It raised $4bn in the latest round from Tencent, Sequoia Capital and US travel giant Priceline. “It’s a quasi-monopoly built on the stomachs of 1.4 billion people,” said Keith Pogson, global assurance leader for banking and capital markets in Hong Kong at consultant EY. It faces fierce competition from food delivery giant Ele.me, backed by e-commerce firm Alibaba Group Holding Ltd, as well deep-pocketed … The company is headquartered in Beijing and was founded in 2010 by Wang Xing. You can find our Community Guidelines in full here. Start your Independent Premium subscription today. Meituan Reaches Partnership with Luckin Coffee. Labour costs are lower in China, cities are more densely populated and there are more people. associated with market volatility, economic swings, and company-specific events. In 2017, Meituan had revenues of RMB33.9bn … Independent Premium Comments can be posted by members of our membership scheme, Independent Premium. Given both Meituan Dianping and Pinduoduo are growth companies, they aren’t focused on profits that much right now. Yelp, based in San Francisco, has tumbled from its peak in 2014 to $3.6bn. Lists Featuring This Company. founded Meituan Group in April 2003 that became Meituan-Dianping in December 2015, with its headquarters in Beijing in China. Want to bookmark your favourite articles and stories to read or reference later? Read More. EY’s Mr Pogson however cautioned that valuations in China may be getting a bit overheated. Read our full mailing list consent terms here. China E-Commerce Companies . Meituan is one of the new generation of Chinese technology companies that has rapidly gained popularity thanks to the rise of smartphones. Meituan Dianping is trading at 7 times revenue, even though revenue for the company declined by … Winner: Meituan Dianping . With a few taps to navigate its smartphone apps, Chinese customers can order up hot meals, groceries, massages, haircuts and manicures at home or in the office. The move comes after anger at the announcement British passports would be produced by Franco-Dutch firm Gemalto when De La Rue’s contract ends in July. All future flights on the Exeter-based airline have been cancelled – leaving more than 2,300 staff facing an uncertain future, and wrecking the travel plans of hundreds of thousands of passengers. With the recent fundraising, Meituan plans to spend hundreds of millions of dollars over the next three to five years to become a leading travel booking site. Their stock opened with HK$69.00 in its Sep 19, 2018 IPO. The company declined to comment on the deal size or potential valuation. Find out all the key statistics for MEITUAN (MPNGF), including valuation measures, fiscal year financial statistics, trading record, share statistics and more. Dianping was founded in 2003 in Shanghai with reviews of restaurants and other local businesses, then diversified into group discounts. The offerings, collectively known as online-to-offline or O2O services, may ultimately prove more successful in China than in the US. Can Meituan-Dianping deliver a $60 billion initial public offering? It is done using both, our quantitative analysis of the company fundamentals as well as its intrinsic market price estimation to project the real value. SINGAPORE/HONG KONG (Reuters/IFR) - China’s Meituan Dianping, an online food delivery-to-ticketing services platform, has set an indicative price range of … That may present a challenge to China’s biggest online travel site, Ctrip, which is backed by Baidu. Meituan-Dianping is funded by 20 investors. In addition, many of the fundraisings in China and the US are done with ratchets, or protections so that investors get compensation if the valuations fall later on. Zhang Tao founded Meituan Group in April 2003 that became Meituan-Dianping in December 2015, with its headquarters in Beijing in China. Meituan-Dianping is registered under the ticker HKG:3690 . Stay Longer and Spend More . “China’s market is big enough for a company this size,” said Wang Ling, an analyst with IResearch. The $30bn financing ranks the company fourth in the world in startup valuations, according to CB Insights. The chief executive, Mark Anderson, said: “Europe’s largest independent regional airline has been unable to overcome significant funding challenges to its business. Meituan counts some 400 million users of its food delivery and other services in China. The P/S ratio works especially well when you want to compare the stock's current valuation with its historical valuation. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of MEITUAN DIANPING based exclusively on its, Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Meituan announced the deal on Wednesday but did not disclose the value of the deal. Our journalists will try to respond by joining the threads when they can to create a true meeting of independent Premium. You can also choose to be emailed when someone replies to your comment. 2019-01-09. Are you sure you want to mark this comment as inappropriate? It delivers food to people’s homes, sells groceries and movie tickets, provides reviews of restaurants, and markets discounts to consumers who buy in groups. China’s Meituan Dianping just became the world’s fourth-most valuable startup, reaching a $30bn (£22bn) valuation that puts it ahead of high-fliers like Airbnb and Space X. Are you sure you want to delete this comment? Meituan Dianping’s advertising revenue tells the story in number. Valuation. Track . * a private start-up valued at over US$1bn It’s a sort of mashup of Groupon, Yelp, Foodpanda and Uber Eats. Due to the sheer scale of this comment community, we are not able to give each post the same level of attention, but we have preserved this area in the interests of open debate. In particular, Alibaba has backed a rival service called Ele.me, which recently acquired Baidu’s business, Waimai. Wang started Meituan.com in 2010 as a group-buying site similar to Groupon, where people can get discounts by buying electronics or restaurant meals together. Meituan-Dianping has raised a total of $7.3B in funding over 5 rounds. Two sources told Reuters the equity value of the deal was $2.7 billion. Please continue to respect all commenters and create constructive debates. Airline Flybe has collapsed. Meituan says it now has 280 million annual active users and works with 5 million merchants. The deadline to award a contract to make blue British passports after Brexit has been extended by two weeks following a request by bidder De La Rue. Below Fair Value: 3690 (HK$241.8) is trading above our estimate of fair value (HK$119.37) Significantly Below Fair Value: 3690 is trading above our estimate of fair value. “After years of consolidation, Meituan is one of the few contenders in areas with gigantic revenue.”. For instance, if data shows that a viewer is a fan of pepsi, a billboard in the background of a shot would host an advert for pepsi, while for a viewer known to have different tastes it could be for Coca-Cola, In a card sent to Amazon CEO Jeff Bezos on the company's 25th birthday, Labour leader Jeremy Corbyn writes: "You owe the British people millions in taxes that pay for the public services that we all rely on. Shares of private companies like Meituan and Uber aren’t traded in liquid markets every day, so valuations change only rarely and typically go up. You’re not alone. Is Meituan Dianping undervalued compared to its fair value and its price relative to the market? “Lifestyle e-commerce, which includes online travel and dining reservations, is one of the fastest growing sectors in the country.”. The first three are Uber, Didi and Chinese smartphone maker Xiaomi. China’s Meituan Dianping just became the world’s fourth-most valuable startup, reaching a $30bn (£22bn) valuation that puts it ahead of high-fliers like Airbnb and Space X. Meituan is facing increasingly stiff competition from China’s technology giants and their proxies. In April, some investors told tech media outlet EqualOcean that Meituan Dianping should consider acquiring Didi to take advantage of the company’s network, especially when its valuation has come down to earth. 2018-04-04 . The combined companies have far surpassed their US peers. Travel is becoming the latest competitive ground. The Beijing-based company, led by Wang Xing, is almost unknown beyond its home country. Because management of both companies are focused on growing, the companies are spending more on things such as advertising than in normal times. China’s Meituan Dianping just became the world’s fourth-most valuable startup, reaching a $30 billion valuation that puts it ahead of high-fliers like Airbnb Inc. and Space X. Growth stocks typically don't pay, Macroaxis helps investors of all levels and skills to maximize the upside of all their holdings and minimize the risk “Meituan faces so many competitors because of its wide range of business,” said Cao Lei, director of the China E-Commerce Research Center in Hangzhou. Didi was selling shares at around USD 30 to USD 40 in a deal, down from a peak price of about USD 55, according to EqualOcean. “You have to take these numbers with a grain of salt,” he says. Never heard of Meituan? China's Meituan Dianping just became the world's fourth-most valuable startup ahead of high-fliers like Airbnb and Space X. Flybe said it cancelled 994 flights in the three months to 31 March, compared to 372 in the same period last year. The P/S ratio is an excellent valuation indicator if you want to compare a stock with its historical valuation or with the stocks in the same industry. Meituan Dianping is aiming for a $60bn valuation in its forthcoming initial public offering, in what would be one of the largest listings for a Chinese technology company this year. By May 2014, the company had 5,000 empl… The future of pay day lenders is in doubt after Wonga, Britain's biggest, went into administration on August 30, Elon Musk has concluded that Tesla will remain public. Upgrade to remove this ad. {{#verifyErrors}} {{message}} {{/verifyErrors}} {{^verifyErrors}} {{message}} {{/verifyErrors}}, Meituan Dianping: Little-known Chinese tech startup valued at $30bn, Secret Escapes raises £83m in series D funding round, You may not agree with our views, or other users’, but please respond to them respectfully, Swearing, personal abuse, racism, sexism, homophobia and other discriminatory or inciteful language is not acceptable, Do not impersonate other users or reveal private information about third parties, We reserve the right to delete inappropriate posts and ban offending users without notification. Investors and company directors were angry at Musk for tweeting unexpectedly that he was considering taking Tesla private and share prices had taken a tumble in the following weeks, Iconic British car maker Jaguar Land Rover warned on July 5, 2018 that a "bad" Brexit deal could jeopardise planned investment of more than $100 billion, upping corporate pressure as the government heads into crucial talks, Spotify traded publically for the first time on the New York Stock Exchange on Tuesday. However, the company isn't issuing shares, but rather, shares held by Spotify's private investors will be sold. The company says metrics like company valuation, profit, and returns on equity and assets all went into assessing each business leader. The card will work by recognising the user's fingerprint, High-end slipper retailer Mahabis has gone into administration. MEITUAN DIANPING Valuation Module provides a unique way to ballpark how much the company is worth today. Create a commenting name to join the debate, There are no Independent Premium comments yet - be the first to add your thoughts, There are no comments yet - be the first to add your thoughts. Meituan has been likened to U.S. discounting platform Groupon Inc. China’s local services site Meituan-Dianping says it has raised more than $3.3 billion at a valuation of about $18 billion, as the company seeks fresh funding to … Meituan's valuation puts it ahead of high-flying startups Airbnb and Space X. Comparative valuation techniques use various fundamental indicators to help in determining MEITUAN DIANPING's current stock value. Please pay your fair share", The government has announced that it would slash almost all tariffs in the event of a no-deal Brexit. Meituan-Dianping was formed in 2015 from the $15 billion merger of Meituan, likened to U.S. discounting platform Groupon Inc, and Dianping, akin to U.S. online review firm Yelp Inc. Chicago-based Groupon, once a sensation in the US, has dropped to a market value of less than $3bn. Meituan Acquires Mobike, One of the World's Largest Bike-Sharing Companies. Meituan Dianping, China’s largest on-demand services provider , beat second-quarter earnings estimates on Friday, as demand for food delivery recovered across … Alibaba, Tencent’s primary rival, is boosting its investment to bankroll expansions into more cities and businesses. Meituan Wins IDG Global Top Brands Awards for International Innovation Enterprise Brand. You can analyze the, The equity valuation mechanism determines the current worth of MEITUAN DIANPING on a weekly basis. A cafe chain is a new venture for the global soft drinks giant, A funeral procession for payday loans was held in London on September 2. It’s also exploring opportunities to collaborate with Priceline as part of the investment. Meituan-Dianping is another story completely, as it is at a much earlier stage of its development. Price To Earnings Ratio. Price to Earnings (PE) ratio. Please be respectful when making a comment and adhere to our Community Guidelines. In the latest funding, Meituan also received money from Canada Pension Plan Investment Board, Trustbridge Partners, Tiger Global Management, Coatue Management and the Singaporean sovereign wealth fund GIC. As the growth of China’s mobile internet users flattened, tech companies are looking for different ways to increase transaction frequency and the amount for each user. The existing Open Comments threads will continue to exist for those who do not subscribe to Independent Premium. The companies were valued at $15bn when they merged two years ago. 1,951 Number of Organizations • $123.1B Total Funding Amount • 3,698 Number of Investors. Valuation. It allows our most engaged readers to debate the big issues, share their own experiences, discuss real-world solutions, and more. … We use both absolute as well as relative valuation methodologies to arrive at the intrinsic value of MEITUAN DIANPING. Our valuation model uses many indicators to compare MEITUAN DIANPING value to that of its competitors to determine the firm's financial worth. Meituan to Showcase Autonomous Delivery Technologies at CES 2019. Since its formation in the 2015 merger of Meituan and Dianping, its range of services has ballooned, as has its valuation (to the world’s third biggest “ unicorn ” before raising US$4.2bn through an initial public offering in Hong Kong in September 2018). The company is the latest Chinese tech firm with a punchy valuation to plan a listing in Hong Kong this year. View, Sponsored content. 2019-01-04. 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