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

Cloopen Group Holdings IPO Valuation Analysis

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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

Cloopen Group Holding Ltd / Equity Capital Markets

<p><a href="https://www.smartkarma.com/entities/cloopen-group-holding-ltd" target="_blank" data-smartkarma-citation="entities:31315:1" rel="noopener">Cloopen Group Holding Ltd (RAAS US)</a> is the largest multi-capability cloud-based communications solution provider in China, as measured by revenues in 2019, according to CIC. Its key brands are Ronglian, 7moor Cloud and RongVideo. Cloopen is seeking to raise $300-500 million through a listing on the NYSE, according to press reports. Cloopen is backed by Sequoia Capital (20.75% shareholder) and <a href="https://www.smartkarma.com/entities/tencent-holdings-ltd" target="_blank" data-smartkarma-citation="entities:26:1" rel="noopener">Tencent Holdings (700 HK)</a>.  </p><div class="content-highlight"><p>Cloopen is a play on the growth of China's cloud-based communications industry driven by the migration of IT spending on communications to cloud-based solutions. The shift is spearheaded by enterprises undergoing digital transformation with an increasing focus on improving efficiency and saving costs. However, Cloopen’s IPO pitch is muddied by the temporary impact of the COVID-19 outbreak which negatively influenced growth rates and the cash burn. While the fundamentals are not perfect, Cloopen offers enough to warrant a closer look.   </p></div>

Cloopen Group Holding Ltd (RAAS US) is the largest multi-capability cloud-based communications solution provider in China, as measured by revenues in 2019, according to CIC. Its key brands are Ronglian, 7moor Cloud and RongVideo. Cloopen is seeking to raise $300-500 million through a listing on the NYSE, according to press reports. Cloopen is backed by Sequoia Capital (20.75% shareholder) and Tencent Holdings (700 HK).  Cloopen is a play on the growth of China's cloud-based communications industry driven by the migration of IT spending on communications to cloud-based solutions. The shift is spearheaded by enterprises undergoing digital transformation with an increasing focus on improving efficiency and saving costs. However, Cloopen’s IPO pitch is muddied by the temporary impact of the COVID-19 outbreak which negatively influenced growth rates and the cash burn. While the fundamentals are not perfect, Cloopen offers enough to warrant a closer look.   

Cloopen Group IPO Initiation: Busy Signals