# Xiaohongshu's Market Value Grows to $70 Billion

Chinese social media platform Xiaohongshu, known internationally as RedNote, is preparing for an initial public offering (IPO) on the Hong Kong Stock Exchange. The company aims for its market valuation to exceed $70 billion, a significant increase compared to previous private transactions, when the platform was valued at $50 billion.

According to preliminary reports, the company plans to go public by the end of the current year, with ongoing negotiations with investors and financial advisers such as China's state-owned investment bank.

The company's financial performance is improving. It is expected that in 2026, its net profit will exceed $3 billion. For comparison, this figure was over $2 billion last year. The company was founded in 2013 and is today one of China's largest platforms, bringing together over 400 million monthly active users. Users on the platform not only receive information about various products and trends, but can also purchase desired items. Interest in it in the United States has particularly increased against the backdrop of uncertainty surrounding TikTok.

Source: Investing.com