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

Huat Ah Redux! Cuscaden Revises Offer for SPH, SPH Deems It Superior

SPH Shareholders - A Good Deal For Waiting (After a Good Deal of Waiting)

Singapore Press Holdings - Aiyoh, Cuscaden Scheme No Chiong Finish. Sian. Money in May Agak Agak!

SPH Shareholders Approve Spinoff - There's Still a Spread To Earn

SPH Update: Keppel, SPH REIT Chain Offer, and Cuscaden Strategy

SPH Lobang - Holders So Shiok, Bidders So Kiasu. This May Not Be The End.

Quiddity Advisors

Event-Driven

There is a recent history here. <a href="https://www.smartkarma.com/entities/singapore-press-holdings-limited" target="_blank" data-smartkarma-citation="entities:9952:1" rel="noopener">Singapore Press Holdings (SPH SP)</a> had, after somewhat lackluster results in some of its divisions and spreading itself a bit thin in others, and losing money in the media division decided this spring to restructure itself by spinning out the media business (<a href="https://www.smartkarma.com/insights/singapore-press-own-time-own-target-restructuring-lor-come-i-clap-for-you" target="_blank" data-smartkarma-citation="insights:51141" rel="noopener">Singapore Press Own Time Own Target Restructuring Lor... (Come I Clap For You)</a>).After that was announced, <a href="https://www.smartkarma.com/entities/keppel-corp-ltd" target="_blank" data-smartkarma-citation="entities:12:1" rel="noopener">Keppel Corp (KEP SP)</a> had the bright idea it would like to take over the real estate business for itself, and on 2 August they announced a deal which seemed more in Keppel's interest than SPH Shareholders' interests (<a href="https://www.smartkarma.com/insights/alamak-sph-restructuring-restructured-as-keppel-bo-jios-sph-holders" target="_blank" data-smartkarma-citation="insights:55370" rel="noopener">Alamak! SPH Restructuring Restructured as Keppel Bo Jios SPH Holders</a>). The Keppel Consideration was some cash, a distribution of <a href="https://www.smartkarma.com/entities/sph-reit" target="_blank" data-smartkarma-citation="entities:5994:1" rel="noopener">SPH REIT (SPHREIT SP)</a> from SPH, and a <a href="https://www.smartkarma.com/entities/keppel-reit" target="_blank" data-smartkarma-citation="entities:192:1" rel="noopener">Keppel REIT (KREIT SP)</a> units - not far from one-third each. Six weeks later <a href="https://www.smartkarma.com/insights/sph-shareholders-approve-spinoff-there-s-still-a-spread-to-earn" target="_blank" data-smartkarma-citation="insights:57504" rel="noopener">SPH Shareholders approved the spinoff but there was still a spread to earn</a>.On October 29, when the Keppel Consideration was trading at S$2.09 per SPH share while the shares were trading at S$1.99/share, a new entity called Cuscaden Peak Pte. Limited, backed by Hotel Properties Limited, Capitaland, and Mapletree Investments - two Temasek-backed entities - came out and proposed a bid of S$2.10/share in cash plus the S$0.03 dividend to come, topping the Scheme Consideration in the <a href="https://www.smartkarma.com/entities/keppel-corp-ltd" target="_blank" data-smartkarma-citation="entities:12:1" rel="noopener">Keppel Corp (KEP SP)</a> Offer. <a href="https://www.smartkarma.com/insights/sph-lobang-holders-so-shiok-bidders-so-kiasu-this-may-not-be-the-end" target="_blank" data-smartkarma-citation="insights:59725" rel="noopener">SPH Lobang - Holders So Shiok, Bidders So Kiasu. This May Not Be The End.</a>The same day Keppel said it would think about how to respond. The shares bounced, and traded "through terms" with Keppel's terms jumping as some arbitrageurs bought back their REIT baskets. In the last and a followup <a href="https://www.smartkarma.com/insights/sph-update-keppel-sph-reit-chain-offer-and-cuscaden-strategy" target="_blank" data-smartkarma-citation="insights:59962" rel="noopener">SPH Update: Keppel, SPH REIT Chain Offer, and Cuscaden Strategy</a> I suggested Keppel needed to up the cash component to clearly win this deal. This morning, Keppel did - raising the cash component by S$0.20/share, making the value at yesterday's close equivalent to S$2.35 per SPH share. Keppel was not lepaking!So swee!<section class="figure"><figure class="editor-figure mceNonEditable"><img src="https://static-prod.smartkarma.com/images/media/000/240/739/original/Screenshot+2021-11-10+at+7.27.01+AM.png?1636501815" class="editor-image img-responsive" data-smartkarma-image-id="240739"></figure></section>S$2.35 is higher than the old Keppel Offer Consideration had ever traded, and is considerably more attractive to SPH shareholders. They should feel less bo jio'd. I think the entry of Cuscaden has served its purpose. This should be done, but should Cuscaden want to do so, it now has its work cut out for it.

There is a recent history here. Singapore Press Holdings (SPH SP) had, after somewhat lackluster results in some of its divisions and spreading itself a bit thin in others, and losing money in the media division decided this spring to restructure itself by spinning out the media business (Singapore Press Own Time Own Target Restructuring Lor... (Come I Clap For You)).After that was announced, Keppel Corp (KEP SP) had the bright idea it would like to take over the real estate business for itself, and on 2 August they announced a deal which seemed more in Keppel's interest than SPH Shareholders' interests (Alamak! SPH Restructuring Restructured as Keppel Bo Jios SPH Holders). The Keppel Consideration was some cash, a distribution of SPH REIT (SPHREIT SP) from SPH, and a Keppel REIT (KREIT SP) units - not far from one-third each. Six weeks later SPH Shareholders approved the spinoff but there was still a spread to earn.On October 29, when the Keppel Consideration was trading at S$2.09 per SPH share while the shares were trading at S$1.99/share, a new entity called Cuscaden Peak Pte. Limited, backed by Hotel Properties Limited, Capitaland, and Mapletree Investments - two Temasek-backed entities - came out and proposed a bid of S$2.10/share in cash plus the S$0.03 dividend to come, topping the Scheme Consideration in the Keppel Corp (KEP SP) Offer. SPH Lobang - Holders So Shiok, Bidders So Kiasu. This May Not Be The End.The same day Keppel said it would think about how to respond. The shares bounced, and traded "through terms" with Keppel's terms jumping as some arbitrageurs bought back their REIT baskets. In the last and a followup SPH Update: Keppel, SPH REIT Chain Offer, and Cuscaden Strategy I suggested Keppel needed to up the cash component to clearly win this deal. This morning, Keppel did - raising the cash component by S$0.20/share, making the value at yesterday's close equivalent to S$2.35 per SPH share. Keppel was not lepaking!So swee!S$2.35 is higher than the old Keppel Offer Consideration had ever traded, and is considerably more attractive to SPH shareholders. They should feel less bo jio'd. I think the entry of Cuscaden has served its purpose. This should be done, but should Cuscaden want to do so, it now has its work cut out for it. 

Huat Ah! SPH Holders So Shiok, Keppel (So Kiasu!) Adds 20 Cents - Swee!