Shares in Jumei International Holding, one of China’s largest online cosmetics websites, climbed more than 11% in their U.S. IPO today, generating the country’s latest billionaire.
Chairman Leo Chen held about 41% of the company prior to the IPO, according to Jumei’s prospectus. His holding was worth $1.2 billion just ahead of noontime in trading at the New York Stock Exchange.
Chen was a member of the 2012 and 2013 Forbes China “30 Under 30” lists of notable entrepreneurs under the age of 30. Jumei’s product line-up has included Calvin Klein, Estee Lauder, Avon and Elizabeth Arden brands.
Chen holds a Stanford MBA. Before founding Jumei, he set up an online game platform, Gerena.
Sequoia also owns a stake in the company.
Other China IPOs in the U.S. in the works this month are Alibaba.com, the country’s biggest e-commerce business, and JD.com, another large e-commerce company.
China had a record 152 billionaires on the 2014 Forbes Billionaires List, second only to the United States.
Interest in U.S. listings among venture capitalists that back Chinese start-ups has been on the rise because of the unpredictability of IPO rules in the country, Highland Capital Partners managing director Chuan Thor said recently.
Source : Forbes