Big-Data Operator Has Big First Day in New York
* Company collects data from developers that use its services, and uses technologies that include artificial intelligence and machine learning to help its customers better target users and their behavior
* Jiguang’s rise comes amid a backdrop of a growing pool of Chinese internet users who are relatively less sensitive about data security
(Beijing) — Mobile big-data provider Jiguang ended its first trading day in the U.S. with its shares up 3.5% from its offering price.
Its shares closed at $8.80 on the Nasdaq Stock Market on Thursday, up from its lower-end offering price of $8.50, giving it a market capitalization of over $1 billion. The company issued over 9 million shares to raise $77 million via its initial public offering.
Jiguang, formally known as Aurora Mobile Ltd., is among a group of Chinese technology companies that have recently tapped the U.S. market to raise funds. On the same day, Shanghai-based group-buying site Pinduoduo Inc. also floated on the Nasdaq to raise over $1.6 billion.
“The investors in the U.S. are more familiar with the areas that we are involved — technology, big data and artificial intelligence (AI). In that way we can have a better pool of investors who are more knowledgeable about what we are doing,” Shan-Nen Bong, chief financial officer of Jiguang, told Caixin via a phone interview from New York City on Thursday night.
Founded in 2011, Jiguang is one of the fastest-growing data providers in China, offering services such as push notifications, instant messaging and user analytics for mobile-app developers.
Jiguang collects data from the developers that use its services, such as sending app alerts. It then uses technologies that include AI and machine learning to help its customers better target users and their behavior.
The firm claims its services have reached around 864 million active mobile devices a month, accounting for 90% of mobile devices in China. The company’s net loss was narrowed by 61% to $1.8 million for the latest quarter ended June 30.
Jiguang’s rise comes amid a backdrop of a growing pool of Chinese internet users who are relatively less sensitive about data security, while in the U.S., the topic of data privacy has come into the spotlight recently as Facebook Inc. and Google LLC have been hammered for not doing enough to protect consumer data.
Bong said his firm collects only “device-level” data authorized by the users, and it doesn’t include personal information stored in their phones such as phone numbers. “For the data usage, we would not output data solutions to customers that can be traced back to any individual phone number,” he said.
The company’s investors include IDG Capital Partners, Mandra Capital and Fidelity Investments, while its main competitor, Beijing-based TalkingData, is backed by Japan’s SoftBank Group.
Contact reporter Mo Yelin (firstname.lastname@example.org)
- 1In Depth: Bailouts Multiply as Pressure Mounts to Stabilize China’s Housing Market
- 2Cover Story: Graft Scandal Casts Long Shadow Over China’s Chipmaking Ambitions
- 3Five Things to Know About China’s Scandal-Struck Chip Industry ‘Big Fund’
- 4Vacancy Rates in Chinese Cities Signal Risk of Oversupply
- 5Hong Kong to Announce Hotel Quarantine Cut as Soon as Monday
- 1Power To The People: Pintec Serves A Booming Consumer Class
- 2Largest hotel group in Europe accepts UnionPay
- 3UnionPay mobile QuickPass debuts in Hong Kong
- 4UnionPay International launches premium catering privilege U Dining Collection
- 5UnionPay International’s U Plan has covered over 1600 stores overseas