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

Ebang IPO Preview: Balance Sheet Indicators Point to a Significant Slowdown

Canaan IPO Valuation: More Fun Ways to Lose Money

Canaan IPO: A Good 3Q19 Is Surviving, Not Thriving

Uncompromised, Independent, Conflict-Free Research

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

Ebang International Holdings I / Equity Capital Markets

<div><p><a href="https://www.smartkarma.com/entities/ebang-international-holdings-inc" target="_blank" data-smartkarma-citation="entities:27247:1" rel="noopener">Ebang (EBANG HK)</a> is a Chinese designer of bitcoin mining machines which are sold under the Ebit brand. Ebang has launched its IPO at an indicative price range of $4.50-6.50 per share. At the mid-point of the IPO price range, Ebang will raise net proceeds of $97.4 million. </p></div><div><div><div class="content-highlight"><p>In <a href="https://www.smartkarma.com/insights/ebang-ipo-initiation-bits-and-bob" target="_blank" rel="noopener">our initiation note</a>, we highlighted that Ebang is hoping that <a href="https://www.smartkarma.com/entities/canaan-inc" target="_blank" data-smartkarma-citation="entities:27054:1" rel="noopener">Canaan Inc. (CAN US)</a>’s disastrous post-IPO share performance and the Bitcoin price volatility will not deter investors. However, our analysis suggests Ebang (like Canaan) is unforecastable and therefore, uninvestable for most public market investors. Our valuation analysis suggests that the price range in unattractive and we would avoid the IPO. </p></div></div></div>

Ebang (EBANG HK) is a Chinese designer of bitcoin mining machines which are sold under the Ebit brand. Ebang has launched its IPO at an indicative price range of $4.50-6.50 per share. At the mid-point of the IPO price range, Ebang will raise net proceeds of $97.4 million. In our initiation note, we highlighted that Ebang is hoping that Canaan Inc. (CAN US)’s disastrous post-IPO share performance and the Bitcoin price volatility will not deter investors. However, our analysis suggests Ebang (like Canaan) is unforecastable and therefore, uninvestable for most public market investors. Our valuation analysis suggests that the price range in unattractive and we would avoid the IPO. 

Ebang International Holdings I

Ebang IPO: Valuation Insights