Meitu Dolls Up With Spinoff For Singaporean Unit
Portfolio Pulse from The Bamboo Works
Meitu Inc. has completed a spinoff and funding round for its Singapore-based Pixocial unit, raising $22 million from investors including Fidelity's Eight Roads, valuing Pixocial at over $100 million. Pixocial, which contributed significantly to Meitu's 2022 net income, is now 80.6% owned by Meitu. The funding and spinoff may set Pixocial up for an IPO, with Meitu's stock rising nearly 7% post-announcement. Pixocial will focus on expanding its subscription services and B2B SaaS platform for creatives internationally.
December 07, 2023 | 3:32 pm
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POSITIVE IMPACT
Meitu Inc. has successfully spun off and raised funds for its Pixocial unit, leading to a nearly 7% increase in its stock price. The spinoff could pave the way for Pixocial's own IPO and further growth in Meitu's subscription and SaaS businesses.
The successful spinoff and funding round for Pixocial, which is a significant contributor to Meitu's net income, has already positively impacted Meitu's stock price. The potential for Pixocial's own IPO and the focus on expanding its services internationally could lead to further growth and investor interest in Meitu in the short term.
CONFIDENCE 85
IMPORTANCE 90
RELEVANCE 100