IPO

Hong Kong retail mania one-ups U.S. short squeeze

5 February 2021

Kuaishou shares nearly tripled on their $5.4 bln debut. One in four working-age Hong Kongers bid for a stake in the Chinese video app, putting up $162 bln. Dubious rallies without organised campaigns like GameStop’s provide stronger evidence of a frenzy getting out of hand.

Branson splices cash and hype into 23andMe

4 February 2021

The consumer genetics company is combining with the British billionaire’s SPAC in a $3.5 bln deal. Revenue from testing is shrinking, but all that personal data could be valuable. While 23andMe’s valuation looks high, the $1 bln in cash should buy some time to grow into it.

Corona Capital: McKinsey/opioids, Bumble IPO

4 February 2021

Concise views on the pandemic’s corporate and financial fallout: Consulting firm McKinsey settles over its role in the U.S. opioids scandal; and dating site Bumble boss Whitney Wolfe Herd looks smart to be holding back in the company’s initial public offering.

Vimeo earns its prime-time video slot

2 February 2021

The IAC-owned platform doubled its private market value to $6 bln in three months. That may rise further when Barry Diller’s group spins it off, given the boom in subscriptions sold to Starbucks and such. Vimeo could follow Slack as a target for business-focused tech giants.

Corona Capital: Universal Music

1 February 2021

Concise views on the pandemic’s corporate and financial fallout: A Universal Music IPO could close Vivendi’s conglomerate discount.

Corona Capital: Vaccines, Dr. Martens

29 January 2021

Concise views on the pandemic’s corporate and financial fallout: Quantity matters with vaccines, while Permira gets an extra kick from the bootmaker.

Shaky electric-car maker zips into market mania

29 January 2021

Faraday Future, which has yet to sell a vehicle, will get yet another lease on life by way of a SPAC. Chinese automaker Geely is also backing the $3.4 bln venture. There are red flags galore, including internal control weaknesses. The biggest may be founder Jia Yueting himself.

Corona Capital: UK’s quarantine, U.S. prisons

27 January 2021

Concise views on the pandemic’s corporate and financial fallout: Britain’s new quarantine rules are weak, but will still hurt the travel industry; and for-profit prisons lose business to the U.S. government.

Russian mining IPO comes with sanctions noise

21 January 2021

Nord Gold is planning a $5 bln listing in London, the WSJ reports. Severstal billionaire Alexey Mordashov only has a minority stake, but his sons own most of the rest. Investors need to consider the risk that the new U.S. administration decides to take a tougher line on Moscow.

Europe’s IPO early birds will catch the worm

20 January 2021

Six European companies have already launched floats in 2021. That’s unusual: the second quarter is usually the busiest period for IPOs. Vaccines and resilient valuations mean that those who jump the gun are likely to be the ones who end up looking smart.

Indian beauty shop all dolled up with places to go

20 January 2021

Nykaa makes it easy for millennials in far-flung cities to buy branded cosmetics online. The TPG-backed startup is growing fast without discounting deeply while keeping a lid on losses. That should help a mooted $3 bln IPO valuation – if it isn’t snapped up by a tech titan first.

Bumble IPO is less alluring than its profile pic

18 January 2021

The online matchmaking service’s upcoming offering could be worth as much as $10 bln based on competitor Match. That’s much higher than what Blackstone paid for its stake in 2019. But growth is slowing, and the aging, founder-backed firm has baggage.

Corona Capital: Inflation, Poshmark

14 January 2021

Concise views on the pandemic’s corporate and financial fallout: Breakingviews panel predicts the end of the free-money era; and Poshmark’s IPO looks overdressed.

Locker IPO is amped up play on Polish e-commerce

14 January 2021

Operating storage units for online deliveries may seem a humdrum business. But Advent-backed InPost is expanding rapidly as Poles embrace internet shopping, and its lockers. A mooted 8 bln euro valuation depends on both trends continuing - and on locking out rivals like Amazon.

German used-car IPO tests investor haggling skills

13 January 2021

SoftBank-backed Auto1 is dragging the backstreet business into cyberspace. The question is whether CEO Christian Bertermann deserves a technology-style valuation for selling second-hand rides online. Thin margins suggest a mooted valuation of up to 8 billion euros is ambitious.

Corona Capital: Target, IPOs keep coming

13 January 2021

Concise views on the pandemic’s corporate and financial fallout: Retailer Target gets an extra sales boost from its earlier e-commerce efforts, while buy-now-pay-later company Affirm continues one of 2020’s less-hated features – a smoking hot IPO market.

Moonpig IPO echoes last-minute Christmas card rush

12 January 2021

Lockdowns made the online greetings firm a hit with customers out of options. But a heady 1 bln pound valuation only looks valid if Moonpig can maintain virus-level earnings post-vaccines. That puts owners trying to cash out in a similar boat to hapless Christmas Eve punters.

Casual-chic fad polishes Permira’s Dr. Martens bet

11 January 2021

The buyout firm will list the UK bootmaker after a seven-year turnaround. The IPO will also benefit from rising demand for informal wear, as workers stay home. Valued between peer Deckers and Moncler, the punk icon may be worth 3 bln pounds, roughly 10 times Permira’s investment.

Becoming a bank would shrink but not squash Ant

11 January 2020

Regulators are set to treat Jack Ma’s financial group more like a regular Chinese lender. Though it has enough capital to support its online credit business, growth would be crushed. A bank-like valuation would imply it’s barely worth a tenth of its previous $300 bln price tag.

Roblox float seeks to share public-listing love

7 January 2021

The gaming platform scrapped its IPO for a direct listing of its shares. That’s an easier financial decision with $520 mln of new funds raised at a valuation of nearly $30 bln – more than 7 times its worth a year ago. But it also offers more stakeholders a chance to participate.