Korea/Asia, Events, IPOs, Douglas Research Advisory

Douglas Kim

Korea/Asia, Events, IPOs

Douglas Research Advisory

Equity Capital Markets

<ul>
<li>Zijin Gold is getting ready to complete its IPO in Hong Kong this year. A successful IPO of Zijin Gold could fetch as high as US$3 billion in IPO proceeds.</li>
<li>Zijin Gold had sales of US$3.0 billion (up 32.2% YoY) in 2024. Net margin increased from 14.2% in 2023 to 20.8% in 2024. </li>
<li>There has been a sharp increase in the gap between gold AISC (all-in-sustaining cost) and gold price in the past year, leading to higher profit margins of gold producers globally. </li>
</ul>


Zijin Gold is getting ready to complete its IPO in Hong Kong this year. A successful IPO of Zijin Gold could fetch as high as US$3 billion in IPO proceeds.
Zijin Gold had sales of US$3.0 billion (up 32.2% YoY) in 2024. Net margin increased from 14.2% in 2023 to 20.8% in 2024. 
There has been a sharp increase in the gap between gold AISC (all-in-sustaining cost) and gold price in the past year, leading to higher profit margins of gold producers globally. 


Global Materials | Industrials | Commodities

Rahul Jain

Equity Bottom-Up

<ul>
<li>Zijin Mining is spinning off its seven overseas gold mines into Zijin Gold International, creating a dedicated, pure-play gold producer and positioning it for a Hong Kong IPO.</li>
<li>The IPO proceeds will primarily fund mine upgrades and overseas M&amp;A, with a portion earmarked to reinforce the balance sheet and corporate flexibility.</li>
<li>With media reports suggesting a $3B+ IPO size and potential launch in September, coupled with gold rallying above $3,600/oz, investor appetite around the listing is notably heightened.</li>
</ul>


Zijin Mining is spinning off its seven overseas gold mines into Zijin Gold International, creating a dedicated, pure-play gold producer and positioning it for a Hong Kong IPO.
The IPO proceeds will primarily fund mine upgrades and overseas M&amp;A, with a portion earmarked to reinforce the balance sheet and corporate flexibility.
With media reports suggesting a $3B+ IPO size and potential launch in September, coupled with gold rallying above $3,600/oz, investor appetite around the listing is notably heightened.


Zijin Gold International – Creating a Global Pure-Play Gold Champion

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.

<ul>
<li>
<a href="https://www.smartkarma.com/entities/zijin-gold" target="_blank" data-smartkarma-citation="entities:45448:1" rel="noopener">Zijin Gold (2579355D HK)</a> is a global leading gold mining company and the overseas gold segment of <a href="https://www.smartkarma.com/entities/zijin-mining-group-co-ltd" target="_blank" data-smartkarma-citation="entities:24628:1" rel="noopener">Zijin Mining Group (601899 CH)</a>. It is seeking to raise US$3 billion.  </li>
<li>Zijin Gold hold interests in eight gold mines located in gold-rich regions across South America, Oceania, Central Asia and Africa.</li>
<li>The investment case is bullish due to a diversified mine portfolio, strong growth, an attractive margin profile, robust cash generation, and modest leverage.</li>
</ul>



Zijin Gold (2579355D HK) is a global leading gold mining company and the overseas gold segment of Zijin Mining Group (601899 CH). It is seeking to raise US$3 billion.  
Zijin Gold hold interests in eight gold mines located in gold-rich regions across South America, Oceania, Central Asia and Africa.
The investment case is bullish due to a diversified mine portfolio, strong growth, an attractive margin profile, robust cash generation, and modest leverage.


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

Ke Yan, CFA, FRM

Asia Pac IPO & Placement Research, China biotech

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.

Quantitative Analysis

<ul>
<li>We analyse the changes of A-H premium on 157 stocks over the last week. The average A-H premium was 60.1% as of Sep 5th.</li>
<li>The average A-H premium changed by -0.9ppt week-on-week, led by utilities, energy, health care and offset by real estate, consumer discretionary.</li>
<li>We highlight weekly changes in A-H premium for China Zheshang Bank, China Communications Construction, Goldwind, Weichai Power.</li>
</ul>


We analyse the changes of A-H premium on 157 stocks over the last week. The average A-H premium was 60.1% as of Sep 5th.
The average A-H premium changed by -0.9ppt week-on-week, led by utilities, energy, health care and offset by real estate, consumer discretionary.
We highlight weekly changes in A-H premium for China Zheshang Bank, China Communications Construction, Goldwind, Weichai Power.


A-H Premium Weekly (Sep 5th): China Zheshang Bank, China Communications Construction, Goldwind

<ul>
<li>We analyzed the latest HK SFC report for aggregate short position as of Aug 29th.</li>
<li>Top short increases and decreases were tabulated for one week and four week period.</li>
<li>We highlight short changes in TraHK HSI ETF, China Hongqiao, Xiaomi, Meituan, Hua Hong Semiconductor, Horizon Robotics.</li>
</ul>


We analyzed the latest HK SFC report for aggregate short position as of Aug 29th.
Top short increases and decreases were tabulated for one week and four week period.
We highlight short changes in TraHK HSI ETF, China Hongqiao, Xiaomi, Meituan, Hua Hong Semiconductor, Horizon Robotics.


HK Short Interest Weekly: China Hongqiao, Xiaomi, Meituan, Hua Hong Semiconductor

China

Zijin Mining Group Co., Ltd., through its subsidiaries, explores, mines, produces, refines, and sells gold and other mineral resources in China.

Price Gauge
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Zijin Mining Group Co Ltd H (2899 HK)

Zijin Gold IPO Preview

Zijin Gold is getting ready to complete its IPO in Hong Kong this year. A successful IPO of Zijin Gold could fetch as high as US$3 billion in IPO...

Douglas Kim

Zijin Gold International – Creating a Global Pure-Play Gold Champion

Zijin Mining to spin off overseas gold mines into Zijin Gold International for Hong Kong IPO, with proceeds funding upgrades, M&A, and bolstering...

Rahul Jain

Zijin Gold IPO: The Investment Case

Zijin Gold, the overseas gold segment of Zijin Mining, is seeking to raise US$3 billion. In this note, I discuss the investment case.

Arun George

A-H Premium Weekly (Sep 5th): China Zheshang Bank, China Communications Construction, Goldwind

We analyzed A-H premium changes in the past week and highlight A-H premium changes for China Zheshang Bank, China Communications Construction,...

Ke Yan, CFA, FRM

HK Short Interest Weekly: China Hongqiao, Xiaomi, Meituan, Hua Hong Semiconductor

We analyzed the latest HK SFC report for aggregate short position as of Aug 29th and highlight short interest changes in China Hongqiao (1378 HK),...

Ke Yan, CFA, FRM

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)

Zijin Gold IPO Preview

Zijin Gold is getting ready to complete its IPO in Hong Kong this year. A successful IPO of Zijin Gold could fetch as high as US$3 billion in IPO...

Douglas Kim

Zijin Gold International – Creating a Global Pure-Play Gold Champion

​Zijin Mining to spin off overseas gold mines into Zijin Gold International for Hong Kong IPO, with proceeds funding upgrades, M&A, and bolstering...

Rahul Jain

Zijin Gold IPO: The Investment Case

Zijin Gold, the overseas gold segment of Zijin Mining, is seeking to raise US$3 billion. In this note, I discuss the investment case.

Arun George

A-H Premium Weekly (Sep 5th): China Zheshang Bank, China Communications Construction, Goldwind

We analyzed A-H premium changes in the past week and highlight A-H premium changes for China Zheshang Bank, China Communications Construction,...

Ke Yan, CFA, FRM

HK Short Interest Weekly: China Hongqiao, Xiaomi, Meituan, Hua Hong Semiconductor

We analyzed the latest HK SFC report for aggregate short position as of Aug 29th and highlight short interest changes in China Hongqiao (1378 HK),...

Ke Yan, CFA, FRM

Zijin Mining to spin off overseas gold mines into Zijin Gold International for Hong Kong IPO, with proceeds funding upgrades, M&A, and bolstering...