Daily BriefsHealthcare

Health Care: Samsung Biologics Co.,, Global Cord Blood and more

In today’s briefing:

  • Samsung Biologics Offering: Deal Summary & Trading Dynamics
  • Global Cord Blood (CO US): No Immediate Respite Is Seen

Samsung Biologics Offering: Deal Summary & Trading Dynamics

By Sanghyun Park

  • Samsung Biologics announced that it would purchase all 10,341,852 shares of Samsung Bioepis owned by Biogen for ₩2.77T. For this, it also announced a ₩3T new share issuance.
  • The discount rate is 15%, tighter than the usual 20%. Despite that, this offering still deserves attention from an arb perspective as we may see more forfeited shares than expected.
  • Entry timing? I’ll aim at the rights trading window. As a short hedge, I will look at C&T, which is expected to have a higher price synch rate with Biologics.

Global Cord Blood (CO US): No Immediate Respite Is Seen

By Tina Banerjee

  • Global Cord Blood (CO US) has rejected the acquisition offer from Alternate Ocean Investment as it fails to properly reflect the value of the company and maximize shareholder value.  
  • Global Cord shares plunged 4% since we published our bearish view in late November. The shares are trading more than 35% below its 52-week high price.
  • Although we are not seeing any upside potential, we have analyzed some key catalysts, which can move the share price higher.

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