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

After the close Thursday August 3rd, Japan trading house <a href="https://www.smartkarma.com/entities/18448" target="_blank" data-smartkarma-citation="entities:18448:1">Itochu Corp (8001 JP)</a> and its equity affiliate in the convenience store space <a href="https://www.smartkarma.com/entities/320" target="_blank" data-smartkarma-citation="entities:320:1">FamilyMart UNY Holdings Co Ltd (8028 JP)</a> announced a deal to purchase <a href="https://www.smartkarma.com/entities/9160" target="_blank" data-smartkarma-citation="entities:9160:1">Pocket Card Co Ltd (8519 JP)</a>.Itochu and Familymart announced they would launch a tender offer on Pocket Card with the agreement and joint action of current lead shareholder <a href="https://www.smartkarma.com/entities/217" target="_blank" data-smartkarma-citation="entities:217:1">Sumitomo Mitsui Financial Group (8316 JP)</a>. Currently, those three shareholders hold approximately 76.5% of the shares and 77.5% of voting rights of Pocket Card - SMFG has 35.51%, Itochu 27.00%, and Familymart 15.00% of voting rights. The companies will conduct a tender offer - expected to start in mid-November 2017 - which will result in Itochu owning 46% of Pocket Card, Familymart 34%, and SMFG 20%.The Tender Offer Price will be ¥1,072/share - a 48% premium to the last traded price of ¥724/share. It is also a 2% premium to the highest intraday price of the last ten years (¥1,050/share). The end-August dividend on Pocket Card has been cancelled. This deal is a done deal.There is no minimum, and no 'majority of minority' required to make this deal successful, and the result will be - regardless of whether anyone in the minority tenders or not - a two-step windup merger process where the result is a foregone conclusion (the three large shareholders joining to buy own this already own a super-majority).More below the fold for Smartkarma subscribers...

After the close Thursday August 3rd, Japan trading house Itochu Corp (8001 JP) and its equity affiliate in the convenience store space FamilyMart UNY Holdings Co Ltd (8028 JP) announced a deal to purchase Pocket Card Co Ltd (8519 JP).Itochu and Familymart announced they would launch a tender offer on Pocket Card with the agreement and joint action of current lead shareholder Sumitomo Mitsui Financial Group (8316 JP). Currently, those three shareholders hold approximately 76.5% of the shares and 77.5% of voting rights of Pocket Card - SMFG has 35.51%, Itochu 27.00%, and Familymart 15.00% of voting rights. The companies will conduct a tender offer - expected to start in mid-November 2017 - which will result in Itochu owning 46% of Pocket Card, Familymart 34%, and SMFG 20%.The Tender Offer Price will be ¥1,072/share - a 48% premium to the last traded price of ¥724/share. It is also a 2% premium to the highest intraday price of the last ten years (¥1,050/share). The end-August dividend on Pocket Card has been cancelled. This deal is a done deal.There is no minimum, and no 'majority of minority' required to make this deal successful, and the result will be - regardless of whether anyone in the minority tenders or not - a two-step windup merger process where the result is a foregone conclusion (the three large shareholders joining to buy own this already own a super-majority).More below the fold for Smartkarma subscribers...

Sumitomo Mitsui Financial Group (8316 JP)

Pocket Card (8519) - Major Holders To Shuffle Positions and Squeeze Out Minorities