(Yicai Global) Jan. 19 -- The lead banks for Kuaishou Technology’s initial public offering, the first by a Chinese short video-sharing platform, have floated a tentative valuation of USD65 billion to USD91 billion, according to financial news channel Yixian.

Underwriters generally peg a valuation higher than the final price to afford investors bargaining leeway, the report said. The ultimate determination rests on market appetite. 

Morgan Stanley, Bank of America and Huaxing Securities are the lead banks on Kuaishou's IPO, according to the preliminary prospectus. They and the Beijing-based company will decide on a valuation after full discussion, the report said.

Kuaishou’s last funding round in 2019 valued it at USD28.6 billion, according to public information.

Formed in 2015, Kuaishou had revenue of CNY39.1 billion (USD6 billion) in 2019 and CNY40.7 billion in the first three quarters of last year, with an adjusted CNY7.39 billion loss. 

Its shareholders include Tencent Group, Sequoia Capital and Baidu. Tencent is the largest with a 21 percent stake. The firm had 305 million daily active users, 769 million monthly active users and an accumulated inventory of 29 billion short videos as of Sept. 30.

Editor: Ben Armour, Xiao Yi