Photo/Shetuwang

Aug. 30 (NBD) -- Chinese fintech company X Financial filed on Tuesday with the U.S. Securities and Exchange Commission to raise up to 250 million U.S. dollars in an initial public offering.

The underwriters are Deutsche Bank Securities, Morgan Stanley and China Merchants Securities (HK).

X Financial, founded in 2014, operates a peer-to-peer lending platform. The Shenzhen-based company booked 230.3 million yuan (33.8 million U.S. dollars) and 1.79 billion yuan (262.8 million U.S. dollars) in net income, respectively in 2016 and 2017, according to the company's prospectus.

Moreover, for the six months ended June 30, 2018, the company's net income reached 443.3 million yuan (65.1 million U.S. dollars), a significant increase from 80.7 million yuan (11.8 million U.S. dollars) for the same period in 2017.

Major loan products of the company include Xiaoying Card Loan, primarily a credit card balance transfer product, and Xiaoying Preferred Loan, a high-credit-limit unsecured loan product.

In 2015, the fintech company completed its Series A round of financing, raising 400 million yuan (58.7 million U.S. dollars) from Chow Tai Fook Enterprises Limited, and entered into a strategic cooperation agreement with ZhongAn Insurance backed by both Alibaba and Tencent. Besides, X Financial secured the Series B round of financing worth 1 billion yuan (146.8 million U.S. dollars) in 2017.

According data released in the prospectus, in 2016, 2017 and for the six months ended June 30, 2018, the total loans X Financial facilitated amounted to 18.996 billion yuan (2.8 billion U.S. dollars), 34.4 billion yuan (5.1 billion U.S. dollars) and 19.879 billion yuan (2.9 billion U.S. dollars), respectively, while the delinquency rate by balance for outstanding loans that were 91 to 180 days past due stood at 0.38 percent as of December 31, 2016, 1.34 percent as of December 31, 2017 and 3.26 percent as of June 30, 2018.

Email: gaohan@nbd.com.cn