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

Bitauto’s Cheeky Privatisation Offer from Tencent

Bitauto’s Privatisation Spread Risk/Reward

Yixin IPO Preview: When It Sounds Too Good to Be True, It Probably Is

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.

Event-Driven

<p>On 13 September 2019, <a href="https://www.smartkarma.com/entities/bitauto-holdings-ltd-adr" target="_blank" data-smartkarma-citation="entities:12004:1" rel="noopener">Bitauto Holdings Ltd Adr (BITA US)</a> announced a non-binding privatisation proposal from <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> and Hammer Capital. The bid of $16 per ADS values Bitauto at a market cap of $1.1 billion. We have previously outlined <a href="https://www.smartkarma.com/insights/bitauto-s-privatisation-spread-risk-reward" target="_blank" rel="noopener">our thoughts on the Bitauto privatisation risk/reward</a>. If the Bitauto privatisation bid succeeds, the Tencent consortium will be required to make a make an unconditional mandatory general offer for <a href="https://www.smartkarma.com/entities/yixin-group-ltd" target="_blank" data-smartkarma-citation="entities:26008:1" rel="noopener">Yixin Group Ltd (2858 HK)</a>.</p><div class="content-highlight"><p>We think that at Yixin's last close price, the downside risk is low (trading close to break price) with a good probability of material upside (share price catalyst is signing of a Bitauto definite agreement).</p></div>

On 13 September 2019, Bitauto Holdings Ltd Adr (BITA US) announced a non-binding privatisation proposal from Tencent Holdings (700 HK) and Hammer Capital. The bid of $16 per ADS values Bitauto at a market cap of $1.1 billion. We have previously outlined our thoughts on the Bitauto privatisation risk/reward. If the Bitauto privatisation bid succeeds, the Tencent consortium will be required to make a make an unconditional mandatory general offer for Yixin Group Ltd (2858 HK).We think that at Yixin's last close price, the downside risk is low (trading close to break price) with a good probability of material upside (share price catalyst is signing of a Bitauto definite agreement).

Yixin Group

Yixin’s MGO Spread Risk/Reward