Full Truck, China’s ‘Uber for trucks’, to raise US$1.57 billion in US listing
- Guiyang-based company plans to sell 82.5 million shares at a price between US$17 a share and US$19 a share on the NYSE
- Full Truck Alliance markets its services under the Manbang name in China
Full Truck said it was the world’s biggest digital freight platform, with 173.8 billion yuan (US$27.1 billion) in gross transaction value of goods and 71.7 million orders shipped through its platform last year, according to its prospectus. The company said about 20 per cent of all heavy-duty and medium-duty truckers in China fulfilled orders on its platform last year, with more than 2.8 million truckers using its service. The platform covers more than 300 cities in China, it added.
The company, which markets itself under the Manbang name in China, was created with the merger of truck-booking platforms Yunmanman and Huochebang in 2017.
Following the IPO and a concurrent private placement of shares, Peter Hui Zhang, the company’s founder and CEO, will hold 83.4 per cent of the voting power of the company’s issued and outstanding shares.
Full Truck is at an early stage of monetisation, generating revenue primarily from fees from memberships, freight brokerage and other services. It reported revenue of 2.6 billion yuan in 2020, a 4 per cent increase over the 2.5 billion yuan generated in 2019, but remains a money-losing venture. The company reported a net loss of 3.5 billion yuan in 2020, after posting a 1.5 billion yuan loss the prior year.
In the first three months of this year, Full Truck reported a net loss of 63.3 million yuan.