Menu
China's Twitter-like Sina Weibo files for $500M US IPO

China's Twitter-like Sina Weibo files for $500M US IPO

The short-form messaging service is facing stiff competition in China

One of China's most popular social media services, Sina Weibo, filed papers on Friday for an initial public offering in the U.S. with the target of raising US$500 million.

The service, often likened to China's version of Twitter for its 140-character posts, is popular in the world's most populous country and attracted 129 million users per month at the end of 2013, but there are signs of slowing user growth.

In a conference call last month, Sina CEO Charles Chao conceded that competition is tough, with about 20 similar services operating. One of the biggest competitors to Weibo is China-based WeChat, which, like Weibo, claims about 300 million registered users.

Like Twitter, which listed its stock last year, Weibo is pushing mobile. The company already sees about 70 percent of its use from mobile devices, and mobile contributes about 28 percent to the company's advertising revenue, the company said.

Weibo recorded revenue of $188 million last year, of which about 79 percent came from advertising. A further 12 percent came from game services and 6 percent from the sale of premium memberships. The company isn't yet profitable, but its net loss of $38 million last year was much improved from the $102 million net loss in 2012, according to the company.

The U.S. IPO will be handled by Goldman Sachs and Credit Suisse. The filing, which was published by the U.S. Securities and Exchange Commission on Friday, does not list a proposed IPO date or share price. Those are usually determined much closer to the actual IPO.

Martyn Williams covers mobile telecoms, Silicon Valley and general technology breaking news for The IDG News Service. Follow Martyn on Twitter at @martyn_williams. Martyn's e-mail address is martyn_williams@idg.com


Follow Us

Join the newsletter!

Or

Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.

Tags business issuesSEC FilingsSina Corp

Events

Featured

Slideshows

Meet the Reseller News 30 Under 30 Tech Awards 2020 winners

Meet the Reseller News 30 Under 30 Tech Awards 2020 winners

This year’s Reseller News 30 Under 30 Tech Awards were held as an integral part of the first entirely virtual Emerging Leaders​ forum, an annual event dedicated to identifying, educating and showcasing the New Zealand technology market’s rising stars. The 30 Under 30 Tech Awards 2020 recognised the outstanding achievements and business excellence of 30 talented individuals​, across both young leaders and those just starting out. In this slideshow, Reseller News honours this year's winners and captures their thoughts about how their ideas of leadership have changed over time.​

Meet the Reseller News 30 Under 30 Tech Awards 2020 winners
Reseller News Exchange Auckland: Beyond the myths — how partners can master cloud security

Reseller News Exchange Auckland: Beyond the myths — how partners can master cloud security

This exclusive Reseller News Exchange event in Auckland explored the challenges facing the partner community on the cloud security frontier, as well as market trends, customer priorities and how the channel can capitalise on the opportunities available. In association with Arrow, Bitdefender, Exclusive Networks, Fortinet and Palo Alto Networks. Photos by Gino Demeer.

Reseller News Exchange Auckland: Beyond the myths — how partners can master cloud security
Reseller News welcomes industry figures at 2020 Hall of Fame lunch

Reseller News welcomes industry figures at 2020 Hall of Fame lunch

Reseller News welcomed 2019 inductees - Leanne Buer, Ross Jenkins and Terry Dunn - to the fourth running of the Reseller News Hall of Fame lunch, held at the French Cafe in Auckland. The inductees discussed the changing face of the IT channel ecosystem in New Zealand and what it means to be a Reseller News Hall of Fame inductee. Photos by Gino Demeer.

Reseller News welcomes industry figures at 2020 Hall of Fame lunch
Show Comments