Daily Brief ECM: Pre-IPO Midea Group H Share (PHIP Updates) - Some Points Worth the Attention and more

In today’s briefing:

Pre-IPO Midea Group H Share (PHIP Updates) – Some Points Worth the Attention
ECM Weekly (9th Sep 2024) – Midea, Bajaj Housing, Carote, Western Digital, Challenger, CICT, Premier
Hive Box Holdings Pre-IPO, Part 2: Segments, P&L, Balance Sheet & CF, Key Drivers, & More Questions

Pre-IPO Midea Group H Share (PHIP Updates) – Some Points Worth the Attention

China’s home appliance industry is facing challenges. Even with large-scale “trade in” activities, its expansion effect on market size still appears limited, making it difficult to trigger significant growth momentum.
However, Midea still achieved strong performance growth in 24H1. Both revenue and net profit showed double-digit growth rates. Midea’s business expansion and product profitability are much better than peers.
Performance drivers are overseas business and air conditioners. Our forecast is Midea’s 2024 net profit would reach about RMB37 billion. Valuation of Midea could be higher than Haier Smart Home.

Aequitas Research’s weekly update on the IPOs, placements, lockup expiry and other ECM linked events that were covered by the team over the past week.
On the IPO front, we looked at Midea Group Co Ltd A (000333 CH) and Bajaj Housing Finance (BHF IN), which are two relatively large listings coming up.
Placement were flowing through again this week, across the region.

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