Sogou, the chinese language search engine, debuted on the long island inventory trade on Thursday, below the ticker “SOGO.”
After pricing on the prime quality at $ 13 per share, the enterprise raised $ 585 million. Sogou then hovered around $ 13.50 for most of its first day of trading, closing the day at $ 13.fifty one, up about 4 p.c.
Beijing-based Sogou goals to be a Google for China. while it’s second to Baidu, the enterprise says it’s the fourth largest web company in China.
Sogou has exceptionally benefited from being the default search engine of China’s very general social messaging carrier, WeChat. here’s partly as a result of Tencent, which is an investor in both Sogou and WeChat. chinese e-commerce massive Alibaba additionally invested in Sogou.
CEO Xiaochuan Wang advised TechCrunch that the general purpose is to “make it convenient for chinese language clients to speak and get assistance.” Calling the IPO a “milestone,” he hopes that a U.S. IPO will help with hiring and make it less difficult to collaborate with U.S. tech corporations.
When asked in regards to the chinese language govt’s controversial function in censoring web sites, he explained that Sogou has opted to comply with regulations. Google, fb and Twitter are amongst the numerous sites that are blocked in mainland China.
Sogou became based as a division of Sohu, a chinese language web enterprise that has advertising, gaming and different groups.
Sogou introduced in $ 597.2 million in profits for 2016. This compares to $ 539.5 million the yr earlier than.
last 12 months it had $ fifty six million in profit, down from $ ninety nine.5 million in income the yr earlier than.
Sogou is part of a wave of chinese companies going public. This week, China Literature also did an IPO.
Featured photo: Sogou
Fundings & Exits – TechCrunch