In today’s briefing:
- Fengxiang (9977 HK): Offer Doc Out. Tender Now Or Sell In The Market
- Meituan (3690 HK): Passive Selling Next Week; Plus the Prosus Overhang
Fengxiang (9977 HK): Offer Doc Out. Tender Now Or Sell In The Market
- The Composite Document for Shandong Fengxiang (9977 HK)‘s unconditional mandatory Offer from PAG Capital is now out.
- Shareholders who tender will be paid within 7 business days.
- An H-class meeting will be held on the 18 January to vote on whether to delist Fengxiang. There is no guarantee this will occur.
Meituan (3690 HK): Passive Selling Next Week; Plus the Prosus Overhang
- Tencent (700 HK)‘s in-specie distribution of Meituan (3690 HK) shares goes ex-dividend next Thursday. Passive Hang Seng trackers will sell Meituan (3690 HK) stock at the close on 4 January.
- The passive impact is not very large but there could be selling from active investors, both before and after settlement of the shares that is scheduled for 24 March.
- Prosus/Naspers will receive 258.93m shares (HK$47.69bn; 6.5x ADV; 4.18% of shares outstanding) of Meituan (3690 HK) and that will be an overhang on the stock for the near future.
💡 Before it’s here, it’s on Smartkarma
Sign Up for Free
The Smartkarma Preview Pass is your entry to the Independent Investment Research Network
- ✓ Unlimited Research Summaries
- ✓ Personalised Alerts
- ✓ Custom Watchlists
- ✓ Company Data and News
- ✓ Events & Webinars
