Baiwang Clarifies Valuation Basis for Capital Increase in Baiwangyun Overseas

An update from Baiwang Co., Ltd. Class H ( (HK:6657) ) is now available.

Baiwang Co., Ltd. has issued a supplemental announcement on its connected transaction involving a convertible loan agreement with Huanqiu Zhilian and Baiwangyun Overseas, providing additional detail on the valuation basis used for a capital increase in Baiwangyun Overseas. The board explained that its valuer selected four listed software and services companies—Aisino, Fujian Boss Software, Baiwang itself and Servyou Software—as comparable peers, based on listing status, industry similarity in enterprise finance and tax digitalization, and geographic focus on emerging markets, and concluded this set was appropriate and exhaustive. The company further clarified that the valuation relied on enterprise-value-to-sales (EV/S) multiples rather than profit-based or asset-based metrics, given that Baiwangyun Overseas is still in a high-growth, start-up phase and not yet profitable, making EV/EBIT, P/E and P/B less suitable. This additional transparency on the valuation methodology is intended to support the rationale and fairness of the capital increase for stakeholders in the context of the connected transaction.

The most recent analyst rating on (HK:6657) stock is a Hold with a HK$17.50 price target. To see the full list of analyst forecasts on Baiwang Co., Ltd. Class H stock, see the HK:6657 Stock Forecast page.

More about Baiwang Co., Ltd. Class H

Baiwang Co., Ltd. is a China-based software and services company focused on enterprise finance and tax digitalization, operating primarily in emerging markets across Africa, the Middle East and the Asia-Pacific region. Through entities such as Baiwangyun Overseas, the group provides digital finance and tax operation solutions, positioning itself within the broader digital transformation of enterprise financial management and compliance.

Average Trading Volume: 8,617

Technical Sentiment Signal: Sell

Current Market Cap: HK$3.75B

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