According to media reports citing two informed sources, the Chinese social media platform Xiaohongshu has hired investment banks, including Goldman Sachs and CICC (China International Capital Corporation Limited), to prepare for a potential initial public offering (IPO) in Hong Kong. The reports suggest that Xiaohongshu could go public as early as the second half of this year.

The size and valuation for this potential IPO are not yet clear. However, two sources stated that Xiaohongshu's valuation reached as high as $50 billion (approximately HK$390 billion) in private secondary market transactions late last year.

Xiaohongshu did not respond to a request for comment. Goldman Sachs declined to comment, and CICC did not immediately respond to a request for comment.

According to a media report from yesterday, Xiaohongshu is preparing to confidentially file an application for listing with the Hong Kong stock exchange as soon as the end of June. The informed sources added that Xiaohongshu's Hong Kong IPO plan still requires approval from the China Securities Regulatory Commission, and a decision from the regulator could take several months.

Xiaohongshu was founded in Shanghai in 2013 by Mao Wenchao and Qu Fang. Its investors include Tencent, Alibaba, Sequoia Capital China, Hillhouse Investment, and GSR Ventures. In a 2024 funding round, Xiaohongshu was valued at approximately $17 billion.

As its business grew, Xiaohongshu's valuation in secondary market transactions surged to $31 billion by September 2025, and the company projected to shareholders that its full-year profit for 2025 could reach about $3 billion.

According to information on its official website, Xiaohongshu is a growth-stage internet company serving 400 million monthly active users globally. The company encourages users to share authentic and uplifting content about their lives and interests, and it has also become a significant search platform for people seeking lifestyle advice. Simultaneously, it provides services such as advertising and e-commerce, supporting millions of merchants and buyers in building a sustainable commercial ecosystem.