Consider Jingdong as a Chinese important worth noting. It aims to become the largest Internet IPO in history.Yes, we know the IPO market slammed close at the beginning of August, but Jingdong, an Amazon-like Chinese e-retailer with a broad range of offerings, won’t try for it until the first half of 2012. It hopes to raises as much as $4 to $5 billion in its IPO, which would beat Google‘s record 2004 IPO, $1.9 billion. The Chinese company hopes to grow more than fivefold in the next three years to a value of nearly $100 billion.
Let us not forget how the market has treated Chinese IPOs this year. In March, Qihoo, a technology firm, was a big hit, and its stock shot up 134 percent opening day — true, it was also backed by deeply respected Sequoia Capital. Just a few months later, in May, five Chinese IPOs fell flat. Then Tudou decided to chance the stormy IPO market at the beginning of August, and its stock fell 34 percent by the end of the first week, leaving Scott Sweet, senior managing partner at IPO Boutique, an IPO research firm, to speculate that Tudou had slammed the door shut on Chinese IPOs for the rest of this year. Jingdong might just have the size and a successful enough business model to wet appetites again.
Read more at The Wall Street Journal.