IPOs and Catalysts/Events, Global Equity Research Ltd

Arun George

Arun has over 15 years’ experience covering the Technology sector. During this time, he has worked with technology start-ups and as an equity analyst in investment banks and independent research firms. He was formerly a Technology Analyst for Canaccord Genuity, Altium Securities, Espirito Santo Investment Bank, Noble Group and Clear Capital. He has a dual Master’s degree in Financial Engineering and Industrial and Operations Engineering from the University of Michigan. He obtained his Bachelor’s degree in Mechanical Engineering from the Indian Institute of Technology, Bombay. He is also a CFA charterholder.

IPOs and Catalysts/Events

Baidu Secondary Listing: HK-ADS Premium/​(Discount) Views

Baidu Secondary Listing: Do the Fundamentals Stack Up?

Battle Lines Drawn As BABA Builds Out First/Last-Mile Capacity; But Who Will Fund 75+ Bn CNY CapEx?

An Analysis of ADR/HKEX Discount Behavior As The US Listed Chinese Tech Rush To Hong Kong

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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.

Equity Capital Markets

<p>Founded as a search engine business in 2000, <a href="https://www.smartkarma.com/entities/baidu-inc" target="_blank" data-smartkarma-citation="entities:179:1" rel="noopener">Baidu (BIDU US)</a> is today a leading internet platform with a focus on AI. Baidu passed its Hong Kong listing committee hearing and could raise up to $5 billion through a secondary listing, according to press reports. </p><p>Baidu is following hot in the heels of <a href="https://www.smartkarma.com/entities/autohome-inc-adr" target="_blank" data-smartkarma-citation="entities:20234:1" rel="noopener">Autohome Inc (Adr) (ATHM US)</a>, by joining a new wave of Hong Kong secondary listings set to hit the screens in the coming months. Baidu like several companies which pursued secondary listings does not require the funds as its cash-rich and highly cash generative. </p><div class="content-highlight"><p>We think that Baidu is making great strides in expanding its total addressable market (TAM) through ongoing investments. Baidu’s TAM for knowledge and information-centric Internet platforms and non-advertising business (excluding Robotaxi) in China is estimated at RMB342 billion and RMB4,134 billion in 2025, respectively, according to CIC. In combination with the potential valuation upside to the last close price (based on SoTP), we think that the equity story is attractive. </p></div>

Founded as a search engine business in 2000, Baidu (BIDU US) is today a leading internet platform with a focus on AI. Baidu passed its Hong Kong listing committee hearing and could raise up to $5 billion through a secondary listing, according to press reports. Baidu is following hot in the heels of Autohome Inc (Adr) (ATHM US), by joining a new wave of Hong Kong secondary listings set to hit the screens in the coming months. Baidu like several companies which pursued secondary listings does not require the funds as its cash-rich and highly cash generative. We think that Baidu is making great strides in expanding its total addressable market (TAM) through ongoing investments. Baidu’s TAM for knowledge and information-centric Internet platforms and non-advertising business (excluding Robotaxi) in China is estimated at RMB342 billion and RMB4,134 billion in 2025, respectively, according to CIC. In combination with the potential valuation upside to the last close price (based on SoTP), we think that the equity story is attractive. 

Baidu Secondary Listing: Searching for the Next Big Thing