ECM Weekly (23 Feb 2020) - SBI Cards, Peijia Medical, Shenzhen Hepalink, Home First Finance

337 Views23 Feb 2020 12:47

Aequitas Research puts out a weekly update on the deals that have been covered by the team recently along with updates for upcoming IPOs.

Hong Kong market continued to stay fairly quiet this week but markets may be gaining back momentum. We are hearing that China Bright Culture Group (CBCG HK) will likely launch its book next week and look to price early March. The company is a second tier TV program production company in China was last reported to seek US$150m in its IPO. Ke Yan, CFA, FRM has already covered the deal earlier in:

There were also news reporting that Megvii Technology (1737211D HK) will be looking to refile its prospectus soon after it has updated its 2019 financials.

In India, SBI Cards (SBICARDS IN) is looking to open its books on 2 March 2020 while the anchor book will be open for one day on the 28th of February. According to reports, the company has already set its price range at Rs750–Rs755 per share which will raise about Rs100bn (US$1.39bn). Sumeet Singh also already looked at the valuation based on the reported price range in his latest note:

For the complete coverage of the company, see the notes below:

In Singapore, United Hampshire U.S. REIT was said to be looking to kick of investor roadshow for its IPO as early as next week and the REIT is looking to raise about US$350m. This is likely aided by Elite Commercial REIT's good debut earlier this month. We will cover the IPO when the prospectus is available.

Strangely, this week has been a relatively busier week for Australia. We saw primary and secondary placements from five companies, Bendigo And Adelaide Bank (BEN AU), Coles Group Ltd (COL AU), Orica Ltd (ORI AU), Viva Energy Reit (VVR AU), and New Hope Corp (NHC AU). Most of the deals have been holding up above their respective deal price except for Coles and New Hope Corp.

Accuracy Rate:

Our overall accuracy rate is 73.5% for IPOs and 65% for Placements

(Performance measurement criteria is explained at the end of the note)

New IPO filings this week

  • Hygeia Healthcare (Hong Kong, ~US$200m)

Below is a snippet of our IPO tool showing upcoming events for the next week. The IPO tool is designed to provide readers with timely information on all IPO related events (Book open/closing, listing, initiation, lock-up expiry, etc) for all the deals that we have worked on. You can access the tool here or through the tools menu.

News on Upcoming IPOs

Analysis on Upcoming IPOs

Hong Kong
Akeso BioAkesobio (康方生物) Pre-IPO: Late in the PD-1 Game but Products Are Promising
Ant FinancialAnt Financial IPO Early Thought: Understand Fintech Empire, Growth & Risk Factors

ByteDance (字节跳动) IPO: How Jinri Toutiao Paves The Way for a Bigger Empire (Part 1)


ByteDance (字节跳动) Pre-IPO: Why Facebook Should Worry About TikTok


ByteDance (字节跳动) IPO: Tiktok the No.1 Short Video App for a Good Reason (Part 2)


ByteDance (字节跳动) Pre-IPO: How Has It Done in 1H?


ByteDance: The Unlisted Company’s Video Apps Leading the Market and Threatening Internet Giants


ByteDance (字节跳动) Pre-IPO: Why Facebook Should Worry About TikTok


Helenbergh (海伦堡) Early Thoughts - The Usual Red Flag - Related Party Transactions


Shenzhen Hepalink (海瑞普) A+H: A Heparin-API King but Nothing Too Exciting


InnoCare (诺诚健华) Pre-IPO: A Decent Team but Short of Clinical Stage Candidates


InnoCare (诺诚健华) Pre-IPO: Thoughts on Valuation


Jiumaojiu (九毛九) Pre-IPO Early Thoughts - New Brand Driving Growth


Kilcoy Global Foods Pre-IPO - Rapid Earnings Growth on the Back of Margin Improvement


Kilcoy Global Foods Pre-IPO - A Lot of Things Still Remain Unexplained

MegviiMegvii (旷视) Pre-IPO - Remarkable Growth (Part 1)
MegviiMegvii (旷视) Pre-IPO - A Bet on the Future - Segments, Revenue Drivers and Growth Potential
MegviiMegvii (旷视) Pre-IPO - The Real Race Is in Research - Founders' Profile and Talent
MegviiMegvii (旷视) Pre-IPO - Competitive Landscape and Peer Analysis
MegviiMegvii (旷视) Pre-IPO - Initial Thoughts on Valuation
MicuRxMicuRx Pharma (盟科医药) IPO: Betting on Single Drug in the Not so Attractive Antibiotic Segment
PeijiaPeijia Medical (沛嘉医疗) Pre-IPO: Reminiscence of Venus Medtech?

Smoore Tech (麦克韦尔) IPO: Hidden E-Cigarette Player Behind the FEELM Technology


Smoore Tech (麦克韦尔) Pre-IPO: 6Y and 1H2019 Financials Show Technology Driven Growth


Smoore Intl (思摩尔国际) Pre-IPO: Tripling Capacity in Three Years


Smoore Intl (思摩尔国际) Pre-IPO: Thoughts on E-Cig Regulation

TaslyTasly Biopharm (天士力生物) IPO: Visible Growth from Approved Drug but Lacks Blockbusters
YeahkaYeahka (移卡) Pre-IPO Review - Growing in an Increasingly Competitive Space
YeahkaYeahka (移卡) Pre-IPO - Peer Analysis and Early Thoughts on Valuation
ASKASK Investment Managers Pre-IPO - Riding on a Wave of Wealth
Aakash EduAakash Education Pre-IPO - Fast Growth in an Attractive Sector
Anmol IndAnmol Industries Pre-IPO Quick Take - No Growth, Generous Payments to Founders
Bharat Hotel

Bharat Hotels Pre-IPO - Catching up with Peers

Burger King

Burger King India Pre-IPO - Has Been Growing Fast and Plans to Grow Even Faster

Burger King

Burger King India Pre-IPO - Peer Comparison Yields Interesting Nuggets on Profitability and Capex

Bajaj En

Bajaj Energy Pre-IPO - Supposed to Deliver Steady Performance if Only Its Sole Client Would Let It

CAMSCAMS Pre-IPO - Quasi Monopoly Status Muddled by Inconsistent Performance
CMS InfoCMS Info Systems Pre-IPO - When a PE Sells to Another PE... Only One Gets the Timing Right
Crystal CropCrystal Crop Protection Pre-IPO - DRHP Raises More Questions than in Answers
Equitas SFBEquitas Small Finance Bank Pre-IPO - Another Forced Small Finance Bank Listing
Equitas SFBEquitas Small Finance Bank Pre-IPO - Another Forced Small Finance Bank Listing
Flemingo Flemingo Travel Retail Pre-IPO - Its a Different Business in Every Country
Emami CemEmami Cement Pre-IPO - Still in Ramp Up Phase but Shares Pledge Might Lead to an Early IPO
NSENSE IPO Preview- Not Only Fast..its Risky and Expensive
NSENational Stock Exchange Pre-IPO Review - Bigger, Better, Stronger but a Little Too Fast for Some
MazagonMazagon Dock IPO Preview: A Monopoly Submarine Yard in India with Captive Navy Spending
MindspaceMindspace Business Parks REIT Pre-IPO - Decent Growth but Not All Assets Are Equal
Mrs. BectorMrs. Bectors Food Specialities Pre-IPO Quick Take - Sales for Its Main Segment Have Been Sta


Life Insurance Corporation of India Pre-IPO - Early Take on India's Largest IPO


Lodha Developers Pre-IPO - Second Time Lucky but Not Really that Much Affordable
LodhaLodha Developers IPO: Presence in Affordable Segment Saves Lodha the Blushes in a Sluggish Mkt
Penna CemPenna Cement - Aggressive Expansion Plans Even Though Past Performance Has Been Tepid
PNB MetPNB Metlife Pre-IPO Quick Take - Doesn't Stack up Well Versus Its Larger Peers
Samhi HotelsSamhi Hotels Pre-IPO - Assets and Borrowings Are Growing, but Earnings Haven’t Kept Pace
SBI CardsSBI Cards and Payments Pre-IPO - The Positives - Ticks a Lot of Boxes
SBI CardsSBI Cards and Payments Pre-IPO - The Negatives - Banking on a Single Growth Driver
SBI CardsSBI Cards and Payments Pre-IPO - Valuations - A Tale of Two Revenue Streams
Mr DIYMr D.I.Y. Pre-IPO - Largest Home Improvement Retailer in Malaysia
Mr DIYMr D.I.Y. Pre-IPO - Store Walk-Through and Thoughts on Value Proposition
Mr DIYMr D.I.Y. Pre-IPO - Peer Comparison - Small Stores with Dominant Market Share
Mr DIYMr D.I.Y. Pre-IPO - Assumptions and Thoughts on Valuation
QSRQSR Brands Pre-IPO - As Healthy as Fast Food
The U.S
CDPCDP Holdings Pre-IPO Review - Highly Reliant on Best Inc.
CloudMindsCloudMinds Inc Early Thoughts - Still Nascent
Kingsoft CloudKingsoft Cloud (金山云) Pre-IPO: The Leading Cloud Provider in China
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