IPOs and Catalysts/Events, Global Equity Research Ltd

Arun George

Arun has over 15 years’ experience covering the Technology sector. During this time, he has worked with technology start-ups and as an equity analyst in investment banks and independent research firms. He was formerly a Technology Analyst for Canaccord Genuity, Altium Securities, Espirito Santo Investment Bank, Noble Group and Clear Capital. He has a dual Master’s degree in Financial Engineering and Industrial and Operations Engineering from the University of Michigan. He obtained his Bachelor’s degree in Mechanical Engineering from the Indian Institute of Technology, Bombay. He is also a CFA charterholder.

IPOs and Catalysts/Events

Merger Arb Mondays (09 Mar) - ENN, Dongfeng, Skyworth, Qoria, Bluescope, Toyota Ind, Sankei

Merger Arb Mondays (23 Mar) - Qube, Pepper, Bluescope, Skyworth, ENN, Makino, Sankei Real, MCJ, IJM

Qoria (QOR AU): Takeaways from Aura’s Results

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Global Equity Research Ltd

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Event-Driven

<ul>
<li>On 2 February, <a href="https://www.smartkarma.com/entities/qoria-ltd" target="_blank" data-smartkarma-citation="entities:30531:1" rel="noopener">Qoria (QOR AU)</a> entered a merger with Aura at 1 Aura CDI per 17.2 QOR share. The implied offer price per QOR share is A$0.72.</li>
<li>While the scheme vote is low risk, the gross spread is massive due to the SaaS market sell-off and warranted scepticism about the stated MergerCo valuation.</li>
<li>However, my analysis suggests the risk/reward profile is favourable. If MergeCo trades in line with SaaS peers, it implies a QOR fair value of A$0.40, 30% premium to last close.</li>
</ul>


On 2 February, Qoria (QOR AU) entered a merger with Aura at 1 Aura CDI per 17.2 QOR share. The implied offer price per QOR share is A$0.72.
While the scheme vote is low risk, the gross spread is massive due to the SaaS market sell-off and warranted scepticism about the stated MergerCo valuation.
However, my analysis suggests the risk/reward profile is favourable. If MergeCo trades in line with SaaS peers, it implies a QOR fair value of A$0.40, 30% premium to last close.


Qoria (QOR AU): Risk/Reward in the Aftermath of SaaStrophe