NetEase music business Cloud Village launches US$500 million Hong Kong IPO

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HONG KONG : NetEase Inc's music streaming business Cloud Village Inc is aiming to raise up to US$500 million in a Hong Kong initial public offering, according to regulatory filings, after shelving the deal earlier this year following China's regulatory crackdown on tech companies. The company is selling 1

HONG KONG : NetEase Inc's music streaming business Cloud Village Inc is aiming to raise up to US$500 million in a Hong Kong initial public offering, according to regulatory filings, after shelving the deal earlier this year following China's regulatory crackdown on tech companies.

A price range of US$HK190 to US$HK220 has been set for institutional investors, according to a term sheet seen by Reuters, which will give Cloud Village a market capitalisation of US$5.4 billion to US$6.2 billion. Cloud Village will price its shares on Nov. 26 and start trading on the Hong Kong Stock Exchange on Dec. 2, according to the term sheet.

Cloud Village scaled back the size of the IPO after initially aiming to raise at least US$1 billion in August, sources told Reuters at the time.

 

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