Aramco’s failed IPO is a beginning not an end 22 Aug 2018 Saudi’s oil company has called off its $2 trillion stock listing. An army of investment bankers has been spared the need to sell an overambitious deal to unwelcoming markets. But there are plenty more Saudi deals to be done – which advisers will hope can be more easily executed.
Peloton’s funding breakout may not escape the pack 20 Aug 2018 The stationary-bike company may hit a $4.2 bln valuation in its latest round as it prepares to go public. Backers fancy it the Netflix of fitness, but investors favor firms that cater to the masses. Weekend warriors may not keep this outfit out of the peloton of tech wannabes.
Going local would take KKR Indian loans up a notch 14 Aug 2018 A listing of the U.S. firm's lending unit would help fund long-term growth in a market where companies have been starved of credit. Healthy valuations for non-bank financial services firms, plus signs a new bankruptcy code is working, make it a good time to bed down.
China’s Tesla bets on hot-wired dream for IPO 14 Aug 2018 Electric-car maker Nio wants to raise up to $1.8 bln in a New York listing. Chinese drivers are getting greener and richer. But with less than 500 cars delivered and 2017 net losses near 14 times those of Elon Musk’s outfit before a more modest 2010 listing, this is a hard sell.
Pinterest shapes up for anti-millennial IPO 8 Aug 2018 The social app is among the last to tap public markets. Prince Alwaleed buying a stake in Snap suggests investors still like the sector. A valuation between the disappearing-message service and Twitter suggests Pinterest is worth around $13 bln, a tad more than last year.
China Tower debut reveals costs of tech leadership 8 Aug 2018 The newly listed towers firm trades at a low valuation like its telecom peers. Investors know that politics will come before profit as a costly build-out of 5G looms on the horizon. It’s a keen reminder of the price Beijing must pay to achieve cutting-edge tech dominance.
Viewsroom: CBS’s $184 mln #MeToo challenge 2 Aug 2018 That’s what CEO Les Moonves gets if he leaves the U.S. TV network – unless fired for cause. That’s rare in corporate America. But allegations he sexually harassed women put the board on the spot. Plus: Hong Kong battles the Big Apple for IPOs. And China faces a vaccine scandal.
Saudi’s Aramco plan B is too clever by half 27 Jul 2018 With the oil giant’s listing stalled, Riyadh wants to lever it up to buy a stake in chemicals group SABIC. It shouldn’t overburden Aramco, and offers a roundabout way of getting money to the state. But compared to an IPO it’s riskier, and does less to boost Saudi capital markets.
Pinduoduo polishes New York’s tech IPO crown 27 Jul 2018 The shopping app’s shares rose 40 pct in their U.S. debut, valuing it at $34 bln. New York has lost some marquee China tech floats to Hong Kong of late, but those it won have mostly outperformed Fragrant Harbour debutants. The Big Apple is still the host with the most.
China Tower offering sends the right signals 25 Jul 2018 The phone-mast giant set a fair price range for its $9bln IPO. It also limited sales to cornerstone investors, attracting not just friends and family. It’s a welcome change to how SOEs are dumped in Hong Kong. A solid debut could inspire others to follow this friendlier approach.
High hopes accompany Wall Street’s first weed IPO 19 Jul 2018 Canadian cannabis producer Tilray's stock opened a third above its already raised IPO price, nudging its value above $2.1 bln. That's hefty, but still below bigger Canadian peers Aurora and Canopy Growth. Investors seem undeterred by industry risk - and a dual-class share structure.
Aramco’s downstream diversion solves few problems 19 Jul 2018 Buying a stake in petrochemical maker SABIC would enable the Saudi oil giant to diversify its business. But it complicates the government’s plans to open state companies to private capital. And the holding is too small to pump up Aramco’s valuation in an initial public offering.
Old-school Chinese tech IPO bedeviled by startups 19 Jul 2018 Valuation expectations are falling for state-owned mobile mast operator China Tower, just as they did for smartphone maker Xiaomi. A $50 bln max may now be $35 bln, with a slug heading to cornerstone investors. The techlash is bringing at least some sense back to the market.
Race to governance bottom won by China’s Pinduoduo 18 Jul 2018 The shopping app’s owner apes Alibaba with a partnership that controls the board and an insider committee on top. It then adds super-voting stock for founder Huang Zheng, who is a member of all three groups. Investors who buy into the $1.6 bln IPO are just along for the ride.
Chinese shopping-app IPO travels long last mile 17 Jul 2018 Shanghai-based Pinduoduo is seeking a $20 bln valuation in a New York debut. Sales are surging, but its social-networking e-commerce business model targeted at lesser-known areas of China may perplex overseas investors. Unwelcome comparisons to Groupon and Zynga are possible.
Aramco fail hits Saudi ambition more than coffers 10 Jul 2018 If the state oil firm's IPO doesn't fly, Crown Prince Mohammed bin Salman will be $100 bln short. That's huge, but higher crude prices will help the budget and Riyadh can borrow too. The bigger problem is finding other ways to lure the foreign capital his 2030 vision depends on.
Xiaomi IPO will punish bankers twice 9 Jul 2018 The Chinese smartphone-maker’s shares opened below the issue price in their $54 bln debut. It’s not the start tech companies covet. Advisers failed to sufficiently lower an unrealistic valuation goal. Their penalty may be that other big listings in Hong Kong are delayed.
Aramco IPO retreat would leave few losers 6 Jul 2018 Pinning a $2 trln valuation on a company worth $1.6 trln was always going to be risky for the Saudi oil giant’s bankers. If Aramco’s IPO is scrapped, they may get another bite at a more modest cherry. It would, though, sting regulators who bent over backwards to accommodate it.
Xiaomi humble IPO pie still good enough to eat 29 Jun 2018 The Chinese smartphone maker priced its Hong Kong float at the bottom end of a marketed range, valuing it at $54 bln. This isn’t a failure, and investors who believe in the company will like the discount. Missteps by executives and bankers offer lessons for those next in line.
Dinner-table loan IPO is best bet in dicey sector 29 Jun 2018 Listing a 1.3 billion pound consumer credit group may look risky at this stage in the economic cycle. But Amigo has expanded quickly with family-guaranteed loans that are much cheaper than regular payday lenders. That helps justify its premium valuation.