Yet another Chinese record association is headed for an initial open offering.
Meilishuo, the online conform tradesman corroborated by Tencent Holdings Ltd., is in talks with several investment banks about a U.S. initial open charity that could value a startup during about $4 billion, according to people informed with a matter. The women-focused online tradesman hosted a bake-off to plead IPO prospects with intensity advisors and underwriters, a people said, seeking not to be identified articulate about private negotiations.
Meilishuo, that joined with opposition Mogujie in 2016 to form a association with $3 billion in sales, was pronounced to have been valued during $3 billion during a time of that deal. The company, whose name means “Beauty Talk,” is one of a some-more renouned conform and cosmetics retailers online, a niche it’s clung to notwithstanding a prevalence of Alibaba Group Holding Ltd. and JD.com Inc. Meilishuo’s envisioned $4 billion gratefulness is an initial aim and could change if a understanding proceeds, a people said.
It’s one in a flourishing call of Chinese record companies looking to sell shares to a public. Smartphone builder Xiaomi Corp. is seeking a valuation of as most as $100 billion in a much-anticipated offering, people informed with a matter have said, while Meituan Dianping, a Chinese food examination and smoothness hulk also corroborated by Tencent, has begun discussions about a Hong Kong IPO during a gratefulness of during slightest $60 billion.
“Tencent wants to rise e-commerce around a partners, so Meilishuo could get a lot of resources and help,” pronounced Li Yujie, an researcher with RHB Research Institute Sdn in Hong Kong. “It still depends on how a altogether marketplace performs, though e-commerce sector-wise it would be a good year to fetch a good valuation.”
Meilishuo, that didn’t respond to requests for comment, was said to have considered a U.S. inventory as early as dual years ago. Most of China’s largest tech companies have picked New York for their debuts, seeking a far-reaching financier bottom and aloft general form that an American inventory confers. Beijing however is now encouraging many of those same firms to also list shares on Chinese exchanges.
Founded in 2009, Meilishuo runs an online marketplace offered clothes, boots and handbags. As of 2016, it had about 15,000 merchants on a website and a mobile focus that had been downloaded 100 million times. That year, it joined with Mogujie, founded in 2011 with about 130 million purebred users.