Sky-Mobi, a Disappointing IPO

Recently, many Chinese tech companies were able to have very successful IPO in the U.S. But Sky-mobi, which listed on Dec 10, was an exception to this rule.

First of all, it scaled down its IPO size, from raising US$150 million to US$58 million.  Its share price also dropped significantly after the IPO.  It closed at US$5.3 a share last Friday, 33% less than its IPO price of US$8.

The Hangzhou based company is in fact running a very lucrative business.  It runs an app store over low-end phones in China.  Most of these phones are manufactured in the Guangdong or Shenzhen, using MediaTek chips.  They are the so-called Shanzhai Ji.

What you get

Full access to all premium content and our full archives

Members'-only newsletters

Preferential access and discounts to all TechNode events

Direct access to the TechNode newsroom