China-based online brokerage UP Fintech Holding Ltd., known in Asia as Tiger Brokers, priced its IPO of 13 million American depository shares on the Nasdaq Global Select Market at US$8.00 apiece, above its guidance range of US$5 to US$7 per share.
Each depositary share represents 15 class A ordinary shares.The brokerage's shares will start trading March 20 under the symbol TIGR.
UP Fintech said March 20 that it granted the IPO's underwriters a 30-day option to buy 1,950,000 additional depositary shares. If the option is exercised in full, the IPO's gross proceeds are anticipated to be about US$119.6 million. Citigroup Global Markets, Deutsche Bank Securities, AMTD Global Markets, China Merchants Securities (HK) and Top Capital Partners Ltd. are acting as underwriters.
IB Global Investments LLC, a member of U.S.-based Interactive Brokers Group Inc. and an existing shareholder of UP Fintech, has agreed to buy 7% of the total class A ordinary shares issued in the IPO from the brokerage in a concurrent private placement basis. The purchase is subject to a cap of US$7.0 million, according to a registration statement.
UP Fintech will maintain a dual-class share structure, and founder and CEO Tianhua Wu and his family beneficially own all of the company's class B shares. Wu will be able to exercise approximately 80.5% of the aggregate voting power of the company's total issued and outstanding share capital immediately after the completion of the IPO and the private placement.
Further, Xiaomi Corp., one of the principal shareholders of UP Fintech, expressed its interest in buying up to US$5 million ADSs at the IPO offering price.