元保 Raises $34.5M in Nasdaq IPO, Valuation at $681M

元保(YB.US), a leading enterprise in the insurance technology sector, successfully listed on the Nasdaq Stock Market on April 30, 2024, with the stock code "YB". The company's initial public offering (IPO) was priced at $15 per American Depositary Share (ADS), at the top of the proposed range. The offering included 2.3 million ADS, raising approximately $34.5 million. Assuming the underwriters fully exercise their over-allotment option, the company's valuation post-IPO is estimated to be around $681 million. The IPO was underwritten by prominent investment banks including goldman sachs, citigroup, CICC, and Tiger Securities.

According to the prospectus, 元保's revenue for the years 2022, 2023, and 2024 was RMB 850 million, RMB 2.045 billion, and RMB 3.285 billion respectively, with annual growth rates of 141% and 61%. During the same period, the company reported net losses attributable to the parent company of RMB 435 million and RMB 333 million for 2022 and 2023, respectively, and a net profit of RMB 436 million for 2024.

元保 specializes in the internet life insurance sector, focusing on the growing market of affordable health insurance. The company integrates AI technology into all aspects of insurance distribution and claims processing, significantly enhancing the efficiency and experience of insurance sales and post-sale services in the domestic market. Its core business model involves collaborating with insurance companies to customize and distribute life insurance products, and providing clients with claims and other post-sale services. According to Sullivan data, based on the first-year premium, 元保 has become the second-largest distributor in the life insurance market. As of the end of 2024, the company had a total of 497 employees, with 344 of them being research and development personnel, accounting for 69.2% of the total workforce.

元保 stated that the funds raised from this IPO will be primarily used to innovate and upgrade the company's core technology models, expand consumer reach, and enhance post-sale service capabilities such as claims processing. The company plans to continue its roots in the domestic market, aiming to provide affordable and accessible insurance protection to a broader population.

Analysts view 元保's listing as aligning with the development direction of "new productive forces" in the domestic market. Currently, under the macro policy guidance of improving people's livelihoods, the core competitiveness of Chinese enterprises is transitioning from market scale advantages to a composite barrier of "technological density × social value." This composite barrier requires enterprises to not only have deep technological accumulation and strong capabilities but also to focus on social needs, integrating technology with social welfare to better serve society and meet the actual needs of the people. 元保's listing is a significant step in response to this trend.