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

Woolworths/Endeavour: Taking A Bet On Alcohol & Gaming

Quiddity Advisors

Event-Driven

<a href="https://www.smartkarma.com/entities/woolworths-ltd" target="_blank" data-smartkarma-citation="entities:500:1" rel="noopener">Woolworths Ltd (WOW AU)</a> yesterday <a href="https://www.woolworthsgroup.com.au/content/Document/ASX%20announcements/2021/F21%20Profit%20Announcement.pdf" target="_blank" rel="noopener">announced</a> earnings to June 2021 with revenues up 5.7%yoy (e-commerce now at 8.3% of the total and up 58% on the year), EBIT +13.7%, and NPAT +22.9% to A$1.972bn for the year. The final dividend was announced at 55 cents, up 14.6% on the year for a full-year dividend of 108cts (+14.9%) after EPS from continuing operations was 119.1cts (+20.7%yoy) and EPS from continuing operations after one-offs was 127.1cts (+73%). In addition to a high payout ratio, the company also <a href="https://www.woolworthsgroup.com.au/content/Document/ASX%20announcements/2021/210826%20Woolworths%20Group%20Buy-Back%20-%20Announcement_Booklet_Flyer.pdf" target="_blank" rel="noopener">announced</a> a A$2bn Off-Market Buyback (OMB). This was not unexpected. Like the previous off-market buyback executed in May 2019, this OMB has a two-tier approach, significantly favouring small investors.

Woolworths Ltd (WOW AU) yesterday announced earnings to June 2021 with revenues up 5.7%yoy (e-commerce now at 8.3% of the total and up 58% on the year), EBIT +13.7%, and NPAT +22.9% to A$1.972bn for the year. The final dividend was announced at 55 cents, up 14.6% on the year for a full-year dividend of 108cts (+14.9%) after EPS from continuing operations was 119.1cts (+20.7%yoy) and EPS from continuing operations after one-offs was 127.1cts (+73%). In addition to a high payout ratio, the company also announced a A$2bn Off-Market Buyback (OMB). This was not unexpected. Like the previous off-market buyback executed in May 2019, this OMB has a two-tier approach, significantly favouring small investors. 

Woolies (WOW AU) Announces ~4.4% Off-Market Buyback