Daily Brief Financials: Keppel DC REIT, PICC Property & Casualty H, Federal Bank, DigiCo REIT, Pjt Partners and more

• Keppel DC REIT (KDCREIT SP) is looking to raise S$600m (US$450m) from a primary placement. The proceeds will be used to acquire interest in two data centers in Singapore.
• The deal will be a large one to digest, accounting for 47 days of the stock’s three month ADV. That said, the acquisitions appear to be accretive to bottomline.
• In this note, we’ll run the deal through our ECM framework and comment on deal dynamics.

• The HSCEI serves as a benchmark to reflect the overall performance of the top 50 “Mainland China” securities listed in Hong Kong.
• The official index changes will be confirmed later this week on Friday 22nd November 2024.
• In this insight, we take a look at our final index change expectations and updated flow estimates for the upcoming index rebal event.

• The NIFTY Index (NIFTY INDEX) and the NSE Nifty Bank Index (NSEBANK INDEX EQUITY) reached all-time highs on 26 September 2024 but have since declined.
• Most stocks in the Bank Index have fallen below their 200 and 50 day moving average,. Volatilities have gone up, but trade cheap when compared to historical levels.
• Opportunities present themselves either in stocks that stayed resilient during the downturn (Federal Bank (FB IN)),or fell and gained in implied volatility. A long-short strategy might also be considered.

• DigiCo REIT (DIGICO AU) aims to raise over US$1bn in its Australian IPO.
• DigiCo REIT (DREIT) aims to be a diversified owner, operator and developer of data centres, with a global portfolio and broad investment mandate across stabilised, value-add and development opportunities
• In this note, we talk about the not-so-positive aspects of the deal.

• PJT Partners is a global investment bank with strong strategic and restructuring advisory services
• The company’s partnership structure results in a tax drag on free cash flow, leading to an expensive valuation compared to peers
• Despite lower growth than expected, PJT shares trade at high multiples, making a short position recommended due to estimated overvaluation of over 40% compared to normalized earnings

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.