY to ¥5,825 mn, EBITDA rose 7.2% YoY to ¥107 mn, and operating profit rose 175.8% YoY to ¥80 mn.
  • The sharp rise in operating profit was attributable to the sale of G2 Studios (previous Game business) at the end of FY2024/3, which prevented 1Q FY2025/3 operating profit from being dragged down by the business as it did in 1Q FY2024/3, when it recorded an operating loss of ¥74 mn. 

Trial Holdings IPO Lockup – Large Number of Small Holders Hold Around US$400m of Stock

By Sumeet Singh

  • Trial Holdings (5882 JP) raised around US$259m in Mar 2024. Its IPO lockup is set to expire soon.
  • TH operates a network of retail stores in Japan that offer one-stop shopping under its everyday low price (EDLP) model.
  • In this note, we will talk about the lockup dynamics and possible placement.

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Sep 12
0

Most Read: Midea Group Co Ltd A, Terumo Corp, Joban Kosan, Descente Ltd, China Shipbuilding Industry Group Power, Samsung Electronics Pref Shares, Hanwha Galleria , Puig Brands and more

By | Daily Briefs, Most Read

In today’s briefing:

  • Midea Group (300 HK): IPO Open Now; Upcoming Index Flows
  • Midea Group HK IPO Valuation Analysis
  • Taking Advantage of Terumo (4543) Weakness And After-Offering Flow
  • Joban Kosan (9675) – Fortress Buys Out a Fukushima Tourism Asset
  • Itochu’s Big Plans for Descente – Shame Investors Won’t Get a Look In
  • CSI300 Index Rebalance Preview: Round-Trip Trade Tops US$6bn as ETF Creations Soar
  • Midea HK Listing: Valuation Insights
  • Exploring Why Samsung Electronics’ Pref Discount Narrowing Took a Sharp Turn Yesterday
  • Hanwha Galleria Tender Results Are in with No Proration Issue Despite a Fat Spread. What’s Next?
  • Puig Brands (PUIG SM): 50/50 Global Index Inclusion for Largest Spanish IPO Since 2015

Midea Group (300 HK): IPO Open Now; Upcoming Index Flows

By Brian Freitas

  • The Midea Group (300 HK) IPO is being offered at a price range of HK$52-54.8/share, a discount of 20.9%-25% to Midea Group. That will raise US$3.28bn-US$3.46bn for the company.
  • Midea Group (300 HK) will not get Fast Entry to the HSCI but will be added to Southbound Stock Connect on 14 October once the price stabilisation period has ended.
  • Midea Group (300 HK) should get Fast Entry to one global index and that could lead to inclusion in the iShares China Large-Cap (FXI) (FXI US) too.

Midea Group HK IPO Valuation Analysis

By Douglas Kim

  • We would subscribe to the HK offering of Midea Group due to its attractive valuations, strong fundamentals, and meaningful price discount relative to the A shares. 
  • We believe a premium valuation relative to the comps is appropriate for Midea Group due to its higher sales growth, EBIT margin, and ROE.
  • Pricing of this offering is expected to be completed on 13 September and listing on 17 September. 

Taking Advantage of Terumo (4543) Weakness And After-Offering Flow

By Travis Lundy

  • Terumo Corp (4543 JP) was able to hang in well after the announcement, up until the day or two before pricing date, then the shares were walloped into Pricing. 
  • After pricing, they have fallen and erased most of the discount. That’s an opportunity. 
  • The shares have underperformed Peers, and there is flow to come. This deal was, as advertised, smaller than it first appeared. 

Joban Kosan (9675) – Fortress Buys Out a Fukushima Tourism Asset

By Travis Lundy

  • In the annals of foreign buyers of Japanese tourism-related real estate assets, there have been a few good examples, and several disasters. Yesterday, we got a new suitor for assets. 
  • Fortress SPV Ontario GK will attempt to buy out Fukushima-based Joban Kosan (9675 JP) through a double Tender Offer. 
  • There is a history here of a bump on an MBO on an associated company. That may have caused it to trade at a premium on Day 1. It’s unrelated.

Itochu’s Big Plans for Descente – Shame Investors Won’t Get a Look In

By Michael Causton

  • Itochu’s Textile division continues to execute the directive from its CEO to expand reach and coverage in the fashion and lifestyle sectors, with sports one of the major target categories.
  • It will completely absorb Descente as part of this plan, meaning the brand is likely to become one of the largest in the portfolio.
  • The ongoing tender offer will likely succeed giving Itochu a bargain and investors no stake in the future.

CSI300 Index Rebalance Preview: Round-Trip Trade Tops US$6bn as ETF Creations Soar

By Brian Freitas

  • There could be 17 changes at the December rebalance with the Industrials sector gaining 3 index spots and the Information Technology sector losing 3 spots.
  • We estimate one-way turnover of 2.9% at the rebalance leading to a one-way trade of CNY 21.96bn (US$3.1bn). There are 22 stocks with over 3x ADV to trade.
  • Impact on the stocks has increased as creations in ETFs linked to the CSI 300 Index continue. That flow will reverse from the deletions in the next few months.

Midea HK Listing: Valuation Insights

By Shifara Samsudeen, ACMA, CGMA

  • Chinese home appliance maker Midea has announced the terms for its IPO. The company plans to raise $3.46bn at an indicative price range of HK$52.0-54.8 per share.
  • The company has a diversified product portfolio, well-balanced exposure to domestic as well as overseas markets and a growing robotics business.
  • As we expected, the HK offering is priced at around 25% discount to it’s A-shares and our analysis suggests that Midea’s HK offering is priced attractively. 

Exploring Why Samsung Electronics’ Pref Discount Narrowing Took a Sharp Turn Yesterday

By Sanghyun Park

  • Samsung’s preferred shares lagged significantly behind the common shares yesterday, showing the largest daily sigma move we’ve seen in a while.
  • Samsung’s delayed value-up announcement, despite regulatory pressure, has fueled speculation about a potential Biologics stake purchase from C&T.
  • It’s time to pause the trade on Samsung’s preferred discount narrowing that I highlighted in early August. The main inflection point will be when Samsung makes its value-up announcement.

Hanwha Galleria Tender Results Are in with No Proration Issue Despite a Fat Spread. What’s Next?

By Sanghyun Park

  • Hanwha Galleria’s tender offer, led by Kim Dong-sun, closed today with a subscription rate just over 80%, according to the local brokerage after market close.
  • Retail investors in small caps like Hanwha Galleria often skip tender offers, hoping for price gains. Kim Dong-sun may try to buy the remaining 10-15% soon, possibly via open-market buys.
  • Watch for signs that Kim Dong-sun might go for a second tender to take Galleria private. He might be aiming to avoid taxes and boost his stake’s value.

Puig Brands (PUIG SM): 50/50 Global Index Inclusion for Largest Spanish IPO Since 2015

By Dimitris Ioannidis

  • Puig Brands (PUIG SM) will be added in SXXP and SXXE at the close of 20 September 2024. Forecasted demand is ~1.6m shares, ~$36m and ~2.7 ADV.
  • The security is at risk of failing the fcap threshold hence inclusion in November 2024 due to a recent price drop and a substantial portion of shares outstanding being unlisted.
  • The company closely exceeds the minimum public voting rights and its inclusion is expected in December 2024. Forecasted demand is ~4.5m shares, ~$101m and ~7.5 ADV.

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Sep 12
0

Daily Brief Utilities: China Water Affairs and more

By | Daily Briefs, Utilities Sector

In today’s briefing:

  • Morning Views Asia: China Water Affairs, Meituan

Morning Views Asia: China Water Affairs, Meituan

By Leonard Law, CFA

Lucror Analytics Morning Views comprise our fundamental credit analysis, opinions and trade recommendations on high yield issuers in the region, based on key company-specific developments in the past 24 hours. Our Morning Views include a section with a brief market commentary, key market indicators and a macroeconomic and corporate event calendar.

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Sep 12
0

Daily Brief Industrials: Hozon New Energy Automobile Co Ltd, Blue Star Ltd, Innotek Ltd, Sai Gon Cargo Service and more

By | Daily Briefs, Industrials

In today’s briefing:

  • Hozon New Energy Automobile Pre-IPO – The Negatives – Remains Far from Being Profitable
  • Narrative and Numbers | Industrials (VOLT, JCHAC, HAVL, BLSTR) | FY24
  • 10 in 10 with InnoTek Limited – Precision Metal Components for the Future
  • Saigon Cargo Services (SCS VN): August Volumes of 40% YoY, Correction Provides An Opportunity

Hozon New Energy Automobile Pre-IPO – The Negatives – Remains Far from Being Profitable

By Sumeet Singh

  • Hozon New Energy Automobile is looking to raise up to US$1bn in its upcoming HK IPO.
  • Hozon New Energy Automobile (HNEA) is a NEV technology company which sells cars under the Neta brand. The prices of its vehicles generally range between US$15,000 to US$45,000.
  • In this note, we talk about the not-so-positive aspects of the deal.

Narrative and Numbers | Industrials (VOLT, JCHAC, HAVL, BLSTR) | FY24

By Pranav Bhavsar

10 in 10 with InnoTek Limited – Precision Metal Components for the Future

By Geoff Howie

  • 10 Questions for https://investors.sgx.com/_security-types/stocks/M14 What are some of the latest updates from InnoTek with reference to its financial performance? Net profit for 1H24 remained steady at S million, unchanged from the previous year, which includes a S million provision for inventory obsolescence.
  • In the past two years, InnoTek has diversified its customer base into technologically advanced sectors such as GPU servers, gaming machines, medical equipment, and ATMs.

Saigon Cargo Services (SCS VN): August Volumes of 40% YoY, Correction Provides An Opportunity

By Sameer Taneja

  • Sai Gon Cargo Service (SCS VN) reported yet another strong month of data, with cargo volumes for August 2024 up 40% YoY. YTD volumes are up 43%. 
  • At this run rate, the company will comfortably beat its volume guidance of 248,000 tons for  FY24 (>30% YoY). Q3FY24 will benefit from the full effect of the tariff hikes.
  • With the recent correction, the stock trades at 11.9x FY24e and has an 8% dividend yield. The company’s next catalyst would be its Q3 FY24 result in November. 

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Sep 12
0

Daily Brief Energy/Materials: Dyna Mac Holdings, Rajshree Polypack, Crude Oil, Natural Gas, Allegiant Gold , Chariot Limited and more

By | Daily Briefs, Energy & Materials Sector

In today’s briefing:

  • Dyna-Mac (DMHL SP): Hanwha’s Voluntary Conditional Offer
  • RPPL: Scaling Up Well With Consistent Execution
  • [US Crude Oil Options Weekly 2024/36] WTI Crude Hits 2024 Low as Demand Woes Linger
  • Hanwha Group Makes A Move On Dyna-Mac
  • [US Nat Gas Options Weekly 2024/36] Henry Hub Up on LNG Exports, Output Cut Offsets Hurricane Impact
  • AUAU: Nevada Gold with Big Potential + Cash Generation
  • Chariot Limited (AIM: CHAR): Anchois-3 encounters gas in the appraisal target but one of the exploration targets is dry

Dyna-Mac (DMHL SP): Hanwha’s Voluntary Conditional Offer

By Arun George

  • Dyna Mac Holdings (DMHL SP) disclosed a voluntary conditional offer from Hanwha Aerospace (012450 KS) and Hanwha Ocean (042660 KS) at S$0.60, a 21.2% premium to the undisturbed price.
  • The offer is conditional on regulatory approval (Competition and Consumer Commission of Singapore) and a 50% minimum acceptance condition. 
  • The offer is reasonable compared to peer multiples. However, it may face resistance as it is below the recent high of S$0.615 and Dyna-Mac’s improving outlook (S$681 million order book). 

RPPL: Scaling Up Well With Consistent Execution

By Ankit Agrawal, CFA

  • RPPL reported a strong Q1FY25 led by margin improvement. EBITDA margin rose to 14.7% vs 13.5% QoQ and 12.0% YoY. Stability in raw material pricing and operating efficiencies helped margins. 
  • While growth in overall revenues was average at 8.3% YoY, growth in high-margin packaging products segment, which contributes 80% of total revenues, was strong at 16% YoY. 
  • Exports at INR 9.2cr were below the INR 10cr+ run-rate, however, the growth momentum is intact. RPPL is in process of finalizing an export contract with a major global distributor.

[US Crude Oil Options Weekly 2024/36] WTI Crude Hits 2024 Low as Demand Woes Linger

By Suhas Reddy

  • WTI futures closed at its 2024 low on 10/Sep, as demand concerns dragged prices down as the supply risk premium dimmed.
  • WTI options Put/Call volume ratio fell to 1.09 (10/Sep) from 1.20 the week prior as put volume fell 13.6% WoW while call volume fell by only 4.3%.
  • WTI OI PCR was unchanged at 0.77 for the week ending 10/Sep from 04/Sep. Call OI rose 6.8% WoW and put OI picked up by 6.4%.

Hanwha Group Makes A Move On Dyna-Mac

By David Blennerhassett

[US Nat Gas Options Weekly 2024/36] Henry Hub Up on LNG Exports, Output Cut Offsets Hurricane Impact

By Suhas Reddy

  • US natural gas prices rose 7% for the week ending 06/Sep, boosted by higher cooling demand, rising LNG exports, falling output, and moderate build-up in US natural gas storage.
  • Henry Hub Put/Call volume ratio fell to 1.06 (10/Sep) from 1.17 (04/Sep) as put volumes fell by 17.9% WoW, while call volumes declined by 9.6%.
  • Put OI increased for expiries on 25/Sep, Oct, and Nov. While call OI picked up for contracts expiring in Dec, Jan, Feb, and Mar. 

AUAU: Nevada Gold with Big Potential + Cash Generation

By Atrium Research

  • Allegiant Gold is a leading gold explorer with five assets in Nevada.
  • Its flagship, the Eastside District, hosts a 1.4Moz Au and 9Moz Ag deposit.
  • AUAU has commenced a 5,000m drill program at Eastside, part of which will focus on resource expansion and the rest on exploration targets.

Chariot Limited (AIM: CHAR): Anchois-3 encounters gas in the appraisal target but one of the exploration targets is dry

By Auctus Advisors

  • The Anchois-3 well has 3 objectives. While the initial pilot hole encountered the targeted reservoirs at the Anchois Footwall prospect, they were interpreted as water wet.
  • Our ReNAV for this prospect was £0.03/sh.
  • The well was sidetracked in the B sands which are the main appraisal targets. Preliminary interpretation indicates the presence of gas in these sands.

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