Chinese company Kuaishou is scheduled to enter the Hong Kong Stock Exchange on a recent Monday in January. Analysts expect the company could lose at least $5 billion, which would see its market capitalization rise to $60 billion.
But the primary public offering (IPO) has effectively begun. Kuishou’s representatives are already negotiating preliminary offers with potential investors, according to Reuters. When Kuishou first announced its intention to enter the stock market last September, it was estimated that its market value could be around $50 billion. At present, this could be up to ten billion more.
Indeed, if the share subscription were to go well at least $5 billion, it would not only be a famous start to the Hong Kong Stock Exchange into the new year, but it would also be the largest IPO since September 2019. Budweiser Brewing Company entered the Hong Kong Stock Exchange at the time, and the subscription was worth $5.75 billion.
Kuaishou runs a mobile video sharing app and has over 260 million daily users. Moreover, it is part of tencent holding, which is a thorn in the eye of Donald Trump’s incoming administration.