![](https://wp-static.smartkarma.com/../assets/uploaded/2023/08/Smartkarma-Insight-Card-Square.png)
In today’s briefing:
- Logisteed/KKR Bid BIGLY for Alps Logistics (9055). A Gobsmacking Price/Multiple
- Alps Logistics (9055 JP): KKR’s Knockout Pre-Conditional Offer at JPY5,774
- Daikin (6367) | Keep Cool
- Nitto Kogyo Corporation (6651 JP) – News and Imprecation
- NNBR: NN Inc. released 1st quarter 2024 financial and operating results. The company continues to add new business wins creating a long-term runway for profitable growth.
- Willscot Mobile Mini Holding (WSC) – Thursday, Feb 8, 2024
![](http://www.smartkarma.com/assets/plugins/a3-lazy-load/assets/images/lazy_placeholder.gif)
Logisteed/KKR Bid BIGLY for Alps Logistics (9055). A Gobsmacking Price/Multiple
- In late February, a specialty media outlet noted Alps Logistics (9055 JP) was up for sale. I missed that. Yesterday pre-close, a headline crossed the wires. A deal was imminent.
- Nikkei overnight said “¥150bn+ market cap”. I thought KKR might slightly overpay the Hitachi Transport System (9086 JP) multiple paid. That meant +13% today was full-ish. I was wrong.
- KKR is paying ¥5,774 to minorities, and about ¥4,084-ish to the parent, who is reinvesting at ¥5,774. This is a total knock-out price paid. HUGE MINORITY WIN.
Alps Logistics (9055 JP): KKR’s Knockout Pre-Conditional Offer at JPY5,774
- Alps Logistics (9055 JP) recommended a pre-conditional tender offer from a KKR & Co (KKR US) subsidiary at JPY5,774, 32.7% and 69.8% premium to the last close and undisturbed price, respectively.
- The pre-condition is approvals under competition laws of Japan, China, the EU, South Korea and Vietnam. The tender offer is expected to start in mid-August.
- The offer represents an all-time high and is a knockout bid. While the timing of regulatory approvals is a risk, the transaction is a done deal.
Daikin (6367) | Keep Cool
- FY2023 Success: Daikin achieved record-high sales and profit, driven by FX impacts. Despite challenges like reduced demand, the Air Conditioning business expanded in key markets.
- Ambitious Targets: FY3/25 targets include surpassing previous financial records, despite continued sluggish demand.
- Cautious Outlook: While optimistic about market share gains, reservations persist, particularly regarding heat pumps. Stock performance remains steady, trading in line with historical averages.
Nitto Kogyo Corporation (6651 JP) – News and Imprecation
- News: The Nikkei on April 25th reported, “A dark cloud is hovering over the future of the electric car (EV) market.
- The low prices of Chinese EV manufacturers, backed by Chinese government subsidies, are adversely affecting the performance of related companies such as motor giant Nidec Corporation (TSE Prime: 6594).
- The spread of low-cost EVs will substantially change the structure of the industry, and investors are beginning to look out for companies that will benefit from the commoditization of EVs.
NNBR: NN Inc. released 1st quarter 2024 financial and operating results. The company continues to add new business wins creating a long-term runway for profitable growth.
- NN Inc. is a high quality diversified industrial company that combines in-depth materials science expertise with advanced engineering and production capabilities to design and manufacture high-precision metal and plastic components and assemblies for a variety of end markets on a global basis.
- The company is targeting the electric vehicle and electric grid industries which should grow at above average growth rates.
- In 2023, the company began a series of strategic initiatives to strengthen leadership, improve profitability, and generate higher levels of free cash flow.
Willscot Mobile Mini Holding (WSC) – Thursday, Feb 8, 2024
- WillScot Mobile Mini has completed significant acquisitions to strengthen its leadership position in modular office and mobile storage industries.
- The company believes in seizing no-brainer opportunities for acquisitions despite warnings from renowned investors like Warren Buffett and Charlie Munger.
- WillScot Mobile Mini focuses on strategic advantages, organic growth, high returns on investment, and disciplined valuation methodologies to create long-term shareholder value.
This content is sourced through publicly available sources and has been machine generated. Information displayed is for general informational purposes only. This article was originally published 3 months ago on Value Investors Club.