Korea / Special Sits, Pairs, Index Rebalancing, Clepsydra Capital

Sanghyun Park

I investigate special situations, pairs, and index rebalancing trades in Korea.

Korea / Special Sits, Pairs, Index Rebalancing

Clepsydra Capital

Investigate special situations, pairs, and index rebalancing trades in Korea.

Event-Driven

<ul>
<li>Local market views Celltrion's shareholder survey as the start of the merger process, with a decision expected from the boards within two to three months if there’s no major opposition.</li>
<li>Under Korean law, if Celltrion Pharm's market cap is under one-tenth of Celltrion's, the merger can proceed as a small-scale merger, allowing Celltrion to avoid shareholder approval and appraisal rights.</li>
<li>We should leverage the merger's high predictability to proactively target merger swap and appraisal rights spreads and build a strategy in advance.</li>
</ul>


Local market views Celltrion's shareholder survey as the start of the merger process, with a decision expected from the boards within two to three months if there’s no major opposition.
Under Korean law, if Celltrion Pharm's market cap is under one-tenth of Celltrion's, the merger can proceed as a small-scale merger, allowing Celltrion to avoid shareholder approval and appraisal rights.
We should leverage the merger's high predictability to proactively target merger swap and appraisal rights spreads and build a strategy in advance.


Targeting Spreads by Leveraging the High Predictability of the Celltrion Merger