Transcript Feb-14 PDF - China Anglo Capital Partners

Analysis of Chinese Companies on AIM
FEBRUARY 2014
China Anglo Capital Partners Limited
Copyright © 2014
MARKET OVERVIEW – FEB 2014
1. 49 Chinese companies currently sit on London AIM market representing £2.75/$4.8 USD
billion in market capitalisation;
2. China is the 7th largest region on London AIM market representing over 4% of the total
market, growing quickly in market share about to eclipse Africa and India with new IPOs
scheduled in 2014;
3. 14 IPOs in between 2012 and 2013 with combined market capitalisation of £661M/USD
$1.1Billion;
4. Strongest market sectors are “Speciality Finance, electronic equipment, food products,
retail, mining, Pharmaceuticals”;
5. Largest listing is HUTCHISON CHINA MEDITECH with a market capitalisation of
£428M/$750M USD listed on May 2006;
China Anglo Capital Partners Limited
Copyright © 2014
AIM MARKET ANALYSIS-FEB 14
Number of companies as per country of Total market capitalisation as at
operation
month end £m
Africa
Asia Pacific
Australia
Canada
Central & Eastern Europe
Channel Islands
81
41
26
15
19
3
3,919
3,113
493
1,463
1,502
70
China
49
India & Bangladesh
Isle Of Man
Israel
Latin America
Middle East
Other Offshore
Russia & CIS
UK
USA
Western Europe
23
3
10
24
9
3
41
625
49
67
2,968
93
828
1,559
1,746
52
2,042
49,246
3,197
5,697
1,088
80,738
Totals
China Anglo Capital Partners Limited
Copyright © 2014
2,751
No of Companies
Distribution of Chinese Companies by Equity Market Value (£m)
20
18
16
14
12
10
8
6
4
2
0
17
7
8
6
5
3
3
0
China Anglo Capital Partners Limited
Copyright © 2014
0
AIM MARKET OVERVIEW – TOP 10 CHINESE LISTINGS:
List date
Company Name
Sub Sector
Market capitalisation (£m)
Country of Incorporation
Country of
Operation
19/05/2006
17/08/2006
21/09/2006
HUTCHISON CHINA MEDITECH
GREEN DRAGON GAS LTD
PACIFIC ALLIANCE ASIA
OPPORTUNTY FD
Pharmaceuticals
Integrated Oil & Gas
Equity Investment Instruments
428.10
389.14
285.95
Cayman Islands
Cayman Islands
Cayman Islands
China
China
China
03/08/2005
09/12/2013
05/10/2006
ASIAN CITRUS HLDGS
JQW PLC
ASIAN GROWTH PROPERTIES
Farming & Fishing
Specialized Consumer Services
Real Estate Holding &
Development
186.61
170.32
150.68
Bermuda
Jersey
British Virgin Islands
China
China
China
137.75
Cayman Islands
China
22/11/2007
PACIFIC ALLIANCE CHINA LAND LTD Real Estate Holding & Development
26/06/2006
19/02/2014
20/08/2012
ARC CAPITAL HLDGS LTD
ADAMAS FINANCE ASIA LTD
CHINA CHAINTEK UNITED CO LTD
Equity Investment Instruments
Specialty Finance
Transportation Services
113.55
86.30
70.61
Cayman Islands
British Virgin Islands
Cayman Islands
China
China
China
24/12/2012
30/06/1997
CAMKIDS GROUP PLC
GRIFFIN MINING
Clothing & Accessories
General Mining
69.77
65.46
Jersey
Bermuda
China
China
China Anglo Capital Partners Limited
Copyright © 2014
AIM MARKET CATEGORY ANALYSIS:
Pharmaceuticals
Equity Investment Instruments
Integrated Oil & Gas
Real Estate Holding & Development
Farming & Fishing
Specialized Consumer Services
Real Estate Holding & Development
General Mining
Specialty Finance
Transportation Services
Clothing & Accessories
Media Agencies
Oil Equipment & Services
Footwear
Investment Services
Specialty Retailers
Renewable Energy Equipment
Specialty Chemicals
Business Support Services
Exploration & Production
Electronic Equipment
Software
Market Cap £M
%
428.10
399.50
389.14
201.46
190.98
172.48
137.75
126.21
116.05
70.61
69.77
53.80
51.81
48.33
39.77
33.51
33.42
32.82
28.52
24.79
24.23
21.29
15.59%
14.55%
14.17%
7.34%
6.95%
6.28%
5.02%
4.60%
4.23%
2.57%
2.54%
1.96%
1.89%
1.76%
1.45%
1.22%
1.22%
1.20%
1.04%
0.90%
0.88%
0.78%
China Anglo Capital Partners Limited
Copyright © 2014
CASE STUDY:
China Rerun Chemical Group Ltd
IPO Date
OCT-2013
Entry Market Capitalisation £25.6M
Sector
Automotive chemicals
Current Capitalisation
– Uplift of 70% in 6 months
£43.5M
P&L to AUG-13
RMB 000’s
Sales
PBT
150.7
25.5
China Anglo Capital Partners Limited
Copyright © 2014
CASE STUDY:
Auhua Clean Energy PLC
IPO Date
Entry Market Capitalisation
Funds Raised
Sector
APR-2012
£25.4M
£1.0M
Renewals
Current Capitalisation
£30.6M – Uplift of 21%
P&L to AUG-13
£ Ms
Sales
PBT
21.8
6.2
China Anglo Capital Partners Limited
Copyright © 2014
Why choose AIM?
1.
Prior trading history? (Y/N)
(N)
(Y) 2 YEARS
(Y) 2 YEARS
2.
Minimum market capitalisation? (Y/N)
(N)
(Y) EURO 2.5M
(Y) $100M HK
3.
IPO process self regulated? (Y/N)
(Y)
(N) Regulator approval
(N) Regulator
4.
Average IPO process
12-16 weeks
5.
IPO transactional cost
£350,000
5-6 months
10% of gross proceeds
approx. 500,000 – 750,000 euros
China Anglo Capital Partners Limited
Copyright © 2014
5-6 months+
$ 200 M HK (main board)
$100 M HK (Gem)
China Anglo Capital Partners Limited
Copyright © 2014