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

Invesco Office's Beige Knight (Deemed Dirty Gray By Markets) Suddenly Looks Brighter and Whiter

Starwood Responds to Invesco Office's White Knight Proposal

Starwood Bumps Invesco Office Price to Match But STILL Not a Done Deal

Invesco Office OPPOSES Starwood Hostile Offer and Gets a Distinctly Beige Knight

Starwood Rejection of Extension Means Full Hostile Tender

Starwood Bumps Terms, Lowers Threshold on Invesco Office

Quiddity Advisors

Event-Driven

<p>On 5 April, Starwood Group announced it owned 5+% of <a href="https://www.smartkarma.com/entities/invesco-office-j-reit-inc" target="_blank" data-smartkarma-citation="entities:7414:1" rel="noopener">Invesco Office J Reit (3298 JP)</a> and would conduct a Tender Offer to take over the J-REIT. This was a first (hostile full takeover) in Japan. Invesco Office J-REIT objected, threatened possible legal action, asked for more time. Starwood said "no more time" so IOJ's official Target Statement said AGAINST and they asked holders to not tender and if they had already tendered, to withdraw their tender. And the REIT manager made a request of a "Requested Party" - Invesco Investments (Bermuda) Ltd, linked to the manager's ultimate parent, to buy shares on the market to thwart Starwood's effort.</p><p>Shares subsequently traded slightly through terms. </p><p>Then on 10 May quite late in the evening, Starwood raised its Tender Offer Price from ¥20,000/unit to ¥21,750. The shares, obviously, traded up near terms the following day. At the end of the following day, Invesco Office again asked investors not to tender. </p><div></div><div class="content-highlight">
<p> <strong>Today, the stock had a Terrible, Horrible, No Good Very Bad Day. </strong></p>
<p>Shares fell from about ¥21,750 in the morning as low as ¥18,400, before rebounding. </p>
</div><section class="figure"><figure class="editor-figure mceNonEditable"><img src="https://static-prod.smartkarma.com/images/media/000/206/007/original/Screenshot+2021-05-13+at+7.20.12+PM.png?1620904830" class="editor-image img-responsive" data-smartkarma-image-id="206007"></figure><p></p></section><p>A news service which Reports on Deals reported on the fact that the Requested Party Invesco Investments (Bermuda) had purchased 5.66% of <a href="https://www.smartkarma.com/entities/invesco-office-j-reit-inc" target="_blank" data-smartkarma-citation="entities:7414:1" rel="noopener">Invesco Office J Reit (3298 JP)</a> as of yesterday.</p><p>Strangely, that news was out there after yesterday's close, and indeed shares started off weaker earlier today. And about half an hour after the ever-so-brief Report, whoever was selling started running out of bids, and it tipped over, falling 6% in an hour. Then almost 10% in the next 10+ minutes to a low of ¥18,400, when it was suspended <em>kehai</em> going back up. A lot of shares traded in the last 30 minutes at ¥19,200-20,100. </p><p>This now changes things. </p><p>More below the fold. </p><hr><div><table class="table table-striped"><tbody>
<tr><td colspan="2" style="width: 76.5714px;"><h3>The Insights to Date in the Starwood - Invesco Office REIT Tussle</h3></td></tr>
<tr>
<td style="width: 76.5714px;"><strong><em>Date</em></strong></td>
<td style="width: 627.429px;"><strong><em>Title</em></strong></td>
</tr>
<tr>
<td style="width: 76.5714px;">5 Apr 2021</td>
<td style="width: 627.429px;"><em><a href="https://www.smartkarma.com/insights/starwood-targets-japan-s-first-hostile-reit-full-tob-for-invesco-office-j-reit" target="_blank" data-smartkarma-citation="insights:49976" rel="noopener">Starwood Targets Japan's First Hostile REIT Full TOB for Invesco Office J-REIT</a></em></td>
</tr>
<tr>
<td style="width: 76.5714px;">8 Apr 2021</td>
<td style="width: 627.429px;"><em><a href="https://www.smartkarma.com/insights/starwood-hostile-reit-tender-launched" target="_blank" data-smartkarma-citation="insights:50112" rel="noopener">Starwood Hostile REIT Tender Launched</a></em></td>
</tr>
<tr>
<td style="width: 76.5714px;">15 Apr 2021</td>
<td style="width: 627.429px;"><em><a href="https://www.smartkarma.com/insights/invesco-office-j-reit-responds-to-starwood-s-hostile-offer" target="_blank" data-smartkarma-citation="insights:50381" rel="noopener">Invesco Office J-REIT Responds to Starwood's Hostile Offer</a></em></td>
</tr>
<tr>
<td style="width: 76.5714px;">23 Apr 2021</td>
<td style="width: 627.429px;"><em><a href="https://www.smartkarma.com/insights/starwood-rejection-of-extension-means-full-hostile-tender" target="_blank" data-smartkarma-citation="insights:50641" rel="noopener">Starwood Rejection of Extension Means Full Hostile Tender</a></em></td>
</tr>
<tr>
<td style="width: 76.5714px;">6 May 2021</td>
<td style="width: 627.429px;"><em><a href="https://www.smartkarma.com/insights/invesco-office-opposes-starwood-hostile-offer-and-gets-a-distinctly-beige-knight" target="_blank" data-smartkarma-citation="insights:51162" rel="noopener">Invesco Office OPPOSES Starwood Hostile Offer and Gets a Distinctly Beige Knight</a></em></td>
</tr>
<tr>
<td style="width: 76.5714px;">11 May 2021</td>
<td style="width: 627.429px;"><em><a href="https://www.smartkarma.com/insights/starwood-bumps-terms-lowers-threshold-on-invesco-office" target="_blank" data-smartkarma-citation="insights:51302" rel="noopener">Starwood Bumps Terms, Lowers Threshold on Invesco Office</a></em></td>
</tr>
</tbody></table></div>

On 5 April, Starwood Group announced it owned 5+% of Invesco Office J Reit (3298 JP) and would conduct a Tender Offer to take over the J-REIT. This was a first (hostile full takeover) in Japan. Invesco Office J-REIT objected, threatened possible legal action, asked for more time. Starwood said "no more time" so IOJ's official Target Statement said AGAINST and they asked holders to not tender and if they had already tendered, to withdraw their tender. And the REIT manager made a request of a "Requested Party" - Invesco Investments (Bermuda) Ltd, linked to the manager's ultimate parent, to buy shares on the market to thwart Starwood's effort.Shares subsequently traded slightly through terms. Then on 10 May quite late in the evening, Starwood raised its Tender Offer Price from ¥20,000/unit to ¥21,750. The shares, obviously, traded up near terms the following day. At the end of the following day, Invesco Office again asked investors not to tender. 
 Today, the stock had a Terrible, Horrible, No Good Very Bad Day. 
Shares fell from about ¥21,750 in the morning as low as ¥18,400, before rebounding. 
A news service which Reports on Deals reported on the fact that the Requested Party Invesco Investments (Bermuda) had purchased 5.66% of Invesco Office J Reit (3298 JP) as of yesterday.Strangely, that news was out there after yesterday's close, and indeed shares started off weaker earlier today. And about half an hour after the ever-so-brief Report, whoever was selling started running out of bids, and it tipped over, falling 6% in an hour. Then almost 10% in the next 10+ minutes to a low of ¥18,400, when it was suspended kehai going back up. A lot of shares traded in the last 30 minutes at ¥19,200-20,100. This now changes things. More below the fold. 
The Insights to Date in the Starwood - Invesco Office REIT Tussle

Date
Title


5 Apr 2021
Starwood Targets Japan's First Hostile REIT Full TOB for Invesco Office J-REIT


8 Apr 2021
Starwood Hostile REIT Tender Launched


15 Apr 2021
Invesco Office J-REIT Responds to Starwood's Hostile Offer


23 Apr 2021
Starwood Rejection of Extension Means Full Hostile Tender


6 May 2021
Invesco Office OPPOSES Starwood Hostile Offer and Gets a Distinctly Beige Knight


11 May 2021
Starwood Bumps Terms, Lowers Threshold on Invesco Office



Invesco Office's Terrible, Horrible, No Good Very Bad Day... Changes Things