Korea/Asia, Events, IPOs, Douglas Research Advisory

Douglas Kim

Korea/Asia, Events, IPOs

Douglas Research Advisory

Equity Capital Markets

<ul>
<li>Yanolja is getting ready to complete its IPO in the US in the next several months. Softbank invested about US$1.7 billion in Yanolja in 2021.</li>
<li>The valuation of Yanolja could be between US$7 billion to US$9 billion. The company could raise nearly US$400 million in this IPO. </li>
<li>Overall, we are concerned about the valuations of Yanolja if indeed the bankers push ahead with the IPO at the valuation range of US$7 billion to US$9 billion.</li>
</ul>


Yanolja is getting ready to complete its IPO in the US in the next several months. Softbank invested about US$1.7 billion in Yanolja in 2021.
The valuation of Yanolja could be between US$7 billion to US$9 billion. The company could raise nearly US$400 million in this IPO. 
Overall, we are concerned about the valuations of Yanolja if indeed the bankers push ahead with the IPO at the valuation range of US$7 billion to US$9 billion.


Independent research on the U.S. markets, Baptista Research

Baptista Research

Independent research on the U.S. markets

Baptista Research is an independent financial research house focused on the U.S. markets. We provide equity research as well as credit research reports on the top-listed U.S. companies with most of our focus on technology, consumer goods and services, automobiles, industrials, oil and gas, pharma, and healthcare. Our research has served more than 3000 institutional investors including mutual funds, hedge funds, banks, family offices, and various buy-side firms. We operate a research subscription service where institutions, as well as retail investors, can have priority access to all our research. We also have a wide distribution of our research reports across some of the top global financial platforms. Apart from equity research and credit research, we also provide advisory services with respect to mergers & acquisitions (M&A), private equity/ venture capital fundraising, valuation reports, and investment management services for corporates.
Baptista Research is owned and managed by Ishan Majumdar, an ex-Venture Capitalist/ Investment Banker, a Chartered Accountant, and a Masters’ degree holder in Management from HEC Paris. Ishan has nearly a decade of experience in Mergers and Acquisitions, Leveraged Buyouts (LBOs), Venture Capital Investing, Corporate Strategy, and Valuation in front-office roles at the likes of BNP Paribas CIB, Credit Agricole CIB, Groupe Danone, and TIW Private Equity. He has worked on and closed multiple acquisition deals, leveraged buyouts, and start-up investment transactions.

Equity Bottom-Up

<ul><li>Expedia Group's Q1 2024 performance reflected a primarily healthy market environment, but growth differed according to geographical area and product line.</li><li>Notably, North America had the slowest growth compared to other major international markets.</li><li>Additionally, despite meeting projections on revenue and EBITDA, Expedia experienced weaker gross bookings, with its Vrbo business producing slower recovery than anticipated.</li></ul>

Expedia Group's Q1 2024 performance reflected a primarily healthy market environment, but growth differed according to geographical area and product line.Notably, North America had the slowest growth compared to other major international markets.Additionally, despite meeting projections on revenue and EBITDA, Expedia experienced weaker gross bookings, with its Vrbo business producing slower recovery than anticipated.

Expedia Group:  Advancements in GenAI and Personalized Travel Experiences! - Major Drivers

Global Mobility/Transport, Equity Long-Short

Mohshin Aziz

Thematic (Sector/Industry)

<ul>
<li>We compare the performance of the top-4 global online travel agents (OTA) from the recently concluded 2023 result</li>
<li>All the OTAs recorded strong 2023 and 4Q23, but the forward outlook indicates growth rate is slowing in North America and Europe while Asia is picking up speed  </li>
<li>Trip.com is indeed comparatively most attractive among the big-4 global OTAs; our fellow Smartkarma Insight provider’s conviction is justified</li>
</ul>


We compare the performance of the top-4 global online travel agents (OTA) from the recently concluded 2023 result
All the OTAs recorded strong 2023 and 4Q23, but the forward outlook indicates growth rate is slowing in North America and Europe while Asia is picking up speed  
Trip.com is indeed comparatively most attractive among the big-4 global OTAs; our fellow Smartkarma Insight provider’s conviction is justified


Comparing Performance of Online Travel Agents, Trip.com Is Indeed Attractive

HK/China Equity Long-Short

Osbert Tang, CFA

<ul>
<li>
<a href="https://www.smartkarma.com/entities/trip-com-group-ltd-23a341d0-4f63-4175-a8c5-ee990906cacd" target="_blank" data-smartkarma-citation="entities:36424:1" rel="noopener">Trip.com Group (9961 HK)</a> has a remarkable 4Q23 with adjusted net profit surged 437.1% YoY. Higher volume and better market efficiency have resulted in massive margin expansion.</li>
<li>Net cash has ballooned to about 15% of its share price, and this has allowed it to carry out a massive US$300m Capital Return Program in 2024.</li>
<li>Business has outperformed the industry in CNY, with domestic hotel and air business volume increased by 60% and 50% YoY. Its overseas platform also saw double-digit growth.</li>
</ul>



Trip.com Group (9961 HK) has a remarkable 4Q23 with adjusted net profit surged 437.1% YoY. Higher volume and better market efficiency have resulted in massive margin expansion.
Net cash has ballooned to about 15% of its share price, and this has allowed it to carry out a massive US$300m Capital Return Program in 2024.
Business has outperformed the industry in CNY, with domestic hotel and air business volume increased by 60% and 50% YoY. Its overseas platform also saw double-digit growth.


Trip.com (9961 HK): Looks to Reap More Recovery Benefits

Head of Research, IPOs & Placements, Aequitas Research

Sumeet Singh

Head of Research, IPOs & Placements

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.

<ul>
<li>
<a href="https://www.smartkarma.com/entities/juniper-hotels" target="_blank" data-smartkarma-citation="entities:40186:1" rel="noopener">Juniper Hotels</a> is looking to raise up to US$217m in its upcoming India IPO.</li>
<li>Juniper Hotels is the largest owner by no. of keys of Hyatt affiliated hotels in India as of 2Q23 (30th Jun 23), according to Horwath.</li>
<li>We have looked at the company’s past performance in our previous note. In this note, we provide our thoughts on valuations.</li>
</ul>



Juniper Hotels is looking to raise up to US$217m in its upcoming India IPO.
Juniper Hotels is the largest owner by no. of keys of Hyatt affiliated hotels in India as of 2Q23 (30th Jun 23), according to Horwath.
We have looked at the company’s past performance in our previous note. In this note, we provide our thoughts on valuations.


Juniper Hotels IPO - Looks Somewhat Fairly Valued

United States

Expedia Group, Inc. provides branded online travel services for leisure and small business travelers. The Company offers a wide range of travel shopping and reservation services, providing real-time access to schedule, pricing and availability information for airlines, hotels, and car rental companies.

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Expedia Group, Inc. (EXPE US)

Initial Thoughts on the Yanolja IPO

Yanolja is getting ready to complete its IPO in the US in the next several months. The valuation could be between US$7 billion to US$9 billion....

Douglas Kim

Expedia Group: Advancements in GenAI and Personalized Travel Experiences! - Major Drivers

Expedia Group's Q1 2024 performance reflected a primarily healthy market environment, but growth differed according to geographical area and...

Baptista Research

Comparing Performance of Online Travel Agents, Trip.com Is Indeed Attractive

Top global online travel agents had strong 2023 results, with Trip.com showing the most attractive performance and growth in Asia while the growth...

Mohshin Aziz

Trip.com (9961 HK): Looks to Reap More Recovery Benefits

Trip.com's adjusted net profit soared 437.1% YoY in 4Q23. Net cash equals 15% of its share price, enabling a US$300m 2024 Capital Return Program....

Osbert Tang, CFA

Juniper Hotels IPO - Looks Somewhat Fairly Valued

Juniper Hotels is looking to raise up to US$217m in its upcoming India IPO. We have looked at the past performance earlier. In this note, we talk...

Sumeet Singh

Price Gauge

52-week Range

Market Cap (USDm)

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Dividend (Yield)

Initial Thoughts on the Yanolja IPO

Yanolja is getting ready to complete its IPO in the US in the next several months. The valuation could be between US$7 billion to US$9 billion....

Douglas Kim

Expedia Group: Advancements in GenAI and Personalized Travel Experiences! - Major Drivers

Expedia Group's Q1 2024 performance reflected a primarily healthy market environment, but growth differed according to geographical area and...

Baptista Research

Comparing Performance of Online Travel Agents, Trip.com Is Indeed Attractive

​Top global online travel agents had strong 2023 results, with Trip.com showing the most attractive performance and growth in Asia while the growth...

Mohshin Aziz

Trip.com (9961 HK): Looks to Reap More Recovery Benefits

​Trip.com's adjusted net profit soared 437.1% YoY in 4Q23. Net cash equals 15% of its share price, enabling a US$300m 2024 Capital Return Program....

Osbert Tang, CFA

Juniper Hotels IPO - Looks Somewhat Fairly Valued

Juniper Hotels is looking to raise up to US$217m in its upcoming India IPO. We have looked at the past performance earlier. In this note, we talk...

Sumeet Singh

Top global online travel agents had strong 2023 results, with Trip.com showing the most attractive performance and growth in Asia while the growth...

Trip.com's adjusted net profit soared 437.1% YoY in 4Q23. Net cash equals 15% of its share price, enabling a US$300m 2024 Capital Return Program....