Flowing Cloud Technology to be listed in Hong Kong amid metaverse build

Flowing Cloud Technology, a former Chinese game development platform that turned into a metaverse-focused company last December, closed its public offering on Friday and is expected to be listed on the Hong Kong stock exchange (HKEX) on Oct 18. Flowing Cloud first filed a form on the HKEX just days after its transition, with the company mentioning the word “metaverse” more than 200 times in its prospectus, but it “automatically lapsed” after it failed to pursue the listing within the required six months. According to the prospectus, AR/VR marketing services, AR/VR content, and AR/VR SaaS make up the majority of the company’s current revenue; AR/VR marketing services accounted for 72.3% of the firm’s total revenue in the first quarter of 2022, and it claims to have spent less than 4% of revenue on R&D over the last three years. Flowing Cloud also said that it has no clear profit model as yet due to the construction of the metaverse still being in its early stages. [Flowing Cloud Technology]