Korea/Asia, Events, IPOs, Douglas Research Advisory

Douglas Kim

Korea/Asia, Events, IPOs

Event-Driven

In this edition of the Smartkarma North Asia Weekly, it summarizes some of the top insights on Smartkarma in the past week covering Japan, HK/China, and the Korean stock markets. The top topics are below:1) Alibaba: Antitrust Concerns2) Tencent Under Pressure From Antitrust Push3) POTUS Executive Order: New OFAC Clarification 4) China Logistics: Major Shareholders Seek to Exit 5) Kuaishou Technology IPO6) Yidu Tech IPO7) TOPIX Inclusion: ODK Solutions 8) New Horizon IPO9) Goldwin Bullish for Future Growth10) Yaoko: A Difficult 2021 Coming11) IQIYI Valuation12) Digital Currency: Still Remember Facebook Libra/​Diem?13) China Dental Care Industry14) ZTO Express &amp; BEST Inc15) Infrastructure Asset-Backed Securities: New Asset Class for Asia16) Japan Airport Terminal17) Will Biden Get Officially Inaugurated on 20 January?

In this edition of the Smartkarma North Asia Weekly, it summarizes some of the top insights on Smartkarma in the past week covering Japan, HK/China, and the Korean stock markets. The top topics are below:1) Alibaba: Antitrust Concerns2) Tencent Under Pressure From Antitrust Push3) POTUS Executive Order: New OFAC Clarification 4) China Logistics: Major Shareholders Seek to Exit 5) Kuaishou Technology IPO6) Yidu Tech IPO7) TOPIX Inclusion: ODK Solutions 8) New Horizon IPO9) Goldwin Bullish for Future Growth10) Yaoko: A Difficult 2021 Coming11) IQIYI Valuation12) Digital Currency: Still Remember Facebook Libra/​Diem?13) China Dental Care Industry14) ZTO Express &amp; BEST Inc15) Infrastructure Asset-Backed Securities: New Asset Class for Asia16) Japan Airport Terminal17) Will Biden Get Officially Inaugurated on 20 January? 

Smartkarma North Asia Weekly: Alibaba Antitrust, OFAC Clarification, China Logistics, & Kuaishou IPO

Pan-Asia Catalysts/Events, Quiddity Advisors

David Blennerhassett

Pan-Asia Catalysts/Events

Quiddity Advisors

This week in StubWorld ...
Tech-giants such as <a href="https://www.smartkarma.com/entities/tencent-holdings-ltd" target="_blank" data-smartkarma-citation="entities:26:1" rel="noopener">Tencent Holdings (700 HK)</a> are under the hammer as investors second-guess whether Chinese regulators are targeting only <a href="https://www.smartkarma.com/entities/alibaba-group" target="_blank" data-smartkarma-citation="entities:28434:1" rel="noopener">Alibaba Group (9988 HK)</a> or a wider anti-trust mandate. 
<hr>
<div>
Preceding my comments on <a href="https://www.smartkarma.com/entities/naspers-ltd" target="_blank" data-smartkarma-citation="entities:21085:1" rel="noopener">Naspers (NPN SJ)</a> / <a href="https://www.smartkarma.com/entities/prosus-nv" target="_blank" data-smartkarma-citation="entities:28104:1" rel="noopener">Prosus (PRX NA)</a> / Tencent are the weekly setup/unwind tables for Asia-Pacific Holdcos.
</div>
<div>
These relationships trade with a minimum liquidity threshold of US$1mn on a 90-day moving average, and a % market capitalisation threshold - the $ value of the holding/opco held, over the parent’s market capitalisation, expressed in percent - of at least 20%.
</div>

This week in StubWorld ...
Tech-giants such as Tencent Holdings (700 HK) are under the hammer as investors second-guess whether Chinese regulators are targeting only Alibaba Group (9988 HK) or a wider anti-trust mandate. 


Preceding my comments on Naspers (NPN SJ) / Prosus (PRX NA) / Tencent are the weekly setup/unwind tables for Asia-Pacific Holdcos.


These relationships trade with a minimum liquidity threshold of US$1mn on a 90-day moving average, and a % market capitalisation threshold - the $ value of the holding/opco held, over the parent’s market capitalisation, expressed in percent - of at least 20%.


StubWorld: Tencent Under Pressure From Antitrust Push

Overseas Chinese Equities, Aequitas Research

Ming Lu

Overseas Chinese Equities

IPOs and Placements coverage across Asia Pacific

Aequitas Research

We cover all listing across the Asia Pacific along with follow-up placements. As of Dec 2020, our team had covered 539 IPOs with a hit rate of 73.5% and 685 placements with a hit rate of 66.8%.

We combine fundamental bottom-up views with our proprietary quantitative framework to provide a holistic coverage across new listings and placements. Our coverage includes pre-IPO notes before the deal is launched, follow-up analysis once the deal is live and post-listing trading analysis as well.

Equity Bottom-Up

<ul class="">
<li>China housing Sales data has recovered strongly since May. Housing sales area grew by 2 digits yoy in October and November.</li>
<li>KE’s revenue increased by 71% yoy in 3Q20. We are not concerned about the pre-IPO margin decline.</li>
<li>We believe the stock has an upside of 14%~22 for the end of 2021.</li>
</ul>


China housing Sales data has recovered strongly since May. Housing sales area grew by 2 digits yoy in October and November.
KE’s revenue increased by 71% yoy in 3Q20. We are not concerned about the pre-IPO margin decline.
We believe the stock has an upside of 14%~22 for the end of 2021.


KE (BEKE): Riding on Housing Surge in China

Asian Equities Analyst, Logistics & Transport, Tracking Traffic

Daniel Hellberg

Asian Equities Analyst, Logistics & Transport

Tracking Traffic

Focusing on Asian logistics, transportation, and travel companies

<section class="figure"><figure class="editor-figure mceNonEditable"><img src="https://static-prod.smartkarma.com/images/media/000/180/014/original/BANNER-TTOtherDec20_GreyOrange.png?1608832116" class="editor-image img-responsive" data-smartkarma-image-id="180014"></figure></section>In November, anti-monopoly regulators announced drafts of new rules that will apply to eCommerce 'platform' businesses. And last week authorities announced an anti-monopoly probe into some of <a href="https://www.smartkarma.com/entities/alibaba-group-holding-ltd" target="_blank" data-smartkarma-citation="entities:787:1" rel="noopener">Alibaba Group (BABA US)</a>'s anti-competitive practices. We believe the probe could eventually extend to a range of logistics companies linked to Alibaba. The ongoing regulator action against Alibaba's "choose one from two" policy and potential future actions against logistics firms linked to the eCommerce giant will have the same effect: to slow down growth. In the case of the Chinese express companies closely linked to Alibaba, regulators' actions merely add to existing pressures to pursue sector consolidation in 2021.We recommend investors check out <a href="https://www.smartkarma.com/entities/best-inc" target="_blank" data-smartkarma-citation="entities:25494:1" rel="noopener">BEST Inc (BEST US)</a> as a potential acquisition target.

In November, anti-monopoly regulators announced drafts of new rules that will apply to eCommerce 'platform' businesses. And last week authorities announced an anti-monopoly probe into some of Alibaba Group (BABA US)'s anti-competitive practices. We believe the probe could eventually extend to a range of logistics companies linked to Alibaba. The ongoing regulator action against Alibaba's "choose one from two" policy and potential future actions against logistics firms linked to the eCommerce giant will have the same effect: to slow down growth. In the case of the Chinese express companies closely linked to Alibaba, regulators' actions merely add to existing pressures to pursue sector consolidation in 2021.We recommend investors check out BEST Inc (BEST US) as a potential acquisition target.

Alibaba Anti-Trust Probe Could Slow Growth of Chinese Express Companies, Add to M&A Pressures

Equity Research in HK and Mainland China

Li Tang

Thematic (Sector/Industry)

The State Administration for Market Regulation (SAMR) and Ministry of Commerce(MOFCOM) gathered six major internet platforms including <a href="https://www.smartkarma.com/entities/alibaba-group-holding-ltd" target="_blank" data-smartkarma-citation="entities:787:1" rel="noopener">Alibaba Group (BABA US)</a><a href="https://www.smartkarma.com/entities/pinduoduo-inc" target="_blank" data-smartkarma-citation="entities:27250:1" rel="noopener">Pinduoduo (PDD US)</a> , <a href="https://www.smartkarma.com/entities/tencent-holdings-ltd" target="_blank" data-smartkarma-citation="entities:26:1" rel="noopener">Tencent Holdings (700 HK)</a> , <a href="https://www.smartkarma.com/entities/jd-com-inc-adr" target="_blank" data-smartkarma-citation="entities:446:1" rel="noopener">JD.com Inc (ADR) (JD US)</a> ,  <a href="https://www.smartkarma.com/entities/meituan-dianping" target="_blank" data-smartkarma-citation="entities:26970:1" rel="noopener">Meituan (3690 HK)</a> , and Didi to discuss the Central Economic Work Conference and anti-monopoly measures Xinhua reported

The State Administration for Market Regulation (SAMR) and Ministry of Commerce(MOFCOM) gathered six major internet platforms including Alibaba Group (BABA US)Pinduoduo (PDD US) , Tencent Holdings (700 HK) , JD.com Inc (ADR) (JD US) ,  Meituan (3690 HK) , and Didi to discuss the Central Economic Work Conference and anti-monopoly measures Xinhua reported

Market Regulator Held Meeting With Major E-Commerce Platforms

China

Meituan operates as a web based shopping platform for locally found consumer products and retail services. The Company offers deals of the day by selling vouchers on local services and entertainment, dining, delivery, and other services. Meituan provides its services throughout China.

Price Gauge
52-week Range	0.00 - 0.00
Market Cap (USDm)	0.00
P/E	0.00
Dividend (Yield)	0.00

Meituan (3690 HK)

Smartkarma North Asia Weekly: Alibaba Antitrust, OFAC Clarification, China Logistics, & Kuaishou IPO

In this edition of the Smartkarma North Asia Weekly, it summarizes some of the top insights on Smartkarma in the past week covering Japan, HK...

Douglas Kim

StubWorld: Tencent Under Pressure From Antitrust Push

Stay long long Naspers vs Tencent. As we approach March, the likelihood that investors realise there could be another large offering increases,...

David Blennerhassett

KE (BEKE): Riding on Housing Surge in China

China housing Sales data has recovered strongly since May. We are not concerned about KE's pre-IPO margin decline. We believe the stock has an...

Ming Lu

Alibaba Anti-Trust Probe Could Slow Growth of Chinese Express Companies, Add to M&A Pressures

New scrutiny from regulators on Alibaba could result in increased financial pressures on the logistics firms linked to the eCommerce giant.

Tracking Traffic

Market Regulator Held Meeting With Major E-Commerce Platforms

The move is in line with The Politburo meeting held on 12 Dec.Regulators are tightening regulation on Community group-buying prevent disorderly...

Li Tang

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)