Investment Pitches

Pitch Summary:
MPLX LP offers a distribution yield of 7.83% and is rated a Buy by analysts, making it an attractive option for income investors seeking growth and stability.

BSD Analysis:
MPLX LP is a prominent player in the MLP sector, known for its strong distribution yield and growth potential. The company's focus on crude oil and natural gas transportation and storage provides a stable revenue base, while its classification of distributions as mostly return of capital offers tax benefits. Analysts' positive ratings and the company's impressive price increase over the past five years highlight its potential for continued success. MPLX LP is an ideal choice for income-focused investors seeking a combination of high yield and capital appreciation.

Pitch Summary:
Enterprise Products Partners L.P. offers a distribution yield of 6.89% with a history of growth, making it a reliable choice for income investors seeking stability and capital appreciation.

BSD Analysis:
Enterprise Products Partners L.P. is a top choice in the MLP sector due to its consistent distribution growth and strong market position. The company's focus on natural gas and crude oil transportation and storage provides a stable revenue stream, while its classification of distributions as mostly return of capital offers tax advantages. Analysts' positive outlook and the company's track record of capital appreciation further enhance its appeal as a core holding for income-focused investors seeking long-term growth and stability.

Pitch Summary:
PIMCO Dynamic Income Opportunities Fund offers a monthly distribution yield of 10.82%, leveraging PIMCO's expertise in bond trading to provide high income potential.

BSD Analysis:
PIMCO Dynamic Income Opportunities Fund stands out due to its dynamic asset allocation strategy, which allows it to adapt to changing market conditions. The fund's monthly distribution yield of 10.82% is a testament to its focus on generating current income. PIMCO's reputation as a pioneer in bond trading underpins the fund's credibility and effectiveness in delivering returns. The fund's reinvestment incentive, offering a 5% discount on reinvested dividends, further enhances its appeal to income-focused investors seeking to maximize returns.

Pitch Summary:
Ares Dynamic Credit Allocation Fund, Inc. offers a monthly dividend yield of 9.81% and a 5-year total return of 72%, making it a leading choice among bond funds.

BSD Analysis:
Ares Dynamic Credit Allocation Fund, Inc. is managed by a leading alternative asset management company, providing a diversified portfolio of loans, bonds, and CLOs. Its monthly dividend yield of 9.81% offers a stable income stream for investors, while its 5-year total return of 72% demonstrates its effectiveness in generating returns. The fund's strategic allocation across various credit instruments enhances its risk-adjusted performance, making it a compelling option for income-focused investors seeking diversification within the bond fund sector.

Pitch Summary:
Kayne Anderson BDC, Inc. is gaining preference among analysts due to its low leverage and high yield of 11.79%, making it an attractive option in the BDC sector.

BSD Analysis:
Kayne Anderson BDC, Inc. distinguishes itself with the least leveraged balance sheet in the sector, offering a quarterly distribution yield of 11.79%. Its conservative financial structure appeals to investors seeking lower risk exposure while maintaining high income potential. The company's relatively new presence in the market is offset by its strategic focus on first lien investments, which enhances its risk-adjusted returns. Analysts' growing preference for Kayne Anderson BDC underscores its potential as a compelling choice for income-seeking investors.

Pitch Summary:
FIDUS Investment offers a high dividend yield of 11.35% and has achieved a 10-year total return of 315%, making it a standout performer in the BDC sector.

BSD Analysis:
FIDUS Investment occupies a unique leadership position within the BDC space, often overlooked due to its lesser-known status. Its impressive 10-year total return of 315% highlights its effectiveness in generating substantial returns for investors. The company's expertise in the sector and high dividend yield make it an attractive option for income-focused investors. Despite its lower profile, FIDUS Investment's strong performance and leadership in the BDC space suggest significant potential for continued success.

Pitch Summary:
Ares Capital Corp. is a core holding for income portfolios due to its conservative lending standards and lower risk profile, offering a quarterly dividend yield of 9.76% and a 10-year total return of 229%.

BSD Analysis:
Ares Capital Corp. stands out in the BDC sector due to its conservative approach, which results in a lower risk profile compared to peers. This makes it a reliable choice for income-focused investors seeking stability and consistent returns. The company's large scale and established reputation further enhance its appeal as a core holding. Despite offering a lower yield than some competitors, its conservative lending practices mitigate risk, making it a prudent choice for long-term income generation.

Pitch Summary:
Vox Royalty Corp. is undervalued compared to its peers, with a significant growth potential due to its recent acquisition of an offtake portfolio, which is expected to substantially increase cash flow. The company's disciplined acquisition strategy and focus on Tier-1 jurisdictions provide a competitive advantage.

BSD Analysis:
Vox Royalty's recent acquisition of an offtake portfolio from Deterra Royalties for approximately $60 million is a transformative deal for the company. This acquisition includes 10 offtake and royalty assets across eight countries, providing significant operating leverage and potential for a 10x increase in operating cash flow year-over-year in Q1 2026. The company's strategic focus on high-margin royalties and disciplined acquisition approach positions it well for future growth. Additionally, the potential restart of assets like Koolyanobbing and the rebound in iron ore prices could further enhance revenue. Vox's proprietary database of royalties gives it a unique edge in identifying and acquiring undervalued assets.

Pitch Summary:
Pernod Ricard is currently undervalued, trading at a P/E of 12.83, the lowest since 2009. The investment thesis is that once mid single digit growth in revenue and earnings resumes, the stock will experience a P/E rerating back to its historical mean of 20 times earnings.

BSD Analysis:
Pernod Ricard's strategic international brands, which represent a significant portion of sales, provide strong visibility and growth potential. The company's ability to disclose detailed brand performance enhances investor confidence. Despite recent headwinds, the company's focus on its core brands and strategic divestment of underperforming segments, like the wine business, positions it well for future growth. The expected recovery in pricing and continued volume growth should drive a 25% increase in strategic international brand sales by 2030. With a projected 5% CAGR in overall sales, Pernod Ricard is poised to return to mid single digit growth, supporting the thesis of a P/E rerating.

Pitch Summary:
The investor has added Booking Holdings to their portfolio due to a recent 7.5% decline in the stock price, which presented a buying opportunity. The investor has been waiting for a price dip to increase their position in this major player in the travel industry.

BSD Analysis:
Booking Holdings is a dominant force in the online travel industry, benefiting from a strong brand portfolio and global reach. The recent decline in stock price, attributed to market fluctuations, has provided an attractive entry point for investors looking to capitalize on the company's long-term growth potential. The travel industry is poised for recovery and expansion post-pandemic, and Booking Holdings is well-positioned to capture increased demand. The investor's decision to increase their stake reflects confidence in the company's ability to leverage its market position and technological advancements to drive future growth. However, potential risks include economic downturns and competitive pressures from other travel service providers.

Pitch Summary:
GrainCorp rose 16% over the quarter, supported by the September 2025 ABARES crop forecast update, which reinforced confidence in record crop volumes and provided greater visibility into FY26 earnings. Forecasts now point to a 30 million tonne ECA winter crop, 29% above the 10-year average. We view this as a key earnings catalyst that underpins stronger momentum into FY26, particularly as GrainCorp no longer needs to pay out under its Crop Production Contract. The company’s expanded $75m buyback program (to March 2026) has seen ~$15m executed to date, and we anticipate scope for further capital management as the FY26 outlook firms up. In addition, the feasibility study by Ampol and its MOU partners Ampol and IFM Investors into development of a potential Sustainable Aviation Fuel supply chain gained support in September, with the announcement by the Australian government of a $1.1bn incentive programme to develop renewable fuels using locally sourced agricultural and waste feedstocks. While this potential biofuels project is longer dated, it could provide further upside and revenue diversification for GrainCorp.

BSD Analysis:
GrainCorp is an agricultural logistics and processing business hostage to weather and global grain flows. Earnings swing with harvest volumes, crush margins, and export demand. Infrastructure assets provide strategic value but not consistent returns. Cost control matters more than growth strategy. The bull case appears in strong crop years with favorable spreads. The bear case is drought, weak volumes, and margin compression. Capital returns are lumpy by nature. The market struggles to value cyclicality correctly. GrainCorp is a cycle trade, not a compounder.

Pitch Summary:
Ingenia Communities ended the quarter broadly flat. The company delivered a solid FY25 result in August, exceeding EPS guidance and trading up 4% on the day, though the stock later eased back. Our investment in Ingenia has been highly successful to date, generating an unlevered IRR for the Fund in excess of 20% as at 30 September 2025. The Board and management refresh that we have supported during the period of our shareholding is now delivering, with a clear strategy being executed on with greater focus on operating efficiencies and financial returns. We continue to see a strong outlook supported by demographic tailwinds, operating leverage, and a targeted 5-year settlements CAGR of 10-15%.

BSD Analysis:
Ingenia combines lifestyle communities with development upside, creating a higher-risk, higher-reward profile than pure operators. Execution quality determines whether development enhances or destroys returns. The demand backdrop is supportive, but funding costs matter enormously. Scale helps sourcing and marketing, but does not eliminate cyclicality. The company must balance growth ambition with balance-sheet realism. Any housing downturn hits sentiment quickly. The bull case is disciplined rollout and occupancy gains. The bear case is leverage plus timing risk. Ingenia is attractive only when capital discipline is visible.

Pitch Summary:
Lifestyle Communities (LIC) underperformed this quarter, down -18% following the negative outcome at the Victorian Civil and Administrative Tribunal (VCAT) in early July. In early September, LIC lodged an appeal with the Supreme Court of Victoria, with a decision expected to take 6–12 months. Despite near-term challenges, we remain constructive on the outlook, supported by: Supportive macro drivers underscored by ageing downsizers and persistent housing undersupply; A clear plan to de-lever the balance sheet below $360m by December 2025, supported by $114m of contracted non-core land sales due to settle over FY26, materially reducing equity raise risk; Signs of stabilisation in new home settlements, with 35 already completed and 162 contracted in FY26. While still below the historical >300 average, volumes appear to be recovering from the FY25 trough against the backdrop of a recovering Victorian property market; Optionality from a favourable (albeit uncertain) outcome on the VCAT appeal; and Valuation support, with LIC still trading at a discount to NAV/share (ex-deferred tax losses).

BSD Analysis:
Lifestyle Communities benefits from Australia’s aging population and demand for affordable retirement living. The land-lease model produces attractive returns when financing conditions cooperate. Revenue visibility is strong once communities stabilize. However, the business is highly sensitive to interest rates and housing liquidity. Development risk sits alongside operational cash flows. Political and regulatory scrutiny on retirement living is rising. The bull case is steady expansion with disciplined capital management. The bear case is stalled development and balance-sheet strain. Lifestyle is a housing play wearing a defensive costume.

Pitch Summary:
Baby Bunting was a strong contributor to portfolio performance during the quarter, up ~68% following the release of its FY25 results in August. The results continue to reinforce the turnaround strategy we have supported, with gross margin reaching 40.2%, ahead of the 40% target. While the share price has responded positively, we continue to see further upside. The refurbishment program is particularly encouraging, with the first three sites reporting average sales growth of ~28% vs the pcp and 10-15 more refurbishments targeted each year. Store rollout is also building momentum, with eight openings planned in FY26 (five large formats and three small format pilots). As the network expands and refurbished stores deliver stronger sales, we expect scale benefits to come through in the cost base, further supporting margin expansion. Gross margins should also continue to improve as renegotiated supplier agreements annualise, retail media grows, and the sales mix tilts further toward private label and exclusive products, particularly in the new formats. We believe the market is underestimating the compounding effect of these drivers and the operating leverage as the store network grows. We see a path for Baby Bunting to return to ~10% EBITDA margins, a step-change in earnings power from the current ~5% base and expect this to drive further value creation and a meaningful re-rate.

BSD Analysis:
Baby Bunting is a category specialist exposed directly to Australian birth rates and consumer confidence. Its niche positioning supports some pricing power, but volume trends dominate outcomes. The category is structurally slow-growing, making execution paramount. Inventory management mistakes are costly in discretionary retail. Competition from generalists and online players is persistent. The bull case is operational efficiency and share gains in a fragmented market. The bear case is demographic decline and margin compression. Expansion must be cautious to avoid dilution. Baby Bunting works only with disciplined retail execution.

Pitch Summary:
Lendlease finished the quarter up 2.3%. The FY25 result in August was in line with guidance and reinforced progress on the simplification plan we have encouraged management to pursue. The share price reaction on the day of the result (+6.7%) reflected improving confidence in the turnaround. We remain of the view that Lendlease is positioned for a re-rate: Further capital recycling ($2.5bn executed to date and further sales in advanced stages) enabling the $500m buyback (~13% of market cap); Replenishment of the Australian development pipeline ($25bn of opportunities identified for the next 12 months, $10bn targeted to convert); Growth in new investment mandates, with ~$4bn of new FUM already underway through its international platform, alongside the UK Crown Estate JV providing optionality over a further ~$24bn pipeline across build-to-rent, life sciences and sustainable office; and The stock continues to trade at a discount to NTA, with little recognition of the strength in its core Investments, Development and Construction businesses.

BSD Analysis:
Lendlease is a complex global developer exposed to construction risk, capital cycles, and execution variance. Its integrated model promises value capture across development, construction, and asset management—but complexity cuts both ways. Capital intensity is high, and balance-sheet discipline is critical. Project delays and cost overruns can quickly erase expected returns. The bull case relies on urban regeneration and infrastructure demand. The bear case is capital misallocation and weak returns on mega-projects. Investor trust has been eroded by past disappointments. Valuation reflects skepticism, not optimism. Lendlease is a prove-it-again story.

Pitch Summary:
If Jardines and its affiliates represent our “value” holdings in the Asian consumer space, our 2% position in Sea Limited sits at the “growth” end of the spectrum. Founded by Singaporean entrepreneur Forrest Li, Sea has built three complementary businesses in video games (Garena), e-commerce (Shopee), and payments (Shopee Pay). Sea is not conventionally cheap, trading at higher multiples than our core holdings and with an intrinsic value that is harder to pin down. But we are comfortable paying up for the combination of market leadership in Southeast Asia, an exceptional founder/CEO, and a long runway for growth.

BSD Analysis:
Sea’s reset — cutting burn, focusing on profitability, and rationalizing growth — is working. Shopee remains Southeast Asia’s dominant e-commerce platform, and margins have improved dramatically. Garena is stabilizing, not collapsing, and SeaMoney is becoming a legitimate fintech franchise. Investors overreacted to the post-COVID hangover, creating a valuation gap. Execution risk remains, but the company now behaves like an actual business, not a land-grab machine. SE’s ecosystem scale is still unmatched regionally. A recovered growth story that the market hasn’t fully forgiven.

Pitch Summary:
In Indonesia, Jardines has a significant stake in Astra International, the country’s largest conglomerate exposed to two key economic drivers, namely, domestic consumption and mining. Through its long-standing joint venture with Honda, Astra accounts for roughly 75% of domestic motorcycle sales, while its partnerships with Toyota and Daihatsu give it close to half the local passenger car market. These businesses are supported by captive financing arms that underwrite a majority of purchases, embedding Astra deeply into Indonesian household spending patterns. The result is a formidable and resilient franchise that captures both the affordability of bikes and the aspirational demand for cars as Indonesia’s middle class expands. In its mining business, Astra generates stable cash flows from its heavy equipment dealership and maintenance operations as Komatsu’s local partner, as well as from contracting services to local coal mine owners. At the same time, Astra also operates its own mines and is investing in gold and nickel assets to reduce its dependence on coal. … Astra International, for its part, is priced at just seven times earnings with an attractive 7% dividend yield, indicating the market’s pessimism about its future outlook.

BSD Analysis:
Astra is Indonesia’s industrial and consumer powerhouse, with dominant positions in autos, heavy equipment, financial services, and agribusiness. Earnings are diversified and resilient, benefiting from a growing middle class and infrastructure buildout. The company’s balance sheet is strong and governance relatively clean for a conglomerate. Despite this, the stock trades at a discount due to cyclical worries. Astra is structurally tied to one of the fastest-growing economies in Asia. This is EM quality hiding in plain sight. Stable, diversified, and consistently undervalued.

Pitch Summary:
A good place to begin the discussion is with Jardine Matheson or “Jardines”, which we have mentioned in previous commentaries. Founded nearly 200 years ago, Jardines is one of Asia’s most storied conglomerates, with roots tracing back to Hong Kong’s early days as a British colony. Still controlled by the founding Keswick family, now in its fifth generation, Jardines is best thought of as a capital allocator across a portfolio of market-leading businesses with exposure to consumers and local economies throughout Asia. Taken together, our International Equity Strategy holds a 4% position in the various Jardines group companies, which would make it the Strategy’s largest holding if it were a single company. Our enthusiasm is fuelled by strikingly low valuations across this basket of shares due to investor concerns about weak fundamentals in some segments and broader China-related fears. Jardine Matheson trades at roughly ten times earnings and offers a 5% dividend yield with a solid track record of mid-single digit growth.

BSD Analysis:
Jardine Matheson remains one of Asia’s most durable conglomerates, with marquee holdings in retail, real estate, autos, and infrastructure. Yet the market values it like a sluggish empire past its prime. Cash flows are stable, asset quality is high, and the balance sheet is conservative — classic value dislocation. The conglomerate discount is steep, but the underlying businesses remain resilient. Exposure to Southeast Asian consumption provides long-term tailwinds. Jardine won’t deliver fireworks, but it will deliver consistency. Under-owned, under-appreciated blue-chip.

Pitch Summary:
Five years ago CRISPR was a popular stock among growth-oriented investors, known for pioneering CRISPR gene-editing technology. However, the biotech sentiment implosion has been so profound that we can now buy CRISPR at a discount to just the cash on its balance sheet plus the value of its commercialised therapy, Casgevy, which is used to treat sickle-cell disease and transfusion-dependent β-thalassemia. Guided by scientist-CEO Dr Samarth Kulkarni, CRISPR Therapeutics became the first company to get a CRISPR-based therapy approved by regulators. Because every patient must clear eligibility screens, undergo stem-cell harvesting, and be treated at a steadily expanding network of specialised centres, uptake follows a measured, step-like curve, unlike conventional drugs that generate revenue almost immediately after approval. Our market assessment suggests Casgevy is a multibillion-dollar opportunity with a strong competitive position and no visible patent cliff. And partnering with Vertex gives Casgevy the commercial muscle it deserves while allowing CRISPR to remain research-focused. Despite this, the market’s expectations remain muted, constrained by the therapy’s unusual launch trajectory. That disconnect in share price is magnified by the company’s healthy balance sheet: management raised substantial capital when financing was readily accessible, enabling CRISPR to keep funding high-upside research while many peers are slashing budgets. For biotech investors, long-term returns hinge on two things: whether drug sales ultimately exceed market expectations, and whether each additional dollar of R&D earns an attractive return. Companies that succeed at both compound capital over time, while those that fail destroy it. That’s why our research emphasises two essentials—identifying underappreciated drugs and backing disciplined management teams with a proven ability to allocate capital. As summarised in the table below, the Orbis Global Equity Strategy currently owns four businesses we believe meet this high bar, each trading at undemanding valuations that offer limited downside and meaningful upside.

BSD Analysis:
CRISPR Therapeutics has crossed the threshold from science project to commercial gene-editing company with exa-cel approval validating platform credibility. The next chapters — in vivo editing and allogeneic oncology — are where the real optionality lies. Volatility will remain intense, but the company’s cash runway and partnerships provide stability. Bears point to competition and slow adoption, but the TAM for gene editing is enormous. CRSP now needs operational discipline, not scientific miracles. If execution catches up to innovation, upside is substantial. A defining platform with category-shaping potential.

Pitch Summary:
The newest addition to our biotech holdings, Insmed, has achieved a major milestone with the recent FDA approval of brensocatib (brand name: BRINSUPRI) for bronchiectasis—with a clean label and strong pricing. This marks the first approved therapeutic option for patients with this chronic lung disease, whose quality-of-life burden is comparable to that of chronic obstructive pulmonary disease. We anticipate a rapid adoption curve that should push the company toward sustained profitability. The attraction, however, goes well beyond a single drug. The second pipeline asset, TPIP, has now achieved key clinical validation in pulmonary arterial hypertension as well as idiopathic pulmonary fibrosis, reinforcing its potential as a transformative therapy for patients suffering from deadly lung diseases. Combined with its already approved ARIKAYCE for Mycobacterium avium complex lung disease, the launch of brensocatib and the progress of TPIP are helping Insmed build a powerful respiratory disease franchise—a disease-focused strategy that has proven lucrative for other biotech leaders. Despite a recent rally following BRINSUPRI approval and TPIP clinical readouts, shares remain well below our estimate of their intrinsic value, leaving substantial room for multi-year appreciation. Insmed is led by its long-time CEO Will Lewis, who took the helm when the company’s market capitalisation was under $100 million (now $30 billion). During his tenure, the company has created significant shareholder value through disciplined R&D bets. A continuation of this strategy should lead to further value creation that the market is not pricing into the shares.

BSD Analysis:
Insmed’s brensocatib sets up one of biotech’s biggest potential catalysts, attacking a massive unmet need in bronchiectasis with credible early data. The TAM is huge, and commercial ramp could be explosive if Phase 3 hits. Cash burn is high, but that’s the price of swinging for real clinical impact. Bears fixate on dilution risk, but the upside dwarfs the financing concerns. Insmed has a diversified pipeline providing multiple shots on goal. The stock trades with heavy skepticism — ideal for a catalyst-driven name. High conviction, high volatility, real upside.