In today’s briefing:
- Life Insurance Corporation of India Pre-IPO – Peer Comparison, Quick Thoughts on Rumored Valuations
- OneStore IPO Valuation Analysis
- One Store Pre-IPO – Track Record Has Been Strong, Questions Surround Its Choice of Peers
Life Insurance Corporation of India Pre-IPO – Peer Comparison, Quick Thoughts on Rumored Valuations
- Government of India (GoI) is now said to be looking to raise around US$6-7bn via selling a stake in Life Insurance Corporation of India (LIC) in its upcoming India IPO.
- As of FY21, LIC was the largest life insurer in India with a 64.1% market share in terms of GWP, a 66.2% market share in terms of NBP.
- In this note, we undertake a peer comparison and look at the implied multiples at the rumored valuations.
OneStore IPO Valuation Analysis
- Our base case valuation of OneStore is market cap of 1.3 trillion won and target price of 48,713 won per share (28% higher than the IPO mid-point price range).
- Our valuation of the company is based on P/S multiple of 4.8x (average of the peers) using our estimated sales of 269 billion won for the company in 2022.
- In our comparable companies valuation analysis, we have used the following four Korean companies as comps including Kakao Corp, Naver Corp (035420 KS), AfreecaTV (067160 KS), Kidari Studio (020120 KS).
One Store Pre-IPO – Track Record Has Been Strong, Questions Surround Its Choice of Peers
- ONE Store (ONE KS) is looking to raise up to US$228m in its upcoming Korean IPO.
- One Store is a mobile app market platform, formed by a cooperation between South Korea’s three telecom carriers, together with Naver Corp, an internet firm in South Korea.
- By cutting its commission take rate to attract developers, the firm has managed to turnaround its transaction volume in FY18, leading it to record consecutive quarters of growth.
Before it’s here, it’s on Smartkarma
