HK/China Healthcare Analyst (ex-Fosun Pharma)

Xinyao (Criss) Wang

Over 15 years' experience in both finance and healthcare, covering clinic operations, investment and equity research in both China and overseas.

CR Sanjiu (000999.CH) To Acquire Tasly Pharma (600535.CH) - SOEs Have High Enthusiasm for TCM Assets

China Healthcare Weekly (Aug.18)- COVID Is Here, BIOSECURE Act Update, Livzon Deserves More Patience

Sino Biopharmaceutical (1177.HK) 24H1 - The Concerns Behind the Performance Turnaround

CPMC Holdings (906.HK) Privatization - Some New Information Worth the Attention

CPMC Holdings (906.HK) Privatization Update - The Story Behind the Delay of Offer Document Despatch

CPMC Holdings (906.HK) - ORG Can't Afford to Lose, But Baosteel Is a Step Ahead

Battle Lines Drawn As BABA Builds Out First/Last-Mile Capacity; But Who Will Fund 75+ Bn CNY CapEx?

Event-Driven

<ul>
<li>Baosteel's choice to maintain its original Offer may partly reflect its "confidence" in the deal. If investors bet that Huarui Offer will succeed, they need to bear some risks.</li>
<li>If investors choose to arbitrage at HK$7.21/share, annualized return is 9% assuming privatization would be completed in mid-Jan 2025.Such return may not be attractive considering the uncertainties behind the deal. </li>
<li>If investors are optimistic about Baosteel's final acquisition of CPMC, they can consider buying Baosteel shares, as Baosteel will become the new industry leader, with greater upside potential for valuation.</li>
</ul>


Baosteel's choice to maintain its original Offer may partly reflect its "confidence" in the deal. If investors bet that Huarui Offer will succeed, they need to bear some risks.
If investors choose to arbitrage at HK$7.21/share, annualized return is 9% assuming privatization would be completed in mid-Jan 2025.Such return may not be attractive considering the uncertainties behind the deal. 
If investors are optimistic about Baosteel's final acquisition of CPMC, they can consider buying Baosteel shares, as Baosteel will become the new industry leader, with greater upside potential for valuation.


Shanghai Baosteel Packaging-A (601968 CH)

CPMC Holdings (906.HK) Privatization Update- Due to Risk Behind ORG's Offer, Baosteel Is a Wiser Bet