Lakshmi Iyer, CFA

Credit

<p>There has been substantial news-flow regarding the possibility of a deal between <a href="https://www.smartkarma.com/entities/future-retail-ltd-4b025726-3be6-41e3-9f59-22ab2a17a8b2" target="_blank" data-smartkarma-citation="entities:26799:1" rel="noopener">Future Retail (FRETAIL IN)</a> and <a href="https://www.smartkarma.com/entities/reliance-industries-ltd" target="_blank" data-smartkarma-citation="entities:198:1" rel="noopener">Reliance Industries (RIL IN)</a> .  We feel that the news reports are credible. We also present our thoughts on potential hurdles facing the deal and recommend booking profits on the FRETAI 5.6% bonds due '23 at current levels (69).</p><p></p><div class="content-highlight"><p><em>Fundamental credit research focused on Asian high yield, including coverage of areas which are generally overlooked such as Indian finance companies and non-USD denominated credit (SGD).  Sector agnostic. Research process consists of rigorous bottom-up company analysis combined with spotting market dislocations to provide trade ideas.</em></p></div>

There has been substantial news-flow regarding the possibility of a deal between Future Retail (FRETAIL IN) and Reliance Industries (RIL IN) .  We feel that the news reports are credible. We also present our thoughts on potential hurdles facing the deal and recommend booking profits on the FRETAI 5.6% bonds due '23 at current levels (69).Fundamental credit research focused on Asian high yield, including coverage of areas which are generally overlooked such as Indian finance companies and non-USD denominated credit (SGD).  Sector agnostic. Research process consists of rigorous bottom-up company analysis combined with spotting market dislocations to provide trade ideas.

Future Retail + Reliance - To Be, or Not to Be...