Category

Industrials

Aug 14
0

Daily Brief Industrials: Toshiba Corp and more

By | Daily Briefs, Industrials

In today’s briefing:

  • Weekly Deals Digest (13 Aug) – Toshiba, Kyoden, Eoflow, Chindata, Estia, InvoCare, OreCorp, Origin

Weekly Deals Digest (13 Aug) – Toshiba, Kyoden, Eoflow, Chindata, Estia, InvoCare, OreCorp, Origin

By Arun George

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Aug 14
0

Daily Brief Industrials: Toshiba Corp and more

By | Daily Briefs, Industrials

In today’s briefing:

  • Weekly Deals Digest (13 Aug) – Toshiba, Kyoden, Eoflow, Chindata, Estia, InvoCare, OreCorp, Origin

Weekly Deals Digest (13 Aug) – Toshiba, Kyoden, Eoflow, Chindata, Estia, InvoCare, OreCorp, Origin

By Arun George

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Aug 13
0

Daily Brief Industrials: Toshiba Corp, Adi Sarana Armada, HNI Corp and more

By | Daily Briefs, Industrials

In today’s briefing:

  • Last Week in Event SPACE: Toshiba, Hongkong Land, Inpex, L’Occitane
  • Adi Sarana Armada (ASSA IJ) – A Circular Route to Success
  • HNI Corporation – Integrating KII and Updating Estimates

Last Week in Event SPACE: Toshiba, Hongkong Land, Inpex, L’Occitane

By David Blennerhassett

  • The JIP TOB for Toshiba (6502 JP) is here. Finally. It’s still too low. Since the announcement, when it was too low, peers are up a lot, and memory looks healthier.
  • Hongkong Land (HKL SP) selling Three Exchange Square sounds purely speculative. At best. But it would have a bigly impact on Hong Kong Office sentiment if true. 
  • Inpex (1605 JP) reported 1H results, a change in forecasts, and a bigly buyback. The mechanics are the same. The impact is a bit different, but it’s worth looking at.

Adi Sarana Armada (ASSA IJ) – A Circular Route to Success

By Angus Mackintosh

  • Adi Sarana Armada remains an interesting way to play the used car theme in Indonesia with its leading car leasing business fuelling used car sales.
  • The company continues developing its logistics capabilities, thrusting towards B2B and value-added cold chain logistics. Anteraja has slowed along with e-commerce but is more focused on profitability. 
  • Adi Sarana Armada continues to benefit from synergies across its vehicle ecosystem through leasing, auction and used cars. Valuations are attractive with the company trading on 11x forward PER. 

HNI Corporation – Integrating KII and Updating Estimates

By Water Tower Research

  • With this note, we are updating our estimates for FY23 and FY24 to reflect the surprisingly strong margin performance in legacy HNI Workplace Furnishings, the integration of Kimball International (KII), and promised margin improvement in Residential Building Products (Hearth).

  • One note on how we have modeled the next four quarters.

  • Through 2QFY24, we are modeling KII revenues and operating income independent of the legacy WF. 

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Aug 13
0

Daily Brief Industrials: Toshiba Corp, Adi Sarana Armada, HNI Corp and more

By | Daily Briefs, Industrials

In today’s briefing:

  • Last Week in Event SPACE: Toshiba, Hongkong Land, Inpex, L’Occitane
  • Adi Sarana Armada (ASSA IJ) – A Circular Route to Success
  • HNI Corporation – Integrating KII and Updating Estimates

Last Week in Event SPACE: Toshiba, Hongkong Land, Inpex, L’Occitane

By David Blennerhassett

  • The JIP TOB for Toshiba (6502 JP) is here. Finally. It’s still too low. Since the announcement, when it was too low, peers are up a lot, and memory looks healthier.
  • Hongkong Land (HKL SP) selling Three Exchange Square sounds purely speculative. At best. But it would have a bigly impact on Hong Kong Office sentiment if true. 
  • Inpex (1605 JP) reported 1H results, a change in forecasts, and a bigly buyback. The mechanics are the same. The impact is a bit different, but it’s worth looking at.

Adi Sarana Armada (ASSA IJ) – A Circular Route to Success

By Angus Mackintosh

  • Adi Sarana Armada remains an interesting way to play the used car theme in Indonesia with its leading car leasing business fuelling used car sales.
  • The company continues developing its logistics capabilities, thrusting towards B2B and value-added cold chain logistics. Anteraja has slowed along with e-commerce but is more focused on profitability. 
  • Adi Sarana Armada continues to benefit from synergies across its vehicle ecosystem through leasing, auction and used cars. Valuations are attractive with the company trading on 11x forward PER. 

HNI Corporation – Integrating KII and Updating Estimates

By Water Tower Research

  • With this note, we are updating our estimates for FY23 and FY24 to reflect the surprisingly strong margin performance in legacy HNI Workplace Furnishings, the integration of Kimball International (KII), and promised margin improvement in Residential Building Products (Hearth).

  • One note on how we have modeled the next four quarters.

  • Through 2QFY24, we are modeling KII revenues and operating income independent of the legacy WF. 

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Aug 11
0

Daily Brief Industrials: Stylam Industries, Keisei Electric Railway Co, Suzlon Energy, Huitongda, Recruit Holdings, TVS Supply Chain Solutions, ACCO Brands, iPower , Japan Elevator Service Holding and more

By | Daily Briefs, Industrials

In today’s briefing:

  • Stylam Industries Q1 FY24: Slow Revenue Quarter, But Healthy Margin Expansion and 32% Profit Growth
  • Keisei Electric (9009): The Chinese Are Back.
  • Suzlon Energy QIP – Well Flagged Deal and Will Allay Any near Term Debt Concerns
  • [Huitongda (9878 HK, SELL, TP HK$20.5) TP Change]: Downsizing Minority Interest Drive up Earnings
  • Recruit 1Q: Earnings Further Slow Down; New Pricing Model Seems to Impact HR Tech Further
  • TVS Supply Chain Solutions IPO- Forensic Analysis
  • ACCO: Caution Reigns Supreme
  • IPower, Inc. -Building a Dynamic E-Commerce Home and Commercial Goods Business
  • Q1 FY3/2024 Results Update – Japan Elevator Service Holdings (6544)

Stylam Industries Q1 FY24: Slow Revenue Quarter, But Healthy Margin Expansion and 32% Profit Growth

By Sameer Taneja

  • Stylam Industries (SYIL IN) reported a good quarter on the profitability front, with PAT up 32.4% YoY but revenues down 4% YoY. 
  • Exports showed degrowth temporarily by 11% YoY due to a slowdown in Europe and other key markets, but the company guided an improvement in subsequent quarters. 
  • Trading at 20x/16x FY24e/25e, the stock is not a steal, but with a remarkable growth profile of 20-25% CAGR, we see tremendous potential as a multibagger for the company.

Keisei Electric (9009): The Chinese Are Back.

By Henry Soediarko

  • The moment of truth is here, the Chinese are finally coming back to Japan. 
  • Keisei Electric Railway Co (9009 JP) is one of the biggest beneficiaries of increased tourist arrivals in Japan. 
  • It is trading at 0.04 PEG, a very low valuation considering its potential for producing large growth rate. 

Suzlon Energy QIP – Well Flagged Deal and Will Allay Any near Term Debt Concerns

By Clarence Chu

  • Suzlon Energy (SUEL IN) is looking to raise INR20bn (US$240m) from its QIP, with proceeds used to pay down debt.
  • The firm has struggled with a debt issue in the past, most recently undertaking a rights issue in 2022 to raise INR12bn (US$150m). 
  • With the proceeds from this deal, the firm should enter into net cash territory.

[Huitongda (9878 HK, SELL, TP HK$20.5) TP Change]: Downsizing Minority Interest Drive up Earnings

By Shawn Yang

  • We expect Huitongda (HTD) 1H23 revenue in-line with consensus, and non-IFRS NI 15.6% lower than consensus. 
  • The lower bottom-line is due to 1) product mix change result in lower gross margin; 2) higher impairment loss from account receivables due to its SME focused model.
  • We maintain the stock as SELL. We raise TP by HK$2.5 to HK$20.5 to factor in the upward revision of NI from downsizing of minority interest.

Recruit 1Q: Earnings Further Slow Down; New Pricing Model Seems to Impact HR Tech Further

By Shifara Samsudeen, ACMA, CGMA

  • Recruit Holdings (6098 JP) reported 1QFY03/2024 results yesterday. Revenue and OP increased 0.9% and 1.9% YoY to ¥850.8bn (vs consensus ¥818.7bn) and ¥121.6bn (vs consensus ¥109.9bn) respectively.
  • 1QFY03/24 revenues of ¥850.8bn and adjusted EBITDA of ¥165.9bn were higher than the company guided revenues and adj. EBITDA of ¥800-830bn and ¥140-160bn respectively.
  • HR Tech segment’s revenues declined 9.1% and Recruit has shifted to a new pricing model for HR Tech which we think would further impact the segment’s earnings.

TVS Supply Chain Solutions IPO- Forensic Analysis

By Nitin Mangal

  • TVS Supply Chain Solutions (1915741D IN)  is one of the leading Indian supply chain solution companies in India with an approximate market share of 7%.  
  • Around 70% of the operations come from outside India, however the foreign subsidiaries are not doing pretty well. Moreover, the profits that were only posted in F23 look unsustainable.
  • Other concerns which are not to be overlooked, relate to impairment of assets, levered balance sheet, pricey acquisitions, disposal of fixed assets, high remuneration to promoter, etc.

ACCO: Caution Reigns Supreme

By Hamed Khorsand

  • ACCO reported second quarter results with a greater pull-in of back-to-school related sales, but management took a cautious stance on outlook for the rest of the year
  • The second quarter is seasonally one of the stronger periods of the year due to the timing of retailers taking inventory for the back-to-school season
  • Without a stable back to school shopping season ACCO would be dependent on the holiday season in fourth quarter to achieve its free cash flow guidance for the year

IPower, Inc. -Building a Dynamic E-Commerce Home and Commercial Goods Business

By Water Tower Research

  • iPower has built a growing, efficient e-commerce platform to market a wide range of home and commercial goods, including hydroponics supplies, fans, shelving systems, pet supplies, and furniture.

  • The company has multiple product expansion opportunities, setting the business up for continued strong long- term top-line growth.

  • iPower leverages extensive data analytics at every step of the value chain to optimize its processes, from product conception and design, to sourcing, logistics, and marketing. 

Q1 FY3/2024 Results Update – Japan Elevator Service Holdings (6544)

By Astris Advisory Japan

  • Accelerating growth profile – Japan Elevator Service (JES) made a strong start in Q1 FY3/2024, reporting high double-digit growth for both sales (+21.4% YoY) and operating profit (+35.7% YoY).
  • It continues to gain market share in Maintenance & Repair with its quality and cost-efficient offering and is experiencing accelerating demand in its Modernization business with its structural tailwinds.
  • While this may dilute the sales mix, the combination of cost management and rising engineer productivity is driving operational leverage.

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Aug 11
0

Daily Brief Industrials: Stylam Industries, Keisei Electric Railway Co, Suzlon Energy, Huitongda, Recruit Holdings, TVS Supply Chain Solutions, ACCO Brands, iPower , Japan Elevator Service Holding and more

By | Daily Briefs, Industrials

In today’s briefing:

  • Stylam Industries Q1 FY24: Slow Revenue Quarter, But Healthy Margin Expansion and 32% Profit Growth
  • Keisei Electric (9009): The Chinese Are Back.
  • Suzlon Energy QIP – Well Flagged Deal and Will Allay Any near Term Debt Concerns
  • [Huitongda (9878 HK, SELL, TP HK$20.5) TP Change]: Downsizing Minority Interest Drive up Earnings
  • Recruit 1Q: Earnings Further Slow Down; New Pricing Model Seems to Impact HR Tech Further
  • TVS Supply Chain Solutions IPO- Forensic Analysis
  • ACCO: Caution Reigns Supreme
  • IPower, Inc. -Building a Dynamic E-Commerce Home and Commercial Goods Business
  • Q1 FY3/2024 Results Update – Japan Elevator Service Holdings (6544)

Stylam Industries Q1 FY24: Slow Revenue Quarter, But Healthy Margin Expansion and 32% Profit Growth

By Sameer Taneja

  • Stylam Industries (SYIL IN) reported a good quarter on the profitability front, with PAT up 32.4% YoY but revenues down 4% YoY. 
  • Exports showed degrowth temporarily by 11% YoY due to a slowdown in Europe and other key markets, but the company guided an improvement in subsequent quarters. 
  • Trading at 20x/16x FY24e/25e, the stock is not a steal, but with a remarkable growth profile of 20-25% CAGR, we see tremendous potential as a multibagger for the company.

Keisei Electric (9009): The Chinese Are Back.

By Henry Soediarko

  • The moment of truth is here, the Chinese are finally coming back to Japan. 
  • Keisei Electric Railway Co (9009 JP) is one of the biggest beneficiaries of increased tourist arrivals in Japan. 
  • It is trading at 0.04 PEG, a very low valuation considering its potential for producing large growth rate. 

Suzlon Energy QIP – Well Flagged Deal and Will Allay Any near Term Debt Concerns

By Clarence Chu

  • Suzlon Energy (SUEL IN) is looking to raise INR20bn (US$240m) from its QIP, with proceeds used to pay down debt.
  • The firm has struggled with a debt issue in the past, most recently undertaking a rights issue in 2022 to raise INR12bn (US$150m). 
  • With the proceeds from this deal, the firm should enter into net cash territory.

[Huitongda (9878 HK, SELL, TP HK$20.5) TP Change]: Downsizing Minority Interest Drive up Earnings

By Shawn Yang

  • We expect Huitongda (HTD) 1H23 revenue in-line with consensus, and non-IFRS NI 15.6% lower than consensus. 
  • The lower bottom-line is due to 1) product mix change result in lower gross margin; 2) higher impairment loss from account receivables due to its SME focused model.
  • We maintain the stock as SELL. We raise TP by HK$2.5 to HK$20.5 to factor in the upward revision of NI from downsizing of minority interest.

Recruit 1Q: Earnings Further Slow Down; New Pricing Model Seems to Impact HR Tech Further

By Shifara Samsudeen, ACMA, CGMA

  • Recruit Holdings (6098 JP) reported 1QFY03/2024 results yesterday. Revenue and OP increased 0.9% and 1.9% YoY to ¥850.8bn (vs consensus ¥818.7bn) and ¥121.6bn (vs consensus ¥109.9bn) respectively.
  • 1QFY03/24 revenues of ¥850.8bn and adjusted EBITDA of ¥165.9bn were higher than the company guided revenues and adj. EBITDA of ¥800-830bn and ¥140-160bn respectively.
  • HR Tech segment’s revenues declined 9.1% and Recruit has shifted to a new pricing model for HR Tech which we think would further impact the segment’s earnings.

TVS Supply Chain Solutions IPO- Forensic Analysis

By Nitin Mangal

  • TVS Supply Chain Solutions (1915741D IN)  is one of the leading Indian supply chain solution companies in India with an approximate market share of 7%.  
  • Around 70% of the operations come from outside India, however the foreign subsidiaries are not doing pretty well. Moreover, the profits that were only posted in F23 look unsustainable.
  • Other concerns which are not to be overlooked, relate to impairment of assets, levered balance sheet, pricey acquisitions, disposal of fixed assets, high remuneration to promoter, etc.

ACCO: Caution Reigns Supreme

By Hamed Khorsand

  • ACCO reported second quarter results with a greater pull-in of back-to-school related sales, but management took a cautious stance on outlook for the rest of the year
  • The second quarter is seasonally one of the stronger periods of the year due to the timing of retailers taking inventory for the back-to-school season
  • Without a stable back to school shopping season ACCO would be dependent on the holiday season in fourth quarter to achieve its free cash flow guidance for the year

IPower, Inc. -Building a Dynamic E-Commerce Home and Commercial Goods Business

By Water Tower Research

  • iPower has built a growing, efficient e-commerce platform to market a wide range of home and commercial goods, including hydroponics supplies, fans, shelving systems, pet supplies, and furniture.

  • The company has multiple product expansion opportunities, setting the business up for continued strong long- term top-line growth.

  • iPower leverages extensive data analytics at every step of the value chain to optimize its processes, from product conception and design, to sourcing, logistics, and marketing. 

Q1 FY3/2024 Results Update – Japan Elevator Service Holdings (6544)

By Astris Advisory Japan

  • Accelerating growth profile – Japan Elevator Service (JES) made a strong start in Q1 FY3/2024, reporting high double-digit growth for both sales (+21.4% YoY) and operating profit (+35.7% YoY).
  • It continues to gain market share in Maintenance & Repair with its quality and cost-efficient offering and is experiencing accelerating demand in its Modernization business with its structural tailwinds.
  • While this may dilute the sales mix, the combination of cost management and rising engineer productivity is driving operational leverage.

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Aug 10
0

Daily Brief Industrials: YTO Express, TVS Supply Chain Solutions, RELX and more

By | Daily Briefs, Industrials

In today’s briefing:

  • Quiddity Primer for STAR 50 Index Rebalance Events
  • TVS Supply Chain Solutions IPO – RHP Updates, Peer Comparison & Thoughts on Valuation
  • Relx Plc: Diving Deep into Their Growth Strategies! – Key Drivers

Quiddity Primer for STAR 50 Index Rebalance Events

By Janaghan Jeyakumar, CFA

  • STAR 50 Index represents the performance of the top 50 securities by market capitalization and liquidity listed on the Science and Technology Innovation (STAR) Board of the Shanghai Stock Exchange.
  • This is one of the most significant indices in Mainland China when considering the average passive AUM per stock as a percentage of float.
  • In this insight, we take a brief look at the index selection methodology and the historical price and volume performance of STAR 50 index rebalance baskets.

TVS Supply Chain Solutions IPO – RHP Updates, Peer Comparison & Thoughts on Valuation

By Ethan Aw

  • TVS Supply Chain Solutions (1915741D IN) is looking to raise up to US$110m in its India IPO, after downsizing from an earlier float of up to US$500m.
  • TVS SCS is an Indian supply chain logistics solution provider which also has global capabilities and network across the value chain with cross deployment abilities, according to RedSeer. 
  • In our previous note, we looked at the company’s past performance. In this note, we talk about RHP updates, undertake a peer comparison and provide our thoughts on valuation.

Relx Plc: Diving Deep into Their Growth Strategies! – Key Drivers

By Baptista Research

  • Relx had a decent financial performance in the recent quarter and is being driven by a continued shift in the business mix toward higher-growth analytics and decision tools that provide increased value to their clients across market categories.
  • The underlying adjusted operating profit increased by 16%.
  • All four business segments expanded well, with underlying adjusted operating profit growth matching or exceeding underlying sales growth.

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Aug 10
0

Daily Brief Industrials: YTO Express, TVS Supply Chain Solutions, RELX and more

By | Daily Briefs, Industrials

In today’s briefing:

  • Quiddity Primer for STAR 50 Index Rebalance Events
  • TVS Supply Chain Solutions IPO – RHP Updates, Peer Comparison & Thoughts on Valuation
  • Relx Plc: Diving Deep into Their Growth Strategies! – Key Drivers

Quiddity Primer for STAR 50 Index Rebalance Events

By Janaghan Jeyakumar, CFA

  • STAR 50 Index represents the performance of the top 50 securities by market capitalization and liquidity listed on the Science and Technology Innovation (STAR) Board of the Shanghai Stock Exchange.
  • This is one of the most significant indices in Mainland China when considering the average passive AUM per stock as a percentage of float.
  • In this insight, we take a brief look at the index selection methodology and the historical price and volume performance of STAR 50 index rebalance baskets.

TVS Supply Chain Solutions IPO – RHP Updates, Peer Comparison & Thoughts on Valuation

By Ethan Aw

  • TVS Supply Chain Solutions (1915741D IN) is looking to raise up to US$110m in its India IPO, after downsizing from an earlier float of up to US$500m.
  • TVS SCS is an Indian supply chain logistics solution provider which also has global capabilities and network across the value chain with cross deployment abilities, according to RedSeer. 
  • In our previous note, we looked at the company’s past performance. In this note, we talk about RHP updates, undertake a peer comparison and provide our thoughts on valuation.

Relx Plc: Diving Deep into Their Growth Strategies! – Key Drivers

By Baptista Research

  • Relx had a decent financial performance in the recent quarter and is being driven by a continued shift in the business mix toward higher-growth analytics and decision tools that provide increased value to their clients across market categories.
  • The underlying adjusted operating profit increased by 16%.
  • All four business segments expanded well, with underlying adjusted operating profit growth matching or exceeding underlying sales growth.

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Aug 09
0

Daily Brief Industrials: Toshiba Corp, OHB SE, Asiana Airlines, S.F. Holding and more

By | Daily Briefs, Industrials

In today’s briefing:

  • Toshiba (6502) Tender Offer – Kioxia Optionality
  • KKR/OHB: Agreed Take-Private Offer
  • What Is KDB’s Plan B for Asiana Airlines?
  • A Look at How SF Holding Differs from A) Its Express Peers and B) The Pre-Covid Version of Itself

Toshiba (6502) Tender Offer – Kioxia Optionality

By Travis Lundy

  • Yesterday, JIP finally announced its Tender Offer for Toshiba Corp (6502 JP) as discussed in JIP Tender Offer for Toshiba (6502) Finally Here 
  • I got a few questions this morning on the earnings call comments from Chairman Watanabe regarding what might happen if a Kioxia Transaction were announced mid-JIP Tender.
  • My assumption before, during, and after, is that the Board wants this deal done. And doesn’t really want to take any responsibility for pushing any more.

KKR/OHB: Agreed Take-Private Offer

By Jesus Rodriguez Aguilar

  • KKR’s launching a cash offer for space tech firm OHB SE (OHB GR) at €44/share, 37% premium, 8.1x EV/Fwd NTM EBITDA, 16.1x Fwd P/E for an implied equity value of c.€769 million.
  • The Fuchs family will retain its majority shareholding. OHB’s strong balance sheet might be leveraged to further consolidate the industry. The offer price seems slightly cheap but not outrageous.
  • I believe a price hike is unlikely. Gross spread is 3.75%. Considering a break of €32.2, the market is pricing an 86% probability of success. I’d be long the shares.

What Is KDB’s Plan B for Asiana Airlines?

By Douglas Kim

  • There have been increasing local news flows about KDB’s potential “Plan B” for Asiana Airlines in case the merger between Asiana Airlines and Korean Air Lines is finally cancelled.
  • The final decisions by the European and US regulators on whether to pass/block this merger are likely to take place in 4Q 2023. 
  • The higher probability scenarios are for one or both of these regulators to block this deal. As such, KDB will need to come up with Plan B.

A Look at How SF Holding Differs from A) Its Express Peers and B) The Pre-Covid Version of Itself

By Daniel Hellberg

  • SF Holding differs from its Chinese peers in several important ways, including business scale, its lack of a formal relationship with Alibaba, and its many non-express lines of business
  • SF also differs from the pre-Covid version of itself: it’s far larger than it was in 2019, but core margins have declined, and internatonal exposure has risen dramatically
  • In this insight we also take a look at current EV/Revenue valuations vs peers and list important milestones to watch for ahead of the company’s planned HK IPO

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Aug 09
0

Daily Brief Industrials: Toshiba Corp, OHB SE, Asiana Airlines, S.F. Holding and more

By | Daily Briefs, Industrials

In today’s briefing:

  • Toshiba (6502) Tender Offer – Kioxia Optionality
  • KKR/OHB: Agreed Take-Private Offer
  • What Is KDB’s Plan B for Asiana Airlines?
  • A Look at How SF Holding Differs from A) Its Express Peers and B) The Pre-Covid Version of Itself

Toshiba (6502) Tender Offer – Kioxia Optionality

By Travis Lundy

  • Yesterday, JIP finally announced its Tender Offer for Toshiba Corp (6502 JP) as discussed in JIP Tender Offer for Toshiba (6502) Finally Here 
  • I got a few questions this morning on the earnings call comments from Chairman Watanabe regarding what might happen if a Kioxia Transaction were announced mid-JIP Tender.
  • My assumption before, during, and after, is that the Board wants this deal done. And doesn’t really want to take any responsibility for pushing any more.

KKR/OHB: Agreed Take-Private Offer

By Jesus Rodriguez Aguilar

  • KKR’s launching a cash offer for space tech firm OHB SE (OHB GR) at €44/share, 37% premium, 8.1x EV/Fwd NTM EBITDA, 16.1x Fwd P/E for an implied equity value of c.€769 million.
  • The Fuchs family will retain its majority shareholding. OHB’s strong balance sheet might be leveraged to further consolidate the industry. The offer price seems slightly cheap but not outrageous.
  • I believe a price hike is unlikely. Gross spread is 3.75%. Considering a break of €32.2, the market is pricing an 86% probability of success. I’d be long the shares.

What Is KDB’s Plan B for Asiana Airlines?

By Douglas Kim

  • There have been increasing local news flows about KDB’s potential “Plan B” for Asiana Airlines in case the merger between Asiana Airlines and Korean Air Lines is finally cancelled.
  • The final decisions by the European and US regulators on whether to pass/block this merger are likely to take place in 4Q 2023. 
  • The higher probability scenarios are for one or both of these regulators to block this deal. As such, KDB will need to come up with Plan B.

A Look at How SF Holding Differs from A) Its Express Peers and B) The Pre-Covid Version of Itself

By Daniel Hellberg

  • SF Holding differs from its Chinese peers in several important ways, including business scale, its lack of a formal relationship with Alibaba, and its many non-express lines of business
  • SF also differs from the pre-Covid version of itself: it’s far larger than it was in 2019, but core margins have declined, and internatonal exposure has risen dramatically
  • In this insight we also take a look at current EV/Revenue valuations vs peers and list important milestones to watch for ahead of the company’s planned HK IPO

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  • ✓ Personalised Alerts
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