[%KCLG%] 
Research by TA Securities
Sell – Target Price RM0.35

“Expect 2HFY23 to Mirror 1HFY23”

Key takeaways from our recent meeting with N2N’s management: i) N2N’s revenue profile has stabilised to one with a stronger mix of recurring revenue (~90%) versus variable revenue (~10%), ii) in the near-to-medium term, potential catalysts for N2N include the launch of the Asia Trading Hub (to commence pilot phase in 1Q24), and a new trading platform (to launch in 2H24). In all, we maintain our Sell recommendation on N2N with an unchanged TP of RM0.35 based on a target PE of 17.0x against CY24F EPS. We take this opportunity to cease coverage on N2N due to the underwhelming traction in its growth plans.

Analyst:
Wilson Loo, CFA 
[%sZyi%]

$KLSE-N2N 
Research by TA Securities
Sell – Target Price RM0.35

“Expect 2HFY23 to Mirror 1HFY23”

Key takeaways from our recent meeting with N2N’s management: i) N2N’s revenue profile has stabilised to one with a stronger mix of recurring revenue (~90%) versus variable revenue (~10%), ii) in the near-to-medium term, potential catalysts for N2N include the launch of the Asia Trading Hub (to commence pilot phase in 1Q24), and a new trading platform (to launch in 2H24). In all, we maintain our Sell recommendation on N2N with an unchanged TP of RM0.35 based on a target PE of 17.0x against CY24F EPS. We take this opportunity to cease coverage on N2N due to the underwhelming traction in its growth plans.

Analyst:
Wilson Loo, CFA 
wilsonloo@ta.com.my