Plus Digital Seeks to Ride a Boom on Software Services for Retailers

The provider of digital sales and marketing tools for fast-moving consumer goods brands is seeking to go public in Hong Kong as sales of its subscription-based services boom Key Takeaways: Plus Digital has filed for a Hong Kong IPO, reportedly seeking to raise about $150 million Subscription-based software services have emerged as the new growth driver for the company in the past few years By Tina Yip As the Hong Kong IPO market shows signs of revival, Plus Digital Technologies Inc. is wasting no time trying to capitalize on booming…

Read More »

Tuya Seeks Hong Kong IPO to Hedge U.S. Delisting Risk, But Investors Are Wary

With the possibility of being forced to delist from the U.S. market by the SEC, Tuya is primarily seeking a safe harbor and only aims to raise a conservative HK$140 million Key takeaways: Tuya’s failure to turn a profit and a lackluster performance of the overall share market in Hong Kong has dampened investor interest The first-quarter loss of the internet of things company widened by 35.6% year-on-year as a result of rising R&D and operational costs By Fai Pui As the diplomatic and economic showdown between Beijing and Washington…

Read More »

New Energy Lands as Hottest Category Among Chinese Concept Stocks in 2021 – Bamboo Works Special Report

Investors kept a close look at China’s solar and wind power stocks last year, but were least interested in the hobbled education sector By Bamboo Works team Chinese concept stocks experienced unprecedented challenges in the Year of the Ox. The small and mid-sized companies covered by Bamboo Works were no exception, also coming under intense pressure. Looking past their stock prices and financial reports, how did these companies perform in terms of media and investor attention? Which companies stood out despite all the pressures? Our special report highlights such trends…

Read More »

FAST NEWS: Weimob to Acquire Retail Data Specialist for $35 Million

The latest: Chinese e-commerce services provider Weimob Inc. (2013.HK) announced it will acquire 51.9% of XiangXinYun, a domestic provider of retail services for both online and offline operators, for 222 million yuan ($35 million). On completion of the transaction, XiangXinYun will become a subsidiary of Weimob. Looking up: XiangXinYun has been deeply involved in China’s national retail industry, both online and offline, for many years and has high strategic value for Weimob, whose business is centered on e-commerce. Its “Super Shopping Guide” app can improve product awareness and service capabilities…

Read More »

Tencent-Backed Weimob’s Big Investors Head for Exit Doors

UBS, Credit Suisse, JPMorgan and Black Rock have all sold down stakes in e-commerce services provider in recent months Key takeaways: Several of Weimob’s big-name shareholders have been selling down their stakes in the company over the last three months Tencent-backed Weimob announced a HK$1 billion share buyback last month to relieve the selling pressure By Doug Young Fall 2021 might well be called the season of the “big exit” for Weimob Inc. (2013.HK). The provider of e-commerce services closely tied to internet giant Tencent (0700.HK) has been aggressively purchasing…

Read More »

Baozun Stays Hooked on Alibaba With New Logistics Investment From Cainiao

Alibaba’s logistics unit to pay $217.9 million for 30% of Baozun’s Baotong logistics unit, deepening ties between the pair Key takeaways: Alibaba-backed Cainiao is paying $217.9 million for 30% of Baozun’s Baotong warehouse and fulfillment subsidiary Deal shows how Baozun remains dependent on Alibaba, despite ongoing attempts to diversify its customer base By Mia Shanley With China tech under intense regulatory scrutiny, a new deal by Alibaba’s (BABA.US; 9988.HK) Cainiao logistics arm to buy 30% of Baozun Inc’s (BZUN.US; 9991.HK) warehouse and fulfillment subsidiary Baotong for $217.9 million did little…

Read More »

Tuya’s Stock Gets Lift From Share Buyback, FTSE Inclusion

Company’s shares surge 25% in the two weeks since announcing a buyback, halting an unexplained selloff Key points: Tuya’s shares have rallied 25% in the nine trading days since it announced a share buyback, but are still well below their levels prior to a recent unexplained selloff Company posted triple-digit revenue growth in the second quarter, banking on its leading position as operator of a platform for internet of things (IoT) developers By Doug Young There’s nothing like a good share buyback to rescue your stock in times of unexplained…

Read More »

After Heady Start to 2021, Weimob and Baozun Fall Out of Investor Favor

E-commerce software giants’ stocks plunge after Credit Suisse gives both the cold shoulder and broader market sentiment sours Key Takeaways: Weimob, Baozun shares have been battered by factors unrelated to their fundamentals, including negative moves by Credit Suisse Analysts believe Weimob could be better positioned than Baozun for return to strong profit growth over the medium- to longer-term By Eric Auchard When it comes to U.S.- and Hong Kong-listed Chinese stocks, very little these days seems related to company fundamentals. That’s particularly true for companies whose main business is focused…

Read More »

Baozun Aims to Ease Its Alibaba Addiction With New Growth Plan

Company aims to triple revenue and boost operating profit sixfold in next three to five years Key Takeaways Baozun’s new three- to five-year “profitable growth” strategy is designed to respond to rapid shifts in e-commerce buying habits Company’s diversification bid risks unsettling close ties with Alibaba and Tmall, which account for 75% of its business By Eric Auchard Alibaba may be a good business partner, but it’s nice to work with others as well – especially as Beijing cracks down on the e-commerce giant for its monopolistic practices. That’s the…

Read More »

Meitu Looks for Makeover in Software as a Service

Popular beauty app boosts stake in SaaS specialist Meidd Technology, which supplies more than 10,000 cosmetic stores across China Key Takeaways: Meitu’s latest makeover is targeting a software as service (SaaS) model that helps retailers and brands attract buyers on its app The SaaS model seeks to convert the company’s vast user base into paying customers in its drive to deliver profitability By Eric Auchard Chinese beauty app Meitu Inc. (1357.HK) – whose business has turned appearances into a data science – is delving deeper into the economics behind the…

Read More »