European Event-Driven Analyst

Jesus Rodriguez Aguilar

Jesús is an Insight Provider (Event-driven) on the Smartkarma network, where he looks across sectors at opportunities arising from securities mispricing (both credit and equity), share classes, bid announcements, prospective bids, and special situations. He has served as Economic and Business Advisor at the Spanish Congress in Madrid. Prior to that, he has worked in the City of London: as a Credit Analyst at Bloomberg; Event-driven associate at former boutique European Research; and doubled as Special Situations and Equity-linked VP (convertible bonds) at Merrill Lynch. Jesús has an MBA from the London Business School, a BA (Hons.) degree in Economics from the Complutense University in Madrid, and a BA (Hons.) in Law from U.N.E.D., also in Madrid.

Event-Driven

<ul>
<li>Capco agreed to acquire Shaftesbury in a stock swap reverse takeover transaction (<strong>1 SHB LN x 3.356 CAPC LN</strong>). Shaftesbury shareholders will own 53% while Capco shareholders will own 47%.</li>
<li>The market is not reacting positively to the deal. As per the exchange ratio, the deal implies a transfer of value from Shaftesbury to Capco, in my view.</li>
<li>The spread is trading at a 3.4% premium. Although the premium is tightening, I am still unsure many Shaftesbury shareholders would like to accept the offer in its current terms.</li>
</ul>


Capco agreed to acquire Shaftesbury in a stock swap reverse takeover transaction (1 SHB LN x 3.356 CAPC LN). Shaftesbury shareholders will own 53% while Capco shareholders will own 47%.
The market is not reacting positively to the deal. As per the exchange ratio, the deal implies a transfer of value from Shaftesbury to Capco, in my view.
The spread is trading at a 3.4% premium. Although the premium is tightening, I am still unsure many Shaftesbury shareholders would like to accept the offer in its current terms.


Shaftesbury PLC

Shaftesbury/Capco: Unattractive Spread