Lalatech, a logistics company backed by private-equity firms Hillhouse Capital and Sequoia Capital, has recently submitted an application for an initial public offering (IPO) in Hong Kong. This move makes Lalatech the latest company in the logistics industry aiming to utilize the city’s thriving market.
The Hong Kong-based company, as per the stock-exchange filing on Thursday, has not mentioned a specific timeline for the offering or disclosed the fundraising target. However, they have enlisted the services of reputable financial institutions including Goldman Sachs, BofA Securities, and Morgan Stanley as joint sponsors for the planned IPO.
In a similar vein, Cainiao Smart Logistics Network, the e-commerce logistics arm of Alibaba Group, also applied for an IPO earlier this week.
Established in 2013, Lalatech is the driving force behind the on-demand delivery platform Lalamove, available in over 400 cities across 11 global markets.
According to the IPO application, Lalatech reported a revenue of $600 million for the six-month period ending in June. This indicates significant growth compared to $480.8 million in the same period the previous year.
The company intends to allocate the IPO proceeds towards expanding its business operations, conducting research and development activities, and addressing working-capital requirements.
Hillhouse Capital currently holds a 9.67% stake in Lalatech, while Sequoia Capital possesses a 4.48% share. Among other notable investors are Tencent, Canada’s Ontario Teachers’ Pension Plan, and Tiger Global Management.