A unicorn is a privately held startup company valued at over $ 1 billion
According to the research firm Hurun of Shanghai, China in 2018 promoted 97 unicorns. Despite an economic slowdown and a prolonged trade war with the United States, the second world economy had a total of 186 start-ups, with a total valuation of over 5 trillion yuan (US $ 736 billion).
But the record-breaking unicorn is the operator Alipay Ant Financial Services, a subsidiary of the e-commerce giant Alibaba Group Holding, which has an assessment of over 1 trillion yuan.
At the second position is Jinri Toutiao, the popular Chinese news aggregator owned by ByteDance, based in Beijing, which has an estimated value of 500 billion yuan. Follows Hurun, Didi Chuxing, operator of the largest platform for ground transportation services, which has evaluated an estimated 300 billion yuan.
The evaluation of China’s largest unicorn, Ant Financial, has exceeded 1 trillion yuan
The unicorn that has grown most of all, instead, is Jinri Toutiao, the live streaming app operator Kuaishou and Meicai, who has grown four times more than their peers. While the youngest is the Leap Motor electric car start-up companies, with over 7 billion yuan.
Ruper Hoogewerf, president and chief researcher of Hurun, in a statement released on Thursday, said: “This year we have a record number of people coming down from our Hurun China Rich List due to an economic slowdown. 200 new billionaires on the list of the rich and the leading companies of these new billionaires are these unicorns “.
There are concerns that these companies are overvalued.
As for the unicorns of on-demand Internet services, these have increased to more than 45. These include the car-of-car app operator Ucar and JD Digits, the fintech unit of the second Chinese service provider e-commerce JD.com. While a total of 24 Chinese unicorns became public in 2018, some of these are now trading below their initial public offering prices such as smartphone giant Xiaomi Corp and on-demand local service provider Meituan Dianping.
Hoogewerf, however, said: “Of the 24 unicorns who went to the IPO last year, over 70% have beaten their pre-IPO rating, which goes to show that there is less bubble in the ratings than someone suggests”.
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