China's Quhuo Raises $33 Million in New York Public Offering
This company is riding the wave of big Chinese tech listings in New York.
Quhuo Ltd., a China-based workforce solutions provider set to debut on the Nasdaq Global Market Friday, has set the offering price of its shares at $10.
The company raises $33 million in its initial public offering of 3.3 million American depositary shares.
The issue price is the midpoint of the expected range of $9 to $11 per share, but Quhuo has increased the number of shares offered, thus raising more than anticipated.
Underwriters on the deal, Roth Capital Partners LLC, Valuable Capital Ltd., and Tiger Brokers (NZ) Ltd., may purchase an additional 488,100 ADSs of Quhuo upon the IPO, according to the company's press release.
In its filings with the U.S. SEC, the platform said it intends to use the funds from the IPO for expansion in various industries, including ride-hailing and housekeeping, as well as for technology improvement, marketing and promotions, working capital, and potential strategic acquisitions.
Operating since 2012, Quhuo aims to fill the opportunity in China's highly fragmented labor market and to provide "flexible, stable and trained" workforce. Today, the Beijing-based company claims to be the largest of its kind in China. It posted revenues of $295.3 million and narrowed losses of $1.9 million for 2019.
Quhuo is set to lift off in New York today under the symbol "QH."