Full Truck Alliance raises $1.6 billion in U.S IPO
The success of this startup company’s IPO has made it a multibillion-dollar company.
Full Truck Alliance is a Chinese startup company that offers a truck-hailing app that links up persons that have shipping needs with truck drivers.
The company is being praised for successfully raising $1.6 billion from the sale of its share in its U.S. initial public offering (IPO), one of the biggest U.S IPOs by a Chinese company in 2021.
The IPO was championed by Morgan Stanley, China International Capital Corp., and Goldman Sachs Group Inc.
The company marketed 82.5 million ADSs to its investors at $17 to $19 per unit, with one ADS being equivalent to 20 regular shares. Some of the investors involved are SoftBank Group and Tencent Holdings Ltd.
With an over-allotment option of over 12.4 million ADSs, Full Truck Alliance Co is predicted to make over $1.8 billion from its IPO. However, the company is said to have a net value of $20.6 billion currently.
Full Truck Alliance stated that the funds derived from the IPO will be used for the company’s investment in infrastructure development, technology innovation, expansion of service offerings, acquisitions, and expansion of its workforce.
Full Truck Alliance’s shares are anticipated to trade on the New York Stock Exchange (NYSE) under the symbol YMM.