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

Toshiba – Possibility of a Kioxia-Western Digital Deal

Toshiba's 2020 AGM Investigative Report Is Damning

Toshiba Board in Disarray! Likely Need ANOTHER EGM

How Much of Toshiba Is Owned By "Activists"? The Answer

Gravity Works As WeWork Doesn't; Now Plan B

Quiddity Advisors

Event-Driven

<p><a href="https://www.smartkarma.com/entities/toshiba-corp" target="_blank" data-smartkarma-citation="entities:637:1" rel="noopener">Toshiba Corp (6502 JP)</a> announced results in mid-May along with a somewhat surprising plan to "return ¥150bn to shareholders", with method to be specified later - in early June. </p><p>On 7 June in the morning, Toshiba <a href="https://www.toshiba.co.jp/about/ir/en/news/20210607_1.pdf?_ga=2.28792570.77540220.1623036254-478027331.1623036254" target="_blank" rel="noopener">announced</a> how it would allocate that ¥150 billion.</p><div>
<ul style="list-style-type: disc;">
<li>Toshiba would pay a <a href="https://www.toshiba.co.jp/about/ir/en/news/20210607_2.pdf?_ga=2.28905850.77540220.1623036254-478027331.1623036254" target="_blank" rel="noopener">¥50 billion dividend</a> (¥110/share) to shareholders of record on 30 June 2021. Toshiba fell ¥125/share today (29 June) closing at ¥4765 as that dividend went ex-.</li>
<li>Toshiba would <a href="https://www.toshiba.co.jp/about/ir/en/news/20210607_1.pdf?_ga=2.28792570.77540220.1623036254-478027331.1623036254" target="_blank" rel="noopener">buy back</a> up to 27mm shares spending up to ¥100 billion in a buyback using ToSTNeT-3 and open-market buybacks, with the program lasting until the end of calendar 2021.</li>
</ul>
<p>Today after the close, Toshiba announced a buyback of up to ¥100 billion to be executed via ToSTNeT-3 tomorrow morning from 8:00-8:45 JST for up to 20,986,300 shares.</p>
<section class="figure"><section class="figure"><figure class="editor-figure mceNonEditable"><img src="https://static-prod.smartkarma.com/images/media/000/215/978/original/Screenshot+2021-06-29+at+5.31.02+PM.png?1624959123" class="editor-image img-responsive" data-smartkarma-image-id="215978"></figure><div style="text-align: center;" class="content-caption">source: Toshiba <a href="https://www.toshiba.co.jp/about/ir/jp/news/20210629_1.pdf" target="_blank" rel="noopener">announcement</a> (Japanese)</div></section><p>This is not dissimilar to the explanation provided in the third ToSTNeT-3 transaction Toshiba conducted in Q4 2018. This one, is however, quite a bit smaller than that one was. </p>
<p>It is worth thinking about here. While Toshiba may not intend this to be a prisoner's dilemma situation, it resembles one. </p>
<p>That deserves more explanation and discussion, below.</p></section><p></p>
</div>

Toshiba Corp (6502 JP) announced results in mid-May along with a somewhat surprising plan to "return ¥150bn to shareholders", with method to be specified later - in early June. On 7 June in the morning, Toshiba announced how it would allocate that ¥150 billion.

Toshiba would pay a ¥50 billion dividend (¥110/share) to shareholders of record on 30 June 2021. Toshiba fell ¥125/share today (29 June) closing at ¥4765 as that dividend went ex-.
Toshiba would buy back up to 27mm shares spending up to ¥100 billion in a buyback using ToSTNeT-3 and open-market buybacks, with the program lasting until the end of calendar 2021.

Today after the close, Toshiba announced a buyback of up to ¥100 billion to be executed via ToSTNeT-3 tomorrow morning from 8:00-8:45 JST for up to 20,986,300 shares.
source: Toshiba announcement (Japanese)This is not dissimilar to the explanation provided in the third ToSTNeT-3 transaction Toshiba conducted in Q4 2018. This one, is however, quite a bit smaller than that one was. 
It is worth thinking about here. While Toshiba may not intend this to be a prisoner's dilemma situation, it resembles one. 
That deserves more explanation and discussion, below.


Toshiba ToSTNeT-3 Buyback For All The Marbles, and 🐓s