Pinduoduo files for $1bn US IPO

Popular Chinese ecommerce platform Pinduoduo is to float on the US stock market. Walnut Street Group Holding Ltd, which operates Pinduoduo, is seeking a US IPO according to a filing with the Securities Exchange Commission on 29th June, which could be worth up to $1bn.

Founded in 2015, Pinduoduo allows users to participate in group buying deals to avail of lower prices through bulk buys. The platform is largely used via Tencent’s WeChat platform and is aimed at low income consumers from lower-tiered cities across China. In 2017, it saw 4.3bn orders placed.

See also:

Pinduoduo to use half of $3bn funding to market agricultural goods

Meituan-Dianping files Hong Kong IPO Indian e-commerce platform

Paytm Mall received $222mn from Alibaba, Softbank

In a letter to shareholders as part of the SEC filing, the company stated: “We envision Pinduoduo to be an organisation that reports to the public. It should create value for the public… we want it to be an independent organisation that brings value to society with its unique organisational structure and corporate culture. Most importantly, it should continue to strive to better itself.”

Founder Colin Huang said that Pinduoduo is dedicated to developing the space between cyberspace and physical space. He told shareholders the platform “leverages a platform and an ecosystem comprised of hundreds of millions of users, merchants, platform management personnel/operators and platform infrastructure/service providers”. He explained: “While each player is interdependent with one another, they constantly try to balance cost-effectiveness, efficiency, user experience and satisfaction.”

He said of the future: “I hope our team wakes up feeling anxious every day, never because of share price volatilities, but because of their constant fear of users departing if we unable to anticipate and meet users’ changing needs… Pinduoduo is dedicated to investing in the future and will always focus on the long term.”




Featured Articles

Hybrid live event shaping the future of Sustainability & ESG

Sustainability LIVE London returns for a two-day, multi-track conference programme featuring inspirational ESG speakers, debates and discussions

Nine must-attend sustainability events for business leaders

From London to Abu Dhabi, Singapore to San Diego, these sustainability-focused events are designed to help business leaders action their ESG goals

Daniel Weise of BCG on new supply chain and procurement book

Daniel Weise, global leader of Boston Consulting Group’s procurement business line, on the timely publication of his new book, Profit From The Source

Attract and retain talent with flexible working and benefits

Human Capital

Nurturing the next generation of women leaders in Africa

Leadership & Strategy

5 Mins With: Cybersecurity expert Ariel Parnes of Mitiga