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Chinese food delivery giant Meituan Dianping files for IPO to help drive growth

Meituan Dianping, is the latest Chinese tech giant to file for IPO

Meituan Dianping, the Chinese food delivery giant, has filed for an initial public offering (IPO) in Hong Kong in a bid to help bolster its growth.

Meituan Dianping is targeting a valuation of more than $60 bn, according to media reports. It was valued at $30bn last year.

The company said it recorded revenues of RMB 34bn ($5.2bn) in 2017, however, it made a net loss of RMB19bn ($2.9bn) with its adjusted loss of RMB 2.8bn.

The Tencent-backed business, which claims to be the world’s largest e-commerce platform for local services, is often described as a combination of Deliveroo, Yelp and Groupon.

It boasts a 59% share of the food delivery market, according to iResearch data, and competes with Alibaba’s Ele.me.

Earlier this year Meituan acquired global bike-share company Mobike, in a deal that was reportedly worth $2.7bn.

Meituan is the latest in a string of Chinese technology giants to file for IPOs following companies such as Xiaomi, iQiyi, and rumoured IPO plans by Tencent Music and Entertainment.

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