Exclusive | Chinese co-working space provider Ucommune considering Hong Kong IPO over longer term

Mao Daqing, founder and CEO of China’s most valuable co-working space start-up Ucommune, said he would consider an IPO for the firm in two or three years, with Hong Kong being a strong possibility after the city amended its listing rules to welcome more “new economy” businesses.

Mao said he has talked with Hong Kong’s Securities and Futures Commission (SFC), the Listing Committee of Hong Kong Exchanges and Clearing Limited (HKEX), but did not discuss an IPO plan with them. “I want Ucommune to be independent, so IPO is certainly an option,” he said. “But I am not against the idea of being acquired.”

Founded in 2015, Ucommune now operates in more than 160 locations across 36 cities and has an estimated valuation of US$1.7 billion. The Beijing-based start-up has raised a total of US$525 million from more than 10 rounds of financing. Mao and his founding team currently hold less than 30 per cent of the company, according to the CEO.

A 49-year-old veteran of the real estate industry, Mao enthusiastically took photos of the interior design of the South China Morning Post’s new Hong Kong headquarters on a recent visit. “I have had a great interest in architectural design since I was a kid,” he said.

Mao grew up in a family with architectural talent. His grandfather Mao Ziyao was a nationally respected architect who designed Beijing’s Great Hall of the People. 

Before Ucommune, Mao was vice-president for Chinese property developer Vanke. “When I was at Vanke, I felt everyone wanted to make sales but very few people wanted to spend time and energy on managing the properties, which was what the market was lacking. So I decided to start my own company to be a property manager.”