In today’s briefing:
- Adani Group – MSCI Will Treat Very Adani Funds as a Very Special Case
- Toshiba – The Nikkei Finally Speaks
- Toshiba (6502 JP): Formal Offer Lodged, Now for the Hard Part
- Blue Bird (BIRD IJ) – Catching the Updraft in 2023
Adani Group – MSCI Will Treat Very Adani Funds as a Very Special Case
- Shortly after the Hindenburg Report came out, MSCI said it was seeking feedback from clients. They got it, and last night announced they would conduct a special review.
- They concluded some holders heretofore in the float might not be float. They announce results tonight. That can only be bad news for Adani Group companies.
- We don’t know numbers yet, but passive inclusion was one reason why stocks skyrocketed. Few of the companies will be unaffected. Some could be heavily affected.
Toshiba – The Nikkei Finally Speaks
- The Nikkei was out this morning with its belated take on JIP securing financing.
- The article was nevertheless rather negative in its tone causing Toshiba to drop as much as 3.6% before recovering most of those losses.
- We aren’t entirely sure it should have but Toshiba Tec does pique our interest.
Toshiba (6502 JP): Formal Offer Lodged, Now for the Hard Part
- The Nikkei reports that Japan Industrial Partners (JIP), the preferred bidder, has finally secured financing and submitted a final offer to Toshiba Corp (6502 JP)’s Board.
- Nikkei notes that JIP expects to spend about JPY2 trillion on the acquisition suggesting an offer price around JPY4,750 per share, -4% below the undisturbed price of JPY4,957.60 (21 April).
- The hard part now is getting the Board to accept the unremarkable offer and the banks’ conditions. If the Board succumbs, the next challenge is to get shareholders to accept.
Blue Bird (BIRD IJ) – Catching the Updraft in 2023
- Blue Bird is an iconic brand in Indonesia, where consumers take a BlueBird not a taxi, much like taking a Gojek, and in taxi terms, it embodies trust and reliability.
- The company had a tough time through COVID but is now firmly on a recovery track, with revenue per taxi in 4Q2022 20% above pre-pandemic levels, with more to come.
- Blue Bird (BIRD IJ) is a beneficiary of the tech winter in that ride-hailing companies are spending less on promotions, easing competition. Valuations are attractive in recovery.
💡 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
