Yalla Group, which provides a voice-centric social networking and entertainment platform in the Middle East and North Africa region (MENA), announced terms for its IPO on Wednesday.
The Dubai, United Arab Emirates-based company plans to raise $149 million by offering 18.6 million ADSs at a price range of $7 to $9. Insider Orchid Asia intends to purchase $30 million worth of ADSs in the offering. At the midpoint of the proposed range, Yalla Group would command a fully diluted market value of $1.5 billion.
Yalla is the largest voice-centric social networking and entertainment platform in the Middle East and North Africa region (MENA) by 2019 revenue. The company's platform had approximately 12.5 million monthly user visits and 5.4 million paying users in the 2Q20. On average, its active users spent approximately 4.5 hours in its live voice chat rooms (Yalla rooms) and 1.4 hours playing casual games (Yalla Ludo).
Yalla Group was founded in 2016 and booked $90 million in revenue for the 12 months ended June 30, 2020. It plans to list on the NYSE under the symbol YALA. Morgan Stanley, Haitong International and Tiger Brokers are the joint bookrunners on the deal. It is expected to price on Tuesday, September 29, 2020.
