Daily Brief ECM: SoftBank Plans to Complete IPO of Arm in September on NASDAQ and more

In today’s briefing:

SoftBank Plans to Complete IPO of Arm in September on NASDAQ
Pre-IPO HealthyWay – The Business Model Lacks Core Competitiveness
A Look at How SF Holding Differs from A) Its Express Peers and B) The Pre-Covid Version of Itself

SoftBank Plans to Complete IPO of Arm in September on NASDAQ

On 8 August, Nikkei Asia reported that Arm plans to complete its IPO on NASDAQ in September in a deal expected to be worth more US$60 billion or more.
Global tech giants including Apple, Samsung Electronics, NVIDIA, and Intel are expected to invest in Arm once the company is listed on the market.
The IPO offering amount is expected to be between $8 billion and $10 billion.

HealthyWay cannot rely on drug/product sales to achieve rapid expansion of revenue scale because it hasn’t huge user base accumulated on e-commerce platforms like Taobao/JD.com, leading to different business model.
Relying on Baidu’s search engine to guide traffic could be worthless, because B-end users would not pay for the traffic that cannot provide added value.HealthyWay hasn’t a strong cornerstone business.
HealthyWay’s valuation should be lower than that of ClouDr. Due to the lack of imagination space in business model, it would to some extent suppress the valuation growth of HealthyWay.

SF Holding differs from its Chinese peers in several important ways, including business scale, its lack of a formal relationship with Alibaba, and its many non-express lines of business
SF also differs from the pre-Covid version of itself: it’s far larger than it was in 2019, but core margins have declined, and internatonal exposure has risen dramatically
In this insight we also take a look at current EV/Revenue valuations vs peers and list important milestones to watch for ahead of the company’s planned HK IPO

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