China Shengmu (1432): China Modern Dairy's Offer Is (Shortly) Unconditional

• China Modern Dairy (1117 HK) (CMD)’s 30th October 2025 SPA dovetailed into a conditional MGO for China Shengmu Organic Milk (1432 HK) (CSM). That Offer is now effectively unconditional.

• According to CCASS, CMD controls ~71.2% - at least. The first close is the 21st July. The MGO may be declared unconditional today.

• CMD intends to maintain CSM’s listing. This Offer will likely close on the 4th August.

China Shengmu Organic Milk (1432 HK) (CSM) is pretty illiquid. Look away now if this is not your bag.

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The Trade:

• Trading at a 2.9% gross spread.

• This is done.

• If not already in for the arb, buy for the back-end as CSM takes control, IF you have a strong conviction on the back-end.