Weibo Corporation launches global offering
BEIJING, November 26, 2021 / PRNewswire / – Weibo Corporation (âWeiboâ or the âCompanyâ) (Nasdaq: WB), a leading social media platform in China, today announced the launch of its global offering (the âGlobal Offeringâ) of a total of 11,000,000 Class A ordinary shares of the Company. Weibo is offering 5,500,000 Class A common shares of the Company (the âNew Sharesâ) and Sina Corporation (the âSelling Shareholderâ) is offering 5,500,000 Class A common shares of the Company, which are to be converted from Class B ordinary shares of the Company prior to the listing of the Class A ordinary shares of Weibo on the Hong Kong Stock Exchange, as defined below (the âSelling Sharesâ and, together with the New Shares, the â offer â). The Global Offer includes a Hong Kong initial public offer of 1,100,000 class A ordinary shares as of November 29, 2021, Hong Kong (the âHong Kong Public Offeringâ) and an international offering of 9,900,000 Class A ordinary shares initially commencing today (including 5,500,000 sell shares) (the âInternational Offeringâ), and the listing of the Class A common shares of Weibo on the Main Board of The Hong Kong Stock Exchange Limited (the âHong Kong Stock Exchangeâ) under stock code â9898â.
The Company’s US custodian shares (the âADSsâ), each representing one Class A common share of the Company, will continue to be listed and traded on the Nasdaq Global Select Market (âNasdaqâ). Investors under the Global Offer will only be able to purchase Class A ordinary shares and will not be able to take delivery of ADS. When registering in Hong Kong, Class A common shares listed on the Hong Kong Stock Exchange will be fully fungible with ADSs listed on the Nasdaq.
The initial number of Class A common shares under each of the Hong Kong Public Offer and the International Offer represents approximately 10% and 90% of the total number of Class A common shares initially available in the part of the overall offer, respectively, subject to reallocation and over-allocation. Subject to the level of oversubscription within the framework of the Hong Kong public offer and in accordance with the recovery mechanism as described in the prospectus to be issued by the Company in Hong Kong dated November 29, 2021, the total number of Class A common shares available under the Hong Kong public offering could be adjusted to a maximum of 5,500,000 Class A common shares, representing approximately 50% of the class common shares. A initially available as part of the global offer. In addition, the selling shareholder plans to grant the international underwriters an over-allotment option to require it to sell up to 1,650,000 additional Class A common shares of the Company (to be converted from common shares of category B) as part of the international offer, representing approximately 15% of the total number of class A ordinary shares initially available under the global offer.
The bid price for the Hong Kong Public Offer (the âHong Kong Offer Priceâ) will not be greater than HK $ 388.00 per Class A common share, or $ 49.80 per ordinary share (equivalent to $ 49.80 by ADS) (the âHong Kong Maximum Bid Priceâ). The bid price for the portion of the International Bid of the Global Bid (the âInternational Bid Priceâ) may be greater than or equal to the Maximum Bid Price of Hong Kong. The Company will set the Price of the International Offer on or about December 2, 2021, Hong Kong time, taking into account, among other factors, the closing price of ADS on the Nasdaq on the last trading day at the latest December 2, 2021 and investor demand during the commercialization process. The Hong Kong final Bid Price will be set at the lower of the final International Bid Price and the Hong Kong Maximum Bid Price. The shares will trade in regular lots of 20 Class A common shares.
The Company plans to use the net proceeds of the Global Offering to further develop its user base and engagement, and enhance its content ecosystem, for research and development to enhance its user experience and capabilities. monetization, to selectively pursue strategic alliances, investments and acquisitions, as well as for working capital and general business needs. The Company will not receive any proceeds from the sale of the Class A common shares offered by the selling shareholder.
Goldman Sachs (Asia) LLC, Credit Suisse (Hong Kong) Limited, CLSA Capital Markets Limited and China International Capital Corporation Hong Kong Securities Limited are the co-sponsors. Goldman Sachs (Asia) LLC, Credit Suisse (Hong Kong) Limited, CLSA Limited and China International Capital Corporation Hong Kong Securities Limited are joint representatives, joint global coordinators, joint bookkeepers and joint lead managers for the proposed global offering.
The International Offer is being made only by means of a provisional prospectus supplement dated November 26, 2021 and the accompanying prospectus included in an automatic registration statement on Form F-3 filed with the United States Securities and Exchange Commission (the âSECâ) on November 26, 2021, which automatically came into effect upon filing. The registration statement on Form F-3 and the preliminary prospectus supplement are available on the SEC’s website at: http://www.sec.gov.
The proposed Global Offer is subject to market and other conditions, and there can be no assurance that or when the Global Offer can be made, or as to the size or actual conditions of the Global Offer. This press release does not constitute an offer to sell or the solicitation of an offer or an invitation to buy any securities of the Company, and there will be no offer or sale of such securities in any state or jurisdiction. other jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of such state or other jurisdiction. This press release does not constitute a prospectus (including as defined by the laws of Hong Kong) and potential investors should read the Company’s prospectus for detailed information about the Company and the proposed Global Offer, before deciding whether or not to invest in the Company. This press release has not been reviewed or approved by The Stock Exchange of Hong Kong Limited or the Securities and Futures Commission of Hong Kong.
The price of the Class A ordinary shares of the Company may be stabilized in accordance with the rules relating to securities and futures contracts (Price stabilization). Details of the envisaged stabilization and how it will be regulated under the Securities and Futures Ordinance (Chapter 571 of the Laws of Hong Kong) will appear in the Company’s prospectus dated November 29, 2021.
Weibo is one of the leading social media for people to create, discover, and distribute content. Weibo combines the means of public expression in real time with a powerful platform for social interaction, content aggregation and content distribution. Any user can create and post a stream and attach multimedia and long content. User relationships on Weibo can be asymmetrical; any user can follow any other user and add comments to a news feed while reposting. This simple, asymmetric, and distributed nature of Weibo allows an original feed to become a viral live conversation feed.
Weibo enables its advertising and marketing clients to promote their brands, products and services to users. Weibo offers a wide range of advertising and marketing solutions for businesses of all sizes. The Company generates a substantial majority of its revenue from the sale of advertising and marketing services, including the sale of social media advertising and promotional marketing offers. Designed with a âmobile firstâ philosophy, Weibo displays content in a simple news feed format and delivers native advertising that conforms to the news feed on our platform. To support the mobile format, we have continuously developed and refined our Social Interest Graph recommendation engine, which enables our clients to market people and target audiences based on user demographics, social relationships, interests and behaviors, to achieve increased relevance, engagement and marketing. efficiency.
Safe Harbor Declaration
This press release contains forward-looking statements relating, among other things, to Weibo’s expected financial performance and strategic and operational plans (as described, without limitation, in the âBusiness Outlookâ section and in management quotes. in this press release. Weibo may also make forward-looking statements in the Company’s periodic reports to the SEC, in press releases and other written materials, and in oral statements made by its officers, directors or employees to any Third-party beliefs and expectations are forward-looking statements. These forward-looking statements may be identified by words such as “will”, “expects”, “anticipates”, “the future”, “l ‘intention’, ‘plans’,’ believes’, ” reliance ‘,’ estimates’ and similar statements. Forward-looking statements involve inherent risks and uncertainties. A number of important factors can cause actual results to differ from those contained in any forward-looking statement. Potential risks and uncertainties include, but are not limited to, Weibo’s limited operating history in certain new businesses; failure to develop active user base and level of user engagement; the uncertain regulatory landscape China; fluctuations in the Company’s quarterly operating results; the Company’s dependence on advertising and marketing sales for the majority of its revenues; failure to successfully develop, introduce, foster adoption or monetize new features and products; the inability to compete effectively for advertising and marketing expenses; failure of successful integration of acquired businesses; risks associated with the Company’s investments, including trade-in and write-down of shares; the inability to compete successfully with new entrants and established competitors in the industry; changes in the macroeconomic environment, including the depreciation of the renminbi; and the adverse changes in the economic and political policies of the PRC government and its impact on the Chinese economy. Further information regarding these and other risks is included in Weibo’s annual report on Form 20-F and other documents filed with the SEC and the prospectus registered in Hong Kong. All information provided in this press release is current as of the date hereof, and Weibo assumes no obligation to update such information, except as required by applicable law.
Phone. : + 86-10-5898-3336
E-mail: [emailÂ protected]
SOURCE Weibo Corporation