Alibaba-backed influencer platform Ruhnn takes a dive after Nasdaq debut

Weak appetite from individual investors.

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Alibaba-backed influencer platform Ruhnn takes a dive after Nasdaq debut

Hangzhou-based online key opinion leader facilitator Ruhnn Holdings closed at USD 7.85 on Wednesday, its first trading day on Nasdaq. That’s a 37.2% drop from its initial public offering price of USD 12.5, indicating weak appetite from individual investors.

The company, which identifies, cultivates and helps online influencers sell goods on e-commerce sites like Taobao, raised USD 125 million in this IPO, scaling back from its previous plan to collect USD 200 million, its prospectuses showed.

Taobao, which is wholly owned by Alibaba Group Holding Limited, held an 8.6% stake in Ruhnn before the IPO.