Another IPO of Unicorn financial one account

category:Finance
 Another IPO of Unicorn financial one account


Still in the platform receiving period

In this public offering, Morgan Stanley, Goldman Sachs (Asia) Co., Ltd., J.P. Morgan Securities LLC and Ping An Securities (Hong Kong) of China will act as the leading joint bookkeeper; Bank of America Securities and hsbcsecurities (USA) Inc. will act as other joint bookkeepers; and China credit Lyon securities and US capital market Co., Ltd. will act as joint managers.

Founded in December 2015, financeone is a business technology cloud service platform for financial institutions under Ping An group. According to the prospectus, the development of financial one account will follow four stages: 1) platform incubation period; 2) platform acquisition period; 3) high-speed growth period; 4) profit growth period. The company is now in the second stage of development, ready to enter the third stage.

The background of the rapid development of financial one account is that the current global financial institutions are facing challenges from Internet enterprises, and the demand for digital transformation is particularly urgent. The digitalization of financial institutions has given birth to a huge market demand. It is reported that the 12 solutions of financeone account cover multiple vertical areas of the financial industry, including banking, insurance and asset management, covering all their business areas - including marketing customer acquisition, risk management and customer service, as well as data analysis, intelligent operation and cloud service and other technological infrastructure construction.

According to the prospectus, since its establishment, the business of financial one account has shown a high-speed growth trend, with revenue increasing by 143% from 580 million yuan (US $0.8 billion) in 2017 to 1.41 billion yuan (US $0.2 billion) in 2018. By September 30, 2019, revenue was 1.55 billion yuan ($210 million).

However, the prospectus shows that in 2017, 2018 and the first three quarters of 2019, the net losses of financial one account are 607 million yuan, 1.190 billion yuan and 1.049 billion yuan respectively; the operating losses are 890 million yuan, 1.114 billion yuan and 1.120 billion yuan respectively.

Three steps of exhibition mode

In terms of business development mode, financeone account adopts the three-step mode of use deepening integration. In the early stage, through consultation and free trial, we let customers know about products, and then through cross selling more products to deepen customer relationship, so as to realize the integration of the platform and reduce the pressure of customers compatibility with different technology products.

In this mode, financeone account breaks the traditional revenue mode of SaaS platform pricing by system or solution, and adopts the revenue mode based on transaction volume, that is, only a small amount of initial installation and implementation costs are charged, and the main revenue is calculated based on the transaction volume or business volume generated by financial institution customers on the cloud service platform.

The IPO of financeone account in the United States shows that, after the listing of Ping An Hao on the Hong Kong Stock Exchange in May 2018, another technology enterprise in the five ecological circles of Ping An group started the listing process. The successful listing of financial one account is of far-reaching significance to Ping An group. At present, Ping An has incubated a series of financial technology and medical technology platforms, such as lufax holding, financial one account, Ping an good doctor, Ping An medical insurance technology, etc.

In recent years, Ping An has continued to increase investment in science and technology around the five ecological circles of financial services, medical health, automobile services, real estate services, and smart city, and constructed a strategic development path of science and technology enabled finance, science and technology enabled ecology, and ecology enabled Finance. In the first half of this year, Ping An released its three-year development plan from 2019 to 2021. In the plan, Ping an included technology-based in the companys strategic positioning, and expressed its commitment to become an international leading technology-based personal financial life service group. The integration of Finance and technology will have a profound impact on the service efficiency and quality of financial products and channels. Institutions that grasp this trend to provide diversified and scenario financial services for users will have an opportunity to stand out. Ping An said at that time. Source: responsible editor of Securities Times: Yang bin_nf4368

In recent years, Ping An has continued to increase investment in science and technology around the five ecological circles of financial services, medical health, automobile services, real estate services, and smart city, and constructed a strategic development path of science and technology enabled finance, science and technology enabled ecology, and ecology enabled Finance. In the first half of this year, Ping An released its three-year development plan from 2019 to 2021. In the plan, Ping an included technology-based in the companys strategic positioning, and expressed its commitment to become an international leading technology-based personal financial life service group.

The integration of Finance and technology will have a profound impact on the service efficiency and quality of financial products and channels. Institutions that grasp this trend to provide diversified and scenario financial services for users will have an opportunity to stand out. Ping An said at that time.