Hong Kong Stock Research News, on December 13, Citi recently published a report on Kingdee International, pointing out that Kingdee International has successfully obtained Qatar's sovereign wealth **Qatar Investment Authority at 10. per shareHK$1** subscribed over 1500,000,000 new shares. This ** is at a discount of about 2 percent from the closing price of last Friday (8th).7%。The transaction gives the Qatar Investment Authority approximately 426% share, net proceeds reached 15HK$6.1 billion.
According to the report, Kingdee will use 80% of the funds raised in the capital market activities, such as potential acquisitions and share buybacks. The bank believes that the transaction is positive for market sentiment, and the share price is discounted by 27%, reflecting the confidence of long-term investors in Kingdee's business. In addition, the introduction of the Qatar Investment Authority may mean that Kingdee has more potential business opportunities or other cooperation opportunities in Qatar and the Middle East in the future. The number of new shares after the transaction will generate 44% dilution impact, so the target price of Kingdee was lowered from HK$15 to 14HK$3. Citi maintains its "**" rating on Kingdee and ranks it as the industry's top pick.
Kingdee's leading position in the enterprise digital management industry has been further recognized by leading institutional investors and further opens up space for Kingdee's potential international expansion in the future. The Hong Kong Stock Research Club will continue to pay attention to the latest developments of Kingdee International.