ECM Daily Briefs | Page 32 of 161

In today’s briefing:

ECM Weekly (27th Jan 2025) – CATL, HDB Financial, Dr Agarwal’s, Eco-Shop, Vikran, Sanil, Timee
SailPoint IPO Preview: A Well-Established Provider of Identity Management, First SaaS US IPO In 2025

ECM Weekly (27th Jan 2025) – CATL, HDB Financial, Dr Agarwal’s, Eco-Shop, Vikran, Sanil, Timee

Aequitas Research’s weekly update on the IPOs, placements, lockup expiry and other ECM linked events that were covered by the team over the past week.
On the IPO front, we had a look at the possible A/H listing for Contemporary Amperex Technology (CATL) (300750 CH), along with a few large IPOs in India .
On the placements front, while there weren’t any large deals launched, we did look at the lockup expiry for Timee Inc (215A JP) and Sanil Electric (062040 KS).

SailPoint IPO Preview: A Well-Established Provider of Identity Management, First SaaS US IPO In 2025

By Andrei Zakharov

SailPoint, a pioneer and leader in identity industry with the best identity governance product, filed to go public in January.
Thoma Bravo-backed technology company has a best-in-class product within a large market opportunity. They secure large enterprises and grow at scale.
SailPoint has completed its first IPO in 2017 and raised =$160M. Then, the company was reacquired by Thoma Bravo and now they plan to reportedly go public.

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Jan 26

Daily Brief ECM: Dongbang Medical IPO Book Building Results Analysis and more

In today’s briefing:

Dongbang Medical IPO Book Building Results Analysis

Dongbang Medical IPO Book Building Results Analysis

Dongbang Medical reported excellent IPO book building results. The IPO price has been finalized at 10,500 won. The demand ratio from the institutional investors was 910 to 1.
Our base case valuation of Dongbang Medical is target price of 13,609 won per share which is 30% higher than the IPO price of 10,500 won.
Dongbang Medical specializes in the manufacturing and distribution of acupuncture needles, various cosmetic devices, and other medical devices.

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Jan 25

Daily Brief ECM: Seoul Guarantee IPO: Price Cut and more

In today’s briefing:

Seoul Guarantee IPO: Price Cut, Dividend Focus, But Overhang and Weak Earnings May Hurt
Seoul Guarantee Insurance Corp IPO Preview (Significantly Lower IPO Price Range)
Smithfield Foods (SFD): IPO Provides a Compelling Discount to Industry Peers
Beta Bionic, Inc. (BBNX): IPO Is An “Execution Story” And in Growth Mode
Infinity Natural Resources (INR): Lean & Unlevered IPO Is Next Intriguing Energy Play
Venture Global Inc. (VG): First Large IPO of the Year Falls Flat Following Massive Cut in Price

Seoul Guarantee IPO: Price Cut, Dividend Focus, But Overhang and Weak Earnings May Hurt

By Sanghyun Park

Seoul Guarantee Insurance is sticking to the same playbook, focusing on boosting dividend appeal, with a better price and the 100% secondary sell-down and KDIC stake dump still in place.
There’s doubt about market interest, as the performance drop from 2023 to 2024 raises concerns over meeting the 200B KRW minimum dividend promise.
Seoul Guarantee is Korea’s only pure-play surety insurer, tied to the domestic economy. The IPO lacks a growth plan to reduce this reliance, which would’ve been a key win.

Seoul Guarantee Insurance Corp IPO Preview (Significantly Lower IPO Price Range)

Seoul Guarantee Insurance Corp (SGIC) is trying for another attempt at an IPO at much lower IPO price range. The IPO price range is from 26,000 won to 31,800 won.
At the high end of the IPO price range, the IPO offering size is 222 billion won. The IPO price range has been lowered by 34% to 39%.
Despite the company’s consistent record of generating positive operating profit, its lack of sales growth and declining operating margins in 2024 remain key concerns.

Smithfield Foods (SFD): IPO Provides a Compelling Discount to Industry Peers

The company is seeking a market cap of $9.1b-$10.7b based on the $23-$27 range.
A high end pricing for Smithfield values the company at roughly 13.5x this year’s earnings, a sizable discount to comps Hormel Foods (about 21x) and Tyson Foods (26x).
It is our opinion that the business model is well-rounded, resilient and stable with multiple-organic growth levers.

Beta Bionic, Inc. (BBNX): IPO Is An “Execution Story” And in Growth Mode

The company has jumped from just eight sales territories in Q2 2023 to 43 sales to end 2024 with more than 15,000 units installed.
An existing shareholder is on the cover of the prospectus with a concurrent private placement
Medical Device IPOs have a strong history of success as many are poised for growth

Infinity Natural Resources (INR): Lean & Unlevered IPO Is Next Intriguing Energy Play

With an unlevered balance sheet, Infinity Natural Resources is set to for both organic and M&A growth post-IPO.
The company is coming public at a discount to peers Diversified Energy, Gulfport Energy and Magnolia Oil & Gas.
Early channel check of this offering revealed that the deal is oversubscribed with a high-quality schedule across different regions.

Venture Global Inc. (VG): First Large IPO of the Year Falls Flat Following Massive Cut in Price

Venture Global priced 70 million shares at $25 and the stock closed 4% below issue in its opening session.
The underwriting lineup grossly mispriced the IPO from the start and needed to drastically reduce the price range of the transaction.
The impact to the greater IPO market will be felt on the next large transaction.

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Jan 24

Daily Brief ECM: Guming Holdings (Good Me) IPO: The Bear Case and more

In today’s briefing:

Guming Holdings (Good Me) IPO: The Bear Case
TXR Robotics IPO Preview
Dr Agarwal’s Healthcare Pre-IPO – Strong Revenue Growth Led by Expanding Network of Facilities
Sichuan Biokin (百利天恒) H-Listing: Impressive Clinical Results so Far
Continuum Green Energy Pre-IPO: ESG Friendly but Burning Prodigious Amounts of Cash

Guming Holdings (Good Me) IPO: The Bear Case

By Arun George

Guming Holdings (GUM HK) (Good me), a freshly-made tea store brand, is pre-marketing an HKEx IPO to raise US$300 million, according to press reports.
In Guming Holdings (Good Me) IPO: The Bull Case, we highlighted the key elements of the bull case. In this note, we outline the bear case.
The bear case rests on under-pressure store KPIs, unsustainable historical growth rates, declining contract liabilities, margin pressure due to competition and a sizeable pre-IPO dividend.

TXR Robotics IPO Preview

TXR Robotics is getting ready to complete its IPO in KOSDAQ in March 2025. TXR Robotics is a robot and logistics automation company in Korea.
The company plans to offer 3.075 million shares in the IPO. The IPO price range is from 11,500 won to 13,500 won.
The bankers used PSR method to value TXR Robotics. The bankers used five companies including Yuil Robotics, Robotis, Neuromeka Co, Kornic Automation, and Hyundai Movex as comps.

Dr Agarwal’s Healthcare Pre-IPO – Strong Revenue Growth Led by Expanding Network of Facilities

By Akshat Shah

Dr Agarwal’s Health Care Ltd (8140044Z IN) is looking to raise about US$480m in its upcoming India IPO.
Dr Agarwal’s Health Care is a healthcare/hospital chain in India providing eyecare services, including surgeries; consultations, diagnoses, non-surgical treatments; and sells opticals, contact lens, accessories and eyecare related pharmaceutical products.
In this note, we talk about the company’s historical performance.

Sichuan Biokin (百利天恒) H-Listing: Impressive Clinical Results so Far

By Ke Yan, CFA, FRM

Sichuan Biokin is looking at a A-H listing and is looking to raise up to USD 500 million.
In this note we look at the company’s fundamentals briefly including its heavyweight product BL-B01D1. We also examine its deal with BMS.
The stock has performed well on Shanghai STAR board since its A share listing.

Continuum Green Energy Pre-IPO: ESG Friendly but Burning Prodigious Amounts of Cash

By Nicholas Tan

Continuum Green Energy Ltd (1580973D IN) is looking to raise about US$430m in its upcoming India IPO.
Continuum Green Energy (CGE) is an independent power producer (IPP) with over 14 years of experience in identifying, developing, constructing and operating renewable energy projects in India.
In this note, we look at the firm’s past performance.

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Jan 23

Daily Brief ECM: Details of New IPO System Improvement Measures in Korea and more

In today’s briefing:

Details of New IPO System Improvement Measures in Korea
Venture Global Inc. (VG): IPO Terms Slashed by 40% in Reworking of Deal
HDB Financial Services Pre-IPO – The Positives – Reputed Parent and Strong AUM Growth
Vikran Engineering Limited Pre-IPO – Capitalizing On Core Competencies But With Concentration Risks
HDB Financial Services Pre-IPO – The Negatives – Performance Has Been Slipping
SailPoint, Inc. (SAIL) — Thoma Bravo Backed Cybersecurity Company Ready for IPO (Again)
Beta Bionics IPO: Will The Innovative MedTech Company Repeat The Success of Livongo Health?
Beta Bionic, Inc. (BBNX): IPO Terms Set for Medical Device Company Aiding Insulin Patients
Sionna Therapeutics, Inc. (SION): Biotech for Patients with Cystic Fibrosis Filed for IPO

Details of New IPO System Improvement Measures in Korea

The FSC announced the details of its new IPO system improvement measures in Korea on 21 January.
New rules will discourage the rampant first day trading of Korean IPOs. In 74 out of 77 IPOs in 2024, institutional investors were “net sellers” on the listing date.
Rather, the new rules will encourage the investors to take more longer term approach to investing in Korean IPOs.

Venture Global Inc. (VG): IPO Terms Slashed by 40% in Reworking of Deal

The company reduced the range from $40-$46 to $23-$27 and increased the amount of shares offered by the company from 50.0mm shares –> 70.0mm shares.
It is highly unusual that the underwriting lineup, company and buy-side was so misaligned on valuation leading to this massive slashing of the deal.
The deal is considered “oversubscribed” with several significant anchor orders placed following the reworking of terms.

HDB Financial Services Pre-IPO – The Positives – Reputed Parent and Strong AUM Growth

HDB Financial Services (HDBFS) is looking to raise around US$1.5bn in its upcoming India IPO.
HDBFS is a leading retail-focused non-banking financial company (NBFC) in India, in terms of total gross loan book size, according to the CRISIL Report.
In this note, we talk about the positive aspects of the deal.

Vikran Engineering Limited Pre-IPO – Capitalizing On Core Competencies But With Concentration Risks

By Rosita Fernandes

Vikran Engineering Limited (1635154D IN) (VEL) is planning to raise about US$119m through its upcoming India IPO.
Vikran Engineering Limited (VEL) based in Mumbai, operates as an Engineering, Procurement & Construction (EPC) firm, focusing on power, water, and railway infrastructure projects.
According to CRISIL Report, VEL has experienced fastest growth in profitability, with a 236.94% CAGR growth in PAT and a 130.02% CAGR growth in EBITDA between FY22 to FY24.

HDB Financial Services Pre-IPO – The Negatives – Performance Has Been Slipping

HDB Financial Services is looking to raise around US$1.5bn in its upcoming India IPO.
HDBFS is a leading retail-focused non-banking financial company (NBFC) in India, in terms of total gross loan book size, according to the CRISIL Report.
In this note, we talk about the not-so-positive aspects of the deal.

SailPoint, Inc. (SAIL) — Thoma Bravo Backed Cybersecurity Company Ready for IPO (Again)

SailPoint, a company that delivers solutions to enable comprehensive identity security for the enterprise, filed for an IPO.
SailPoint is sponsor-backed by Thoma Bravo who took the company private in August 2022 for $6.9bn
As of January 31, 2022, 2023, and 2024, their ARR was $374.6 million, $520.1 million, and $681.8 million, respectively, representing year-over-year growth of 44%, 39%, and 31%, respectively.

Beta Bionics IPO: Will The Innovative MedTech Company Repeat The Success of Livongo Health?

By Andrei Zakharov

Beta Bionics, a high-growth medtech company and developer of an integrated bionics pancreas system called iLet, filed for an IPO in the United States.
Maker of insulin delivery device cleared by the FDA offers 7.5M shares at a price range between $14.00 and $16.00 per share.
With the most recent S-1/A, Beta Bionics plans to raise ~$122M at the high end of range at $16.00 per share, including a concurrent private placement.

Beta Bionic, Inc. (BBNX): IPO Terms Set for Medical Device Company Aiding Insulin Patients

Beta Bionic, Inc. set terms for an IPO that could raise up to $120 million
The IPO is led by Bank of America Securities and is scheduled to debut on Thursday, 1/30.
The company’s product, iLet Bionic Pancreas, was approved by the FDA in May 2023 and posted $44.7 million in sales for the nine months ended September 30, 2024.

Sionna Therapeutics, Inc. (SION): Biotech for Patients with Cystic Fibrosis Filed for IPO

Biopharmaceutical company on a mission to revolutionize the current treatment paradigm for cystic fibrosis filed for IPO.
Company’s NBD1 stabilizers, are both in Phase 1 healthy volunteer trials in Australia to evaluate their PK profile, safety and tolerability.
RA Capital, TPG’s the Rise Fund, Atlas Venture, OrbiMed and Enavate Sciences are all among existing investors.

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Jan 22

Daily Brief ECM: Korea’s Financial Regs Drop New IPO Allocation and Delisting Rules: What It Means and What to Expect and more

In today’s briefing:

Korea’s Financial Regs Drop New IPO Allocation and Delisting Rules: What It Means and What to Expect
HKEx Consultation Paper – What Matters for ECM Investors
Smithfield Foods (SFD): Terms Set for WH Group’s Spin-Off
Guming Holdings (Good Me) IPO: The Bull Case
Guming (Good Me) IPO: Key Facts and Financials at First Glance
Odyssey Therapeutics, Inc.(ODTX): Biotech Combating Ulcerative Colitis, or UC, Files for IPO
Infinity Natural Resources (INR): Peeking at the Prospectus of Next Oil & Natural Gas Assets IPO

Korea’s Financial Regs Drop New IPO Allocation and Delisting Rules: What It Means and What to Expect

By Sanghyun Park

We might see a liquidity crunch post-listing, with tighter regulations and mandatory holding drying up liquidity, causing more volatile price swings.
Big local players with heavy lock-ups will take a large allocation, creating significant overhang risk at the six-month mark. Stronger IPO eligibility boosts costs, pushing funds toward riskier trades.
Overall, this feels like a quick fix. Rather than focusing on long-term market improvements, we should focus on the new pricing patterns likely to emerge in the short term.

HKEx Consultation Paper – What Matters for ECM Investors

By Ke Yan, CFA, FRM

Stock Exchange of Hong Kong issued a consultation paper titled Proposals to Optimise IPO Price Discovery and Open Market Requirements with new mechanisms proposed for the IPO in the future.
In this note, we summarize key points for ECM investors and analyze the impact from a historical perspective the impact for ECM investors.
We are of the view that overall the changes will benefit ECM investors by reallocating a portion of the profits from cornerstone investors.

Smithfield Foods (SFD): Terms Set for WH Group’s Spin-Off

Spin-Off of WH Group’s could raise up to $939 million if priced at the high-end of the range
The IPO is set to price on Monday January 27th for a Tuesday, January 28th debut
Flash numbers revealed sales for the three months ended December 29, 2024 will range from $3,873 million to $3,953 million (prev. year $3,998 million)

Guming Holdings (Good Me) IPO: The Bull Case

By Arun George

Guming Holdings (GUM HK) (Good me), a freshly-made tea store brand, is pre-marketing an HKEx IPO to raise US$300 million, according to press reports.
Guming is China’s largest mid-priced freshly-made tea store brand and the second largest freshly-made brand across all price ranges, regarding GMV in 2023.
The bull case rests on a rising market share, strong franchisee profitability, top-tier revenue growth, high margins, cash generation and a strong balance sheet.

Guming (Good Me) IPO: Key Facts and Financials at First Glance

By Devi Subhakesan

Guming Holdings (GUM HK), a leading player in China’s freshly-made branded beverage sector, is widely expected to launch its IPO soon.
Guming’s Good Me brand is China’s largest mid-priced freshly-made tea store brand in terms of store count as well as GMV.
Guming reported robust revenue and profit growth for first nine months of 2024 led by new store openings, although same-store sales declined due to rising competition and weak consumer spending.

Odyssey Therapeutics, Inc.(ODTX): Biotech Combating Ulcerative Colitis, or UC, Files for IPO

Biotech seeking to transform the standard of care for patients suffering from autoimmune and inflammatory diseases filed its IPO on January 18th
Lead program, OD-07656, is currently in a Phase 2a monotherapy trial for ulcerative colitis
Potential IPO for Odyssey Therapeutics would be the first half of February

Infinity Natural Resources (INR): Peeking at the Prospectus of Next Oil & Natural Gas Assets IPO

Oil & Natural Gas company focusing on the Appalachian Basin sets terms for its IPO
The company is offering 13.25mm shares at a range of $18.00-$21.00 and will debut on Friday, January 31
Total oil, natural gas and NGL net revenues for the nine months ended September 30, 2024 increased by $100.6 million, or 114%

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Jan 21

Daily Brief ECM: Eco-Shop Marketing Pre-IPO: Malaysia’s Leading Dollar-Store and more

In today’s briefing:

Eco-Shop Marketing Pre-IPO: Malaysia’s Leading Dollar-Store

Eco-Shop Marketing Pre-IPO: Malaysia’s Leading Dollar-Store

By Nicholas Tan

Eco-Shop Marketing (ECO MY) is looking to raise about US$226m in its upcoming Malaysia IPO.
ES is the largest dollar chain in Malaysia, as per the number of stores it operates. The firm operates an extensive network of stores across Malaysia.
In this note, we look at the firm’s past performance.

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Jan 20

Daily Brief ECM: ECM Weekly (20th Jan 2025) – Guming and more

In today’s briefing:

ECM Weekly (20th Jan 2025) – Guming, LG India, Schloss (Leela), Freetech, Chongqing Terminus, Murata
Pre-IPO Guming Holdings (PHIP Updates) – Some Points Worth the Attention
Titan America (TTAM): Peeking at the Prospectus of Potential February IPO for Titan Cement’s US Unit

ECM Weekly (20th Jan 2025) – Guming, LG India, Schloss (Leela), Freetech, Chongqing Terminus, Murata

Aequitas Research’s weekly update on the IPOs, placements, lockup expiry and other ECM linked events that were covered by the team over the past week.
On the IPO front, Guming Holdings appears to be gearing up for a launch soon.
On the placements front, while Wuxi XDC failed to perform, Murata Manufacturing (6981 JP) has been holding up so far.

Pre-IPO Guming Holdings (PHIP Updates) – Some Points Worth the Attention

By Xinyao (Criss) Wang

Due to intense competition, freshly-made beverage market has shown signs of saturation after rapid growth in previous years. Guming is currently in a bottleneck period. Future performance growth will decline.
Due to a decrease in consumption, we have seen the price war in this industry. We think Guming’s profit margin performance will decline in the future if it reduces prices.
Guming’s valuation should be higher than Nayuki Holdings (2150 HK) and Sichuan Baicha Baidao Industrial (2555 HK) due to larger revenue scale/higher net profit margin, but lower than MIXUE.

Titan America (TTAM): Peeking at the Prospectus of Potential February IPO for Titan Cement’s US Unit

Company is a manufacturer and supplier of heavy building materials and services operating primarily on the Eastern Seaboard of the United States
They have experienced 50% revenue growth, 150% net income growth and 65% Adjusted EBITDA growth from fiscal 2019 to fiscal 2023.
New York Stock Exchange to list the US unit of Brussels-based Titan Cement International SA

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Jan 19

Daily Brief ECM: Metsera and more

In today’s briefing:

Metsera, Inc. (MTSR): Peeking at the Prospectus for the Next Obesity and Metabolic Diseases Biotech

Metsera, Inc. (MTSR): Peeking at the Prospectus for the Next Obesity and Metabolic Diseases Biotech

Biotechnology company developing next-generation injectable and oral nutrient stimulated hormone, or NuSH, analog peptides to treat obesity, overweight and related conditions filed for Q1 IPO
Preliminary Phase 2 results in January suggested a durable pharmacodynamic, or PD, effect consistent with the observed half-life.
ARCH Ventures along with Fidelity are among the existing shareholders as this company enters begins its road to be a publicly traded company

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Jan 18

Daily Brief ECM: LG CNS IPO Book Building Results Analysis and more

In today’s briefing:

LG CNS IPO Book Building Results Analysis
Schloss Bangalore Pre-IPO – Diversified Luxury Portfolio but Comes with High Debt
Maze Therapeutics Inc. (MAZE): Phase 2 Biopharma Targeting Kidney Disease Files for IPO.

LG CNS IPO Book Building Results Analysis

LG CNS reported a successful IPO book building results analysis. The IPO price has been finalized at 61,900 won per share (high end of the IPO price range).
The demand ratio from the institutional investors was 114 to 1. At the IPO price of 61,900 won, the expected market cap will be 6 trillion won.
According to our valuation analysis, it suggests a base case target price of 76,383 won per share, which represents a 23% upside from the IPO price of 61,900 won.

Schloss Bangalore Pre-IPO – Diversified Luxury Portfolio but Comes with High Debt

By Akshat Shah

Schloss Bangalore Ltd (SCHBL IN) is looking to raise about US$600m in its upcoming India IPO.
It is a luxury hospitality company which owns, operates, manages and develops luxury hotels and resorts under ‘The Leela’ brand, through direct ownership and hotel management agreements with third-party owners.
In this note, we talk about the company’s historical performance.

Maze Therapeutics Inc. (MAZE): Phase 2 Biopharma Targeting Kidney Disease Files for IPO.