Tuya Rises After Second-Biggest 2021 U.S. IPO by Chinese Firm

Tuya Inc., a Chinese software company backed by New Enterprise Associates and Tencent Holdings Ltd., rose 19% in its trading debut after raising $915 million in a U.S. initial public offering priced above its marketed range.

The company’s American depositary shares were priced at $21 each in the IPO and opened trading Thursday at $27. After rising as much as 32%, they closed at $25 in New York trading, giving Tuya a market value of $14 billion. Tuya sold 43.59 million shares Wednesday after marketing them for $17 to $20.

The listing is the second-biggest U.S. IPO this year by a Chinese company, trailing only RLX Technology Inc.’s $1.6 billion listing including so-called greenshoe shares in January, according to data compiled by Bloomberg.

Tuya’s cloud computing platform is used by businesses to deploy, connect and manage large numbers and different types of smart devices, according to its filings. Tuya said it plans to use the IPO proceeds for research and development, investment in tech and infrastructure and other general corporate purposes.

Tuya had a net loss of $67 million on revenue of $180 million in 2020.

The offering was led by Morgan Stanley, Bank of America Corp. and China International Capital Corp. The shares are trading on the New York Stock Exchange under the symbol TUYA.

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