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.

Unipol Gruppo/UnipolSai: Squeeze-Out and Spread

Event-Driven

<ul>
<li>
<a href="https://www.smartkarma.com/entities/unipol-gruppo-s-p-a" target="_blank" data-smartkarma-citation="entities:21235:1" rel="noopener">Unipol Gruppo S.p.A (UNI IM)</a> offers €2.7/share to buy out <a href="https://www.smartkarma.com/entities/unipolsai-spa" target="_blank" data-smartkarma-citation="entities:21236:1" rel="noopener">UnipolSai SpA (US IM)</a>, for an implied €7.64 billion equity value, 12.6% premium, in an awaited move to simplify the group's structure.</li>
<li>If taken in full, would be worth €1,126.9 million. The share alternative is 3 UNI MI x 10 US IM, and does not account for the huge discount/NAV of Unipol.</li>
<li>Gross spread is: 1.63%/21.5% (cash/share alternative respectively). Annualised return of cash offer is 7.51%. I would expect the share alternative to progressively close the discount.</li>
</ul>



Unipol Gruppo S.p.A (UNI IM) offers €2.7/share to buy out UnipolSai SpA (US IM), for an implied €7.64 billion equity value, 12.6% premium, in an awaited move to simplify the group's structure.
If taken in full, would be worth €1,126.9 million. The share alternative is 3 UNI MI x 10 US IM, and does not account for the huge discount/NAV of Unipol.
Gross spread is: 1.63%/21.5% (cash/share alternative respectively). Annualised return of cash offer is 7.51%. I would expect the share alternative to progressively close the discount.


Unipol Gruppo/UnipolSai: Take the Stock Instead