According to a source related to investment institutions, comprehensive mobile travel platform Hello Inc. is to complete a new round of financing, coming in at a higher valuation than before, Chinese media outlet Sina Tech reported on Thursday.
In April this year, Hello Inc. submitted a prospectus to the SEC in the U.S. as part of a plan to go public on the Nasdaq. In July, the firm announced that following due consideration, it had decided to withdraw its IPO application from the SEC.
A recent news report claimed that Hello Inc. is seeking financing by lowering its valuation.
However, a source close to investment institutions says that Hello Inc. is to complete a new round of financing at a higher valuation level. The source suggests that the higher value is due to the rapid development of Hello Inc.’s various businesses.
The firm’s prospectus indicates that Hello Inc. mainly provides mobile travel services and emerging local services. Mobile travel services mainly refer to two-wheel vehicle sharing networks, namely Hellobike and Hello Motor, and hitchhiking services, including Hello Hitchhiking. Meanwhile, the company’s emerging local services mainly include Hello electric vehicles and Xiaoha electric power exchange launched by the company in cooperation with Contemporary Amperex Technology Co., Limited and Ant Group.
According to public information, Hello Inc. received two financing boosts in mid-2020 and March 2021, worth $235 million and $240 million, respectively.
In July this year, the firm’s Xiaoha electricity exchange business completed financing at several hundred million yuan, with Greater Bay Area Homeland Development Fund, Grains Valley and Muhua Capital serving as investors.