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

Quiddity Advisors

Event-Driven

Management’s surprise buyback <a href="http://www.hkexnews.hk/listedco/listconews/SEHK/2017/0124/LTN20170124395.pdf" target="_blank">announcement </a>at $30.50 (in the form of Partial Offer) comes just two and a half months after <a href="http://www.hkexnews.hk/listedco/listconews/SEHK/2016/1011/LTN20161011821.pdf" target="_blank">completing</a> the issuance of US$500mn in <a href="http://www.hkexnews.hk/listedco/listconews/SEHK/2016/0929/LTN201609291053.pdf" target="_blank">notes</a> (for the expansion of its digital new media business et al) and one and half months after a <a href="http://www.hkexnews.hk/listedco/listconews/SEHK/2016/1207/LTN20161207451.pdf" target="_blank">profit warning</a>; the latter of which precipitated a share price fall below $27.The major shareholders (and key management) won’t participate in the buyback, nicely elevating their stake in the company to 43.66% from 29.90% provided independent shareholder approval is secured and the buyback is successful.The buyback will chew through the notes plus HK$300mn of the cash on hand, sending the company into net debt for the first time since, well, never. A key attraction to TVB is its yield (around 9%), which is likely to be subject to scrutiny after the buyback. It is to note that two key independent shareholders, holding 23.2% of issued shares (and 33.1% of the independent shareholders) have in-prices estimated to be well in excess of the offer price; and collectively could disrupt the approval process.A swag of moving parts here – more below the fold.

Management’s surprise buyback announcement at $30.50 (in the form of Partial Offer) comes just two and a half months after completing the issuance of US$500mn in notes (for the expansion of its digital new media business et al) and one and half months after a profit warning; the latter of which precipitated a share price fall below $27.The major shareholders (and key management) won’t participate in the buyback, nicely elevating their stake in the company to 43.66% from 29.90% provided independent shareholder approval is secured and the buyback is successful.The buyback will chew through the notes plus HK$300mn of the cash on hand, sending the company into net debt for the first time since, well, never. A key attraction to TVB is its yield (around 9%), which is likely to be subject to scrutiny after the buyback. It is to note that two key independent shareholders, holding 23.2% of issued shares (and 33.1% of the independent shareholders) have in-prices estimated to be well in excess of the offer price; and collectively could disrupt the approval process.A swag of moving parts here – more below the fold.

Television Broadcasts

TVB - Channel Vision