Logo of Jahez International Company for Information System Technology
The evaluation of Jahez International Company for Information System Technology was based on the volume indicator, which reflects gross merchandize value (GMV), in addition to the platform commission rate, Al Arabiya TV reported, citing Faris AlGhannam, Deputy CEO of HSBC Saudi Arabia.
The GMV is the key indicator used to measure the performance of this type of companies, such as eBay and Amazon.
The initial public offerings (IPOs) of the e-commerce startups are different in nature, said AlGhannam. The startup’s evaluation process is challenging, as the firm is still in its early operation stages and the accounting data don’t reflect its potential growth opportunities.
HSBC Saudi Arabia formed an IPO-specific team, one of the largest in the market, in addition to another team specialized in fields of technology and startups, to determine the stock evaluation. The teams conducted a thorough study to define its business activities and contacted investors to ensure their understanding of the evaluation method of the company type.
Jahez business model is constantly developing, HSBC Saudi Arabia said, adding that Facebook and Amazon almost had zero sales in their early operation stages.
AlGhannam also indicated that Jahez current high stock price doesn’t necessarily guarantee a high evaluation; a startup capital is growing and it is normally divided into less number of shares.
Jahez’s Nomu listing is a significant step, since the company is the Kingdom’s first e-commerce startup, and will help open the parallel market to more similar listings, AlGhannam pointed out.
Jahez shares began trading on Nomu – Parallel Market on Jan. 5, with the symbol 9526 and ISIN Code SA15ED94KR18, Argaam reported.
Comments {{getCommentCount()}}
Be the first to comment
رد{{comment.DisplayName}} على {{getCommenterName(comment.ParentThreadID)}}
{{comment.DisplayName}}
{{comment.ElapsedTime}}