SoftBank-backed OneConnect slashes IPO by 28%, another blow for Softbank’s Son



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SoftBank-backed OneConnect slashes IPO by 28%, another blow for Softbank’s Son

On Wednesday, the 11th of December 2019, the Shenzhen-based Chinese holding conglomerate, Ping An Insurance-owned leading Fintech SaaS provider for small- and medium-size insurers, OneConnect Financial Technology backed by the Japanese Investment Conglomerate SoftBank, had trimmed its slated US Initial Public Offering by 28 per cent and downsized its target valuation, remarking another deadly blow to the Japanese investment conglomerate of Masayoshi Son, 62, the founder and Chief Executive of SoftBank, which had yet to recover from an excruciating loss in WeWork investments.

Aside from that, according to OneConnect Financial Technology’s Wednesday’s (December 11th) announcement, the company had set a price range between $9 to $10 per share for its IPO of 26 million shares in the NYSE, down from an earlier price range of $12 to $14 per share, while the fintech company had also lowered its depository shares volumes to 26 million from an earlier 36 million.

In point of fact, a topside of OneConnect’s current price range would likely to value the company at a total of $3.64 billion, down by more than 50 per cent from an earlier valuation of $7.5 billion last year when it had raised a stark sum of $750 billion from a string of big-league investors including Japanese investment conglomerate SoftBank alongside Japan’s financial firm SBI Group.