Video-sharing platform Bilibili Inc (NASDAQ: BILI) is set to file for a secondary listing in Hong Kong, seeking to raise more than $2 billion, CNBC reports.
What Happened: Based on an earlier report, Bilibili had planned for a secondary listing (SPO) in Hong Kong and raise up to $1.5 billion by hiring UBS, JPMorgan, Goldman Sachs, and Morgan Stanley as lead managers.
The current $2 billion capital raise is significantly higher than anticipated earlier. CNBC notes that the SPO filing could come as soon as next week but will not contain the pricing details.
Why It Matters: Bilibili is popular with Chinese millennials. Tencent Holdings TCEHY, Alibaba Group Holding Ltd BABA, and Sony Corp SME are some of the big investors in the company.
Bilibili had listed on Nasdaq in March 2018 by raising $483 million in its IPO. It's required to have at least two financial years of good regulatory compliance on another qualifying exchange to list in Hong Kong.
Bilibili becomes the latest U.S. listed mainland-China company to pursue a Hong Kong secondary listing over the last 14 months, including Alibaba, JD.Com Inc JD, and NetEase Inc NTES.
The video platform's stock has grown more than 8 times since its IPO at $11.50 per share.
Price Action: BILI shares are trading higher by 4.4% at $98.90 in the pre-market session on the last check Tuesday.
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