Venture capitalist Sequoia China sells Meituan stock for US$799 million, according to stock exchange filings
- Sequoia Capital China, managed by the venture capitalist Neil Shen, sold a total of 42.96 million shares in Meituan
- Some of Sequoia China’s other big bets in the tech sector include Shein, Alibaba and JD.com
Sequoia China sold a total of 42.96 million shares in Meituan over April 27 and 29. The firm sold 42.46 million shares on April 27 at an average price of HK$144.78, and sold 500,000 shares on April 29 at HK$159.5.
The sale generated HK$6.23 billion in proceeds, based on data from the firm’s filings to the Hong Kong stock exchange. The sale reduced Sequoia China’s shareholding in Meituan from 3.98 per cent to 3.19 per cent.
Sequoia China is arguably the most powerful venture capital investor in China’s tech industry, and its managing partner Neil Shen Nanpeng - a Yale graduate - was named No. 2 on the 2021 Forbes Midas List of the world’s best venture capital investors. He was No. 1 on the list for three consecutive years previously.
Sequoia China has sold Meituan shares 15 times since May last year, with the shareholding reduced from a previous 7.05 per cent to the current level, according to filings to the Hong Kong stock exchange.
Sequoia China is a Beijing-based venture capital firm that invests in the agriculture, distribution, B2B, education, retail, energy, financial services, healthcare and technology sectors – primarily via Chinese companies. It operates as an affiliate of Menlo Park, California-based Sequoia Capital.