Korea/Asia, Events, IPOs, Douglas Research Advisory

Douglas Kim

Nearly 30 years of experience in the Korean/Asian equity research. Major sectors coverage include the following:
- Technology 
- Consumer 
- Special Situations/Deep Value Plays
- Tender Offers/M&As
- Holdcos/Stubs
- Asian Unicorns/Private Companies

Korea/Asia, Events, IPOs

Duzonbizon: Capitalizing on the Growth of Cloud Based CRM Software in Korea

Slack: Unsustainable Growth and the Route to Profitability Unclear; Slack Is Not Our Choice

Qualtrics IPO Preview: Valuation Analysis

Equity Capital Markets

Qualtrics International / Equity Capital Markets

<ul>
<li>
<strong>It was reported yesterday (November 11th) that SAP is acquiring <a href="https://www.smartkarma.com/entities/27731" target="_blank" data-smartkarma-citation="entities:27731:1">Qualtrics (XM US)</a>, a US software maker which was getting ready for an IPO this week, for US$8 billion.</strong> This all cash deal has been approved by both companies and by Qualtrics' shareholders.</li>
<li>This acquisition of Qualtrics is one of the biggest in the US and global software industries and the second biggest ever acquisition by SAP. This deal is expected to close in the first half of 2019. The major founders/owners - the Smith family (including CEO Ryan Smith, his brother Jared, and father Scott), own a 45.5% stake of Qualtrics. </li>
<li>This major acquisition is a strong testament of Qualtrics' strong competitive position in the global cloud computing based online surveys and customer "experience management" services. In terms of the acquisition size, this tops Microsoft's purchase of GitHub for US$7.5 billion this year. It was estimated that the Qualtrics IPO was 13 times oversubscribed, suggesting a strong demand for the IPO even after the higher IPO price range. </li>
<li>Our base case valuation of Qualtrics was US$5.7 billion or US$26.50 per share. Prior to this announcement of SAP acquiring Qualtrics, the company was scheduled to complete its IPO at US$18 to US$21 per share.</li>
</ul>



It was reported yesterday (November 11th) that SAP is acquiring Qualtrics (XM US), a US software maker which was getting ready for an IPO this week, for US$8 billion. This all cash deal has been approved by both companies and by Qualtrics' shareholders.
This acquisition of Qualtrics is one of the biggest in the US and global software industries and the second biggest ever acquisition by SAP. This deal is expected to close in the first half of 2019. The major founders/owners - the Smith family (including CEO Ryan Smith, his brother Jared, and father Scott), own a 45.5% stake of Qualtrics. 
This major acquisition is a strong testament of Qualtrics' strong competitive position in the global cloud computing based online surveys and customer "experience management" services. In terms of the acquisition size, this tops Microsoft's purchase of GitHub for US$7.5 billion this year. It was estimated that the Qualtrics IPO was 13 times oversubscribed, suggesting a strong demand for the IPO even after the higher IPO price range. 
Our base case valuation of Qualtrics was US$5.7 billion or US$26.50 per share. Prior to this announcement of SAP acquiring Qualtrics, the company was scheduled to complete its IPO at US$18 to US$21 per share.


Qualtrics International

SAP, 80억 달러에 Qualtrics 인수