In today’s briefing:
- Vertex Technology’s Hybrid Arb
- Vertex Technology Acquisition (VTAC SP)/17LIVE: Turn Off
Vertex Technology’s Hybrid Arb
- Temasek-Backed Vertex Technology Acquisition Corporation (VTAC SP), the first of three SPACs (so far) to list on the SGX, has announced a transaction to buy Taiwanese live-streaming platform, 17Live.
- Assuming the deal completes, potentially by year-end, the merged entity would be valued at ~S$1.16bn.
- All independent shareholders are entitled to redemption rights. That is, you’ll get ~$5 back if redeeming against $4.96/share now. But liquidity is not great. Plus this appears a related-party transaction.
Vertex Technology Acquisition (VTAC SP)/17LIVE: Turn Off
- Vertex Technology Acquisition Corporation (VTAC SP) agreed to a De-SPAC transaction with 17LIVE, the top pure-play live streaming platform (by revenue) in Japan and Taiwan combined.
- Industry data and the financials suggest that 17LIVE does not have a sustainable competitive advantage to translate its position into high earnings quality.
- The purchase consideration of 17LIVE in the De-SPAC transaction is S$925.1 million (US$682.2 million). Our valuation analysis suggests that this consideration is full.
💡 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
