51credit, a China-based personal financial product supplier backed by corporates JD.com, Xiaomi and Susquehanna International Group (SIG), is expected to raise $129m in its initial public offering, Tencent Technology News reported yesterday.
The company is set to price its shares at HK$8.50 ($1.08) each, at the foot of the HK$8.50 to HK$11.50 it had previously set.
Founded in 2005 and also known as U51, 51credit offers financial services such as credit card bill management, peer-to-peer lending and wealth management.
Trading and technology firm SIG made its first investment in 51credit in 2006, according to the company’s website, before a subsidiary of telecommunications and internet group SoftBank added an undisclosed sum the following year.
Venture capital firm Meridian Capital and angel investor Charles Xue invested an undisclosed amount in 51credit in 2012, and both Meridian and SIG contributed to a $15m round in 2014 that included VC firm Crystal Stream Capital.
E-commerce firm JD.com participated in 51credit’s $50m series B round in 2015 alongside GGV Capital and Shunwei Capital, before Xinhu Zhongbao, Tiantu Capital, FunCity, HG Capital, Guoxin Hongsheng Investment, Shenzhen Qianhe Capital and Angel Plus invested $310m in September 2016.
The company raised a further $84m in a series C-plus round featuring retail group InTime and asset manager Harvest Global Investments a few weeks later. Electronics maker Xiaomi is also a shareholder, though details of its investment have not been publicly revealed.
JD.com owns a 4.7% stake in 51credit through a vehicle called Sherry Beauty while Xiaomi-owned entity Red Better holds 2.3% according to the March 2018 IPO filing. It did not reveal any shareholding owned by SIG, InTime or SoftBank.
Other notable investors in 51credit include Tiantu Capital (14%), Hong Kong Xinhu Investment (10.2%), Beijing Guojun Investment (5.5%), Xinhu Zhongbao (4.7%), Hangzhou Xingxiaoying (4%) and Harvest Global (3.2%).