In today’s briefing:
- Toshiba (6502) – Now We Have “That One Piece Of News”
- Toshiba – Market Reaction to Proposal Solicitation News Is a Great Short Opportunity
Toshiba (6502) – Now We Have “That One Piece Of News”
- Toshiba announced that it will start a sale process by offering info, and running a two-round “strategic alternative” process. Info and non-binding proposals followed by due dili and binding proposals.
- For me, this seems like “That One Piece Of News” which is required to make the range jump, and to get people into Now-We-Are-Going-To-Get-A-Deal.
- We may not, of course, and it will be a long, complicated road. But this is a step change. Starting a beauty contest is a big deal.
Toshiba – Market Reaction to Proposal Solicitation News Is a Great Short Opportunity
- Toshiba announced yesterday that they would be soliciting proposals on strategic alternatives specifically mentioning privatisation.
- The stock is up 3.5% on the news and had been up as much as 6.5% in a very weak market despite the news being well foreshadowed.
- At the current price we believe there could be limited scope for a significant premium and much downside if tech turns over.
Before it’s here, it’s on Smartkarma
