Fri, Jul 27, 2018 - Page 10 News List

Pinduoduo valued at US$1.6bn upon going public in US

Bloomberg

Chinese e-commerce company Pinduoduo Inc (PDD, 拼多多) has raised US$1.6 billion after pricing its US initial public offering (IPO) at the top end of a marketed range, a person with knowledge of the matter said.

The Shanghai-based shopping platform backed by Tencent Holdings Ltd (騰訊) has priced 85.6 million US depositary shares at US$19 each, said the person, who asked not to be identified because the details are private.

The shares were marketed at US$16 to US$19 each, according to a regulatory filing.

PDD’s fundraising is the fourth-largest IPO in the US this year, according to data compiled by Bloomberg.

The listing is exceeded only by Axa SA’s US unit at US$3.2 billion, Pagseguro Digital Ltd at US$2.6 billion and iQiyi Inc (愛奇藝) at US$2.4 billion, the data show.

Caixin reported the pricing earlier, citing an unidentified person.

Tencent and Sequoia Capital, two of PDD’s principal shareholders, were seeking to buy as much as US$250 million each of the new shares, the filing shows.

PDD, melding social media to couponing on a platform with more than 1 million active merchants, has grown from its start in 2015 to handle 4.3 billion orders last year, the filing said.

It handled US$41.8 billion of transactions for the year ended June 30.

The offering was led by Credit Suisse Group AG, Goldman Sachs Group Inc and China International Capital Corp.

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