{
  "docId": "019dd923-622c-750b-8b98-72ad4dd9da96",
  "docSlug": "86dfa89096f8",
  "documentTitle": "Momo, Inc. (MOMO)",
  "authorId": "54_Spruce_Point_Capital",
  "authorName": "Ben Axler",
  "documentKindSlug": "activist-deck",
  "documentKindLabel": "Activist deck",
  "sourceTypeSlug": "short_seller",
  "sourceTypeLabel": "Short seller",
  "presentationDate": "2018-06-27 00:00:00",
  "orientation": "landscape",
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  "pageNumber": 9,
  "pageCount": 70,
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  "slideType": "valuation_table",
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  "nDataPoints": 60,
  "notes": "The slide highlights concerns regarding the Tantan acquisition funding and potential shareholder dilution.",
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      "kind": "callout",
      "text": "The convertible, unlike a cash payment, now potentially puts shareholders at risk of future dilution.",
      "attrs": null,
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      "kind": "metric",
      "text": "Enterprise Value: $8,328.7",
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      "kind": "paragraph",
      "text": "Momo is a $8 billion China technology company trading near an all-time high share price given recent “blowout” results of its Live Video business. Shares might appear cheap given its blistering reported revenue and earnings growth. However, this view is predicated on taking management’s story at face value and turning a blind eye to a multitude of concerning red flags highlighted in this report. The nature of Momo’s disclosures around the funding of the Tantan acquisition should serve as yet another to investors. Investors were to assume that the deal was to be funded out of cash flows until the convertible bond was announced 6/25/18 for $650m and the bank loan facility disclosed. The convertible, unlike a cash payment, now potentially puts shareholders at risk of future dilution.",
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      "text": "Source: Momo financials, Bloomberg consensus estimates",
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      "text": "Capital structure and valuation table",
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      "kind": "title",
      "text": "Momo's Capital Structure And Valuation",
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      "arcName": "Overcoming the Monster",
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      "evidence": "Slides 7-69 systematically expose contradictions and red flags in Momo's business, including undisclosed charges, complex VIE structure, and regulatory risks.",
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      "evidence": "Slides 7-15 reveal several red flags and concerns, creating an 'aha' moment for the audience.",
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      "objective": "What are the key concerns with Momo's business?",
      "structure": "The Problem/Question -> What the Data Shows -> The Insight",
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