DCM Ventures to exit China's Kuaishou via $479 mln placement (updated)

Kuaishou Technology

19/09/2024 11:18

(Updates with more deal details, context)
    By Summer Zhen
       HONG KONG, Sept 19 (Reuters) - DCM Ventures is seeking
to sell all its remaining shares in Chinese short video platform
Kuaisohu Technology  1024.HK  to raise up to $479 million, a
term sheet seen by Reuters showed on Thursday.
    The Silicon Valley-based venture capital is offloading 91.66
million shares in Kuaishou with offer price ranging from
HK$40.28 to HK$41.13 per share. The number of shares represent
2.1% of Kuaisou's existing outstanding shares. 
    Morgan Stanley is the sole bookrunner of the trade. The deal
is scheduled for Friday and to be settled on next Tuesday.
    DCM and Kuaishou did not immediately respond to a request
for comment.  
    DCM is an early investor and one of major shareholders of
Chinese short video giant Kuaishou but it has been disposing
Kuaishou shares in recent years. 
    The share price of Kuaishou has dropped over 20% this year
amid slower revenue growth. It was up 4.9% on Thursday to close
at HK$42.1.

 (Reporting by Summer Zhen
Editing by Tomasz Janowski)
 ((summer.zhen@thomsonreuters.com; 852-3462-7739;))