SHANGHAI, March 26, 2021 /PRNewswire/ -- Qiming Venture Partners' portfolio company Zhihu
(NYSE: ZH) on March 26th EST listed
on the New York Stock Exchange. The issue price is US$9.5/ADS. The stock closed at US$8.5/ADS on the first trading day, with a
market cap of about US$4.75billion.
Zhihu is an online Q&A community that has attracted a wide
array of content creators. With its product launched in
January 2011, Zhihu empowers people
to share knowledge, experiences and insights, and to find their
Qiming started investing in Zhihu in its Series A funding round
in 2011 and followed-on in its Series B, Series C, Series D and
Series D1 round. Qiming owns 9.72%
of the company after its IPO.
The listing of Zhihu is the fourth IPO in the Qiming portfolio
Zhihu is the largest Q&A-inspired online community and one
of the top five comprehensive online content communities in
China, both in terms of average
mobile MAUs and revenue in 2020, according to China Insights
Consultancy, or CIC. Zhihu is widely regarded as a highly
trustworthy platform offering the highest-quality content.
"At Zhihu, where one asks a question, another will answer. We
documented the spiritual trajectory of a generation with questions
and answers. In the past ten years, we intertwined with the era
with passion and insistence on dreams. At Zhihu, we hope that
people can gain knowledge and comforts and form collective wisdom
to contribute to a better world," said Zhou
Yuan, Zhihu's founder, Chairman and
CEO at the company's tenth anniversary event in early
Users and content creators are the core of Zhihu, and the
company's motto is "Answer all questions". Thus the prospectus
opens with six stories from Zhihu communities to explain "What is
Zhihu". As of December 31, 2020,
Zhihu had accumulated 315.3 million questions and answers
contributed by 43.1 million content creators. The average MAUs
increased by 33.0% from 56.9 million in the fourth quarter of 2019
to 75.7 million in the fourth quarter of 2020. Zhihu users
generated 25.7 million average daily searches in the fourth quarter
of 2020, representing a 38.2% increase from the fourth quarter of
2019. Zhihu had 3.3 million average monthly active content creators
in the fourth quarter of 2020.
Zhihu monetizes through online advertising, paid membership,
content-commerce solutions, and other services such as online
education and e-commerce related services. Zhihu's revenue
increased from RMB670.5 million in
2019 to RMB1.4 billion (US$207.2 million) in 2020, up 101.7%. The net
loss was RMB1.0 billion in 2019 and
RMB517.6 million (US$79.3 million) in 2020. The gross profit
increased by 142.7% from RMB312.3
million in 2019 to RMB757.8
million for the same period in 2020.
The monetization of China's
online content community is at an early stage with significant
growth potential. The market size in terms of revenue increased
from RMB38.6 billion in 2015 to
RMB275.8 billion in 2019 and is
expected to increase to RMB1.3
trillion in 2025, representing a CAGR of 30.3% from 2019,
according to CIC.
"We started investing in Zhihu in 2011. We understand that
building content and communities takes patience and effort.
As a result, we have been supportive of the team's strategic
decisions and were willing and ready to walk the long journey with
the company," said Duane Kuang,
Founding Managing Partner of Qiming Venture Partners.
"Zhihu now has clear advantages over competitors and has shown
an acceleration in user growth and commercialization. We look
forward to seeing the company serving more users and bringing forth
a greater variety of contents," Kuang said.
About Qiming Venture Partners
Founded in 2006, Qiming Venture Partners is a leading
China venture capital firm with
offices in Shanghai, Beijing, Suzhou, Shenzhen, Hong
Kong, Seattle, Boston and the San
Francisco Bay Area.
Currently Qiming Venture Partners manages nine US Dollar funds and six RMB funds with $5.9
billion in assets under management. Since our establishment,
we have invested in outstanding companies in the TMT and healthcare
industries at the early and growth stages.
Since our debut, we have backed over 380 fast-growing and
innovative companies. Over 130 companies are already listed on
NYSE, NASDAQ, HKEx, Gretai Securities Market, Shanghai Stock
Exchange and Shenzhen Stock Exchange, or achieved exit through
M&A and other means. There are also over 40 portfolio companies
that have achieved unicorn status.
Many of our portfolio companies are today's most influential
firms in their respective sectors, including Xiaomi (SEHK:1810),
Meituan (SEHK:3690), Bilibili (NASDAQ:BILI), Roborock
(SHSE:688169), Gan & Lee Pharmaceuticals (SHSE: 603087),
Tigermed (SZSE:300347, SEHK:3347), Zai
Lab (NASDAQ:ZLAB, SEHK:9688), Venus MedTech (SEHK:2500),
CanSino Biologics (SEHK:6185, SHSE:688185), Schrödinger
(NASDAQ:SDGR), APT Medical (SHSE:688617), Sanyou Medical
(SHSE:688085), AmoyDx (SZSE:300685), Berry Genomics (SZSE:000710),
SinocellTech (SHSE: 688520), WeDoctor Group, and UBTech among many
SOURCE Qiming Venture Partners