ZhongAn Insurance IPO Draws Attention to Low Valuation of Fanhua

Posted on by John Sheehy

ZhongAn has just completed an IPO and the money-losing company closed ts first day of trading with a market cap of US$12Bn, 4.9X book value. ZhongAn's revenues are almost entirely from online sales of non-traditional products (e.g. Shipping Return insurance) and novelty products (e.g. Phone Screen Crack insurance) Fanhua acts as an agent for sales … Continue reading ZhongAn Insurance IPO Draws Attention to Low Valuation of Fanhua

US Listed Chinese companies are finding ways to access the Chinese Equity Market

Posted on by John Sheehy

The 30+ pending buyouts of US listed Chinese companies are driven by the higher valuations available to similar businesses in the domestic Chinese equity market.  But recent announcements demonstrate ways that companies can issue shares in China without undergoing privatization restructuring and relisting: Soufun will inject assets into an existing Shanghai listed shell company CNinsure … Continue reading US Listed Chinese companies are finding ways to access the Chinese Equity Market