360 Finance, supported by Qihoo, is one of the largest FinTech companies in China
During this year, the fintech start-up 360 Finance, supported by the security products provider, the Chinese Qihoo Technology, has filed with the US Securities and Exchange Commission (SEC) with an IPO of over $ 200 million.
360 Finance, thanks to its digital consumer finance platform, deals with providing consumer financing products to first-rate and undervalued borrowers. The company was founded in July 2016 and spun off from the parent company in September 2018.
A total of 22.5 million individual loans have originated through the platform as of the end of September 2018
In particular, at the end of September 2018 a total of 22.5 million individual loans have originated through the platform, representing RMB94.4 billion ($13.57 billion) in funds. Furthermore, in the same period, the compound quarter growth rate for accumulative users with an approved credit line and loan origination hit 90.5% and 80.4% respectively.
According to the company, the proceeds will be used essentially in three departments: 40% of the proceeds will be used in brand promotions; 30% will be used in research and development and will cultivate the talents of the company team; and the remaining 30% will be used in other general business purposes such as administrative expenses and potential acquisitions and strategic investments.
Zhou Hongyi, CEO of 360 Group and chairman of 360 Finance, holds a 14.1% stake in indirectly through Aerovane Company Limited
The IPO filing comes two years after Qihoo 360 launched a $9.3 billion privatization plan in 2015 to delist from the US after trading on the market for over 5 years. 360 Finance’s IPO, instead, comes at a time when China’s tech IPO craze is slowing down upon a cooling market.
Prior to his return to the American markets, the company was among a group of Chinese technology giants who came out of US stock exchanges in hopes of getting better ratings at home.
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