Bilibili to raise over $2 billion in Hong Kong secondary listing

The Bilibili booth is pictured during the 2019 Yangtze River Delta International Cultural Industries Expo at National Exhibition and Convention Center on November 21, 2019 in Shanghai, China.

Gao Yuwen | Visual China Group | Getty Images

GUANGZHOU, China — Chinese video platform Bilibili is getting ready for a secondary listing in Hong Kong which could raise more than $2 billion, higher than it anticipated last year, a source close to the matter told CNBC.

Bilibili, which is currently listed on the Nasdaq, is likely to file for the Hong Kong public offering at the end of this week or early next week, the source said. The filing will not contain pricing details. Those are expected within the next two months, the person said.

Last year, CNBC reported that the service, which is popular with Chinese millennials, could raise between $1 billion and $1.5 billion. But over the last 12 months, its Nasdaq-listed shares have rallied over 300% — a factor behind Bilibili upping the amount of money it is looking to raise in Hong Kong, the source said.

Bilibili was not immediately available for comment when contacted by CNBC.

A number of U.S.-listed Chinese companies have flocked to Hong Kong for secondary listings over the last 14 months including Alibaba, and NetEase.

Continued tensions between the U.S. and China have threatened Chinese firms listed on Wall Street. In December, President Donald Trump signed legislation that threatened to delist firms that don’t comply with American auditing standards.

That could be one reason behind the rise of secondary listings in Hong Kong.

Bilibili went public on the Nasdaq in 2018 at $11.50 per American depositary share (ADS), raising $483 million. Its shares closed at $94.74 a piece on Monday, marking a more than 700% rise since its initial public offering.

The video platform is aimed at China’s younger generations and mobile games is its largest revenue driver. Bilibili also hosts live broadcasts during which users can buy virtual items. It also makes money from advertising.

Third quarter 2020 revenue came in at 3.22 billion yuan or $475.1 million, according to the exchange rate on its official earnings release. That was 74% year-on-year growth.

Rather than Netflix-style shows, Bilibili relies on user-generated content, similar to YouTube. 

Bilibili has been focusing on growing its user base this year by boosting its content offerings. In August, the company signed a deal with video game developer Riot Games, the owner of League of Legends, to broadcast their global events in China. 

Source link

Random Posts

  • How To Flip Your IPhone Into The Final Gadget

    Inside the current age we reside in, experience has grow to be an very important part. Uncover of Dispute. If each you or we intend to arbitrate beneath these Phrases, the event searching for arbitration should first notify the opposite celebration of […]

  • The Evolution Of Computer Know-how

    The latest gadgets are at all times amongst favorite lists of mobile users they usually all the time keep a examine on the market for the newest gizmos. On the opposite side of the coin, computer systems have opened a […]

  • Computer Expertise

    Throughout the current age we reside in, know-how has develop to be an necessary half. One among many iPhone devices that helps with regularly actions is that this one. It is among the many best iPhone tools on account of […]

  • Kwarx Know-how In Glassware

    The Nokia 6500 Slide has Bluetooth function that allows the users to share knowledge and photos with none wire to computer systems, other cell phones and a number of other other compatible devices. Entertainment is necessary for everyone for getting […]