Equity Analyst, LightStream Research

Shifara Samsudeen, ACMA, CGMA

A chartered management accountant with more than 10 years of rich experience in investment research and financial analysis. Worked as an equity analyst for one of the world's largest asset managers with USD2.5trn in AUM covering numerous sectors including chemicals, retail, tech, autos, telco, real-estate and banks, globally. Experienced in fundamental equity research, industry research, commodity studies, forensic accounting, and due diligence reviews.

Equity Analyst

Tuya IPO Valuation: Market Leadership and China IoT Exposure Justify Expensive Multiples

Bilibili: Diversified Revenue Streams and Impressive Top Line Growth Justify Current Multiples

Zhihu IPO: Searching for One-Hit Wonder Amidst Diversified Monetisation Channels

Baidu Secondary Listing: At the Crossroads

Tuya IPO: Growing Scale and Expanding IoT SaaS Revenue to Help Margin Expansion (Quantamental)

Cloopen Group IPO: Growing Demand for Cloud Communications and IoT in China to Drive Growth

Tencent Music Secondary: Unlikely for Margins to Expand but Should Remain Stable at Current Level

Panasonic in Talks to Buy Blue Yonder; Supply Chain Management Likely to Be a Key Growth Driver

Long-Short Analysis on Japan, Asia and the World

LightStream Research

LightStream conducts quantitatively rigorous and data-driven analysis with a focus on Japan and Asia.

We consistently cover the Tech, Consumer and Industrial sectors, and provide ECM and Events coverage more broadly.

We supplement traditional qualitative insights from company relationships with a robust quantitative foundation that examines as much historical data as is available.
We further refine the accuracy of our insights and calls through the use of alternative data to flesh out current trends, and through a valuation framework that emphasises non-superficial peer group selection and a proper attempt to understand the metrics and changes that have driven security valuations in the past.

Equity Capital Markets

<p>The Chinese search giant <a href="https://www.smartkarma.com/entities/baidu-inc" target="_blank" data-smartkarma-citation="entities:179:1" rel="noopener">Baidu (BIDU US)</a>  has set the terms for its IPO where it plans to issue 95m shares at a maximum indicative price of HK$295 per share. At the above price, Baidu will raise net proceeds of HK$27.6bn (approx. US$3.6bn). Each ADS represents eight ordinary shares of the company, and the maximum HK offer price implies approx. US$304.3 per ADS, about 12% premium to Baidu’s last close price of US$272.38 per ADS. The Hong Kong offering of 95m shares will constitute approx. 3.4% of the extended share capital of the company.</p><p>In our previous insight on Baidu’s secondary listing, we discussed Baidu’s business segments and highlighted that the next phase of growth for the company will be driven by its AI Cloud business that includes self-driving and intelligent EVs. The top line from AI Cloud business has more than tripled over the past three years. Baidu plans to use 50% of its net IPO proceeds on investing in enhancing its AI and autonomous driving capabilities.</p>

The Chinese search giant Baidu (BIDU US)  has set the terms for its IPO where it plans to issue 95m shares at a maximum indicative price of HK$295 per share. At the above price, Baidu will raise net proceeds of HK$27.6bn (approx. US$3.6bn). Each ADS represents eight ordinary shares of the company, and the maximum HK offer price implies approx. US$304.3 per ADS, about 12% premium to Baidu’s last close price of US$272.38 per ADS. The Hong Kong offering of 95m shares will constitute approx. 3.4% of the extended share capital of the company.In our previous insight on Baidu’s secondary listing, we discussed Baidu’s business segments and highlighted that the next phase of growth for the company will be driven by its AI Cloud business that includes self-driving and intelligent EVs. The top line from AI Cloud business has more than tripled over the past three years. Baidu plans to use 50% of its net IPO proceeds on investing in enhancing its AI and autonomous driving capabilities.

Baidu Secondary: SOTP Offers Decent Upside with Conservative Assumptions