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Rejecting US undervaluation, PapayaMobile decides to IPO on Beijing's NEEQ exchange

Rejecting US undervaluation, PapayaMobile decides to IPO on Beijing's NEEQ exchange

Beijing-based ad-tech outfit PapayaMobile has announced it plans to IPO on China’s National Equities Exchange and Quotations Index (NEEQ).

The IPO would value the company at around $340 million (2.2 billion yuan).

It projects annual revenue of over $150 million (1 billion yuan) in 2016, with $15 million (100 million yuan) in net profit.

Nobody understands me

It's part of a decision to move away from the US, as the company believes that the market in China "understands" them better.

As PapayaMobile CEO, Si Shen, told Technode, "We were thinking of [listing on] NASDAQ. But when we went through roadshows, we found out that Chinese companies are not well-understood and undervalued [from overseas investors]."

The higher valuation will help the company expand into other markets, as it looks to make big acquisitions in the US, India, and South-East Asia in the coming months.

The move following the trend which has seen several NASDAQ-floated Chinese game companies delisting, either to go private or to relist on Chinese exchanges. 


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Ric is the Editor of PocketGamer.biz, having started out as a Staff Writer on the site back in 2015. He received an honourable mention in both the MCV and Develop 30 Under 30 lists in 2016 and refuses to let anyone forget about it.

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