In today’s briefing:
- Korea FSC Officially Eases a Major Hurdle for a Tender Offer: Names to Watch
- KT Corp (030200 KS): Foreign Room Increase Could Mean MSCI Inclusion
- Additional Potential Inclusions in KOSPI 200 Rebalance in May 2023
- CUBox IPO Preview
Korea FSC Officially Eases a Major Hurdle for a Tender Offer: Names to Watch
- Korea FSC will accept financial institutions’ LOC and LPs’ investment performance agreements as certifying documents for securing funds. This revision will be effective right from April 1 this year.
- The impact from a preemptive trading perspective is likely to be significant. Additional stake purchases through tender offers will increase more aggressively, particularly when purchasing shares from the majority shareholder.
- We should first pay attention to companies where private equity (PE) is the largest shareholder whose stake is relatively low (less than 50%): Hugel, Hana Tour Service, & Hanssem
KT Corp (030200 KS): Foreign Room Increase Could Mean MSCI Inclusion
- KT Corp (030200 KS) missed out on inclusion to the MSCI Korea Index at the May 2022 SAIR following a drop in foreign room below 15%.
- Bottoming out at 6.5%, foreign room has started to increase again. The last data point shows foreign room at 14.43%, just shy of the 15% threshold for inclusion eligibility.
- If foreign room increases above 15% in the next three weeks, KT Corp (030200 KS) will be added to the MSCI Korea Index at the May QCIR.
Additional Potential Inclusions in KOSPI 200 Rebalance in May 2023
- In this insight, we discuss the potential new inclusions in KOSPI 200 rebalance in May 2023.
- The five stocks that are potential inclusions in KOSPI 200 rebalance in May 2023 include Kumyang, Cosmo Chemical, Dentium, Jeju Air, and Youlchon Chemical.
- Kumyang and Cosmo Chemical are up on average 177% YTD. We would not chase these two stocks as their share prices have already risen considerably.
CUBox IPO Preview
- CUBox is getting ready to complete its IPO in KOSDAQ in May. Given its leading position in the face recognition AI technology, it is expected to generate strong interest.
- CUBox is a leading company in Korea that specializes in artificial intelligence (AI) image recognition.
- The company is offering 1.5 million shares (100% new shares) in this IPO. The IPO price range is 17,200 to 23,200 won.
💡 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
