Pan-Asia Catalysts/Events, Quiddity Advisors

Travis Lundy

HK Type 4 license through Ballingal Investment Advisors Ltd. ("BIA" or "BIAL")

BACKGROUND
I have 20+yrs experience in Asia doing alternative strategies (i.e. non-delta1 non long-only) in fixed income, equity derivatives, and activist/catalyst/event-driven and long-short equity strategies with most of that time spent managing money. 

4 years in fixed income macro, 8 years running internal hedge fund and 4yrs investment banking at Citi in Japan, 3 years running an Asia multi-strat portfolio at a hedge fund, 4+yrs as an independent special situations analyst.

Pan-Asia Catalysts/Events

Quiddity Advisors

Event-Driven

<p><strong><a href="https://www.smartkarma.com/entities/27349" target="_blank" data-smartkarma-citation="entities:27349:1">Defactostandard Ltd (3545 JP)</a></strong> is a small-cap MOTHERS-listed company based in eastern Tokyo, which has been in the online commerce business in Japan for almost 15 years. It was the company from which <a href="https://www.smartkarma.com/entities/10405" target="_blank" data-smartkarma-citation="entities:10405:1">Aucfan Co Ltd (3674 JP)</a> spun off several years ago. <strong>Defactostandard</strong> operates a combination of online platforms including a C2B2C used goods online buying and selling business and a B2B platform, with some face-to-face interaction, but much of it in an online infrastructure with outsourced sub-contracting. </p>
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<h2>WARNING:  Tiny-cap TOPIX inclusion situation. Low liquidity and low dollar value event. Look away if not interested. </h2>
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<p>The company operates a group of websites under the name "brandear" whereby users (2,000,000 registered users now) can sell their secondhand branded goods (7000+ types of goods across an enormous number of <a href="https://brandear.jp/kakosatei/brandlist_alphabet" target="_blank">brands</a> - mostly clothing, bags, and accessories (watches and branded jewelry)) to the company (they have an enormous list of goods to which they can give guide prices) which are then marked up and resold through various channels (their own, eBay, etc). If you have a Louis Vuitton bag in the bottom of your closet and would rather have some cash, they want to buy it from you. They will buy it at a discount to where you might be able to sell it direct in an online auction or in a store, but they remove the hassle (and most people don't run stores).</p>
<p>The company offers detailed pages for many of the brands, with sample prices for different models of goods. One example is TAG Heuer watches, and a sample "guide" page is below. On this page they indicate they would buy those watches for around that price, though actual price per item may change depending on condition, age, replacement parts, service history, etc.</p>
<figure class="editor-figure mceNonEditable"><img src="https://static-prod.smartkarma.com/images/media/000/062/185/original/Screen%20Shot%202018-08-30%20at%207.07.27%20PM.png?1535627336" class="editor-image img-responsive" data-smartkarma-image-id="62185"></figure>
<p><strong>Today the company announced that it would move its listing from MOTHERS to TSE First Section as of September 6th 2018.</strong> </p>
<p>TSE1 reassignment triggers inclusion into the TOPIX Index. Based on the TOPIX Index Methodology (p7 of the <a href="http://www.jpx.co.jp/english/markets/indices/line-up/files/e_cal_16_Divf.pdf" target="_blank">TOPIX Index Guidebook</a>), inclusion will be on the last business day on the month following entrance into the First Section. This means the inclusion event will be at the close of trading October 30, 2018. </p>
<p>Details below.</p>

Defactostandard Ltd (3545 JP) is a small-cap MOTHERS-listed company based in eastern Tokyo, which has been in the online commerce business in Japan for almost 15 years. It was the company from which Aucfan Co Ltd (3674 JP) spun off several years ago. Defactostandard operates a combination of online platforms including a C2B2C used goods online buying and selling business and a B2B platform, with some face-to-face interaction, but much of it in an online infrastructure with outsourced sub-contracting. 

WARNING:  Tiny-cap TOPIX inclusion situation. Low liquidity and low dollar value event. Look away if not interested. 

The company operates a group of websites under the name "brandear" whereby users (2,000,000 registered users now) can sell their secondhand branded goods (7000+ types of goods across an enormous number of brands - mostly clothing, bags, and accessories (watches and branded jewelry)) to the company (they have an enormous list of goods to which they can give guide prices) which are then marked up and resold through various channels (their own, eBay, etc). If you have a Louis Vuitton bag in the bottom of your closet and would rather have some cash, they want to buy it from you. They will buy it at a discount to where you might be able to sell it direct in an online auction or in a store, but they remove the hassle (and most people don't run stores).
The company offers detailed pages for many of the brands, with sample prices for different models of goods. One example is TAG Heuer watches, and a sample "guide" page is below. On this page they indicate they would buy those watches for around that price, though actual price per item may change depending on condition, age, replacement parts, service history, etc.

Today the company announced that it would move its listing from MOTHERS to TSE First Section as of September 6th 2018. 
TSE1 reassignment triggers inclusion into the TOPIX Index. Based on the TOPIX Index Methodology (p7 of the TOPIX Index Guidebook), inclusion will be on the last business day on the month following entrance into the First Section. This means the inclusion event will be at the close of trading October 30, 2018. 
Details below.

DeFacto Standard (3545 JP) TOPIX Inclusion Event