Boqii Backed by Goldman Sachs Group
One of the most popular online pet shops in China, Boqii Company has been backed by Goldman Sachs Group Inc. The company are planning to offer an IPO that potentially could raise $100 million according to those who have knowledge on the matter.
The inside source at Goldman Sachs remained confidential but identified that the sale could be happening in the next few months. Boqii, who is based in Shanghai and is an e-commerce startup, has been considering the selling of shares on the US and Hong Kong Stock Exchanges for some time.
The Chinese market of adopting pets and very sub-industry that follows is gaining a rising influence in the country.
Boqii has been tapping into the emerging affluent market that is seeing an increase in people adopting pets and that is, according to Frost & Sullivan, expected to double, by 2023, to 472 billion yuan ($70 billion). Currently, Boqii has twelve million users and sells its customers food as well as provides listings for groomers and veterinarians. It also operate a social network where they can share pictures of their pets.
A successful IPO in the United States would mark the first time that the company was able to sell shares overseas. Chinese companies have already raised $2.6 billion in IPO’s in the United States this year, and Boqii now has the potential to add to the number. During 2018, at the same time, $5.9 Billion in IPO shares had already been sold. This information and data come from Bloomberg.
Boqii Refuses to Comment
Goldman Sachs has been a long-time investor at Boqii. During each round of funding that Boqii has had, Goldman Sachs has been there to re-invest on the service. Unfortunately, none of the high-ranking employee’s at Boqii has commented on the announcement that Goldman Sachs has backed their U.S. IPO.