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By
Reuters
Published
Apr 14, 2014
Reading time
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Chinese online cosmetics retailer Jumei files for $400 million US IPO

By
Reuters
Published
Apr 14, 2014

Jumei International Holding Ltd, backed by venture-capital firm Sequoia Capital, filed with U.S. regulators on Friday to raise up to $400 million in an initial public offering of American Depositary Shares.

Chinese cosmetics retailer Jumei.com


Jumei, which operates through its website Jumei.com, sells beauty products and perfumes.

Goldman Sachs (Asia) LLC, Credit Suisse and J.P. Morgan were the lead underwriters for the IPO, the company told the U.S. Securities and Exchange Commission in a preliminary prospectus.

Jumei.com, which is among the top 20 most visited e-commerce websites in China, received an investment of more than $10 million from Sequoia Capital in 2011, according to Thomson Reuters publication IFR.

Sequoia Capital funds hold about 19 percent stake in the company, according to the filing.

Jumei said it intends to list its common stock under the symbol "JMEI," but did not specify the exchange.

The filing did not reveal how many shares the company planned to sell or their expected price.

Some 30 Chinese companies could list in the United States this year, according to investment bankers interviewed by Reuters.

China's second-biggest e-commerce firm JD.com Inc has already filed with the regulators to raise up to $1.5 billion while e-commerce giant Alibaba Group Holding Ltd is nearing an U.S. IPO.

Beijing-based Jumei International said net proceeds from the offering would be used for general corporate purposes, which may include working capital needs.

The company's revenue more than doubled to about $483 million, while net income more than tripled to $25 million in 2013.

China's business-to-consumer e-commerce sales may surpass $180 billion this year due to rising internet penetration, expanding middle-class incomes and a steadily improving distribution network, according to New York-based market research firm eMarketer.

The amount of money a company says it plans to raise in its first IPO filings is used to calculate registration fees. The final size of the IPO could be different.

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