Logo of Phnom Penh Post newspaper Phnom Penh Post - China’s Weibo seeks to raise $547M with listing in Hong Kong

China’s Weibo seeks to raise $547M with listing in Hong Kong

Content image - Phnom Penh Post
Weibo, which launched in 2009 and is among the earliest social media platforms in China, said it had 566 million monthly active users as of June. AFP

China’s Weibo seeks to raise $547M with listing in Hong Kong

US-listed Chinese microblogging platform Weibo is seeking to raise up to $547 million in a share offer in Hong Kong, documents showed on November 29, the latest China tech company to list closer to home as tensions with the US rise.

Several US-listed Chinese tech firms such as Alibaba have held initial public offerings in Hong Kong over the past two years as the US has stepped up scrutiny of Chinese companies.

Listing in Hong Kong is seen as a hedge against the risk of being removed from US exchanges and a way of accessing an investor base closer to their home markets.

China also has been encouraging its big tech players to list either in Hong Kong or Shanghai.

On November 29, Nasdaq-listed Weibo – China’s answer to Twitter – said in a filing that it plans to sell 11 million shares for as much as HK$388 (US$49.75) each.

Shares are expected to start trading on December 8.

Weibo, which launched in 2009 and is among the earliest social media platforms in China, had 566 million monthly active users as of June, it said in a filing.

Its shares have traded on the Nasdaq since 2014.

Weibo is among the most widely-used social media platforms in China, where authorities have blocked major international players such as Facebook.

Weibo said it plans to use the funds raised from its Hong Kong listing to grow its user base and for research and development.

But it cautioned that it is “subject to changing laws and regulations regarding regulatory matters, corporate governance and public disclosure” that have increased both its costs and risks of non-compliance.

In recent months, Chinese regulators have launched a wide-ranging clampdown on tech companies like Alibaba, Tencent and Meituan – clipping the wings of major internet firms that wield heavy influence over consumers’ daily lives.

MOST VIEWED

  • Ice cream, noodles flagged over carcinogen

    The General Department of Customs and Excise of Cambodia (GDCE) has identified three types of instant noodles and ice cream trademarks originating from Thailand, Vietnam and France that are suspected to contain ethylene oxide, which poses a cancer risk to consumers. The general department has

  • Exclusive interview with Josep Borrell Fontelles, High Representative of the EU

    CAMBODIA is hosting the 55th ASEAN Foreign Ministers’ Meeting (AMM) and Related Meetings this week with top officials from the US, China, and Russia and other countries in the region slated to attend and to meet with face-to-face with their counterparts on the sidelines. In

  • Rise in Thai air routes to Siem Reap fuels travel hopes

    Local tourism industry players are eager for regional airline Bangkok Airways Pcl’s resumption of direct flight services between the Thai capital and Siem Reap town on August 1 – home of Cambodia’s awe-inspiring Angkor Archaeological Park – which is expected to boost the growth rate of

  • ASEAN Foreign Ministers’ meet commences, Taiwan issue possibly on table

    The 55th ASEAN Foreign Ministers’ Meeting (AMM) and related meetings hosted by Cambodia kicks off in Phnom Penh on August 3, with progress, challenges, and the way forward for the ASEAN Community-building on the table. Issues on Taiwan, sparked by the visit of US House Speaker

  • NBC eyes KHQR payments in Laos, Vietnam

    The National Bank of Cambodia (NBC) is working with Lao and Vietnamese authorities to expand the use of KHQR code cross-border payment systems to promote trade and investment as well as increase the scope of regional economic linkages, and in particular, facilitate remittances from overseas

  • Recap of this year’s ASEAN FM meet and look ahead

    This year’s edition of the ASEAN Foreign Ministers’ Meeting (AMM) hosted by Cambodia comes against the backdrop of heightened global tensions and increasing rivalry between major powers that have been compared to the animosity of the Cold War era. The following is The Post’