Tencent-Backed Soulgate Drops Plans for U.S. IPO

By Colin Kellaher

Soulgate Inc., the Chinese social-networking app backed by social-media heavyweight Tencent Holdings Ltd., has officially pulled the plug on its planned U.S. initial public offering.

Soulgate, which last June said it was looking to raise more than $250 million in the IPO, on Thursday filed with the U.S. Securities and Exchange Commission to withdraw its registration statement, saying it has determined not to proceed at this time with the proposed offering.

However, Reuters last year reported that Soulgate had put the IPO on hold after securing alternative financing options.

Chinese technology companies have endured a sweeping crackdown since late 2020, when Beijing halted the blockbuster IPO of Alibaba Group Holding Ltd.'s financial-technology affiliate, Ant Group Co.

However, the tone has shifted as China's economy has slowed sharply this year, with top Chinese policy-making bodies recently expressing their support for the sector.

Write to Colin Kellaher at colin.kellaher@wsj.com

(END) Dow Jones Newswires

June 09, 2022 08:03 ET (12:03 GMT)

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