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Bilibili Aims to Raise More Than USD2 Billion in Hong Kong Listing

January 7, 2021 0:34 pm

Beijing (PingWest)- Bilibili, a Chinese video platform known for its content targeting younger audience, is preparing for a secondary listing in Hong Kong at the end of this week or early next week, CNBC reported, citing sources.

The company plans to raise more than USD2 billion in the secondary listing, which is higher that its previous anticipation of USD1.5 billion.

Prior to Bilibili, a number of U.S-listed Chinese companies have came to Hong Kong for secondary listing over the past 14 months including Alibaba, JD.com and NetEase.

Bilibili made its debut on the Nasdaq in 2018 when it begun trading at USD11.5 per share, raising USD483 million.

Bilibili started as a niche platform that focus on vertical market- anime, comics, and games (ACG). It now covers a wide range of contents, including fashion, lifestyle, beauty, music and technology. The platform has successfully broken out of its niche and approached the mainstream as users age up and content diversifies.

Bilibili has social and interactive features on its platform to encourage interaction among users, such as bullet chatting (users’ comments that pop up as texts and at the exact point on your screen when you watch video), linking, following, gifting and rewarding. Bilibili’s social elements allow users to watch their favorite video content or favorite host on a live-streaming show, while they shop products such as clothes, anime tools on Bilibili mall as well as rewarding the livestreaming host with virtual gifts.

With a growing user base and wider contents offering, Bilibili has expanded its capabilities to monetize its business across multiple fields including e-commerce, mobile games, livestreaming and other value-added services.

Despite Bilibili made heavy investment in a more diversified model that could bring in more profit, the company’s main revenue generator is still its gaming business.

Based on the research for the preference and interest of company's generation Z user, Bilibili inked cooperation agreement with Sony in April 10 last year, Sony made a cash investment of USD400 million for a 4.98% stake in Bilibili. Sony investment gives Bilibili access to the licensing of Sony mobile games such as Aniplex’s upcoming mobile games, and opportunities to co-develop more IP titles.