In today’s briefing:
- Country Garden Placement – Hot on the Heels of the Last Deal, Momentum Has Shifted
- Nippon Prologis Placement – Although Only Minimally Accretive, Past Deals Have Performed Well
- 2023 Major IPOs Pipeline in Korea
- Weilong Delicious IPO: Peer Comparison and Valuation
- Pre-IPO Shanghai Chicmax Cosmetic – PHIP Updates: Declining Performance and Challenging Outlook
- Intuit Inc: The SeedFi Acquisition & Other Drivers
- Mettler-Toledo International Inc.: Initiation of Coverage – Business Strategy & Other Drivers
- JD.com Inc ADR: Initiation of Coverage – Business Strategy & Other Drivers
- The Cooper Companies Inc.: Initiation of Coverage – Business Strategy & Key Drivers
- Tian Tu Capital Pre-IPO – The Positives – Growing Its AUM and Committed Capital
Country Garden Placement – Hot on the Heels of the Last Deal, Momentum Has Shifted
- Country Garden Holdings Co (2007 HK) aims to raise around US$500m via a primary placement
- This will be the third placement by the company this year and the second one within a month’s time.
- In this note, we will run the deal through our ECM framework and talk about the recent updates.
Nippon Prologis Placement – Although Only Minimally Accretive, Past Deals Have Performed Well
- Nippon Prologis Reit (3283 JP) is looking to raise around US$175m in its global follow-on offering to acquire three logistics properties.
- Acquisitions are well flagged, having been in the REIT’s pipeline for some time now. Past offerings have performed well in the first month as well.
- In this note, we will talk about the deal dynamics and run the deal through our ECM framework.
2023 Major IPOs Pipeline in Korea
- This is our 8th “Annual Edition of the Major Korean IPOs Pipeline Preview” at Smartkarma!
- This insight will feature 50 of the biggest potential IPOs in Korea in 2023.
- The overall IPO market in Korea is likely to continue to be weak in 1H 2023, although there are some potential for a rebound in 2H 2023.
Weilong Delicious IPO: Peer Comparison and Valuation
- Weilong Delicious has downsized its IPO to raise around HK$942m (US$121.3m). The company also has the flexibility to set its IPO price at a 10% discount to the bottom.
- The company’s top line growth has slowed down in 1H2022 and margins have been under pressure with increased S&M spending to further penetrate into online channels.
- Weilong’s IPO is priced at a significant premium to domestic as well as multinational peers which do not justify the growth prospects.
Pre-IPO Shanghai Chicmax Cosmetic – PHIP Updates: Declining Performance and Challenging Outlook
- According to the PHIP, Chicmax’s performance growth showed a downward trend. Due to consumption downgrade and weak economic situation, the Company’s short-term performance could continue to be under pressure.
- If the top three brands fail to performance well, Chicmax has no other blockbuster brands to make up for it afterwards. We have concerns on Chicmax’s competitiveness in the industry.
- If the total retail sales of consumer goods don’t maintain well, the probability of endogenous growth problems is high, which would finally be reflected in the decline of share price.
Intuit Inc: The SeedFi Acquisition & Other Drivers
- Intuit had a successful first quarter and managed to surpass Wall Street expectations in terms of revenues as well as earnings.
- TurboTax also had a strong finish with a number of improvements introduced and tested during the quarter.
- Intuit is also developing its own bill-pay feature for QuickBooks and intends to make it available in the future.
Mettler-Toledo International Inc.: Initiation of Coverage – Business Strategy & Other Drivers
- This is our first report on Mettler-Toledo, one of the largest manufacturers and suppliers of precision instruments and services across the globe.
- The company delivered an outstanding result in the last quarter, with sales increasing by $985.8 million, a 10% local currency gain, surpassing Wall Street expectations.
- They recognize that the global supply chain continues to pose risks, but their ability to meet customer demands should remain a competitive advantage.
JD.com Inc ADR: Initiation of Coverage – Business Strategy & Other Drivers
- This is our first report on Chinese e-commerce giant, JD.com.
- Although 2022 has been a difficult year, JD achieved a number of encouraging milestones and improved metrics in its financial and business operations, especially during the third quarter.
- We initiate coverage on the stock of JD.com Inc. with a ‘Hold’ rating.
The Cooper Companies Inc.: Initiation of Coverage – Business Strategy & Key Drivers
- This is our first report on Cooper Companies, one of the largest producers of contact lenses in the world.
- Daily silicones are still the primary factor in the contact lens industry’s growth.
- We initiate coverage on the stock of The Cooper Companies with a ‘Hold’ rating.
Tian Tu Capital Pre-IPO – The Positives – Growing Its AUM and Committed Capital
- Tian Tu Capital (1390587D CH) is looking to raise US$300m in its upcoming Hong Kong IPO.
- Tiantu Capital (TTC) is a private equity/venture capital investor and fund manager with a focus on Chinese consumer brands and companies.
- The fund manages capital from investors including institutional investors, multinational corporations, financial institutions, and high net-worth individuals. It also directly invests through its own capital as well.
💡 Before it’s here, it’s on Smartkarma
Sign Up for Free
The Smartkarma Preview Pass is your entry to the Independent Investment Research Network
- ✓ Unlimited Research Summaries
- ✓ Personalised Alerts
- ✓ Custom Watchlists
- ✓ Company Data and News
- ✓ Events & Webinars
