BlueCity Holdings Limited, the company behind China’s biggest gay dating app Blued, saw its shares surging nearly 47% on Wednesday, as it began trading on Nasdaq under the ticker symbol “BLCT”.
In its IPO, the company raised USD 85 million by offering 5.3 million American depositary receipts at USD 16. The stock started trading with a 28% gain from the IPO price, and peaked at USD 35.74 during the day. It closed at USD 23.43, with a market cap of USD 835 million.
Blue, which emerged from the LGBTQ online forum Danlan, founded by former policeman Ma Baoli in 2000, claims to have 49 million registered users across the world. About 49% of its 6 million monthly active users (MAUs) are from countries outside China such as India, Korea, Thailand, and Vietnam, according to the firm.
Aside from its core dating function, the firm’s flagship app Blued has a livestreaming feature and an online info hub with information about HIV and parenthood. The app also serves as an intermediary to provide HIV and other health-related services.
This article is part of KrASIA’s “China Brief” section, where KrASIA’s reporters will provide quick daily updates about the tech ecosystem in China.