[Abstract] Sina micro-blog issue price of $17, at the lowest point of the expected issue price range.
Tencent science and technology forest in April 17th compiled
sources, Sina micro-blog issue price has been set at $17 per share, after the issue price range of $17 -19 dollars, according to this price, sina will raise $285 million 600 thousand through the IPO.
this fund-raising scale is lower than the expected target, the main reason is to reduce the size of the stock issue of micro-blog. This is also in the electricity supplier giant Alibaba before the listing of the stock market demand for a major test.
Sina officially released in 2009, as of March this year, has grown to 144 million monthly active users of the size of the number of people to become China’s largest open forum for the.
micro-blog rapid growth, but last year is still in a state of net loss. According to the issue price, the value of sina micro-blog is about $3 billion 400 million. Its issue price of $17, at the lowest point of the expected issue price range. The company sold only 16 million 800 thousand shares, down from the original expected of the 20 million shares issued.
Sina micro-blog IPO timing is not good, and now the U.S. IPO market is generally weak, and whether it is China or the United States of the Internet stocks, stock prices have been down for a month. For example, Twitter shares since the beginning of March has fallen by 18%.
technology stocks slump Sina micro-blog’s parent company Sina suffered heavy losses. Since Sina micro-blog in mid March to submit a listing plan, Sina’s share price has fallen by 19.3%.
a lot of Internet stocks although not yet profitable, but the value came up, that is mainly because the number of them in recent years, the surge caused by the user. Some investors may agree with this view.
Jeff Papp, senior analyst at
Oberweis Asset Management investment company (Jeff Papp) said: "the current market may be the growth of the user is not too interested in May last year they are barely able to accept this, but now the situation is different." Pappu said he may not participate in the IPO market, but may consider buying micro-blog shares.
Sina micro-blog is the most popular China social media services, the stocks in the U.S. stock market listing can also be viewed as an important test of the current market of new shares China concept of network attitude, because China electricity giant Alibaba are likely to be in the third quarter of this year the United States listed.
Alibaba is one of the largest shareholder of micro-blog. After IPO, Alibaba will hold about 1/3 stake in micro-blog. Because of the existence of this relationship, Alibaba merchants will be able to send ads to Sina micro-blog users.
although Alibaba is listed in the United States