Rare Small-Cap Arbitrage
A Simple Way to Make €250 guaranteed!
Every now and then, the market throws up a situation that looks almost too simple.
No options. No leverage. No complicated merger spread. No obscure derivative.
Just a listed European small cap, a corporate action, and a temporary gap between the market price and the price the company itself has formally committed to paying for its own shares.
The interesting part? This setup only exists for retail investors!
At the current market price, the opportunity would amount to roughly €250 profit on an investment of €1500 over a period of less than 2 weeks.
There is a deadline.
There are tax considerations.
Broker handling matters.
And because of that, this is not risk-free.
But the setup is so simple that you’ll ask yourself why this arbitrage opportunity still exists.
The company name, ticker and full mechanics are below for subscribers.
This is a nobrainer. I’m essentially giving you €250 for free.
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The Company
The company is Aumann AG, a German small-cap listed in Frankfurt.
Ticker / ISIN: Aumann AG — DE000A2DAM03
Aumann is a German machine builder focused on automation solutions, including production lines for electric drivetrains and other industrial applications. It is not a hype stock. It is not a meme stock. It is a small, somewhat overlooked industrial business with a very strong balance sheet.
It has a market cap of €200 million and €144 million net cash and an EV/EBITDA of only 2x!
That strong balance sheet is exactly why this situation exists.
The company has decided to return part of its gigantic net cash position to shareholders through a voluntary public share buyback offer.
The Tender Offer
On June 5th Aumann launched a tender offer to buy back up to 1,291,704 shares, equal to around 10% of the share capital, at €16.50 per share. The share price at that time was €14.
But on 22 June 2026, the company improved the offer ‘to increase the attractiveness of the Buyback in light of the significant share price development following the publication of the initial offer’, said the CFO.
The new tender price is €17.80 per share
All other terms of the offer remain unchanged. That is a key point.
Aumann is now offering to buy back shares at €17.80, while the market price has been trading materially below that level.
At a market price of around €14.80, the spread is:
€17.80 - €15.30 = €2.50 per share
For 100 shares, that equals:
100 × €2.50 = €250 profit
Again: gross. Taxes, broker fees, execution and tender handling matter.
But mechanically, this is the setup.
Why Smaller Shareholders May Have an Edge
The offer document contains an important clause.
If more shares are tendered than Aumann wants to buy back, acceptances will generally be scaled down pro rata.
However, Aumann states that it makes use of the option to give preferential acceptance to small quantities of up to 100 shares.
In plain English: small shareholders tendering up to 100 shares appear to have priority.
That is what makes this interesting.
For a large institutional investor, this kind of opportunity is too small to matter. For a private investor, however, a few hundred euros of potential gross profit from a simple corporate action can be meaningful — especially if the mechanics are straightforward.
History Repeats Itself?
Importantly, this is not the first time Aumann has done this.
Last year, the company launched a very similar public share buyback offer. Back then, Aumann offered to buy back up to 1,434,523 shares, also representing around 10% of the share capital, at an offer price of €12.37 per share.
The result was striking.
Shareholders tendered 9,956,853 shares into the offer, or 69% of all shares outstanding!
That means almost 7 times as many shares were tendered as Aumann actually wanted to buy back.
Because the offer was heavily oversubscribed, Aumann applied the allocation mechanism from the offer document. Small quantities of up to 100 shares were given preferential treatment, while the remaining tendered shares were accepted pro rata.
The final allocation rate for the other shares was only around 13.77%.
In the end, Aumann repurchased 1,434,244 shares, corresponding to exactly 10.00% of the company’s share capital.
Why does this matter?
Because it shows two things.
First, Aumann has used this exact type of tender mechanism before.
Second, last year’s offer was massively oversubscribed — yet small shareholders were explicitly protected through the preferential treatment clause.
That historical precedent makes the current setup more interesting.
Of course, every offer needs to be assessed on its own terms. But this is not some theoretical corporate-action mechanic that has never been tested. Aumann has done this before, and the outcome gives us a useful reference point.
Why Does This Opportunity Exist?
There are several possible reasons.
First, small-cap corporate actions are often ignored. Many investors simply do not read offer documents.
Second, the opportunity size is too small for institutional investors. Even if the spread is attractive, the 100-share angle limits scalability. Offered positions of larger than 100 shares will only see 10-15% of their offered shares bought, just like last year.
Third, tax treatment can be messy. In some countries, a tender into a share buyback may be treated like an ordinary sale. In others, it can have dividend-like tax consequences. This uncertainty alone can keep many investors away.
Fourth, brokers do not always process voluntary corporate actions smoothly. Some investors may not know how to tender. Others may not have access. Some may not bother.
That is exactly why these small, weird situations can exist.
The Main Risks
This is not a guaranteed free lunch.
The main risks are:
1. Tender execution risk
You need to correctly instruct your broker to participate in the buyback offer before the deadline.
2. Broker processing risk
Different brokers may handle voluntary corporate actions differently. Some may charge fees. Some may have earlier internal deadlines.
3. Tax risk
This is the big one. Tax treatment may differ by country. For some investors, there may be a risk that the transaction is treated as a dividend-like event if the repurchased shares are later cancelled. This could materially reduce or even eliminate the economic benefit.
4. Market risk
If you buy the shares and fail to tender them correctly, you remain exposed to the share price.
My View
This is a rare and unusually simple small-cap arbitrage setup.
The company itself is offering €17.80 per share.
The market price has been significantly below that level.
Small shareholders appear to have a structural advantage for up to 100 shares.
That creates a potential gross profit of roughly €250 on 100 shares if bought around €15.30 and successfully tendered at €17.80.
The opportunity is not scalable. It is not risk-free. And tax treatment matters a lot.
But that is precisely why it is interesting.
This is the kind of small, overlooked corporate-action setup that larger investors usually ignore — and where attentive private investors may have an edge.
What I Would Do Before Acting
Before participating, I would:
Read the official Aumann offer document.
Ask my broker:
whether I can participate in the tender
about the broker’s internal deadline
whether any German withholding tax will be applied (this houldn’t be the case)
check the domestic tax treatment in my own country (normally this buyback shouldn’t be taxed since management hasn’t decided yet what the’re going to do with these treasury shares)
Make sure I understand what happens if more shares are tendered than Aumann wants to buy back.
Only after that would I consider acting.
Bottom Line
Aumann AG has created a rare corporate-action arbitrage opportunity.
At the improved tender price of €17.80, smaller investors may be able to capture a meaningful spread on up to 100 shares.
At a market price around €15.30, that spread is €250.
For a professional fund, that is irrelevant.
For a small private investor, it is worth a look.
Not financial advice. Do your own work. Taxes and broker treatment may matter.
I think main issue is that you never know how many of your shares will be allocated to the tender and after tender execution share price drops below tender price so you will be down with your remaining shares.