Xuhang Holdings, a Chinese provider of marketing services with a focus on new media content, announced terms for its IPO on Friday.
The Hangzhou, China-based company plans to raise $11 million by offering 2.8 million shares at $4. At the proposed price, Xuhang Holdings would command a market value of $246 million. The IPO float represents just 4.5% of basic shares outstanding.
Leveraging its PRC subsidiaries' expertise in content production and operation, extensive distribution channels, and cross-platform new media account base, Xuhang provides integrated marketing solutions that address customers' marketing needs in the context of the new media era. Customers utilize the company's marketing services to achieve their branding and marketing goals across multiple channels, with a primary focus on we-media platforms such as WeChat, Weibo, and Kuaishou, among others. As of August 31, 2023, the company had delivered short videos and advertorials that generated over 167 billion views in total, and its new media account base comprised 539 self-operated accounts and 461 cooperative accounts.
Xuhang Holdings was founded in 2014 and booked $68 million in revenue for the 12 months ended September 30, 2023. It plans to list on the Nasdaq under the symbol SUNH. Univest Securities is the sole bookrunner on the deal.
