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

Purchasing the Publican 2: Greene King as Target

Quiddity Advisors

Event-Driven

On 18th July, TDR-owned UK pub company Stonegate and UK's largest pub company <a href="https://www.smartkarma.com/entities/enterprise-inns-plc" target="_blank" data-smartkarma-citation="entities:21924:1" rel="noopener">EI Group (EIG LN)</a>  <a href="https://secure.eigroupplc.com/recommended-offer/media/2-7-Announcement.pdf" target="_blank" rel="noopener">announced</a> that they have reached an agreement for Stonegate to acquire its larger rival EI Group at a cash consideration of 285 pence per EIG share, which translates to an Enterprise Value of £2.97bn and an equity value of £1.27bn. That equity value is the highest since before the GFC. 
The offer price translates to strong premiums of 38.5% and 37.7% to the pre-announcement closing price and the 6-month VWAP respectively. In addition to this, the offer price is also 26.8% higher than EIG's 10-year high of 224.8 pence which was achieved in May 2019. 
EIG's shareholders will see this as a favorable exit opportunity given the challenges the company has been facing due to the rising labor and operating costs, changing consumer dynamics and the negative impact of the revisions to the 'beer tie' rules in 2016. At the time of writing, EIG's shares are trading very close to terms. 
The deal is conditional on the receipt of approval from EIG's Shareholders (representing at least 75% of the votes cast at the GM), European Commission and/or CMA anti-trust clearances and regulatory clearances from the FCA. The Acquisition is expected to become effective in the first quarter of 2020.

On 18th July, TDR-owned UK pub company Stonegate and UK's largest pub company EI Group (EIG LN)  announced that they have reached an agreement for Stonegate to acquire its larger rival EI Group at a cash consideration of 285 pence per EIG share, which translates to an Enterprise Value of £2.97bn and an equity value of £1.27bn. That equity value is the highest since before the GFC. 
The offer price translates to strong premiums of 38.5% and 37.7% to the pre-announcement closing price and the 6-month VWAP respectively. In addition to this, the offer price is also 26.8% higher than EIG's 10-year high of 224.8 pence which was achieved in May 2019. 
EIG's shareholders will see this as a favorable exit opportunity given the challenges the company has been facing due to the rising labor and operating costs, changing consumer dynamics and the negative impact of the revisions to the 'beer tie' rules in 2016. At the time of writing, EIG's shares are trading very close to terms. 
The deal is conditional on the receipt of approval from EIG's Shareholders (representing at least 75% of the votes cast at the GM), European Commission and/or CMA anti-trust clearances and regulatory clearances from the FCA. The Acquisition is expected to become effective in the first quarter of 2020. 

Purchasing the Publican: EI Group as Target