Chinese lifestyle and video-sharing platform Xiaohongshu is aiming for an initial public offering in Hong Kong as early as the end of this year, according to people familiar with the matter.
Major investors are seeking to value the Shanghai-based company at more than $70 billion, the people said. The company was valued at over $50 billion in recent private secondary trades, according to some of the people.
Details are subject to change as they are still being hashed out with investors and advisers, which include state-owned investment bank China International Capital, people familiar said.
The company’s net profit could surpass $3 billion this year, up from more than $2 billion last year, one of the people said.
Xiaohongshu didn’t immediately respond to a request for comment. Bloomberg had earlier reported on the IPO plan.