APAC IPOs & Placements

Zhen Zhou, Toh

Smartkarma

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<p><em>The Smartkarma ECM Team puts out a weekly update on the deals we have covered recently, along with updates for upcoming IPOs.</em></p><div class="content-highlight"><p>The momentum and performance of US IPOs have been amazing for the past few weeks. We expect that there will be more Chinese / Asia companies trying to get listed in the US to take advantage of the positive sentiment.</p><p>This week, <a href="https://www.smartkarma.com/entities/25915" target="_blank" data-smartkarma-citation="entities:25915:1">Qudian Inc (QD US)</a> listed first, opening 43% above IPO price before closing low (+21%). We would point out that despite the good performance, the company does not appear to be cheap compared to P2P peers. But, it has traded up likely due to the strong momentum from fintech listings from ZhongAn and BABA related companies.</p><p>We also saw continued momentum in Chinese education companies in the US as <a href="https://www.smartkarma.com/entities/25945" target="_blank" data-smartkarma-citation="entities:25945:1">RISE Education (REDU US)</a> , despite its not-so-good reputation, still manage to close 14% above IPO price.</p><p>Perhaps what was unexpected this week was <a href="https://www.smartkarma.com/entities/8509" target="_blank" data-smartkarma-citation="entities:8509:1">Sea Ltd (SE US)</a> pricing at US$15 per share, above the top-end of its price range. We were positive on the company's e-commerce business but, considering that our <em>adjusted</em> valuation points towards an 11% potential upside from $14, it is hard to see the IPO performing as well as Qudian or ZhongAn. The IPO briefly broke IPO price before surging to close 8.4% above IPO price.</p></div><div><h2>Accuracy Rate:</h2></div><p>Our overall accuracy rate is <strong>73.5% for IPOs </strong>and <strong>64</strong><strong>% for Placements.</strong></p><p><em>(Performance measurement criteria is explained at the end of the note)</em></p><figure class="editor-figure mceNonEditable"><img src="https://static-prod.smartkarma.com/images/media/000/036/179/original/Total-Deals-Since-Inception-Accuracy-Rate-Since-Inception-_chartbuilder%20%281%29.png?1508563839" class="editor-image img-responsive" data-smartkarma-image-id="36179"></figure><figure class="editor-figure mceNonEditable"><img src="https://static-prod.smartkarma.com/images/media/000/036/180/original/2017-Total-Deals-2017-Accuracy-Rate-_chartbuilder.png?1508563849" class="editor-image img-responsive" data-smartkarma-image-id="36180"></figure><h2><strong>There are no new IPO filings this week<br><br></strong></h2><p>Below is a snippet of our IPO tool on upcoming events for the next week. Our IPO tool is designed to provide readers with timely information on all IPO related events (Book open/closing, listing, initiation, lock-up expiry, etc) for all the deals that we have worked on. You can access the tool <a href="https://www.smartkarma.com/tools/ipos" target="_blank">here </a>or through the tools menu.</p><figure class="editor-figure mceNonEditable"><img src="https://static-prod.smartkarma.com/images/media/000/036/181/original/upcoming.PNG?1508565097" class="editor-image img-responsive" data-smartkarma-image-id="36181"></figure><div class="content-caption">Source: Smartkarma</div><h2><strong>News on Upcoming IPOs<br><br></strong></h2><ul><li><a href="https://www.dealstreetasia.com/stories/baidus-iqiyi-bofa-credit-suisse-goldman-us-ipo-84303/?utm_source=DealStreetAsia%3A+The+Daily+Brief&amp;utm_campaign=d600c40eda-RSS_EMAIL_CAMPAIGN+%2A%7CRSSFEED%3ADATE%3A+F+j%2C+Y%7C%2A&amp;utm_medium=email&amp;utm_term=0_0fa50e40c1-d600c40eda-239139321&amp;mc_cid=d600c40eda&amp;mc_eid=28c8c22a08" target="_blank">Baidu's iQiyi picks investment banks for US IPO worth $1bn</a></li><li><a href="http://www.businesstimes.com.sg/technology/chinas-sogou-needs-to-prioritise-profit-search-ahead-of-ipo-gadfly" target="_blank">China's Sogou needs to prioritize profit search ahead of IPO</a></li><li><a href="https://economictimes.indiatimes.com/markets/ipos/fpos/mahindra-logistics-secures-sebis-approval-to-float-ipo/articleshow/61104935.cms" target="_blank">Mahindra Logistics secures Sebi's approval to float IPO</a></li><li><a href="https://economictimes.indiatimes.com/markets/ipos/fpos/hdfc-standard-life-gets-sebis-go-ahead-for-ipo/articleshow/61104886.cms" target="_blank">HDFC's Standard Life gets go-ahead for IPO</a></li></ul><h2><strong>Smartkarma Community's Analyses on Upcoming IPOs<br><br></strong></h2><ul><li><a href="https://www.smartkarma.com/insights/hello-hellofresh-german-meal-kit-firm-s-flexible-asset-light-model-bests-blue-apron-s-approach" target="_blank" data-smartkarma-citation="insights:14399">Hello, HelloFresh: German Meal-Kit Firm’s Flexible, Asset-Light Model Bests Blue Apron’s Approach</a></li><li><a href="https://www.smartkarma.com/insights/four-seasons-education-ipo-early-thoughts-a-small-player-in-a-highly-fragmented-market" target="_blank" data-smartkarma-citation="insights:14488">Four Seasons Education IPO Early Thoughts: A Small Player in a Highly Fragmented Market</a></li><li><a href="https://www.smartkarma.com/insights/tissuegene-ipo-part-3-more-fact-gathering-from-yesterday-s-press-meeting" target="_blank" data-smartkarma-citation="insights:14480">TissueGene IPO Part 3 - More Fact Gathering from Yesterday’s Press Meeting</a></li><li><a href="https://www.smartkarma.com/insights/tissuegene-ipo-part-4-bookbuilding-result-review" target="_blank" data-smartkarma-citation="insights:14560">TissueGene IPO Part 4 - Bookbuilding Result Review</a></li><li><a href="https://www.smartkarma.com/insights/tapex-ipo-valuation-analysis-a-market-leader-in-rechargeable-batteries-tapes" target="_blank" data-smartkarma-citation="insights:14486">Tapex IPO (Valuation Analysis) - A Market Leader in Rechargeable Batteries Tapes</a></li><li><a href="https://www.smartkarma.com/insights/studio-dragon-ipo-preview-part-2-biggest-korean-entertainment-ipo-in-2017" target="_blank" data-smartkarma-citation="insights:14525">Studio Dragon IPO Preview (Part 2) - Biggest Korean Entertainment IPO in 2017</a></li><li><a href="https://www.smartkarma.com/insights/ipo-radar-rich-sport-the-thai-shoe-dog" target="_blank" data-smartkarma-citation="insights:13975">IPO Radar: Rich Sport, the Thai “Shoe Dog”</a></li></ul><div><h2>List of pre-IPO Coverage on Smartkarma</h2></div><table class="table table-striped"><tbody><tr><td>Name</td><td>Insight</td></tr><tr><td colspan="2"><strong>Hong Kong</strong></td></tr><tr><td>Cenmintang</td><td><a href="https://www.smartkarma.com/insights/cenmintang-ipo-preview-a-beverage-and-snack-play-whose-growth-is-hard-to-grasp" target="_blank" data-smartkarma-citation="insights:9282">Cenmintang IPO Preview: A Beverage and Snack Play Whose Growth Is Hard to Grasp</a></td></tr><tr><td>China Feihe</td><td><a href="https://www.smartkarma.com/insights/china-feihe-ipo-preview-goat-bless-infant-formula-milk" target="_blank" data-smartkarma-citation="insights:12751">China Feihe IPO Preview: Goat Bless Infant Formula Milk?</a></td></tr><tr><td>China Literature</td><td><a href="https://www.smartkarma.com/insights/china-literature-ipo-preview-time-to-monetize-its-rich-content-library" target="_blank" data-smartkarma-citation="insights:12582">China Literature IPO Preview: Time to Monetize Its Rich Content Library</a></td></tr><tr><td>Bank of Jiujiang</td><td><a href="https://www.smartkarma.com/insights/scraping-the-bottom-of-the-barrel-bank-of-jiujiang" target="_blank">Scraping the Bottom of the Barrel: Bank of JiuJiang</a></td></tr><tr><td>Razer</td><td><a href="https://www.smartkarma.com/insights/razer-pre-ipo-review-for-gamers-by-gamers-but-is-it-for-investors" target="_blank" data-smartkarma-citation="insights:12309">Razer Pre-IPO Review - For Gamers. By Gamers. But, Is It for Investors?</a></td></tr><tr><td>Shandong Int'l Trust</td><td><a href="https://www.smartkarma.com/insights/shandong-international-trust-pre-ipo-faltering-growth-and-profitability-despite-aid-from-prop-book" target="_blank">Shandong Int'l Trust Pre-IPO - Faltering Growth and Profitability Despite Aid from Prop Book</a></td></tr><tr><td colspan="2"><strong>South Korea</strong></td></tr><tr><td>Bodyfriend</td><td><a href="https://www.smartkarma.com/insights/bodyfriend-ipo-preview-part-i-goodbye-osim-hello-bodyfriend" target="_blank">Bodyfriend IPO Preview: Part I (Goodbye Osim, Hello Bodyfriend) Bodyfriend) </a></td></tr><tr><td>CJ OliveNetworks</td><td><a href="https://www.smartkarma.com/insights/cj-olivenetworks-on-a-fast-track-to-an-ipo-in-2017" target="_blank">CJ OliveNetworks - On A Fast Track to an IPO in 2017? </a></td></tr><tr><td>Cafe24</td><td><a href="https://www.smartkarma.com/insights/cafe-24-ipo-preview-part-1-korea-s-shopify-leading-contender-for-tesla-requirements-based-ipo" target="_blank" data-smartkarma-citation="insights:13665">Cafe 24 IPO Preview (Part 1): Korea’s Shopify - Leading Contender For “Tesla” Requirements Based IPO</a></td></tr><tr><td>Data Solution</td><td><a href="https://www.smartkarma.com/insights/datasolution-ipo-summary-questions-remain-on-growth-but-market-seems-excited" target="_blank" data-smartkarma-citation="insights:12519">Datasolution IPO Summary - Questions Remain on Growth, but Market Seems Excited</a></td></tr><tr><td>Gentle Monster</td><td><a href="https://www.smartkarma.com/insights/gentle-monster-ipo-a-monster-growth" target="_blank" data-smartkarma-citation="insights:8630">Gentle Monster IPO - A Monster Growth</a></td></tr><tr><td>IsMedia</td><td><p><a href="https://www.smartkarma.com/insights/ismedia-ipo-summary-smartphone-camera-tester-maker" target="_blank" data-smartkarma-citation="insights:11980">IsMedia IPO Summary - Smartphone Camera Tester Maker</a></p></td></tr><tr><td>Korea Exchange</td><td><a href="https://www.smartkarma.com/insights/korea-exchange-ipo-question-is-when-not-if" target="_blank">Korea Exchange IPO - Question Is When, Not If</a></td></tr><tr><td>Outin Futures</td><td><a href="https://www.smartkarma.com/insights/outin-futures-corp-ipo-preview-part-1" target="_blank" data-smartkarma-citation="insights:11212">Outin Futures Corp IPO Preview (Part 1)</a>,  <a href="https://www.smartkarma.com/insights/outin-futures-corp-ipo-valuations-part-2" target="_blank" data-smartkarma-citation="insights:11736">Valuations (Part 2)</a></td></tr><tr><td>Shinheung</td><td><a href="https://www.smartkarma.com/insights/shinheung-sec-ipo-valuation" target="_blank" data-smartkarma-citation="insights:13507">Shinheung SEC IPO Valuation</a></td></tr><tr><td>Studio Drag</td><td><a href="https://www.smartkarma.com/insights/studio-dragon-ipo-preview-part-1-beneficiary-of-the-addictive-korean-dramas" target="_blank" data-smartkarma-citation="insights:12300">Studio Dragon IPO Preview (Part 1) - Beneficiary of the Addictive Korean Dramas</a></td></tr><tr><td>Studio Drag</td><td><a href="https://www.smartkarma.com/insights/studio-dragon-ipo-preview-part-2-biggest-korean-entertainment-ipo-in-2017" target="_blank" data-smartkarma-citation="insights:14525">Studio Dragon IPO Preview (Part 2) - Biggest Korean Entertainment IPO in 2017</a></td></tr><tr><td>Tapex</td><td><a href="https://www.smartkarma.com/insights/tapex-ipo-preview-part-1" target="_blank" data-smartkarma-citation="insights:13543">Tapex IPO Preview (Part 1)</a></td></tr><tr><td>Tapex</td><td><a href="https://www.smartkarma.com/insights/tapex-ipo-valuation-analysis-a-market-leader-in-rechargeable-batteries-tapes" target="_blank" data-smartkarma-citation="insights:14486">Tapex IPO (Valuation Analysis) - A Market Leader in Rechargeable Batteries Tapes</a></td></tr><tr><td>Woowa Bro</td><td><a href="https://www.smartkarma.com/insights/woowa-brothers-corp-ipo-preview-part-1-the-most-popular-food-delivery-service-in-korea" target="_blank" data-smartkarma-citation="insights:11104">Woowa Brothers Corp IPO Preview (Part 1) - The Most Popular Food Delivery Service in Korea</a></td></tr><tr><td>V-One Tech</td><td><a href="https://www.smartkarma.com/insights/v-one-tech-ipo-summary-another-oled-stock-ipo" target="_blank" data-smartkarma-citation="insights:11689">V-One Tech IPO Summary - Another OLED Stock IPO</a>,  <a href="https://www.smartkarma.com/insights/v-one-tech-ipo-part-2-ipo-bookbuilding-results" target="_blank" data-smartkarma-citation="insights:11806">IPO Bookbuilding Results</a></td></tr><tr><td>Zinus</td><td><a href="https://www.smartkarma.com/insights/zinus-ipo-preview-part-1-an-amazing-comeback-story-1-mattress-brand-on-amazon" target="_blank" data-smartkarma-citation="insights:13698">Zinus IPO Preview (Part 1) - An Amazing Comeback Story (#1 Mattress Brand on Amazon)</a></td></tr><tr><td colspan="2"><strong>India</strong></td></tr><tr><td>NSE</td><td><a href="https://www.smartkarma.com/insights/national-stock-exchange-pre-ipo-review-bigger-better-stronger-but-a-little-too-fast-for-some" target="_blank">National Stock Exchange Pre-IPO Review - Bigger, Better, Stronger but a Little Too Fast for Some</a></td></tr><tr><td>NSE</td><td><a href="https://www.smartkarma.com/insights/nse-ipo-preview-not-only-fast-its-risky-and-expensive" target="_blank">NSE IPO Preview- Not Only Fast..its Risky and Expensive</a></td></tr><tr><td colspan="2"><strong>US</strong></td></tr><tr><td>Four Seasons Ed</td><td><a href="https://www.smartkarma.com/insights/four-seasons-education-ipo-early-thoughts-a-small-player-in-a-highly-fragmented-market" target="_blank" data-smartkarma-citation="insights:14488">Four Seasons Education IPO Early Thoughts: A Small Player in a Highly Fragmented Market</a></td></tr><tr><td colspan="2"><strong>Europe</strong></td></tr><tr><td>HelloFresh</td><td><a href="https://www.smartkarma.com/insights/hello-hellofresh-german-meal-kit-firm-s-flexible-asset-light-model-bests-blue-apron-s-approach" target="_blank" data-smartkarma-citation="insights:14399">Hello, HelloFresh: German Meal-Kit Firm’s Flexible, Asset-Light Model Bests Blue Apron’s Approach</a></td></tr></tbody></table>

The Smartkarma ECM Team puts out a weekly update on the deals we have covered recently, along with updates for upcoming IPOs.The momentum and performance of US IPOs have been amazing for the past few weeks. We expect that there will be more Chinese / Asia companies trying to get listed in the US to take advantage of the positive sentiment.This week, Qudian Inc (QD US) listed first, opening 43% above IPO price before closing low (+21%). We would point out that despite the good performance, the company does not appear to be cheap compared to P2P peers. But, it has traded up likely due to the strong momentum from fintech listings from ZhongAn and BABA related companies.We also saw continued momentum in Chinese education companies in the US as RISE Education (REDU US) , despite its not-so-good reputation, still manage to close 14% above IPO price.Perhaps what was unexpected this week was Sea Ltd (SE US) pricing at US$15 per share, above the top-end of its price range. We were positive on the company's e-commerce business but, considering that our adjusted valuation points towards an 11% potential upside from $14, it is hard to see the IPO performing as well as Qudian or ZhongAn. The IPO briefly broke IPO price before surging to close 8.4% above IPO price.Accuracy Rate:Our overall accuracy rate is 73.5% for IPOs and 64% for Placements.(Performance measurement criteria is explained at the end of the note)There are no new IPO filings this week  Below is a snippet of our IPO tool on upcoming events for the next week. Our IPO tool is designed to provide readers with timely information on all IPO related events (Book open/closing, listing, initiation, lock-up expiry, etc) for all the deals that we have worked on. You can access the tool here or through the tools menu.Source: SmartkarmaNews on Upcoming IPOs  Baidu's iQiyi picks investment banks for US IPO worth $1bnChina's Sogou needs to prioritize profit search ahead of IPOMahindra Logistics secures Sebi's approval to float IPOHDFC's Standard Life gets go-ahead for IPOSmartkarma Community's Analyses on Upcoming IPOs  Hello, HelloFresh: German Meal-Kit Firm’s Flexible, Asset-Light Model Bests Blue Apron’s ApproachFour Seasons Education IPO Early Thoughts: A Small Player in a Highly Fragmented MarketTissueGene IPO Part 3 - More Fact Gathering from Yesterday’s Press MeetingTissueGene IPO Part 4 - Bookbuilding Result ReviewTapex IPO (Valuation Analysis) - A Market Leader in Rechargeable Batteries TapesStudio Dragon IPO Preview (Part 2) - Biggest Korean Entertainment IPO in 2017IPO Radar: Rich Sport, the Thai “Shoe Dog”List of pre-IPO Coverage on SmartkarmaNameInsightHong KongCenmintangCenmintang IPO Preview: A Beverage and Snack Play Whose Growth Is Hard to GraspChina FeiheChina Feihe IPO Preview: Goat Bless Infant Formula Milk?China LiteratureChina Literature IPO Preview: Time to Monetize Its Rich Content LibraryBank of JiujiangScraping the Bottom of the Barrel: Bank of JiuJiangRazerRazer Pre-IPO Review - For Gamers. By Gamers. But, Is It for Investors?Shandong Int'l TrustShandong Int'l Trust Pre-IPO - Faltering Growth and Profitability Despite Aid from Prop BookSouth KoreaBodyfriendBodyfriend IPO Preview: Part I (Goodbye Osim, Hello Bodyfriend) Bodyfriend) CJ OliveNetworksCJ OliveNetworks - On A Fast Track to an IPO in 2017? Cafe24Cafe 24 IPO Preview (Part 1): Korea’s Shopify - Leading Contender For “Tesla” Requirements Based IPOData SolutionDatasolution IPO Summary - Questions Remain on Growth, but Market Seems ExcitedGentle MonsterGentle Monster IPO - A Monster GrowthIsMediaIsMedia IPO Summary - Smartphone Camera Tester MakerKorea ExchangeKorea Exchange IPO - Question Is When, Not IfOutin FuturesOutin Futures Corp IPO Preview (Part 1),  Valuations (Part 2)ShinheungShinheung SEC IPO ValuationStudio DragStudio Dragon IPO Preview (Part 1) - Beneficiary of the Addictive Korean DramasStudio DragStudio Dragon IPO Preview (Part 2) - Biggest Korean Entertainment IPO in 2017TapexTapex IPO Preview (Part 1)TapexTapex IPO (Valuation Analysis) - A Market Leader in Rechargeable Batteries TapesWoowa BroWoowa Brothers Corp IPO Preview (Part 1) - The Most Popular Food Delivery Service in KoreaV-One TechV-One Tech IPO Summary - Another OLED Stock IPO,  IPO Bookbuilding ResultsZinusZinus IPO Preview (Part 1) - An Amazing Comeback Story (#1 Mattress Brand on Amazon)IndiaNSENational Stock Exchange Pre-IPO Review - Bigger, Better, Stronger but a Little Too Fast for SomeNSENSE IPO Preview- Not Only Fast..its Risky and ExpensiveUSFour Seasons EdFour Seasons Education IPO Early Thoughts: A Small Player in a Highly Fragmented MarketEuropeHelloFreshHello, HelloFresh: German Meal-Kit Firm’s Flexible, Asset-Light Model Bests Blue Apron’s Approach

Smartkarma: ECM Coverage Weekly Update (21 October 2017)