Pinduoduo App on phone

 

Skadden, Arps, Slate, Meagher & Flom and Kirkland & Ellis have the lead roles on Chinese online group discounter Pinduoduo Inc.’s upcoming $1.6 billion initial public offering on Nasdaq.

The Groupon-like company is planning to raise up to $1.63 billion from the U.S. listing next week, according to a prospectus, which would value the three-year-old startup at as much as $21 billion. Founded by ex-Google engineer Colin Huang in 2015, Shanghai-based Pinduoduo allows consumers to group together to buy gross merchandise at lower prices.

The company, which counts Chinese internet giant Tencent Holdings and venture capital firm Sequoia Capital as major investors, said its mobile app had 103 million monthly active users at the end of March.

Skadden Hong Kong partner Julie Gao is leading a team representing Pinduoduo. Gao, a top dealmaker for Chinese companies’ U.S. listings, has advised several similar deals so far this year, including a $2.4 billion Nasdaq IPO by video streaming site iQiyi Inc.

King & Wood Mallesons is advising the issuer on Chinese law.

Kirkland & Ellis Hong Kong partners David Zhang and Steve Lin are acting for the underwriters Credit Suisse Securities, Goldman Sachs, China International Capital Corp. and China Renaissance Securities Ltd.

Jingtian & Gongcheng Shanghai partner Chen Zejia is serving as Chinese counsel to the banks.