APAC IPOs & Placements, Aequitas Research

Nicholas Tan

APAC 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.

Equity Capital Markets

<ul>
<li>
<a href="https://www.smartkarma.com/entities/jst-group" target="_blank" data-smartkarma-citation="entities:39885:1" rel="noopener">JST Group (1703609D CH)</a> is looking to raise up to US$270m in its upcoming Hong Kong IPO.</li>
<li>It is China’s largest and most popular e-commerce SaaS ERP provider. </li>
<li>In this note, we examine the IPO dynamics, and look at the firm’s valuation.</li>
</ul>



JST Group (1703609D CH) is looking to raise up to US$270m in its upcoming Hong Kong IPO.
It is China’s largest and most popular e-commerce SaaS ERP provider. 
In this note, we examine the IPO dynamics, and look at the firm’s valuation.


JST Group Pre-IPO: Premium to Peers but Potentially a Domestic “Shopify”

HK/China Equity Long-Short

Osbert Tang, CFA

Thematic (Sector/Industry)

<ul>
<li>Following Trump's threats on tariffs and pull-out of meeting with Xi, the 5% collapse in the HSI futures implies a heavy sell-off in HK when the market reopens.</li>
<li>The stocks with the best YTD performance and significant strengths in the last month are the prime candidates most vulnerable to the initial collapse. </li>
<li>
<a href="https://www.smartkarma.com/entities/semiconductor-manufacturing-international-corp-smic" target="_blank" data-smartkarma-citation="entities:14231:1" rel="noopener">Semiconductor Manufacturing International Corp (SMIC) (981 HK)</a>, <a href="https://www.smartkarma.com/entities/kuaishou-technology" target="_blank" data-smartkarma-citation="entities:29725:1" rel="noopener">Kuaishou Technology (1024 HK)</a>, <a href="https://www.smartkarma.com/entities/alibaba-group-holding-ltd-d7b798e2-202d-4e01-9a1e-799e2ae8f0c7" target="_blank" data-smartkarma-citation="entities:28434:1" rel="noopener">Alibaba (9988 HK)</a>, and <a href="https://www.smartkarma.com/entities/hua-hong-semiconductor-ltd" target="_blank" data-smartkarma-citation="entities:7201:1" rel="noopener">Hua Hong Semiconductor (1347 HK)</a> are badly exposed.</li>
</ul>


Following Trump's threats on tariffs and pull-out of meeting with Xi, the 5% collapse in the HSI futures implies a heavy sell-off in HK when the market reopens.
The stocks with the best YTD performance and significant strengths in the last month are the prime candidates most vulnerable to the initial collapse. 

Semiconductor Manufacturing International Corp (SMIC) (981 HK), Kuaishou Technology (1024 HK), Alibaba (9988 HK), and Hua Hong Semiconductor (1347 HK) are badly exposed.


Pan-Asia Index Rebalances/ Events/ Delta One, Periscope Analytics

Brian Freitas

Pan-Asia Index Rebalances/ Events/ Delta One

Periscope Analytics

Periscope Analytics focuses on event-driven trades across Asia Pacific and provides comprehensive, timely and systematic coverage of index changes to major Asia Pacific indices in a structured manner.

The analysis includes forecasted inclusions and exclusions to all major Asian indices that have significant amount of tracking assets, including estimates of passive buy/sell flow on the stocks. The service also provides commentary and impact of market consultations, ground rule changes, and other events (IPOs, spin-offs, M&A) that could lead to index changes and passive flow.

Periscope Analytics works with multi-strategy hedge funds, proprietary trading firms, stat arb trading groups and long-only investors that invest and trade in the Asia Pacific region with the data being used to trade index rebalances, avoid pre-positioning and passive flow, and to time entry into and exit from stocks.

Event-Driven Trades Across Asia Pacific

Index Rebalance

<ul>
<li>There are 3 potential changes for the HSIII Index in September. There are couple of names that are close to the inclusion/ deletion thresholds.</li>
<li>The largest inflows will go to <a href="https://www.smartkarma.com/entities/horizon-robotics-inc" target="_blank" data-smartkarma-citation="entities:35637:1" rel="noopener">Horizon Robotics (9660 HK)</a> following lock-up expiry that increases the Free-Float Adjusted Factor (FAF) by a factor of 7-8x.</li>
<li>There are large capping changes too and the estimated one-way turnover is 9.8% resulting in a round-trip trade of HK$5.65bn (US$720m).</li>
</ul>


There are 3 potential changes for the HSIII Index in September. There are couple of names that are close to the inclusion/ deletion thresholds.
The largest inflows will go to Horizon Robotics (9660 HK) following lock-up expiry that increases the Free-Float Adjusted Factor (FAF) by a factor of 7-8x.
There are large capping changes too and the estimated one-way turnover is 9.8% resulting in a round-trip trade of HK$5.65bn (US$720m).


Hang Seng Internet & IT Index (HSIII) Rebalance Preview: Constituent, FAF & Capping Changes

Equity Derivatives and Volatility Specialist, Clifton Derivatives

John Ley

Equity Derivatives and Volatility Specialist

Clifton Derivatives

Independent derivative and volatility research firm focusing on events/catalysts, earnings, relative value and cross asset volatility strategies.

Equity Derivatives

<ul>
<li>HSI reversed course with four straight down days to close the week sharply lower.</li>
<li>Breadth collapsed, with only a small fraction of names finishing higher; option volumes rose into the decline with Puts taking more than their usual share of activity.</li>
<li>Implied vols fell on the week, erasing last week’s gains and not showing signs of stress at this point.</li>
</ul>


HSI reversed course with four straight down days to close the week sharply lower.
Breadth collapsed, with only a small fraction of names finishing higher; option volumes rose into the decline with Puts taking more than their usual share of activity.
Implied vols fell on the week, erasing last week’s gains and not showing signs of stress at this point.


Hong Kong Single Stock Options Weekly (July 28–Aug 01): Reversal Hits, Breadth Collapses, Vol Steady

Asia Pac IPO & Placement Research, China biotech, Aequitas Research

Ke Yan, CFA, FRM

Asia Pac IPO & Placement Research, China biotech

Quantitative Analysis

<ul>
<li>We analysed the earning revision of component stocks of HS TECH in the past month.</li>
<li>We tabulated stocks with the top impact on index's EPS, stocks' EPS revision, and revenue revision.</li>
<li>We highlighted EPS revision on Ntes - S, Jd, Bidu, Meituan, Li Auto, Hua Hong Semi, Kingdee Int'L.</li>
</ul>


We analysed the earning revision of component stocks of HS TECH in the past month.
We tabulated stocks with the top impact on index's EPS, stocks' EPS revision, and revenue revision.
We highlighted EPS revision on Ntes - S, Jd, Bidu, Meituan, Li Auto, Hua Hong Semi, Kingdee Int'L.


HS TECH Index Earning Revision (Jul): Ntes, Jd, Bidu, Meituan, Li Auto, Hua Hong Semi

China

Kingdee International Software Group Company Limited, through its subsidiaries, develops and sells enterprise management software, e-commerce application software and middleware software.  The Company also provides internet-based services and setting up e-commerce platforms for enterprises. In addition, Kingdee provides solution consulting and technical support services.

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

Kingdee International Software (268 HK)

JST Group Pre-IPO: Premium to Peers but Potentially a Domestic “Shopify”

JST Group (JST) is looking to raise up to US$270m in its upcoming Hong Kong IPO. In this note, we examine the IPO dynamics, and look at the firm’s...

Nicholas Tan

HK Strategy: Who Will Suffer the Most?

Trump's tariff threats and market uncertainty lead to a potential heavy sell-off in HK, with top-performing stocks like SMIC, Kuaishou, Alibaba,...

Osbert Tang, CFA

Hang Seng Internet & IT Index (HSIII) Rebalance Preview: Constituent, FAF & Capping Changes

There could be 3 constituent changes in Sep. A big FAF increase is forecast for Horizon Robotics. Plenty of capping changes. Put together, that...

Brian Freitas

Hong Kong Single Stock Options Weekly (July 28–Aug 01): Reversal Hits, Breadth Collapses, Vol Steady

HSI closed sharply lower after four consecutive down days, with option volumes rising and Puts dominating activity. Implied vols fell, showing no...

John Ley

HS TECH Index Earning Revision (Jul): Ntes, Jd, Bidu, Meituan, Li Auto, Hua Hong Semi

We analyzed HS TECH's consensus for Jul 2025 and highlighted changes of EPS in Ntes - S, Jd, Bidu, Meituan, Li Auto, Hua Hong Semi, Kingdee Int'L.

Ke Yan, CFA, FRM

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)

JST Group Pre-IPO: Premium to Peers but Potentially a Domestic “Shopify”

JST Group (JST) is looking to raise up to US$270m in its upcoming Hong Kong IPO. In this note, we examine the IPO dynamics, and look at the firm’s...

Nicholas Tan

HK Strategy: Who Will Suffer the Most?

​Trump's tariff threats and market uncertainty lead to a potential heavy sell-off in HK, with top-performing stocks like SMIC, Kuaishou, Alibaba,...

Osbert Tang, CFA

Hang Seng Internet & IT Index (HSIII) Rebalance Preview: Constituent, FAF & Capping Changes

There could be 3 constituent changes in Sep. A big FAF increase is forecast for Horizon Robotics. Plenty of capping changes. Put together, that...

Brian Freitas

Hong Kong Single Stock Options Weekly (July 28–Aug 01): Reversal Hits, Breadth Collapses, Vol Steady

​HSI closed sharply lower after four consecutive down days, with option volumes rising and Puts dominating activity. Implied vols fell, showing no...

John Ley

HS TECH Index Earning Revision (Jul): Ntes, Jd, Bidu, Meituan, Li Auto, Hua Hong Semi

We analyzed HS TECH's consensus for Jul 2025 and highlighted changes of EPS in Ntes - S, Jd, Bidu, Meituan, Li Auto, Hua Hong Semi, Kingdee Int'L.

Ke Yan, CFA, FRM

Trump's tariff threats and market uncertainty lead to a potential heavy sell-off in HK, with top-performing stocks like SMIC, Kuaishou, Alibaba,...

HSI closed sharply lower after four consecutive down days, with option volumes rising and Puts dominating activity. Implied vols fell, showing no...