Utilities Sector

• Spanish renewables group Opdenergy Holdings (OPDE SM) will exit the stock market upon closing of Antin Infrastructure Partners (ANTIN FP)‘s takeover bid. The company is scheduled to delist on 23 April.
• Minimum acceptance condition is 75%. Antin had 71.2% irrevocables, which together with a letter of intention for 6.09%, should mean the threshold is crossed.
• Spread is 0.68%/7.54% (gross/annualised, assuming settlement on 26 March). Long and tender.

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.

• It was reported today in numerous local media that there will be an inclusion of ‘shareholder value improvement’ management evaluation criteria for listed government enterprises.
• Some of these listed government enterprises rallied strongly today (KEPCO – up 10%; KOGAS – up 12.7%; Korea District Heating – Up 30%). 
• The detailed evaluation criteria for management evaluation of government enterprises will include the appropriateness of dividend levels, protection of minority shareholders, and compliance with best practices for ESG improvement.

Key points

• COPART Inc (CPRT) is a leading stock in the salvage industry, dominating as the clear number one player in a duopoly.
• CPRT has recently gained a significant market share advantage over its main competitor, Insurance Auto Auctions (IAA), with USAA switching its salvage business entirely to CPRT.
• IAA has struggled due to a lack of investment, poor service levels, and a loss of focus under its former parent company, KAR, leading to CPRT’s continued success and market dominance.

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.

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.

• Rakuten Group
• UPL Ltd

• There could be large passive flows for stocks in Malaysia and Thailand in the next few weeks. Impact is especially high where there could be passive outflows.
• YTL Corp (YTL MK) and YTL Power International (YTLP MK) are likely to have passive inflows.
• Dialog Group (DLG MK), Berli Jucker (BJC TB), Osotspa Public Company Limited (OSP TB) and Banpu Public (BANPU TB) could have outflows.

Key points (machine generated)

• Hawaiian Electric is facing potential bankruptcy due to fire liabilities and the need for expensive investments to fire-harden their assets.
• The estimated fire claims exceed the utility’s worth, with total claims including debt exceeding $4.9-7.4 billion.
• Unless the claims are significantly lower, it is unlikely that there will be any equity value for the utility, and the stock price is expected to be negatively impacted.

This article is sourced from an online content aggregator through publicly available sources and is displayed below for general informational purposes only. This article was originally published 3 months ago on Value Investors Club.

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.

• ENN Natural Gas
• UPL Ltd

• Citicore Renewable Energy (CREC PM) is looking to raise about US$180m in its upcoming Philippines IPO.
• Citicore Renewable Energy (CREC) is a pure-play renewable energy platform focused on developing and operating renewable energy projects in the Philippines.
• In this note, we look at the firm’s past performance.

• This is our first report on natural gas transporter, Southwest Gas Holdings.
• The company’s underlying strategy is geared towards restoring the firm to its position as a premier fully regulated natural gas utility.
• In this report, we have carried out a fundamental analysis of the historical financial statements of the company.

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.

• ENN Natural Gas