KEDM Lite Vol. 8

This week’s additions and highlights

1. SPIN-OFFS

• AnaptysBio (ANAB US). ANAB announced that it plans to explore separating its business into two independent, publicly traded companies in 2026.UPDATE (March 31, 2026) AnaptysBio approved the spin. First Tracks (TRAX) is expected to begin trading around April 6. The set-up here is interesting in that it will separate the royalty business from its clinical stage biotech unit. These two should have much different size, fundamentals and thus valuations. Royaltyco will hold and continue to manage the rights to the potential substantial Jemperli royalties from GSK and imsidolimab milestones and royalties from Vanda (VNDA). Could provide for an interesting trade.
• KBR, Inc. (KBR US). With the share price continuing to be under pressure it might be good to remind that KBR is still on track to separate its Mission Technology division in the second half of the year. KBR is reshaping itself from a low‑margin engineering contractor into a higher‑quality services and technology business with two relatively strong divisions. Mission Tech should benefit from strong demand for defense and space support services, including military logistics, training and cybersecurity. Splits with quite some differences between spinco and remainco are always interesting to keep an eye on.
• Aptiv (APTV US). Generally way too large for out taste, but this one could be interesting nonetheless. Aptiv is proceeding steadily with the preparations for the upcoming spin of its electrical distribution systems operations, planned for Q1 26. This business could be having quite some tailwinds given increasing content in cars. Aptiv did ok over the past year, but the overall valuation has come down big time over the past years ao on declining growth, end-market worries, tariff uncertainty and increasing leverage.UPDATE (March 31, 2026) A reminder that Aptiv’s electrical distribution systems divisions Versigent will soon start trading (record date was March 17). This is an interesting business with some competition from Chinese OEMs, though increasing protectionist measures create some barriers, as well as the quality of (parts of) the business. As with every spin, interesting to keep it assess, particularly given the current market volatility.

2. STRATEGIC ALTERNATIVES & REVIEWS

(Potential take-outs, asset sales, M&A, etc.)

• mySafety (SAFETYB SS). Small and Swedish insuranceco mySafety announced that it will be review strategic alternatives to maximize shareholder value (what else). Interesting as the press release was not in English (like all PRs), there is no coverage on the stock, growth is decent, profitability is moving in the right direction, and <7x EV/EBITDA.
• Aterian (ATN LN). Pico-cap miner (with very decent liquidity, given the size) Aterian reiterated that its strategic review is going well and that discussions with potential counterparties are constructive. Management repeated that it believes the share price is not reflecting the true value of its portfolio of consumer brands and is actively looking at ways to close that gap (ic sell the company). Interesting that the company also mentioned that it expects to provide another update by mid‑April; which would be a bit sooner than usual for their FY update. Hmm…