Ventech China's portfolio company, digital content service provider Easou Technology, successfully went public on the Hong Kong Stock Exchange (02550.HK) on June 7th, 2024. Ventech China became an early investor of Easou Technology in 2011, and since then, Easou Technology has completed multiple rounds of financing, including SoftBank China, Shanghai Shanda, Fupu Investment, Shenzhen Force United, and others.

The funds raised from this IPO will mainly be used to enhance R&D capabilities, strengthen its position as a third-party digital reading platform, expand digital marketing services, and relaunch online game distribution services.

At the opening of the market today, Easou Technology rose 67.24% to HK$9.7 per share, with a market capitalization of HK$3.191 billion.

Easou Technology was founded in 2005. The company operates four business lines, covering digital reading platform services, digital marketing services, online game distribution services and other digital content services. In each year of the track record period, the company generated more than 90.0% of its revenue from advertising services provided under digital reading platform services and digital marketing services. Specifically, the company uses its own intelligent recommendation engine Easou recommendation engine to collect, analyze, match and predict the needs and/or preferences of users and customers to meet the different needs of each business line.

In terms of performance, Easou Technology achieved operating revenues of approximately 433 million yuan, 456 million yuan, and 559 million yuan in 2021, 2022, and 2023, respectively.

As an independent third-party platform, Easou Technology mainly relies on third-party content providers for digital reading, recommending suitable literary resources to users. The company's digital reading platform service has accumulated a large user base, with the cumulative number of registered users of Easou's series of reading apps reaching 44.7 million by the end of 2023, with an average monthly active user count of 26 million.

Congratulations!