Group 1 - The London High Court ruled against UBS in a lawsuit related to losses incurred by Credit Suisse from the bankruptcy of Greensill Capital, involving an amount of $440 million [1] - The case was initially initiated by Credit Suisse following a state-supported rescue and acquisition in 2023, and later taken over by UBS [1] - The lawsuit focused on loans provided by Greensill to Katerra, a U.S. construction company backed by SoftBank [1] Group 2 - The judge, Miles, dismissed the case, stating that SoftBank acted in good faith believing the funds would be repaid to the noteholders [1] - Greensill's bankruptcy forced Credit Suisse to close a supply chain finance fund with a scale of approximately $10 billion, accelerating its operational deterioration [1]

Data Center Market & Investment - An investor group including Black Rock, Nvidia, XAI, and Microsoft has agreed to acquire Align data centers for approximately $40 billion [1] - The transaction is expected to close in the first half of 2026 [1] - Aligned operates and has planned capacity of more than 5 gigawatts across 50 data centers [1] - The compute buildout is described as 10 times the scale of the Manhattan Project, but is entirely privately funded [1] Economic Tailwinds - The compute buildout is considered a significant stimulus for the economy heading into 2026 [1] - Re-industrialization investment is massive, with trillions of dollars coming from the Middle East and $550 billion from Japan [1] - Deregulation and an M&A wave are expected to further boost the economy [1] AI & Compute Constraints - Compute capacity is expected to be constrained for the next several years, according to multiple industry leaders [2] - Continued investment along the compute spectrum is recommended [2] - Microsoft and SoftBank are seen as potential beneficiaries of the AI buildout, due to their investments in OpenAI [2][3][5]

SoftBank successfully defended itself in a trial against Credit Suisse over a restructuring agreement that left investors in the Swiss lender’s funds out of pocket by as much as $440 million https://t.co/nAoKaobGbH ...

Four of OpenAI’s six big deal announcements this year were followed by a total combined net gain of $1.7trn among the 49 big companies in Bloomberg’s broad AI index plus Intel, Samsung and SoftBank. However, the gains for most concealed losses for some https://t.co/2rI9vp3QIR ...

Tether, the crypto company behind the USDT stablecoin, has paid $299.5 million in a lawsuit settlement with the Celsius Network bankruptcy estate, the Blockchain Recovery Investment Consortium (BRIC) announced on Oct. 14. BRIC is a joint venture between GXD Labs and VanEck. Launched in 2017, Celsius was a crypto lending company headquartered in Hoboken, New Jersey. Users could deposit cryptocurrencies like Bitcoin and Ethereum to the platform to earn yields or take out loans by pledging their crypto assets ...

Group 1: Papa John's Takeover Bid - Papa John's shares rose nearly 10% after a report of a $64 per share takeover bid from Apollo Global, valuing the company at approximately $2 billion [1][2] - The stock continued to show positive movement, increasing by 3% in premarket trading [2] Group 2: Alzheimer's Diagnostic Test Approval - The U.S. FDA approved Elecsys pTau181, a blood-based biomarker test developed by Roche and Eli Lilly for initial assessment of Alzheimer's disease and cognitive decline [3][4] - This test measures phosphorylated Tau (pTau) 181 protein in human plasma, serving as a key biomarker for Alzheimer's pathology [3] - Elecsys pTau181 is noted to potentially reduce the need for more invasive and costly diagnostic procedures like PET and CSF testing [5] Group 3: PayPay's IPO Valuation - PayPay, Japan's leading QR code payment app, is expected to have a valuation exceeding $20 billion in its planned U.S. IPO, potentially occurring as early as December 2025 [5][6] - The valuation discussions suggest a floor of 2 trillion yen, with market sources indicating it could surpass 3 trillion yen [6] - PayPay's strong position in Japan's digital payments market and recent profitability in SoftBank's financial segment contribute to this optimistic outlook [7]

Group 1: Papa John's Takeover Bid - Papa John's shares rose nearly 10% after a report of a $64 per share takeover bid from Apollo Global, valuing the company at approximately $2 billion [1][2] - The stock continued to show positive movement, increasing by 3% in premarket trading [2] Group 2: Alzheimer's Diagnostic Test Approval - The U.S. FDA approved Elecsys pTau181, a blood-based biomarker test developed by Roche and Eli Lilly for initial assessment of Alzheimer's disease and cognitive decline [3][4] - This test measures phosphorylated Tau (pTau) 181 protein in human plasma, serving as a key biomarker for Alzheimer's pathology [3][4] - Elecsys pTau181 is noted to potentially reduce the need for more invasive and costly diagnostic procedures like PET and CSF testing [5] Group 3: PayPay's IPO Valuation - PayPay, Japan's leading QR code payment app, is expected to have a valuation exceeding $20 billion in its planned U.S. IPO, potentially occurring as early as December 2025 [5][6] - Investor discussions suggest a floor valuation of 2 trillion yen, with market sources indicating the final figure could surpass 3 trillion yen [6][7] - The optimism surrounding PayPay's valuation is attributed to its dominant position in Japan's digital payments market and recent profitability in SoftBank's financial segment [7]

Report Industry Investment Rating - Not provided in the given content Core Viewpoints - Due to the escalation of US-China tensions, the Asia IG space widened 3-7bps across the board yesterday, with better selling on certain bonds and better buying on others [2] - China's export resilience strengthens its position in the trade war, leading to a revision of the 2025 export growth forecast from 3% to 4.5%, while maintaining the 2025 import growth forecast at 1.5%. The USD/RMB rate may appreciate from 7.13 to 7.1 by year-end and 7.05 by the end of 2026 [4][15][20] - China Water Affairs (CWAHK) proposes to issue a 5NC3 USD senior blue bond, with the FV of the new CWAHK 30 estimated at 6% [8] Summary by Directory Trading Desk Comments - Asia IG space widened 3-7bps due to US-China tension, with better selling on TW lifers, China TMTs, Japanese banks' bonds, and Southeast Asian names. Some bonds like FAEACO 12.814 Perp and NWDEVLs/LIFUNGs/FOSUNI 26 - 29s decreased in price. In Chinese properties, VNKRLE 27 - 29s and FTLNHD 26/FUTLAN 28 were lower, while some SOE property names had better buying. In Southeast Asia, VLLPM 27 - 29s edged up, and VEDLN 28 - 33s/GLPSPs were down. Long - end Yankee AT1s weakened in the morning and recovered slightly [2] - In the LGFV space, activities picked up with new CNH issues, and the space had a stable session with moderate two - way flows [3] - This morning, there were two - way flows on LGFV names. HAOHUAs recovered 3 - 5bps and HYUELEs recovered 5bps in Asia IG space, while NOMURA and Australian long - end Ts2 widened 2 - 3bps. CWAHK 26 had buyers and was 0.1pt higher [4] Marco News Recap - On Monday, S&P (+1.56%), Dow (+1.29%), and Nasdaq (+2.21%) were higher. The US bond market was closed for Columbus Day, and the UST yield was unchanged, with 2/5/10/30 yield at 3.52%/3.65%/4.05%/4.63% [7] Desk Analyst Comments - CWAHK proposes to issue a 5NC3 USD senior blue bond (Ba1/BB+/-), with the FV of the new CWAHK 30 at 6% considering its CWAHK 26 and peers' valuations, adjusted for rating and tenor differential. The issuance size should be capped at its remaining offshore - issuance quota of USD200mn [8] - The net proceeds will be used to repay offshore debt and finance eligible green projects. The new CWAHK 30 will have a CoC put at 101 [10] - CWAHK is a holding company operating mainly through PRC subsidiaries. The new CWAHK 30 will be guaranteed by non - PRC - incorporated subsidiary guarantors [11] - CWAHK is one of the largest water supply companies in China, focusing on water supply and sewage treatment, generating stable cash flow from exclusive concession rights in 58 districts. It serves various end - users with potential coverage of over 30mn people [12] - In FY25, CWAHK generated HKD11.7bn of revenue and HKD3.4bn of operating cash flow, with an estimated free cash flow of HKD40mn. Total debt was HKD25.6bn, and its operating performance weakened, with revenue and EBIT down c9%. Coverage ratios also weakened [13] - CWAHK is listed in Hong Kong, with the chairman and founder owning 27.4%, ORIX Corp and affiliates holding 27.2%, and Great Wall Life Insurance holding 6.0% [14] China Economy - China's export growth beat expectations as exports to Africa, Latin America, and the EU picked up. Exports of integrated circuits and ships remained robust, while personal consumption goods were subdued. Imports rebounded across the board, especially in processing trade. China's rare earth export control is a countermeasure to US semiconductor export restrictions. Trade tensions may intensify in the next two weeks before potentially easing after a possible Trump - Xi meeting [15] - Exports rebounded in September, reaching 8.3% YoY from 4.4% in August, beating market expectations. Exports to the US remained in deep contraction, while shipments to Africa, the EU, and Latin America accelerated. Exports to ASEAN moderated. Since the tariff shocks, exports to ASEAN and Africa have increased significantly, making up for over 120% of the export losses to the US since April. Trade surplus narrowed to US$91bn in September [16] - Integrated circuits and ships had strong growth in September, while personal consumption goods moderated. Low - value - added exports and housing - related products were hit by tariffs. Rare earth exports rebounded despite additional export controls [17] - China's imports increased to 7.4% in September from 1.3% in August, beating market expectations. Imports from the US steadied at - 16%. Import value of processing trade accelerated. For energy products, crude oil import volume rose, while coal and natural gas dropped. Raw material imports had mixed results, and crop imports picked up [18] Offshore Asia New Issues - No offshore Asia new issues were priced today [22] - There are several issuers in the pipeline, including the Macau Branch of Bank of China Limited, Jinan Hi - tech International, and KEB Hana Bank, with different tenors, coupons, and issue ratings [23] News and Market Color - Yesterday, 118 credit bonds were issued onshore with an amount of RMB138bn. Month - to - date, 191 credit bonds were issued with a total amount of RMB212bn, a 19.7% yoy increase [24] - Indonesia plans to shorten the permit process for geothermal projects to three months [24] - Country Garden's top shareholder agrees to a USD1.14bn debt - to - equity swap and will hold scheme meetings on 5 Nov'25 for creditors to vote on its offshore restructuring plan [24] - Freeport Indonesia halts the Gresik smelter due to a mine landslide [24] - China Energy Overseas will redeem GEZHOU 4.15 Perp of USD200mn on 25 Nov'25 [24] - LG Electronics expects a 8.4% yoy drop in 3Q25 operating profit due to higher tariffs [24]

Group 1 - PayPay, a Japanese payment application operator, plans to conduct an IPO in the US as early as December, with a potential valuation exceeding 3 trillion yen (approximately 20 billion USD) [1] - SoftBank has been meeting with institutional investors since mid-September to discuss PayPay's potential valuation, with a general consensus around a baseline of 2 trillion yen, but some believe it could surpass 3 trillion yen [1] - The current valuation is primarily based on PayPay's expansion performance in Japan, while investor opinions on its overseas expansion prospects vary, which could be a key factor for a higher valuation [1] Group 2 - PayPay is a leader in Japan's QR code payment market and has been instrumental in shifting Japanese consumers from cash to cashless payments, with cashless payment rates exceeding 40% in Japan, compared to over 80% in South Korea and China [2] - The financial segment, which includes PayPay, reported an operating profit of 18.1 billion yen for the April to June quarter, more than doubling year-on-year, indicating structural profit improvement and future growth potential [2] - PayPay is also strengthening its cryptocurrency business, having acquired a 40% stake in Binance's Japanese operations and planning to launch new cryptocurrency services [2]

Core Insights - ABB is selling its robotics business to SoftBank for approximately $5.4 billion, marking a strategic shift for ABB [1][2] - SoftBank aims to integrate ABB Robotics into its vision of advancing Artificial Super Intelligence (ASI) and robotics [1] - ABB's chairman stated that the divestment will create immediate value for shareholders while the company's long-term strategy remains unchanged [2] Group 1: Company Strategy - The deal represents a shift in ABB's strategy, moving away from plans to spin off its robotics division into a separate entity [2] - ABB will continue to focus on its leading positions in electrification and automation despite the divestment [2] Group 2: SoftBank's Vision - SoftBank's founder, Masayoshi Son, emphasized the importance of physical AI as the company's "next frontier" [1] - Son envisions ASI as a technology that could be 10,000 times smarter than any human genius, with a timeline of about ten years for its development [1]