Tencent-Backed Shopping App Mogujie Seeks USD200 Million in Funds Via US IPO
Zhang Yushuo
/SOURCE : Yicai
Tencent-Backed Shopping App Mogujie Seeks USD200 Million in Funds Via US IPO

(Yicai Global) Nov. 12 -- Chinese e-commerce platform Mogujie is aiming to raise up to USD200 million by going public in New York.

Mogujie, meaning a 'mushroom street' in English, filed its prospectus to the New York Stock Exchange on Nov. 9 to trade under ticker MOGU.

The Hangzhou-based firm is still unprofitable with losses of CNY186 million in six months ending Sept. 30, according to non-GAAP earnings calculations which exclude one-time items such as restructuring costs. These losses were 26 percent less than a year ago. 

With its 18 percent of equity, tech behemoth Tencent Holdings is the largest backer of the platform which targets young buyers of clothing and apparel. Through its five rounds of funding, Mogujie has raised USD411 million so far, and the firm can count Ping An Ventures and HOPU Investment Management as some of its lead investors.

Former Alibaba executive Chen Qi, who acts as a founder, chairman, and chief executive of Mogujie, holds 12 percent of equity and more than 80 percent of all voting rights, according to the prospectus.

Founded in 2011, Mogujie has grown to serve over 62 million active users on its mobile application as of Sept. 30. The firm also has more than 40 million followers on social media platforms such as WeChat, QQ and Weibo. The firm acquired Pinterest-like application Meilishuo in 2016 and the merged entity was valued at USD3 billion at the time. 

Editor: Emmi Laine

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Keywords: IPO , MOGU , TENCENT , Mogujie , Meilishuo , NYSE