UCWeb CFO: UCWeb To Launch IPO In 2013
Roy Rong, chief financial officer of Chinese Internet company UCWeb, revealed during an interview in Bloomberg’s office in San Francisco that the company plans to launch its initial public offering in 2013.
Rong said that 2012 is not the best time for the company to launch the IPO. Therefore, the company considers making the move in 2013. Roy disclosed that so far, UCWeb had gained USD80 million to USD100 million in investments and its last round of financing was completed at the beginning of 2011. However, he did not reveal the detailed financing value or the valuation of the company.
Yu Yongfu, chief executive officer of UCWeb, said the U.S. market is the best choice to launch the IPO, and it will help improve the company’s brand and awareness.
According to Rong, 75% of UCWeb’s operating revenue was from advertising-related services while the remaining 25% was from other services such as virtual items in games. Yu also said that UCWeb has already achieve profit.
To date, UCWeb reportedly has 300 million users worldwide and the number is expected to reach one billion by 2017.
Chinese technology-related companies listed in the United States have come under intense scrutiny in the past two years because of allegations of sloppy accounting, fraud, and malfeasance. UCWeb is taking a big gamble by placing its hopes on the U.S. market int he face of so much scrutiny.