Lalamove’s parent company LALATECH files for IPO in HK

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Lalamove founder: Shing Chow Shing-yuk. Picture credit: LALAMOVE

29th March 2023 – (Hong Kong) Lalamove, the Hong Kong-based logistics company, has filed for an initial public offering (IPO) with its parent company LALATECH.

The company reported a 22.6% increase in revenue to USD 1.04 billion last year, although it has incurred losses for the past three years. However, its losses narrowed to US$49.09 million last year, down from US$2.09 billion in 2021.

The company achieved profitability for the first time based on adjusted earnings, reaching US$53.2 million. According to its prospectus, Lalamove is the world’s largest logistics trading platform in terms of monthly active merchants and completed orders. The company facilitated 428 million completed orders last year, with a global Gross Transaction Value (GTV) of USD 6.72 billion. It has around 11.4 million monthly active merchants and one million monthly active drivers, covering over 400 cities in 11 markets worldwide.

The company’s major shareholders include its founder and CEO, Shing Chow Shing-yuk, who owns 25%, as well as Hillhouse Group, Sequoia Capital, MindWorks Venture, Shunwei Capital, and Crystal Stream. Lalamove plans to use the proceeds from the IPO to drive growth in its core business in mainland China and expand its service offerings over the next three to five years. It also aims to accelerate its global business expansion to capture the vast opportunities in the logistics market and invest further in research and development to enhance its technological infrastructure. Goldman Sachs, Bank of America Securities, and JPMorgan Chase are serving as underwriters for the IPO.