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

SOHO China (410 HK): Known Knowns As Spread Widens

SOHO China Suspended Ahead Of Possible Blackstone Bid

Quiddity Advisors

Event-Driven

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<p>Back on the 10 March 2020, PRC commercial property-play <a href="https://www.smartkarma.com/entities/soho-china-ltd" target="_blank" data-smartkarma-citation="entities:4123:1" rel="noopener">Soho China Ltd (410 HK)</a> <a href="https://www1.hkexnews.hk/listedco/listconews/sehk/2020/0310/2020031000240.pdf" target="_blank" rel="noopener">announced</a> its shares had been suspended pursuant to the Hong Kong Code on Takeovers and Mergers. Shares gained 47.58% prior to the suspension.</p>
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<p>Various media sources suggested Blackstone Group was seeking to take the company private at a rumoured price of $6/share, a ~100% premium to the undisturbed price of $2.98.</p>
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<p>SOHO subsequently <a href="https://www1.hkexnews.hk/listedco/listconews/sehk/2020/0311/2020031100644.pdf" target="_blank" rel="noopener">clarified</a> it had been in "<em>discussions with overseas financial investors to explore the possibility of a strategic partnership ... which may or may not lead to a general offer", </em>but stopped short of mentioning the name of the suitor(s).</p>
<p>Then nothing. After a handful of monthly updates pursuant to the Takeovers Code, stating there <em>were</em> no updates, SOHO <a href="https://www1.hkexnews.hk/listedco/listconews/sehk/2020/0813/2020081301248.pdf" target="_blank" rel="noopener">announced</a> on the 13 August that the  "<em>Board wishes to update the shareholders and potential investors of the Company that in relation to the Potential Transaction referred to in the announcement of 11 March 2020, all previous discussions with various investors have now been terminated and have not at this time resulted in the terms for a Potential Transaction being agreed</em>."</p>
<h3>The New News</h3>
<p>SOHO <a href="https://www1.hkexnews.hk/listedco/listconews/sehk/2021/0615/2021061500114.pdf" target="_blank" rel="noopener">announced</a> this morning its shares had been suspended pursuant to the Hong Kong Code on Takeovers and Mergers. And just to be consistent, shares gained 27% in the last two days of trading leading into the suspension.</p>
<p>SOHO remains 63.93% held by founder Pan Shiyi and his wife Zhang Xin.</p>
<p>Blackstone kicking tyres again?</p>
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<p>As always, there is more below the fold.</p>
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Back on the 10 March 2020, PRC commercial property-play Soho China Ltd (410 HK) announced its shares had been suspended pursuant to the Hong Kong Code on Takeovers and Mergers. Shares gained 47.58% prior to the suspension.


Various media sources suggested Blackstone Group was seeking to take the company private at a rumoured price of $6/share, a ~100% premium to the undisturbed price of $2.98.


SOHO subsequently clarified it had been in "discussions with overseas financial investors to explore the possibility of a strategic partnership ... which may or may not lead to a general offer", but stopped short of mentioning the name of the suitor(s).
Then nothing. After a handful of monthly updates pursuant to the Takeovers Code, stating there were no updates, SOHO announced on the 13 August that the  "Board wishes to update the shareholders and potential investors of the Company that in relation to the Potential Transaction referred to in the announcement of 11 March 2020, all previous discussions with various investors have now been terminated and have not at this time resulted in the terms for a Potential Transaction being agreed."
The New News
SOHO announced this morning its shares had been suspended pursuant to the Hong Kong Code on Takeovers and Mergers. And just to be consistent, shares gained 27% in the last two days of trading leading into the suspension.
SOHO remains 63.93% held by founder Pan Shiyi and his wife Zhang Xin.
Blackstone kicking tyres again?


As always, there is more below the fold.


Yuexiu Real Estate Investment Trust (405 HK)

SOHO China (410 HK) Suspended Pursuant To The Takeovers Code - Again