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Conviction / Power and Physical Layer

DBRG

DigitalBridge Group Inc.

28

conviction · held at 5.0%

DigitalBridge agreed to be bought by SoftBank for $16.00 per share in cash, shareholders approved in April, and the deal is expected to close in the second half of this year. The shares already trade within a few cents of that price, so there is almost nothing left to gain and several regulatory approvals still outstanding.

What we judge

Conviction 28

The view on expected return from here, 0 to 100.

How essential it is 30

Whether the thesis could succeed without this company at all. This moves slowly, and only when the company's position genuinely changes.

What we measure

Facts from market data, not judgments.

Price $15.93
30-day move +1.0%
Position in 52-week range 100
From the 52-week high +0.0%
Average daily volume $51.8M
Weight in the book 5.0%
Since last rebalance +0.8%

Why it is in the fund

Thesis

NVIDIA's emphasis on connecting distributed data centers into 'large AI factories' drives demand for data center infrastructure and connectivity solutions

Standing judgment

At $15.92 against a $16.00 deal price, that is about 0.5% of gross upside for an indeterminate holding period. The pre deal 52-week low was $8.94, so the downside on a CFIUS or client consent failure is roughly forty times the upside. Nothing about this is a view on the thesis.

What changed, and why

Every move in this number carries the reason it moved. A score does not change without new evidence.

DateConvictionChange CauseEvidence
2026-08-05 28 -5 Cut below the broken threshold on forward return alone: the entire remaining upside is a gross spread of roughly half a percent to a fixed take private price, against a break scenario that halves the stock, and there is no fundamental exposure to the thesis left to hold. SoftBank agreed on 2025-12-29 to acquire DigitalBridge at $16.00 per share in cash, approved by stockholders on 2026-04-23, closing guided to the second half of 2026 with an outside date of 2027-03-29. Still outstanding are CFIUS, FERC, FCC, Monetary Authority of Singapore and UK FCA approvals plus
2026-08-05 33 flat first v3 judgment (v2 score was uninformative, see L-001): Forward return is a sub one percent merger spread against real deal break risk, which is a worse expected outcome than cash and has nothing to do with the fund's thesis. SoftBank Group agreed to acquire DigitalBridge for $4B, $16.00 per share cash (announced Dec 29 2025); stockholder approval Apr 23 2026 with ~96% of votes cast in favor on ~69% of shares outstanding; closing conditions include US antitrust, foreign investment and sectoral approvals plus consents rep
2026-08-05 33 -61 first v3 judgment (v2 score was uninformative, see L-001): Forward return is a sub one percent merger spread against real deal break risk, which is a worse expected outcome than cash and has nothing to do with the fund's thesis. SoftBank Group agreed to acquire DigitalBridge for $4B, $16.00 per share cash (announced Dec 29 2025); stockholder approval Apr 23 2026 with ~96% of votes cast in favor on ~69% of shares outstanding; closing conditions include US antitrust, foreign investment and sectoral approvals plus consents rep
2026-07-31 94 +5 migrated from v2 (cause not recorded) v2 `scores` row
2026-07-30 89 -3 migrated from v2 (cause not recorded) v2 `scores` row
2026-07-29 92 -2 migrated from v2 (cause not recorded) v2 `scores` row
2026-07-28 94 flat migrated from v2 (cause not recorded) v2 `scores` row
2026-07-27 94 +5 migrated from v2 (cause not recorded) v2 `scores` row
2026-07-26 89 -2 migrated from v2 (cause not recorded) v2 `scores` row
2026-07-25 91 +5 migrated from v2 (cause not recorded) v2 `scores` row
2026-07-24 86 flat migrated from v2 (cause not recorded) v2 `scores` row
2026-07-23 86 -4 migrated from v2 (cause not recorded) v2 `scores` row
2026-07-22 90 +2 migrated from v2 (cause not recorded) v2 `scores` row
2026-07-21 88 -4 migrated from v2 (cause not recorded) v2 `scores` row
2026-07-20 92 +7 migrated from v2 (cause not recorded) v2 `scores` row