Insta360 Goes Public in China, 33-Year-Old Founder Now a Billionaire
360-degree camera and technology company Insta360 has gone public on the Chinese stock market, and the company’s shares surged to nearly 180 yuan, or about $25, an almost four-fold increase from its initial public offering (IPO) price of 47.27 yuan per share. The company is now valued at 71 billion yuan, or nearly $9.9 billion, making its 33-year-old founder, Liu Jingkang, also known as JK Liu, a billionaire, Forbes reports.
Insta360’s arrival on the Shanghai Stock Exchange Science and Technology Innovation market was met with an extremely positive response from investors. After opening at an IPO price of nearly 47.3 yuan per share, the valuation skyrocketed, raising Insta360 1.94 billion yuan (almost $270 million) in fresh funding. The company released 41 million shares for its IPO. It is a financial boon for a company that already has the lion’s share of the 360-degree camera market globally and recently released the 8K 360-degree Insta360 X5 camera and Leica-powered Ace Pro 2 action camera.
<em>Nikkei Asia reports that Insta360 opened 285% above its IPO price, making it the largest new listing on the STAR market so far this year.
MarketWatch writes that Insta360 intends to use the money it raised from its initial public offering to “further production plans, including a research and development center in Shenzen.” The publication adds that Insta360’s global market share for 360-degree cameras in 2023 was 67.2%, and it is reasonable to suspect that its share has increased since then given popular releases like the X4 last year and the new X5.
Insta360 reported nearly 5.6 billion yuan in revenue for 2024, equivalent to approximately $775 million at current exchange rates. Of that revenue, the United States and Europe each accounted for around 23%, while China was the biggest market at a slightly higher 24%.
Insta360 was founded by Liu Jingkang in China in 2015 and has since grown considerably. Over the past three years, its compound annual growth rate reached an impressive 65.25%, and net profit has increased from 381 million yuan annually to 946 million yuan, equivalent to approximately $131 million. The company has divisions in North America, Japan, and Europe, with offices in Los Angeles, Tokyo, and Berlin.
“10 years ago, we walked out of the dormitory of Nanjing University, with just very few resources and very big dreams,” Liu said at Insta360’s listing ceremony in Shanghai, China, as Forbes reports. “10 years have passed, and our flagship devices have progressed from One X to X5… the further we go, the clearer our original vision has become.”
Insta360’s public arrival on the Chinese stock market could hardly have gone better for the company. It will be fascinating to see how its valuation shifts over time as it continues developing new products.
Image credits: Insta360
