3SOF

What a ride today!!      A lot of new players coming in.
I'll be tightening up as we move closer to the IPO.

Any thoughts on the time difference between markets (i.e. on IPO day: holding after the close in US when it opens in Tokyo?)
Thanks.

Everyone is focused on the short term results of the IPO, which is fine (and I think lucrative), but I recommend looking beyond the IPO (weeks and months, not years.

Take a look at IIJ itself...its products and services, its relationship to other corporations...look at the pan-Asia picture.

The recent run to its current Price may only be HALF of the story.
Regards,

Quote from: agatto2 on June 10, 2005, 12:23:43 PM
OK ,,, Please excuse me if this is a stupid question for all, but this (some of this) is new to me, and i would like to learn from others sucesses or failures. slc378 posted ( thank you for the research ) some compariable ipos in Japan.  If my math is correct??? They seem to open (compariable companies ) around 40 us dollars. Is that right?? But slc378 seemed to think that their is after that IPO, room for 100 to 150% growth, would that be in the us? I see where  that would happen on the jasdaq,  but  I dont understand why that would happen in the US. HELp  lol. Just on a little quest for wisdom. I think i would like to know how to buy ipo"s first offering in Japan, that is my next research project .    Tony

Hi Tony,
IIJ will be listed on TSE's Mothers, not Jasdaq.  I'm not sure I'd sign up to $40 but we can always hope.  If it we to reach that number, it would be after the IPO methinks.  

Once IIJ is open on Mothers, arbitrageurs process will "synchronize" the PPS between the markets -taking advantage of currency fluctuations, market timings, PPS spreads between the two markets.  High demand in one market could lead to cancellation of shares in another market (when they are sold) for repatriation of shares to the home market (when they are sold), and thus, a lower supply in one to satisfy higher demand in another (sorta like buying back shares)...the the arbitrage continues.

Maybe someone else has a simpler way to put it.
Regards,
s

Here's how I sleep at night. Unless I'm delusional...
IIJ announced their IPO PPS will correspond to the Nasdaq ADR price (See PR).

The ADR ratio is 2000:1 (2000 ADR = 1 Japanese share).
http://chinese-school.netfirms.com/abacus-stocks-Japan-ADRs.html

Take a look at the Tokyo IPO page and pick anyone of the Mother's Post IPO listings (pick one that has comparable, or even lesser fundamentals than IIJ (their data is in the Pre IPO section)).  There are others but this is a start
http://www.tokyoipo.com/top/en/index.php

Enter the POST IPO company name in the Tokyo Stock Market Page and look at current price and history on the open market.
http://www.tse.or.jp/english/index.shtml

All I can say now is do some math, currency conversion, and project even a conservative post IPO PPS increase.  At its current USD price it would be about 2mill Yen per share on the Tokyo market.  There are much lesser companies at 3mill Yen...and some higher.

Again, I think it's the story... I think we have a few buck to go for the IPO price to be set where they want it (leaving it room to go up the typical 100% - 150%).

I think the MM are staging it nicely...Maybe I'm crazy.

----
Where are my manners???  Hello everyone.  I seen David's name come up on a few other boards so I decided to sign-on for a while.  I like the civility, and the ideas/plays.  I'm usually a long-long, forensics of the story, fundamental analysis, research, research, research, analyze the technical jump in point kinda guy (sorry for that). But I'm looking to hone my skills more on the technical, short term plays.
Nice job David and Co.
Regards,