IPOs and Catalysts/Events, Global Equity Research Ltd

Arun George

IPOs and Catalysts/Events

Uncompromised, Independent, Conflict-Free Research

Global Equity Research Ltd

Global Equity Research was started in 2017 by a group of experienced research professionals. It was founded on a passionate belief in the importance and the need for uncompromised, independent, conflict-free research. We aim to provide differentiated and actionable primary and bottom up fundamental research.

Equity Capital Markets

<a href="https://www.smartkarma.com/entities/27394" target="_blank" data-smartkarma-citation="entities:27394:1">Weimob.com (1260480D CH)</a> is a combination of a SaaS software and an adtech (targeted marketing) business. Weimob is the largest third-party service provider for SMBs as measured by revenue (15% market share) and a number of paying customers in 2017 on the WeChat platform, according to Frost &amp; Sullivan. It is backed by <a href="https://www.smartkarma.com/entities/26" target="_blank" data-smartkarma-citation="entities:26:1">Tencent Holdings (700 HK)</a>, which is 3.4% shareholder.<div class="content-highlight">Weimob’s financial performance seems commendable as rapid revenue growth has been accompanied by rising margins. However, Weimob’s rising margins are flattered by aggressive albeit legal accounting policies. If Weimob used the more conservative accounting policies seen amongst software companies, its EBITDA in 1Q18 would decline by two-thirds. Consequently, we are cautious about this IPO.</div>

Weimob.com (1260480D CH) is a combination of a SaaS software and an adtech (targeted marketing) business. Weimob is the largest third-party service provider for SMBs as measured by revenue (15% market share) and a number of paying customers in 2017 on the WeChat platform, according to Frost &amp; Sullivan. It is backed by Tencent Holdings (700 HK), which is 3.4% shareholder.Weimob’s financial performance seems commendable as rapid revenue growth has been accompanied by rising margins. However, Weimob’s rising margins are flattered by aggressive albeit legal accounting policies. If Weimob used the more conservative accounting policies seen amongst software companies, its EBITDA in 1Q18 would decline by two-thirds. Consequently, we are cautious about this IPO.

Weimob IPO Preview: Aggressive Accounting Makes a Big Dent in the Growth Story

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.

Weimob, a <a href="https://www.smartkarma.com/entities/26" target="_blank" data-smartkarma-citation="entities:26:1">Tencent Holdings (700 HK)</a> and GIC investee company, plans to raise over US$100m in its Hong Kong listing.
Weimob is a SaaS solutions provider for small businesses. It enables them to provide their customers with various services through WeChat. It has also recently started offering WeChat advertising solutions. Revenue growth has been robust over the past few years and the company has recently turned profitable.
However, the company is overly reliant on Tencent for almost all its products and ads. Tencent's low shareholding doesn't provide much reassurance. In addition, SMBs attrition rate has been high and acquisition costs seem to be high as well.

Weimob, a Tencent Holdings (700 HK) and GIC investee company, plans to raise over US$100m in its Hong Kong listing.
Weimob is a SaaS solutions provider for small businesses. It enables them to provide their customers with various services through WeChat. It has also recently started offering WeChat advertising solutions. Revenue growth has been robust over the past few years and the company has recently turned profitable.
However, the company is overly reliant on Tencent for almost all its products and ads. Tencent's low shareholding doesn't provide much reassurance. In addition, SMBs attrition rate has been high and acquisition costs seem to be high as well. 

Weimob Pre-IPO - Can Be Steamrolled by Tencent, Anytime

China

Weimob Inc. provides targetedmarketing services. The Company offers product display, orderintake and payment processing, customer relationship management, and social media marketing services. Weimob provides services in China.

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

Weimob Inc. (2013 HK)

Weimob IPO Preview: Aggressive Accounting Makes a Big Dent in the Growth Story

Weimob.com (1260480D CH) is a combination of a SaaS software and an adtech (targeted marketing) business. Weimob is the largest third-party service...

Arun George

Weimob Pre-IPO - Can Be Steamrolled by Tencent, Anytime

Weimob, a Tencent Holdings (700 HK) and GIC investee company, plans to raise over US$100m in its Hong Kong listing. Weimob is a SaaS solutions...

Sumeet Singh

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)