Inke, a China-based live video streaming platform backed by game developer Beijing Kunlun Tech, has filed for an initial public offering on the Hong Kong Stock Exchange, Kr Asia reported yesterday.
Founded in 2015, Inke operates a live video broadcasting platform that allows viewers to buy virtual gifts for its performers.
Inke claimed to have grown its user base to more than 25 million monthly active users and 652,000 paying users in the fourth quarter of 2017, out of a total of 194.5 million total users for the year.
The company, which holds a 15.3% market share of the sector in China, has twice been fined by regulators for broadcasting inappropriate content after its performers fell foul of increasingly tough rules on acceptable behaviour.
The IPO proceeds will go toward product diversification and development, strategic investments and acquisitions, and research and development, particularly in the areas of big data and artificial intelligence.
Cloud-based music platform Duomi Online provided $760,000 in angel funding for Inke in 2015, before it raised a total of $17.7m in a series A round that closed in April 2016.
The series A round included a $10.3m contribution from Kunlun in January 2016 as well as consultancy Shunya Interantional, GSR Ventures, SAIF Partners, Zihui Tianma and Zihui Juxin.
Internet company Tencent contributed to Inke’s $47m series B round in July 2017 through subsididary Shenzhen Tencent, investing alongside Jiaxing Guanglian, Jiaxing Guangmei, Ningbo Anhe, Ningbo Qingzheng, Mango Wenchuang and Zihui Juxin.
Mango Wenchuang later divested its shares to Changxing Shengju, while Jiaxing Guanglian sold part of its shareholding to Chiyu Investment.
Inke has hired financial services firms China International Capital Corporation, Citi and Deutsche Bank as underwriters for the offering.