In today’s briefing:
- Arclands (9842) Overpays for Arclands Service Holdings (3085)
- Aiming for Price Movement Patterns with Low Market Exposure in MSCI Korea May Review
- Riding the Re-SPAC Wave
Arclands (9842) Overpays for Arclands Service Holdings (3085)
- On Friday Arcland Sakamoto (9842 JP) and restaurant franchise subsidiary Arcland Service (3085 JP), which it launched in 1993 and IPOed in 2007, announced they had agreed to merge.
- Arcland SHD runs 18 restaurant brands, of which Katsuya is most well-known, with a total of 750 or so restaurants managed globally. It has grown consistently.
- The merger ratio is at an all-time high for Arcland SHD. This should be a done deal but I might expect some complaints. I think Arclands is probably overpaying.
Aiming for Price Movement Patterns with Low Market Exposure in MSCI Korea May Review
- We should aim for price movement patterns with relatively low market exposure. One of them is the post-effective upward price movement of deletions.
- The relative price performance for one week after the implementation compared to KOSPI 200 was consistently positive, ranging from 2.41% to 6.82%.
- Given the recent price movement of four deletion candidates, there is again a high possibility that the price distortion caused by MSCI flow will revert after the effective date.
Riding the Re-SPAC Wave
- In the ever-changing landscape of SPACs, a new trend has emerged that has got investors talking: Re-SPACs.
- Last week, electric vehicle startup Arrival announced its intention to Re-SPAC with Kensington Capital Acquisition Corp. V, signifying a growing interest among De-SPAC companies in exploring alternative capital-raising strategies.
- Traditionally, SPACs have been a popular vehicle for ushering businesses into the public markets.
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