<article>Chinese online credit card management firm <a href="https://www.dealstreetasia.com/?s=51%20Credit Card Inc">51 Credit Card Inc</a> has raised approximately HK$931.4 million ($119 million) in its Hong Kong IPO, according to <a href="http://www.hkexnews.hk/listedco/listconews/SEHK/2018/0712/02051_3398034/E102.PDF">a filing</a> on the Hong Kong exchange.
The <a href="https://www.dealstreetasia.com/?s=GGV%20Capital">GGV Capital</a>-backed company, established in 2012, sold 118.7 million shares at HK$8.50 apiece which was the bottom end of the indicative range of HK$8.5-HK$11.5.</article>

Chinese online credit card management firm <a href="https://www.dealstreetasia.com/?s=51%20Credit Card Inc">51 Credit Card Inc</a> has raised approximately HK$931.4 million ($119 million) in its Hong Kong IPO, according to <a href="http://www.hkexnews.hk/listedco/listconews/SEHK/2018/0712/02051_3398034/E102.PDF">a filing</a> on the Hong Kong exchange.
The <a href="https://www.dealstreetasia.com/?s=GGV%20Capital">GGV Capital</a>-backed company, established in 2012, sold 118.7 million shares at HK$8.50 apiece which was the bottom end of the indicative range of HK$8.5-HK$11.5.
The company intends to use the net proceeds for user acquisition in the next five years through multiple channels, including app stores, search engines, third-party apps, and social media channels.
It will also allocate funds to further enhance its technology and risk management capabilities by increasing the headcount of its research and development and risk management employees by 100 to 300 annually.
“51 Credit Card will also pursue investment opportunities for the next five years that are complementary to the company&#8217;s business and are in line with its growth strategies,” the company said.
According to its prospectus, 51 Credit Card saw its revenue jump by close to four times to $342 million in 2017 from $85.9 million a year earlier, with the bulk of its revenue jump from credit facilitation and service fee.
Its net profit was up nearly 1,304 per cent last year, from a year earlier, standing at $112 million. However, it has been operating in a negative cash-flow for the last three years.
The company was founded by Chinese serial-entrepreneur Sun Haitao. It started with a credit card bill management application and progressed to other financial services in the credit card industry and in online investment services.
In 2016, 51 Credit sealed an $84-million Series C+ funding from <a href="https://www.dealstreetasia.com/?s=Harvest%20Capital">Harvest Capital</a> and <a href="https://www.dealstreetasia.com/?s=Yintai%20Group">Yintai Group</a>, just a month after it secured $310-million series C investment.
In the same year, 51 Credit has boosted its presence through the acquisition of microloan startup 99fenqi and the launch of 51rp credit card.
According to an Oliver Wyman report cited by 51 Credit Card, the number of credit cards issued in China is set to grow to 1.05 billion in 2021, a CAGR of 15.6 per cent from 2017.
Foreign card companies have been lobbying for more than a decade for direct access to China, which is set to become the world’s No 1 bank card market by 2020, according to research firm GlobalData.
Also Read:
<a style="color: #ff0000;" href="https://www.dealstreetasia.com/stories/chinas-51-credit-bags-84m-to-build-fintech-investment-fund-56600/">China’s 51 Credit bags $84m series C+ round to build fintech investment fund</a>
<a style="color: #ff0000;" href="https://www.dealstreetasia.com/stories/vcredit-hong-kong-ipo-100197/">China’s PE-backed internet finance firm VCredit raises $152m in HK IPO</a>

Chinese online credit card management firm 51 Credit Card Inc raised approximately HK$931.4 million ($119 million) in its Hong Kong IPO, according to a filing on the Hong Kong exchange.

China: GGV Capital-backed 51 Credit Card raises $119m in HK IPO

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