Ludashi (lit. Master Lu), a computer system optimization and security firm recently spun off by the Chinese Internet conglomerate Qihoo 360, went public in Hong Kong on October 9. The company announced on the website of the Hong Kong Stock Exchange that it would be issuing 60 million shares.
The shares went on sale on October 10 and immediately saw a 104% increase in value, soaring to over HK$6 per share at the time of reporting.
This is not the first time the company has tried to conduct an IPO. In September 2018, Ludashi submitted an application for listing on the Hong Kong Stock Exchange but did not follow through and it expired in 6 months. Furthermore, in March 2019, the company submitted another application, but it failed to go through.
In 2017, Ludashi raised round A financing of 112.5 million yuan at a valuation of roughly 500 million yuan. According to the IPO prospectus, during the latest funding round led by Lima High Tech the valuation was set at 2.5 billion yuan, increasing fivefold in less than two years.
The desktop version of the Ludashi tool was launched in 2007, gaining millions of users in just over a year. The mobile version of the software was introduced in 2013. The monthly active users of the company’s products have increased from 48.6 million in 2016 to 119.2 million in 2018, with a compound annual growth rate of 56.6%.