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

Don Quijote: Slower Growth, Better Stores

Donki Back with a Plan at Home and Overseas

Widespread Price Rises at Japanese Retail and Wholesale

Quiddity Advisors

Event-Driven

Pan Pacific International Holdings / Event-Driven

Pan Pacific International Holdings (7532 JP)

Today after the close, <a href="https://www.smartkarma.com/entities/pan-pacific-international-holdings-corporation" target="_blank" data-smartkarma-citation="entities:13475:1" rel="noopener">Pan Pacific International Holdings (7532 JP)</a> announced two things (in Japanese only).<ol>
<li>PPIH was <a href="https://ppih.co.jp/news/210906_2.pdf" target="_blank" rel="noopener">registering for a bond issuance</a> for up to ¥300bn, and</li>
<li>PPIH would <a href="https://ppih.co.jp/news/210906.pdf" target="_blank" rel="noopener">buy back</a> up to 38,054,300 shares tomorrow morning on ToSTNeT-3 before the open, for up to ¥80.94bn. </li>
</ol>The second states that FamilyMart, which bought just over 10% of the company in the market starting in 2019 after<ol style="list-style-type: lower-alpha;">
<li>selling the rest of its UNY business to PPIH, and</li>
<li>attempting to buy 20% of PPIH in a Partial Tender Offer, which was much discussed on Smartkarma (see <a href="https://www.smartkarma.com/insights/familymart-tender-offer-for-don-quijote-misses-the-mark-as-mr-partridge-stands-pat" target="_blank" rel="noopener">this insight</a> for the result of the Tender Offer to see the earlier ones in the stream)....       ....and missing because almost nobody would sell their shares to FamilyMart</li>
</ol>... will sell 38,054,300 shares into the buyback. The second statement is odd so merits a quick discussion. And there are opportunities for those who care.  As of Monday's close and consensus forecast Net Income to June 2022, PPIH's forward PER has hit a 20.x handle. That is good, but despite that, the market was not terribly supportive of last month's earnings/guidance release.<section class="figure"><figure class="editor-figure mceNonEditable"><img src="https://static-prod.smartkarma.com/images/media/000/228/188/original/Screenshot+2021-09-06+at+10.57.11+PM.png?1630940269" class="editor-image img-responsive" data-smartkarma-image-id="228188"></figure></section>As always, more below the fold.

Today after the close, Pan Pacific International Holdings (7532 JP) announced two things (in Japanese only).
PPIH was registering for a bond issuance for up to ¥300bn, and
PPIH would buy back up to 38,054,300 shares tomorrow morning on ToSTNeT-3 before the open, for up to ¥80.94bn. 
The second states that FamilyMart, which bought just over 10% of the company in the market starting in 2019 after
selling the rest of its UNY business to PPIH, and
attempting to buy 20% of PPIH in a Partial Tender Offer, which was much discussed on Smartkarma (see this insight for the result of the Tender Offer to see the earlier ones in the stream)....       ....and missing because almost nobody would sell their shares to FamilyMart
... will sell 38,054,300 shares into the buyback. The second statement is odd so merits a quick discussion. And there are opportunities for those who care.  As of Monday's close and consensus forecast Net Income to June 2022, PPIH's forward PER has hit a 20.x handle. That is good, but despite that, the market was not terribly supportive of last month's earnings/guidance release.As always, more below the fold. 

PPIH (7532 JP) ToSTNeT-3 Buyback - The Alliance Is Strong, so FamilyMart Is Selling Shares