In today’s briefing:
- Tianqi Lithium A/H Listing – Back once Again, This Time with a More Compelling Industry Backdrop
- ExaWizards IPO Lock-Up – PE/Investment Funds Coming off Lockup, Could See Some Scattered Selling
- Thai Life Insurance IPO: The Bull Case
- Pre-IPO Beijing Yuanxin Technology Group – Conservative About the Outlook
Tianqi Lithium A/H Listing – Back once Again, This Time with a More Compelling Industry Backdrop
- Tianqi Lithium (TL) is looking to raise up to US$1.5bn via its H-shares listing. It undertakes mining of lithium ore and manufacturing of lithium concentrate, lithium compounds and derivatives.
- TL was the largest producer of mined lithium globally in terms of output and ranked third in terms of revenue generated from lithium in 2020, according to Wood Mackenzie .
- In this note, we look at the company’s past performance and the deal dynamics.
ExaWizards IPO Lock-Up – PE/Investment Funds Coming off Lockup, Could See Some Scattered Selling
- ExaWizards (4259 JP) raised around US$300m in its Japan IPO in Dec 2021, where its IPO had been priced at the top end of its indicative price range.
- ExaWizards is an AI service provider in Japan, it develops and delivers AI products with the aim of addressing industry and social issues.
- While in our view, we would not expect a large block to come from this lockup expiry, we could expect some scattered selling across the shareholders.
Thai Life Insurance IPO: The Bull Case
- Thai Life Insurance (124744Z TB) has started to meet investors ahead of its $1 billion IPO. The roadshow will run till early July with a listing targeted later in July.
- Thai Life is the third-largest life insurer in Thailand with a 12.9% market share as measured by gross premium income in 1Q22.
- The key elements of the bull case rest on a strong brand, the largest agent network, return to APE growth, high persistency ratio and improving VONB margin.
Pre-IPO Beijing Yuanxin Technology Group – Conservative About the Outlook
- Based on the business analysis, Beijing Yuanxin Technology Group Co Ltd (1865453D CH) is more of a traditional offline chain drugstores than a healthcare technology company.
- Yuanxin has been suffering from loss for years. With a gross margin of lower than 10%, it’s going to be tough to turn a profit, leading to concerns on survival.
- Due to the fierce competition in each of its businesses, homogeneous business model, weak financial position, lack of high moat, policy risks, etc., we are conservative about the Company’s outlook.
Before it’s here, it’s on Smartkarma
