Yixin Group Limited (SEHK:2858)

Situation overview On September 13th, 2019 Tencent made a non-binding "take-private" offer for Bitauto at US$16 per share/ADS. This deal looks to have a high probability of closing given Tencent already owns 7.8% of Bitauto and has secured votes from the largest shareholders adding a further 48.5% (JD.com, Li Bin, Cox). As Bitauto is incorporated … Continue reading Yixin Group Limited (SEHK:2858)

Connect Group plc (LSE:CNCT)

Connect Group plc Ticker:                         LSE:CNCT Price:                            30p Shares:                        247m      Market cap:         £74m   Net debt:                    £70m     EV:                           £145m   Core EBIT:                  £41m      EV/EBIT:                3.5X   Core FCF:                    £28m      FCF yield:              35%     Thesis Summary Connect Group is a classic GoodCo/BadCo. The GoodCo in this case is Smiths News, the … Continue reading Connect Group plc (LSE:CNCT)

The Local Shopping REIT – Part 2

Recap Last month I posted a short summary describing why I thought LSR represented an interesting short term, arbitrage bet. The short version was: LSR traded at a substantial discount to its NAV and the largest shareholder had announced they may make a bid for the remaining shares. At the time, the stock was trading around 27p … Continue reading The Local Shopping REIT – Part 2