Meitu, a Chinese smartphone maker and photo app developer, is planning an initial public offering (IPO) on the Hong Kong Stock Exchange. It will be the biggest IPO after online game developer Tencent Holdings, which was listed in 2004 with its market value up 300 times in the past 12 years, reaching USD249 billion. The number of monthly active users of Meitu has reached 446 million as of June, up 81% year-on-year. Hardware sales, mainly smartphones, are its dominant source of revenue, accounting for 89.9% in 2015 and 95.1% in the first half of this year. The company’s net loss was CNY2.2 billion in the six months ended June 30, up 69.2% compared with CNY1.3 billion in the same period last year. Meitu said it wanted to diversify revenue sources through increasing in-app advertisements, expanding smart hardware products offerings, developing live-streaming services and building an e-commerce platform. Established in 2008, the Xiamen-based company is one of the most popular selfie app developers. More than 1 billion mobile devices worldwide use Meitu’s products. Its investors include Taiwan electronics manufacturer Foxconn Technology Group, U.S.-based hedge fund Tiger Global Management, and China-focused venture capital funds IDG Capital Partners and Qiming Venture Partners.