Chinese short video mobile app maker Miaopai likely to IPO later this year

Mon Mar 13, 2017 - 9:54am GMT+0000

Yixia Technology, a Beijing-based developer behind Chinese top video blogging app Miaopai is getting ready for a U.S. initial public offering (IPO) later this year.

The company is reportedly going to appoint a senior management team next month, which further advocate news about its listing.

According to sources, “They are planning to get listed in the second half of this year, most likely in the U.S. market given that Weibo, a major investor of Yixia Technology is listed on NASDAQ.”

However, not much information has been revealed about the IPO timetable, as sources explained that on one hand, the board hasn’t reached a consensus. While another reason being that they would like to progress gradually as circumstance could change in big deals like this.

Additionally, rumors surrounding Yixia Technology’s IPO has been around for some time. As prior to this, several Series C investors of the company, the founder of StarVC as well as Zhou Wei, partner of KPCB, has discussed the firm’s IPO plans.

Founded in 2011, Yixia Technology is one of the leading video app developers to have ridden China’s video and live-streaming boom. Its flagship product Miaopai is a leading video clip editing and sharing app which claimed over 1.7 billion daily views as of September 2016.

Its growth is often attributed to its convenient integration into Weibo, the leading Twitter-like social media and strategic investor of Yixia Technology. But Weibo’s investment has been paid off even before the Yixia Technology’s listing as its shares have recently jumped to historical high due in parts to the boost from Yixia.

Besides that, two of Yixia Technology’s video platforms, video-dubbing app Xiaokaxiu and live streaming platform Yizhibo have also recorded significant growth during the past year. According to data from the company, Miaopai and Xiaokaxiu have a combined daily user base of 70 million with Yizhibo covering 10 million daily users.

Investors have been enthusiastic about the Beijing-based firm for some time, where it has pocketed nearly US$800 million funding in overall six rounds of financing from Weibo, Sequoia Capital, and RedPoint Ventures. The company’s most recent US$500 million round raised the company’s valuation to between US$3 billion to US$5 billion.

Prior to this, founder and CEO of Yixia Technology, Han Kun has answered inquiries from local media regarding its IPO plans, stating that: “Not a single startup that aspires for long-term and sustainable growth would forgo their IPO plan. However, going public is different for every company, taking every aspect of the company into consideration.”

By Vivian Foo, Unicorn Media