Equity Analyst, LightStream Research

Shifara Samsudeen, ACMA, CGMA

Equity Analyst

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

<a href="https://www.smartkarma.com/entities/hello-inc" target="_blank" data-smartkarma-citation="entities:33031:1" rel="noopener">Hello Inc (1883864D US)</a>  the largest shared two-wheeler service provider in China has filed for an IPO and has a placeholder indication to raise about US$100m. The company is a leading local service platform in China and offers a range of services that include shared two-wheeler service, a carpooling marketplace and other emerging services and products such as e-scooters, in-store services marketplace, hotel reservations and online advertising services.

Hello Inc (1883864D US)  the largest shared two-wheeler service provider in China has filed for an IPO and has a placeholder indication to raise about US$100m. The company is a leading local service platform in China and offers a range of services that include shared two-wheeler service, a carpooling marketplace and other emerging services and products such as e-scooters, in-store services marketplace, hotel reservations and online advertising services.

Hello IPO: Huge Fixed Cost for Bike Sharing Eating into Margins (Quantamental)

APAC IPOs & Placements

Zhen Zhou, Toh

IPOs and Placements coverage across Asia Pacific

Aequitas Research

We cover all listing across the Asia Pacific along with follow-up placements. As of Dec 2020, our team had covered 539 IPOs with a hit rate of 73.5% and 685 placements with a hit rate of 66.8%.

We combine fundamental bottom-up views with our proprietary quantitative framework to provide a holistic coverage across new listings and placements. Our coverage includes pre-IPO notes before the deal is launched, follow-up analysis once the deal is live and post-listing trading analysis as well.

Hello Inc. is looking to raise up to US$1bn in its upcoming U.S. IPO.Hello Inc (HI) is a local services platform in China. The company operates a mobile app called Hello,  which provides a range of local services that include shared two-wheeler services, carpooling market place, and emerging local services and products that includes e-scooters and in-store services marketplace, ride-hailing, hotel reservations, mobile grocery stores and online advertising services.In this note, we will look at the company’s business model, operating data, financials, and share our thoughts on the IPO.

Hello Inc. is looking to raise up to US$1bn in its upcoming U.S. IPO.Hello Inc (HI) is a local services platform in China. The company operates a mobile app called Hello,  which provides a range of local services that include shared two-wheeler services, carpooling market place, and emerging local services and products that includes e-scooters and in-store services marketplace, ride-hailing, hotel reservations, mobile grocery stores and online advertising services.In this note, we will look at the company’s business model, operating data, financials, and share our thoughts on the IPO.

Hello Inc (哈罗出行) Pre-IPO - Nowhere near Being Sustainable

IPOs and Catalysts/Events, Global Equity Research Ltd

Arun George

IPOs and Catalysts/Events

Uncompromised, Independent, Conflict-Free Research

Global Equity Research Ltd

Global Equity Research was started in 2017 by a group of experienced research professionals. It was founded on a passionate belief in the importance and the need for uncompromised, independent, conflict-free research. We aim to provide differentiated and actionable primary and bottom up fundamental research.

<a href="https://www.smartkarma.com/entities/hello-inc" target="_blank" data-smartkarma-citation="entities:33031:1" rel="noopener">Hello Inc (1883864D US)</a> is China's third-largest local services platform by transaction volume, according to iResearch. Hello offers bike-sharing and e-bike sharing services known as Hello Bike and Hello e-Bike. It also has a carpooling marketplace known as Hello Carpooling. Hello is seeking to raise $1 billion through a Nasdaq listing, according to press reports. Hello is backed by <a href="https://www.smartkarma.com/entities/ant-group-co-ltd" target="_blank" data-smartkarma-citation="entities:24240:1" rel="noopener">Ant Financial Services Group (6688 HK)</a> which owns 36.3% of the outstanding shares. The bike-sharing industry has proved to be a challenging market to generate investment returns as evidenced by <a href="https://www.smartkarma.com/entities/meituan-dianping" target="_blank" data-smartkarma-citation="entities:26970:1" rel="noopener">Meituan (3690 HK)</a>’s restructuring and impairments related to Mobike. Hello’s investor pitch is that its various businesses create a flywheel effect (a popular term abused by many tech IPO hopefuls) that drives user spending growth with limited user acquisition costs. Hello is suggesting that its core business (shared two-wheeler services) brings a large captive user base to feed its more capital-light and profitable businesses such as carpooling. <div class="content-highlight">However, the issue with this rose-tinted view is that Hello remains saddled with a core business that has challenging prospects due to declining growth, low profitability and high cash burn. Also, investors seeking a pure-play on the carpooling market may be better off participating in the <a href="https://www.smartkarma.com/entities/dida-inc" target="_blank" data-smartkarma-citation="entities:29701:1" rel="noopener">Dida (DIDA HK)</a> IPO. Overall, we are inclined to give the Hello IPO a pass.    </div>

Hello Inc (1883864D US) is China's third-largest local services platform by transaction volume, according to iResearch. Hello offers bike-sharing and e-bike sharing services known as Hello Bike and Hello e-Bike. It also has a carpooling marketplace known as Hello Carpooling. Hello is seeking to raise $1 billion through a Nasdaq listing, according to press reports. Hello is backed by Ant Financial Services Group (6688 HK) which owns 36.3% of the outstanding shares. The bike-sharing industry has proved to be a challenging market to generate investment returns as evidenced by Meituan (3690 HK)’s restructuring and impairments related to Mobike. Hello’s investor pitch is that its various businesses create a flywheel effect (a popular term abused by many tech IPO hopefuls) that drives user spending growth with limited user acquisition costs. Hello is suggesting that its core business (shared two-wheeler services) brings a large captive user base to feed its more capital-light and profitable businesses such as carpooling. However, the issue with this rose-tinted view is that Hello remains saddled with a core business that has challenging prospects due to declining growth, low profitability and high cash burn. Also, investors seeking a pure-play on the carpooling market may be better off participating in the Dida (DIDA HK) IPO. Overall, we are inclined to give the Hello IPO a pass.    

United States

Hello Inc. provides software solutions. The Company offers platform which allows to shared two-wheeler services, a carpooling marketplace, e-scooters, and other services. Hello serves customers in China.

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Hello Inc (1883864D US)

Hello Inc (哈罗出行) Pre-IPO - Nowhere near Being Sustainable

Hello Inc. is looking to raise up to US$1bn in its upcoming U.S. IPO. Hello Inc (HI) is a local services platform in China.

Zhen Zhou, Toh

Hello IPO Initiation: Goodbye

Hello is seeking to raise $1 billion through a Nasdaq listing, according to press reports. Overall, we are inclined to give the Hello IPO a pass.

Arun George

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Hello IPO: Huge Fixed Cost for Bike Sharing Eating into Margins (Quantamental)

It seems that the company is still in early stages of monetisation and the company’s investment for growth has not yet reached a stable phase.

Shifara Samsudeen, ACMA, CGMA

Hello Inc (哈罗出行) Pre-IPO - Nowhere near Being Sustainable

Hello Inc. is looking to raise up to US$1bn in its upcoming U.S. IPO. Hello Inc (HI) is a local services platform in China.

Zhen Zhou, Toh

Hello IPO Initiation: Goodbye

Hello is seeking to raise $1 billion through a Nasdaq listing, according to press reports. Overall, we are inclined to give the Hello IPO a pass.

Arun George