MissFresh, a Tencent-backed Chinese online grocery startup, has filed to raise $100 million in an initial public offering (IPO) in the US while Warburg Pincus-backed Zhangmen Education priced its US IPO to raise $41.7 million, according to separate filings.
Online grocery startup MissFresh files for US IPO
Tencent-backed online grocery startup MissFresh has filed to raise up to $100 million in an IPO in the US as it seeks funds to support its expansion plans.
The filing is heavily redacted and MissFresh, which offers fresh produce through a mobile app and other online channels, has not specified the number and price of American depositary shares (ADS) it intends to sell. Its prospectus showed that it plans to list Nasdaq under the symbol MF.
Missfresh, founded in November 2014, in Beijing, provides fresh produce like fruits and vegetables, dairy products, snacks, drinks and beverages, and seafood through thousands of mini-warehouses across 16 cities in China. It promises deliveries of orders as fast as less than 30 minutes.
The platform has accumulated a total of over 31 million transacting users as of March 31, 2021. It listed sales of $236 million in the three months ended in March, and a net loss of $93 million
“We appeal to a new generation of consumers who are willing to pay for the high-quality and convenient experience in grocery shopping,” the company said.
The filing comes six months after MissFresh raised 2 billion yuan ($306 million) from a consortium formed by by Qingdao Guoxin Group, a state-owned investment firm controlled by the local government in easter China’s port city of Qingdao.
Warburg-backed Chinese edtech firm Zhangmen raises $41m in US IPO
Zhangmen Education, a China-based online education firm backed by Warburg Pincus and Genesis Capital, raised $41.7 million in its IPO in the US after pricing 3.62 million ADS at $11.50 each, according to an announcement.
The pricing valued the Shanghai-based company, which mainly offers personalised online education covering major K12 academic subjects in China, at about $1.8 billion.
Zhangmen, established in 2005, started as a provider of offline after-school tutoring services before shifting its focus to online education for school children in 2014. Its core course offerings encompass one-on-one after-school tutoring services, and small-class K12 after-school tutoring services, which it launched in the third quarter of 2020.
The company plans to use the proceeds to expand and enhance its products and services, improve technology infrastructure, and fund marketing and brand promotions, it said in its prospectus.