×

Chinese Streaming Firm DouYu Raises $775 Million on NASDAQ Debut

Chinese live-streaming firm DouYu has set a price of $11.50 per ADS share for its stockmarket debut on NASDAQ. Company CEO Chen Shaojie was expected to ring the exchange’s opening bell.

The share sale will raise a total of $775 million, and provide the company $517 million of fresh capital. At that price DouYu would enjoy an initial market capitalization of $3.73 billion.

The pricing is at the lower end of the indicated range of $11.50-$14 per ADS (which each represent 10 ordinary shares) and may reflect caution brought on by the continuation of the U.S.-China trade war. DouYu published its draft prospectus in April and had been expected to complete its IPO in May.

The Tencent-backed company is the direct competitor of Huya, which listed in the U.S. last year, HuaJiao and PandaTV, which collapsed in May. It has the license to livestream Tencent’s “PlayerUnknown’s Battlegrounds” (PUBG) and another 28 online games.

DouYu, which plays out on PC and mobile platforms, positions itself a crucial part of the gaming and eSports ecosystems. “DouYu brings together a deep pool of top live streamers. By providing a sustainable streamer development system built on advanced technology infrastructure and capabilities, DouYu helps ensure a consistent supply of quality content. Through collaborations with a variety of participants across the eSports value chain, the Company has gained coveted access to a wide variety of premium eSports content, which further attracts viewers and enhances user experience,” it said in a statement on Wednesday.

In 2018 it lost $127 million (RMB876 million). But in the first quarter of this year made a profit of $4.10 million (RMB18.2 million).

Popular on Variety

More Biz

  • The Ringer Promotes Sean Fennessey, Mallory

    The Ringer Promotes Sean Fennessey, Mallory Rubin to Top Editorial Roles

    Mallory Rubin and Sean Fennessey have been promoted to top editorial posts at The Ringer, the pop culture and sports website and podcast network. Fennessey has been named chief content officer and Rubin has been named editor in chief. Both editors have been with The Ringer since it launched in 2016. Fennessey previously served as [...]

  • RihannaFenty Beauty By Rihanna Launch, Madrid,

    Rihanna's Diamond Ball Will Honor Activist Shaun King, Barbados Prime Minister Mia Mottley

    Barbados Prime Minister Mia Mottley and civil rights activist Shaun King will receive this year’s Diamond Ball Award at Rihanna’s fifth annual Diamond Ball, which will also feature performances from Pharrell and DJ Khaled. “I can’t imagine a better night than this year’s Clara Lionel Foundation event with Seth Meyers, Pharrell and DJ Khaled,” said [...]

  • Rules Don't Apply

    Warren Beatty and Arnon Milchan Settle Suit Over 'Rules Don't Apply' Flop

    Arnon Milchan and Warren Beatty have settled their two-year legal battle over the disastrous release of “Rules Don’t Apply,” Beatty’s period drama about Howard Hughes. Milchan’s attorneys have filed a notice with the court dismissing his suit against Beatty. Terms of the settlement were not disclosed. Milchan’s company, New Regency, sued Beatty and other investors [...]

  • A Quiet Place

    Why Dynamic Pricing for Movie Tickets Could Be a Tough Sell

    People aren’t going to the movies as much this summer. Are they staying away because the films are duds, or is it because tickets are getting too expensive? AMC is making a bet that cost, not quality, is behind the recent downturn. Last week, the country’s largest exhibitor announced it will be testing a new [...]

More From Our Brands

Access exclusive content