Chinese plastic surgery app eyes $150m Nasdaq IPO
NEW YORK — A Chinese organization aiming to assist women to put their pleasant face ahead ought to quickly make an appearance at the Nasdaq Stock Market here as younger generations drive a plastic surgical operation increase returned home.
So-Young International, the agency behind an app-primarily based online marketplace for cosmetic strategies, has filed a preliminary prospectus offering to raise $150 million.
It gives a community for the ones looking for to level up their appears, informing them on 5,000 clinics and hospitals as well as almost 10,000 docs. Users are encouraged to proportion their stories with specific methods and vendors and so help others on the platform make choices.
The agency generated total sales of 617.2 million yuan ($89.Eight million) in 2018, in keeping with a prospectus filed this week with the U.S. Securities and Exchange Commission — often with the aid of amassing provider prices from medical providers that use the platform to entice customers. Net earnings more than tripled from the 2017 figure to 55.1 million yuan.
The Beijing-based totally startup had simply completed a $70 million task funding round remaining September, attracting the nation-owned Bank of China and the China Investment Corp. Sovereign wealth fund.
Direct competitor Gengmei raised $50 million closings July in its D1 investment round led through selfie-editing app issuer Meitu.
Riding the developments of shifting mores, the visible way of life of social media, and growing disposable profits, the likes of So-Young and Gengmei occupy a niche vertical in the crowded Chinese on-line fitness care region, where homegrown net trio Baidu, Alibaba Group Holding and Tencent Holdings have all invested heavily.
Market studies company Frost & Sullivan estimates that China’s scientific aesthetic offerings industry amounted to $17.7 billion in 2018 and could develop to $52.4 billion by 2023. U. S. Is likewise poised to overtake the U.S. As the world’s largest market for cultured remedy by 2021.
More than eighty% of Chinese consumers of the aesthetic medicinal drug were born in or after 1990, and patients 19 and younger accounted for almost a 5th of these present process cosmetic approaches in 2018, in line with a document published by way of So-Young.
Since its founding in 2013, So-Young has attracted 35 million users and accumulated greater than 2 million case-based totally user blogs referred to as Beauty Diaries.
“We consider our enterprise version, which connects a person’s innate choice to be greater stunning with a private, emotionally-attached discovery and assessment manner on our platform, is quite powerful in facilitating users’ choice making and improving consumer revel in,” the company said within the prospectus.
Social sharing is fundamental to So-Young’s success, plenty as it’s miles to a new era of Chinese e-commerce startups, consisting of Alibaba- and Tencent-subsidized lifestyle app Red, which raised greater than $three hundred million remaining 12 months, and Tencent-subsidized institution-buying retailer Pinduoduo, whose market capitalization exceeds $25 billion.
On the era aspect, So-Young employs artificial intelligence for analyzing customers’ facial capabilities to make remedy guidelines and predict effects. The organization intends to use the proceeds from the inventory supplying tor investing in research and development, among other purposes, the prospectus said.