Chinese livestreaming and short video group Kuaishou is set to raise up to $6.3 billion in a Hong Kong initial public offering in a test of investor appetite for China’s tech sector as it faces growing regulatory scrutiny, reported the Financial Times.
The deal could value Kuaishou, which competes with ByteDance’s TikTok, at up to $61.7 billion and would be the largest tech IPO since ride-hailing company Uber went to market in 2019.
The listing will raise between $4.9 billion and $5.4 billion, but that could rise to $6.3 billion if bankers exercise an overallotment option to increase its size, according to a term sheet seen by the Financial Times. Shares are expected to price on Friday between HK$105 ($13.55) and HK$115 ($14.84) and begin trading on February 5.
Kuaishou, which is backed by Chinese internet group Tencent, reported an operating loss of RMB 9 billion ($1.4 billion) on RMB 41 billion in sales during the first nine months of last year, reported the FT.