Covering IPOs, Healthcare and Technology Stocks

Andrei Zakharov

A highly collaborative investment professional and research analyst with 10+ years of international experience in equity research, treasury operations, and trading positions across multiple asset classes at leading multinational banks Citibank and Morgan Stanley, UHNWI-backed family office and European independent equity research firm. A respectable background in equity capital markets, corporate treasury, investment banking operations, equity research analysis and portfolio management.

CR Beverage (2460 HK) IPO: Valuation Insights

Equity Capital Markets

China Resources Beverage / Equity Capital Markets

<ul>
<li>CR Beverage, a pioneer in China's packaged drinking water industry with a forty years history, sets terms for upcoming IPO in Hong Kong.</li>
<li>The IPO is expected to be between HK$13.50 and HK$14.50. At the midpoint of the range, CR Beverage would command a market value of ~HK$33B or ~$4.2B.</li>
<li>I view IPO valuation as attractive vs. domestic peers as profitability and gross profit margins improved. UBS, BOCI, CITIC Securities and Bank of America are leading the offering.</li>
</ul>


CR Beverage, a pioneer in China's packaged drinking water industry with a forty years history, sets terms for upcoming IPO in Hong Kong.
The IPO is expected to be between HK$13.50 and HK$14.50. At the midpoint of the range, CR Beverage would command a market value of ~HK$33B or ~$4.2B.
I view IPO valuation as attractive vs. domestic peers as profitability and gross profit margins improved. UBS, BOCI, CITIC Securities and Bank of America are leading the offering.


CR Beverage IPO Preview and Valuation Analysis: Strong Profitability Growth, IPO Valuation Is Cheap