KEDM Lite Vol. 7

Actionable event-driven and special situations

We highlight and monitor actionable event-driven trades and special situations.

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Disclaimer. KEDM Lite is provided for informative purposes only. No due diligence has (yet) been performed on the names on this list. The list might change strongly on a regular basis. This overview does not constitute advice; always do your own due diligence. The list is dynamic; it continues to grow and change. If you have interesting additions to the list, feel free to contact us at info@kedm.com or on Twitter. For the full disclaimer, please go here.

This week’s additions and highlights

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1. SPIN-OFFS

• Addvalue Technologies (ADDV SP). Addvalue is exploring a range of options to maximise the value of its inter-satellite data relay (IDRS) system. A spin + US listing seems to be probable choice. US peers are trading at much higher valuations, potentially unlocking even US$200-300m according to some analysts - more than Addvalue’s market cap. Playing the hype, that is.

• Enviri (NVRI US). Enviri announced that it will evaluate ‘value creation alternatives’ including a sale or separation of the Clean Earth business as it seeks ‘to close the persistent gap between Enviri’s public market valuation and the company’s sum-of-the-parts value’. Little growth, quite some debt and large divestment (if not full sale) could make this one quite interesting. UPDATE (Nov. 24, 2025) While +100% since our first flag, Enviri continues to be interesting. The company signed a $3bn asset deal with Veolia to sell its Clean Earth business, and will spin the rest of the assets. Not bad for a $3bn EV company.

  UPDATE (March 24, 2026) Enviri is moving closer to spin off its Environmental and Rail businesses (to be called New Enviri), targeted for mid‑2026. The spin is expected to happen just before selling its Clean Earth unit to Veolia (see previous comments). New Enviri is expected to generate about $1.2bn revenues and $140m EBITDA with 2x net leverage. There’s room for earnings and cash‑flow improvement as end markets recover and legacy project contracts roll off. This remains an interesting case with solid upside and a very protected downside.

• Fronterra Energy (FEC CN). Fronterra will separate its Columbian infra business from the rest of the group. Another one which will create two companies with distinct operations (E&P and Infrastructure) and earnings profile; E&P with $336m operating ebitda, and Infra with $16m operating ebitda (and ‘$117m in adjusted infrastructure ebitda’). Spin to be completed in H1 26.

  UPDATE (March 24, 2026) Another big winner where quite some action remains. Frontera is closing in on divesting its Columbian assets, but now to Parex instead of GeoPark. The deal will rake in $525m + port over some debt ($310m) and prepayments ($80m). The plan now is to return $470m, or C$9.18 p/s. What remains (the infra business) generated roughly $80m in distributable cash flow in 2025. In other words, still interesting.

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2. STRATEGIC ALTERNATIVES & REVIEWS

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

• FMC Corporation (FMC US). FMC recently confirmed that there is tangible buyer interest. Management said during a conference that around five to ten parties are ‘interested in the process at difference levels in different manners’. A reminder that FMC launched a strategic review. Results remain very weak and 2026 has been guided to be another down year. The review includes a potential sale, though management said to prioritize debt reduction (targeting $1bn via asset sales and licensing), shoring up the legacy portfolio, and managing the post‑patent decline of Rynaxypyr. There are some bright spots (eg New Active Ingredients), but the market is not pricing much for recovery... which is where the opportunity comes from. FMC still has some decent assets. And overall the shares are just trading sideways.

• Delivery Hero (DHER GR). Delivery Hero is facing pressure from several major shareholders (ao Aspex, Broad Peak, PSquared) to launch a strategic review after years of share-price suffering. Investors basically want a sale or major divestment, the latter re its highly valuable Korean unit Baedal Minjok. This is not the first activist push, but the company has been very slow in showing (any) progress in streamlining loss-making operations. Expect more here. UPDATE (December 15, 2025) So it didn’t take long. DHER announced that it will review strategic alternatives to address the ‘current share price performance’. Basically what they’ll do is sell assets and/or go the Just Eat Takeaway way. At roughly similar multiples we would get ~35% upside.

  UPDATE (March 24, 2026) Delivery Hero is selling its Foodpanda business in Taiwan to Grab for $600m. Interesting given the size (compared to an almost $7bn EV) and the first sizable disposal since the shareholder letter in Q4 of last year. It also highlights value that wasn’t really reflected by the market.