ASEAN Insight Provider, CrossASEAN Research

Angus Mackintosh

In Equity Sales and Research for more than 25 years covering Asian markets. Possesses in-depth knowledge of a wide range of companies, economies, and markets in Asia. Over his career, he has specialised in HK/China and ASEAN markets at various different Investment Banks, most recently heading equities in Indonesia for Bank of America Merrill Lynch in Jakarta for more than three years. Whilst in Jakarta, he produced a well-read daily and weekly product on the Indonesian market, which included company visits, as well as political, economic and sector commentary. A former racing skier, who enjoys ultra-marathons and surfing in his spare time.

ASEAN Insight Provider

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CrossASEAN Research

At CrossASEAN Research we strive to produce unbiased and differentiated on the ground insights on companies across South East Asia. Our Research is produced for the most part after face to face meetings and conversations with company management to dig deep into the long term vision and strategy of the companies we cover. We seek to deliver investable and actionable themes on sectors and markets across SE Asia, often in collaboration with other Insight Providers across the region, pooling the vast experience of the analysts within the Smartkarma Ecosystem. We also offer bespoke work and tailor made trips for our clients. 

Insights across South East Asia

Private Capital Markets

According to the Wall Street Journal,<a href="https://www.smartkarma.com/entities/grabtaxi-holdings-pte-ltd" target="_blank" data-smartkarma-citation="entities:26950:1" rel="noopener"> Grab (0967655D SP)</a> is in talks to go public through a merger with a special purpose acquisition company (SPAC) that could value the SouthEast Asian ride-hailing giant at nearly US$40bn.
<a href="https://www.smartkarma.com/entities/grabtaxi-holdings-pte-ltd" target="_blank" data-smartkarma-citation="entities:26950:1" rel="noopener">Grab (0967655D SP)</a> is discussing the deal with Altimeter Capital Management, which has two existing SPACs, that would value the company at between US$35bn-US$40bn. 
<a href="https://www.smartkarma.com/entities/grabtaxi-holdings-pte-ltd" target="_blank" data-smartkarma-citation="entities:26950:1" rel="noopener">Grab (0967655D SP)</a> would also look to raise between US$3bn-US$4bn through a PIPE funding round with investors but this amount is open to revision and dependent on demand to a large extent. 
If this SPAC deal does not go ahead then <a href="https://www.smartkarma.com/entities/grabtaxi-holdings-pte-ltd" target="_blank" data-smartkarma-citation="entities:26950:1" rel="noopener">Grab (0967655D SP)</a> could revert to an earlier plan to launch a traditional IPO in the US this year.  In our view this would be the more sensible option.
However, it seems like the race is on to be the first Unicorn to list and one way to speed up the process is through a SPAC, even if it is arguably a flawed route to market.
We explore below the recent progress that <a href="https://www.smartkarma.com/entities/grabtaxi-holdings-pte-ltd" target="_blank" data-smartkarma-citation="entities:26950:1" rel="noopener">Grab (0967655D SP)</a> has made with its increasing push towards providing more financial services, which could help to justify higher valuations. 
It may be that Grab is under pressure to list earlier from Softbank after the failed attempt to merge with <a href="https://www.smartkarma.com/entities/gojek" target="_blank" data-smartkarma-citation="entities:25976:1" rel="noopener">Gojek (1379371D IJ).</a> The valuation looks quite high but a lot depends on how fast Grab is able to grow sales in 2021 and whether it can command more than a ride-hailing multiple.

According to the Wall Street Journal, Grab (0967655D SP) is in talks to go public through a merger with a special purpose acquisition company (SPAC) that could value the SouthEast Asian ride-hailing giant at nearly US$40bn.
Grab (0967655D SP) is discussing the deal with Altimeter Capital Management, which has two existing SPACs, that would value the company at between US$35bn-US$40bn. 
Grab (0967655D SP) would also look to raise between US$3bn-US$4bn through a PIPE funding round with investors but this amount is open to revision and dependent on demand to a large extent. 
If this SPAC deal does not go ahead then Grab (0967655D SP) could revert to an earlier plan to launch a traditional IPO in the US this year.  In our view this would be the more sensible option.
However, it seems like the race is on to be the first Unicorn to list and one way to speed up the process is through a SPAC, even if it is arguably a flawed route to market.
We explore below the recent progress that Grab (0967655D SP) has made with its increasing push towards providing more financial services, which could help to justify higher valuations. 
It may be that Grab is under pressure to list earlier from Softbank after the failed attempt to merge with Gojek (1379371D IJ). The valuation looks quite high but a lot depends on how fast Grab is able to grow sales in 2021 and whether it can command more than a ride-hailing multiple. 

Grab - Considering SPAC Listing for a US$40bn Valuation?

Grab Holdings

Grab - Considering SPAC Listing for a US$40bn Valuation?