Super-app Meituan is now China's third-biggest listed internet firm, behind Alibaba and Tencent
AMERICA'S TECHNOLOGY unicorns, as privately held startups worth $1bn or more are known, seem to lose their magic as soon as they go public. The market capitalisation of Uber is down by almost half since it listed in May. Lyft has shed a bit more even than its bigger ride-hailing rival. Neither is remotely profitable. Slack, a corporate-messaging service, lost $360m in its first quarter as a public company, over ten times more than as a private one a year earlier.
China also has its own tech duds. Shares in Xiaomi, a maker of smartphones and gadgets, are worth half of their offering price last July. But other Chinese unicorns have managed to retain some of their mojo.Two in particular have been on a tear in the past six months: Meituan-Dianping, an online-services super-app that trades in Hong Kong, and Pinduoduo, a shopping app listed on New York’s Nasdaq exchange.
Meituan burned through cash to fuel its food-delivery and bike-rental businesses. Users were delighted; investors, less so. But the strategy appears to have paid off: the company reported its first net profit, of 876m yuan , in the second quarter. Sanford C. Bernstein, a research firm, reckons that Meituan may continue to make money, not least because its meal-toting rivals—including Alibaba—are losing their appetite to fork out much more..
Pinduoduo boomed early on in underserved poor cities. But as it moves into richer ones it will come up against Alibaba, whose defences will be bolstered by the up to $12.9bn it plans to raise in a secondary listing in Hong Kong on November 26th. On November 20th Pinduoduo reported a loss in the third quarter that was wider than expected. Its shares fell by 23%. No one said staying magical would be easy.
Deutschland Neuesten Nachrichten, Deutschland Schlagzeilen
Similar News:Sie können auch ähnliche Nachrichten wie diese lesen, die wir aus anderen Nachrichtenquellen gesammelt haben.
Micron relationship with Huawei 'very good', chief executive saysAmerican memory chipmaker Micron's relationship with China's tech gian...
Weiterlesen »
Google's do-good arm tries to make up for everything elseGoogle's head of philanthropy says the tech giant is having “a lot of conversations” internally amid worries about its appetite for consumer data.
Weiterlesen »
Does Your Crush Like You Based On Your Taste In Music?Your Taste In Music Will Reveal Whether Or Not Your Crush Likes You Back
Weiterlesen »
45 Top-Rated Dresses That Are Popular For A ReasonWearing a dress=not having to worry about matching a top and pants, and for that I am grateful.
Weiterlesen »
Troian Bellisario Has Some Thoughts About Her And Shay Mitchell Giving Their Daughters An 'A' NameTroian Bellisario Has 'A's All Around Her Daughter's Playroom And Is Fully Aware Of The Irony
Weiterlesen »
Once A Craft Beer Darling, New Belgium Brewing Is Struggling To Go From Niche To NationalHow Kim Jordan, New Belgium Brewing's cofounder and CEO, is discovering how tough it can be to transform from a niche player into a national brand.
Weiterlesen »