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Shein Targets Up to $90 Billion Valuation in US IPO, Sources Say

Shein Targets Up to $90 Billion Valuation in US IPO, Sources Say

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According to those familiar with the situation, Shein is promoting its aspirations for a valuation of up to US$90 billion as it prepares for a potential US initial public offering (IPO). This amount is far higher than what the rapid-fashion behemoth is estimated to be worth in private transactions.

According to the sources, the business has informed potential investors that it hopes to list for between US$80 billion and US$90 billion. The folks claim that because of the marketplace’s instability, the date of the sale of shares is still unknown.

According to the sources, Shein’s value in private transactions has fallen short of the US$66 billion it received in a fundraising round in May. The persons stated that the corporation was valued at between US$50 billion and US$60 billion based on shares that just lately switched owners in the secondary market.

Shein Targets Up to $90 Billion Valuation in US IPO, Sources Say

Image Source:finance.yahoo.com

Although the disparity highlights investor worries about Shein’s issues, which range from rising competition to claims of copyright infringement and the use of compelled labour, a private business valuation can sometimes underestimate the business’s true valuation. Additionally, it may make Shein’s plans for a spectacular listing more difficult.

In 2022, Shein ranked as the third most highly valued new business globally following a hundred billion dollars fundraising round. Since then, as financiers became more cautious about risky assets due to an unsure economic situation and rising interest rates, the company’s value has decreased along with that of other start-ups and technological companies.

According to Bloomberg News, the secondary market assessment of ByteDance, the holding company of the popular short-video app TikTok, dropped to less than US$300 billion in July, a minimum of 25 percent lower than the previous year.

Time and Value of the IPO yet to be decided

According to the persons, discussions over Shein’s initial public offering, including the schedule and evaluation, are ongoing and no decision has been taken in full. Shein’s rep refused to provide a statement.

Also Read: Top 5 Ways to Find Out If Someone Has Remote Access to Your iPhone.

Shein was the first to introduce quick fashion, offering trendy goods like swimwear and blouses for as low as two dollars. Addressing teenagers and young women, the business’s direct-to-consumer e-commerce business picked up pace in the United States during COVID-19. Soon after, it was one of the most installed e-commerce applications in the nation.

Shein was established in China over ten years ago, but it has since relocated its main office to Singapore and attempted to disassociate itself from its home nation.

Billionaire Flipkart Founder Ready to Launch Stealth AI Startup

Billionaire Flipkart Founder Ready to Launch Stealth AI Startup

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Former Flipkart co-founder, Binny Bansal, is embarking on a new entrepreneurial journey, this time in the field of artificial intelligence. 

According to sources cited by Bloomberg, Bansal’s latest venture is set to make a significant impact on the AI landscape, with a focus on serving corporate clients worldwide. The startup, currently shrouded in secrecy, plans to provide AI expertise, products, and services, following a model reminiscent of IT giants like TCS and Infosys.

Billionaire Flipkart Founder Ready to Launch Stealth AI Startup

Image Source: bnn.network

Bansal, a 40-year-old billionaire who co-founded the e-commerce behemoth Flipkart and realized substantial gains from selling his stake to Walmart Inc., is now setting his sights on India’s vast English-speaking youth population. His goal is to nurture the next generation of AI professionals and offer innovative AI services. This ambitious project revolves around talent development and service offerings, with a particular emphasis on smaller Indian cities that are often overlooked by tech giants.

Although the startup is keeping product details under wraps, it is believed to be targeting the e-commerce and legal sectors in its initial stages. Future expansions are anticipated in the realms of analytics, data science, and financial services. The official product launch is scheduled for the second half of 2024.

From Bengaluru to Singapore: A Global Vision Takes Shape

While the startup is headquartered in Bengaluru, it is officially headquartered in Singapore, a city where Binny Bansal has made his home since his tenure at Flipkart. The project is currently in stealth mode for product development in Singapore, with strategic plans for expanding into the lucrative US market in the future.

Binny Bansal and Sanchin Bansal, both alumni of the prestigious Indian Institute of Technology, Delhi, co-founded Flipkart, which eventually evolved into a local e-commerce giant competing with Amazon. Notably, Binny Bansal served as the CEO of Flipkart when he orchestrated the high-profile sale to Walmart for a staggering $16 billion in 2018. Despite relinquishing his executive role, he maintains a presence on the Flipkart board and retains shares in PhonePe, Flipkart’s digital payment service. Furthermore, Binny Bansal has actively been investing in technology startups, displaying a keen interest in fostering India’s burgeoning tech ecosystem.

Also Read: E-Commerce Startup Udaan to Trim Costs Ahead of 2025 IPO

As Binny Bansal’s stealth AI startup takes shape in the heart of India’s tech hub, it has the potential to become a formidable player in the global AI landscape. With a visionary founder, a focus on talent development, and a commitment to innovative service offerings, the startup is poised to make waves in the industry, much like Bansal’s previous endeavors. As the countdown begins for the official product launch in 2024, the tech world eagerly anticipates the unveiling of this intriguing venture and its potential to redefine the AI landscape.

E-Commerce Startup Udaan to Trim Costs Ahead of 2025 IPO

E-Commerce Startup Udaan to Trim Costs Ahead of 2025 IPO

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Before its anticipated IPO in 2025, Indian e-commerce firm Udaan is concentrating on cutting expenses and establishing partnerships with consumer goods companies. Operating profitability is the business’s goal, according to the chief executive officer Vaibhav Gupta, and it should happen in 18 months. Lightspeed Venture Partners-backed Udaan is among a slew of Indian startups aiming to capitalise on the expanding economy of the nation while satisfying investor expectations for profitability. With its financial technology division, Udaan, which provides small merchants with an online marketplace and logistical network, is also branching out into lending.

The priority “is steady and predictable financial performance,” Gupta said. “Second, strategically we want to ensure that we are top of mind with shopkeepers, with big manufacturers, and we maintain our relative market share”, he added.

retail.economictimes.indiatimes.com

Udaan Aims to capitalize on India's customer base

funded by Lightspeed Venture Partners Amongst the businesses attempting to capitalise on India’s customer base and economy’s explosive expansion is Udaan, which is also aiming to satisfy investor requests for revenue generation.

At the height of its employment, Udaan brought in thousands of people. Last year, it, along with other Indian startups, reduced employment and tightened internal controls as well as compliance.

With around 1,800 employees as of right now, Gupta would not say if more layoffs are necessary.

E-Commerce Startup Udaan to Trim Costs Ahead of 2025 IPO

Image Source: moneycontrol.com

Corporate governance errors at Byju’s, an Indian online teaching company that was once the country’s most valuable startup with a 22-billion-dollar value, exposed the particular difficulties encountered by South Asian entrepreneurs and encouraged other businesses to exercise greater caution.

“We continue to move towards more professionalized management, professionalized board and also institutionalized shareholders as we go towards public markets,” Gupta said.

retail.economictimes.indiatimes.com

Also Read: Top 5 Ways to Find Out If Someone Has Remote Access to Your iPhone.

Udaan has not yet decided if it will be listed internationally or in India. According to a report by September Business Standard, it was in discussions to raise a total of 400 million dollars and was estimated at more than three billion dollars in a 2021 investment round. Tencent Holdings Ltd. owns 6 percent of Udaan, while Lightspeed owns approximately 35 percent.

In 2016, three developers who worked before at Flipkart launched the firm. Until Vaibhav Gupta, who was among the founders, took on the role of the chief executive officer in 2021, the three of them jointly managed Udaan. Amod Malviya and Sujeet Kumar, the other two founders, are members of the board.

TikTok CEO to Discuss Data Protection, Disinformation With EU

TikTok CEO to Discuss Data Protection, Disinformation With EU

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Shou Zi Chew, the CEO of TikTok’s parent company Bytedance Ltd., is set to engage in crucial discussions with European Union regulators in Brussels next week. The meetings will focus on pressing matters, including data protection, disinformation, and competition rules, marking the first official interaction between TikTok and EU authorities following a ban on government officials using the platform.

Chew’s visit to Brussels will involve high-level meetings with representatives from the European Commission, including Vice President Vera Jourova, Justice Commissioner Didier Reynders, and Internal Market Commissioner Thierry Breton. These discussions come at a time when social media platforms like TikTok are under increasing scrutiny, and the EU is keen to address concerns related to data protection, disinformation, and competition issues.

TikTok CEO to Discuss Data Protection, Disinformation With EU

Image Source: finance.yahoo.com

One of the key topics on the agenda will be “Project Clover,” an initiative by TikTok to place oversight of Europeans’ personal data in the hands of a third-party entity. This endeavor aims to address data protection concerns and build trust among EU users. With data privacy being a top priority in Europe, Chew is expected to provide insights into TikTok’s efforts to safeguard user information.

As the European Parliament elections are approaching in 2024, discussions are also likely to center around content moderation and countering disinformation on the platform. TikTok has been actively working to enhance its content moderation rules to ensure the platform remains a safe space for users. Ensuring the integrity of elections and preventing the spread of false information will be pivotal in these discussions.

The recent designation of Bytedance as a “gatekeeper” by the EU competition authorities will also be a topic of interest. This classification brings additional regulatory obligations, including stricter rules on data sharing and antitrust measures. Chew and EU representatives will delve into the implications of this designation and how it impacts TikTok’s operations in the EU.

TikTok's Perspective:

A spokesperson for TikTok confirmed the discussions, underscoring the company’s commitment to addressing the EU’s concerns and working collaboratively to ensure the safety and security of its users in the region. TikTok remains dedicated to being a responsible platform that complies with EU regulations and upholds the highest standards of data protection and content moderation.

Also Read: How to Get More Storage on PC and Laptop (5 Solutions)

As TikTok’s CEO embarks on these critical discussions, the outcome of the meetings may shape the future of the platform’s operations within the European Union, impacting millions of users and the broader digital landscape. Data protection, disinformation mitigation, and competition rules will continue to be key focal points in the evolving relationship between TikTok and EU authorities.

Skype, Flutterwave Founders Back $205 Million African Tech Fund

Skype, Flutterwave Founders Back $205 Million African Tech Fund

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Norrsken22, an Africa-focused venture capital firm, is set to take the African tech scene by storm with its $205 million fund, backed by more than 30 unicorn founders and leading institutions. The fund, with high-profile investors such as Skype’s Niklas Zennström, Delivery Hero’s Niklas Östberg, and Flutterwave’s Olugbenga Agboola, aims to foster the next generation of African tech giants in key sectors like fintech, edtech, and meditech.

Where the fund will be invested

In an interview, Norrsken22’s managing partner, Natalie Kolbe, emphasized the fund’s mission to discover and support groundbreaking tech startups in Africa. The primary focus of investments will be on key African nations such as South Africa, Nigeria, Ghana, Kenya, and Egypt.

With five investments already under its belt, including TymeBank in South Africa, the firm’s ambition is to expand its portfolio to around 20 investments within Africa’s beacon economies.

Skype, Flutterwave Founders Back $205 Million African Tech Fund

Image Source: bloomberg.com

Africa’s young and tech-savvy population is a driving force behind the increasing demand for technology services, spanning from entertainment to banking. Norrsken22 recognizes this trend and is dedicated to fueling the growth of tech businesses on the continent. Digital infrastructure development and widespread smartphone adoption are providing a fertile ground for innovation and entrepreneurship in Africa. The urbanization and growing demand for financial and health services present exciting opportunities for tech startups looking to scale.

The impressive lineup of investors in Norrsken22’s fund further underscores its significance. Institutions like Standard Bank Group, Norfund, British International Investment, the International Finance Corporation, and the US International Development Finance Corporation are joining the movement to support Africa’s tech ecosystem.

Dwindling funding in Africa

This initiative comes at a crucial time when funding for startups in Africa has faced challenges due to a global slowdown. In the first half of the year, the continent attracted approximately $2.5 billion in investment, according to Briter Bridges. The injection of $205 million by Norrsken22 is a much-needed boost for the African tech industry.

Also Read: Elon Musk’s Starlink achieves breakeven cash flow, says system is on all active satellites

Norrsken22 is not alone in recognizing the potential of the African tech landscape. Another venture capital fund, Partech, recently raised over $260 million for investments in the continent, highlighting the growing interest and optimism in Africa’s tech and innovation sector.

As Norrsken22 sets its sights on finding and nurturing the next African tech giants, it holds the promise of empowering innovation, creating jobs, and driving economic growth across the continent. With the support of visionary founders and leading institutions, the $205 million African Tech Fund is poised to make a significant impact and contribute to the realization of Africa’s tech-driven potential.

Elon Musk's Starlink achieves breakeven cash flow, says system is on all active satellites

Elon Musk’s Starlink achieves breakeven cash flow, says system is on all active satellites

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Elon Musk, the chief executive officer of SpaceX, announced on Thursday that the corporation’s four-year-old satellite internet business segment, Starlink, has reached breakeven cash flow. He shared the announcement on his own social media network, X (Formerly Twitter), in a post.

He said that Starlink “is also now a majority of all active satellites and will have launched a majority of all satellites cumulatively from Earth by next year.”

techcrunch.com

It needs to be clarified if the breakeven achievement applies to the entire quarter or just a certain amount of time. Whatever the case, the accomplishment raises the possibility that SpaceX is very close to going public with Starlink through an initial public offering (IPO), as Musk had previously stated the business would do if cash flow stabilised.

Gwynne Shotwell, president and chief operating officer of SpaceX, said previously this year that Starlink was on its way to a cashflow positive quarter in 2022, suggesting that its financial results were starting to become more predictable.

Defence-Focused Version of Starlink by SpaceX

Elon Musk's Starlink achieves breakeven cash flow, says system is on all active satellites

Image Source: economictimes.indiatimes.com

At present, there are over 5,000 satellites in Starlink’s mega-constellation, all of which were set up by SpaceX rockets. SpaceX released the first functional Starlink birds in 2019, and the business’s capacity to evolve to an extent that far outpaces competitors can be attributed to this vertical integration.

Following that time, the network has expanded to include almost 2 million users across a variety of sectors, including consumer, marine, and aviation.

Also Read: Google Didn’t Rush Bard Chatbot to Beat Microsoft, Executive Says, Prioritizing Quality Over Speed

Starlink has been in the headlines lately because of its involvement in a number of global conflicts, such as the recent war in Ukraine and, just lately, the confrontation between Israel and Hamas. Currently, SpaceX launched Starshield, a variant of Starlink which is primarily focused on defence, indicating the Pentagon’s intent on acquiring satellite internet capabilities.

SpaceX is estimated to be worth 150 billion dollars. The Wall Street Journal wrote in September that the corporation recorded a total of $1.4 billion in earnings the previous year.