Pan-Asia Catalysts/Events, Quiddity Advisors

David Blennerhassett

HK Type 4 license through Ballingal Investment Advisors Ltd. 

I'm a highly experienced sell-side analyst with in excess of 22 years of covering Asia Pacific equities, the past 19 years immersed in event strategies encompassing M&A risk arbitrage, directional long/short, stub trades and restructuring.  

My background also includes accountancy (liquidation/bankruptcy/receivership) earlier in my career and as a chief financial officer of a global commodity company based in the US and Mexico.

Pan-Asia Catalysts/Events

Chuan Hup: The Chairman Knows A Good Deal

Quiddity Advisors

Event-Driven

After gaining 22.5% over seven trading days back in mid-September, <a href="https://www.smartkarma.com/entities/11743" target="_blank" data-smartkarma-citation="entities:11743:1">Pci Ltd (PCI SP)</a> <a href="https://links.sgx.com/FileOpen/Announcement.18Sep18.ashx?App=Announcement&amp;FileID=525504" target="_blank">responded</a> to an SGX query over this price action that "it has been approached by a third party in connection with a potential transaction in relation to the securities of the Company. The discussions are on-going ...".
All was revealed on 4th January 2019, when PCI <a href="https://links.sgx.com/FileOpen/Pagani.Joint%20Announcement.FinalReleaseVersion.4Jan2019.ashx?App=Announcement&amp;FileID=539535" target="_blank">announced</a> that Pagani Holding  (a SPV indirectly owned by Platinum Equity Advisors) had made a S$1.33/share cash offer for the company by way of a scheme.
<a href="https://www.smartkarma.com/entities/13010" target="_blank" data-smartkarma-citation="entities:13010:1">Chuan Hup Holdings (CH SP)</a>, which holds 76.7% in PCI, has given an irrevocable undertaking to vote its stake in favour of the scheme resolution, and to reject or vote against any competing offers. PCI's executive chairman, Peh Kwee Chim, is Chuan Hup's majority owner. 
The price presents a ~18% premium to the last close, but a 49% premium to the "undisturbed" price back in early September and a 60% premium over the 12-month VWAP. The Offer values PCI at US$195mn.
With the 75%-for scheme condition satisfied and a lifetime-high takeover price, this is a done deal, and is duly reflected in the gross/annualised spread of 2.3%/6.8%, assuming mid-May completion.

After gaining 22.5% over seven trading days back in mid-September, Pci Ltd (PCI SP) responded to an SGX query over this price action that "it has been approached by a third party in connection with a potential transaction in relation to the securities of the Company. The discussions are on-going ...".
All was revealed on 4th January 2019, when PCI announced that Pagani Holding  (a SPV indirectly owned by Platinum Equity Advisors) had made a S$1.33/share cash offer for the company by way of a scheme.
Chuan Hup Holdings (CH SP), which holds 76.7% in PCI, has given an irrevocable undertaking to vote its stake in favour of the scheme resolution, and to reject or vote against any competing offers. PCI's executive chairman, Peh Kwee Chim, is Chuan Hup's majority owner. 
The price presents a ~18% premium to the last close, but a 49% premium to the "undisturbed" price back in early September and a 60% premium over the 12-month VWAP. The Offer values PCI at US$195mn.
With the 75%-for scheme condition satisfied and a lifetime-high takeover price, this is a done deal, and is duly reflected in the gross/annualised spread of 2.3%/6.8%, assuming mid-May completion.

PCI Ltd

PCI Ltd - All Over Before It Starts