Sunway Healthcare in Malaysia to Initiate Pre-Deal Discussions with Investors for $1 Billion IPO

Market Trends: Stock markets in Asia and Europe declined following a drop in Wall Street, with Nvidia's poor performance raising concerns about an AI bubble.

Sector Impact: Semiconductor stocks in Asia and Europe fell sharply, influenced by Nvidia's losses.

U.S. Economic Indicators: The U.S. dollar weakened after the delayed September nonfarm payrolls report, indicating potential economic concerns.

Cryptocurrency Performance: Bitcoin continued its downward trend, reflecting broader market instability.

Market Reaction: Asian semiconductor stocks fell sharply on Friday due to concerns over a potential artificial-intelligence bubble, following a decline in U.S. chip stocks.

Impact on Major Companies: Shares of Samsung Electronics and SK Hynix, the largest memory-chip manufacturers, dropped significantly, with declines of up to 10% in morning trading.

Overall Market Performance: The benchmark Kospi index also experienced a downturn, falling around 3% as a result of the negative sentiment in the semiconductor sector.

Loss of Previous Gains: The declines in stock prices for Samsung and SK Hynix erased most of the gains they had achieved the previous day.

Reverse Stock Splits Announcement: Tidal Financial Group and Defiance ETFs are implementing reverse stock splits for five leveraged ETFs, effective December 9, 2025, to reduce outstanding shares and increase share prices without affecting total investment value.

Details of the Splits: The reverse split ratios vary by fund, with reductions in outstanding shares ranging from 75% to 87.5%, and shareholders will automatically receive adjusted share balances without needing to take any action.

Fractional Shares and Tax Considerations: Shareholders may receive cash compensation for fractional shares resulting from the splits, which could have tax implications, prompting the need for consultation with tax advisors.

About Defiance ETFs and Tidal Financial Group: Defiance ETFs focuses on thematic and leveraged ETFs for innovative market exposure, while Tidal Financial Group offers comprehensive ETF solutions to help asset managers launch differentiated strategies.

IPO Plans: Malaysia’s Sunway Healthcare Group is preparing for an initial public offering (IPO) that could raise up to $1.0 billion, marking the largest IPO in the country in over a decade.

Investor Engagement: The company, along with its financial advisors, will begin pre-deal investor meetings early next month in anticipation of launching the IPO by the end of January.

Vietnam's Market Upgrade: Vietnam has been upgraded to secondary emerging market status by FTSE Russell, marking a significant milestone for the country's financial markets.

Impact on Investment: This reclassification is expected to attract billions of dollars in foreign investment, enhancing the depth and accessibility of Vietnam's capital markets.

U.S. Jobs Data: Investors are closely watching U.S. jobs data, as any signs of weakness could lead to expectations of interest-rate cuts in the near future.

Eurozone Inflation: Preliminary inflation data for September in the eurozone is set to be released, which will be a key focus for European markets.

Asia's Economic Indicators: Attention in Asia will be on China's manufacturing activity for September and Japan's tankan survey of large manufacturers.

Central Bank Decisions: Central bank decisions in Australia and India are also expected to be significant in shaping market sentiment.