(Sept 3): China’s Meituan Dianping, an online food delivery-to-ticketing services platform, has set an indicative price range of HK$60 to HK$72 ($10.48-$12.58) per share for its initial public offering (IPO) in Hong Kong, valuing itself at up to US$55 billion, four people with direct knowledge of the matter said.

Meituan, already one of China’s most valuable internet firms, could raise as much as US$4 billion ($5.5 billion) before the exercise of a “greenshoe” or over-allotment option, whereby additional shares are sold depending on demand.

The company is discussing a valuation of US$46 billion to US$55 billion and is planning to secure a total of US$1.5 billion from five cornerstone investors, including its main backer gaming and social media company Tencent Holdings, and global asset manager OppenheimerFunds, the people said.

Oppenheimer will commit US$500 million and Tencent US$400 million, they said.

Other cornerstone investors include UK-based hedge fund Lansdowne Partners (US$300 million), US hedge fund Darsana Master Fund LP (US$200 million) and Chinese state-owned conglomerate China Chengtong Holdings Group (US$100 million).

Tencent declined to comment. The other cornerstone investors did not immediately respond to requests for comment. Calls to Darsana went unanswered.

Meituan declined to comment when reached by Reuters.

The Beijing-based firm filed plans for the city’s second multibillion-dollar tech float this year after smartphone maker Xiaomi Corp’s blockbuster IPO of US$5.4 billion after the full exercise of the greenshoe option.

It plans to use the process to upgrade its technology, develop new services and products and pursue acquisitions among other things, according to its IPO filing.

Meituan is also - after Xiaomi - the latest company with a dual-class share structure to file for a Hong Kong listing, under the city’s new rules designed to attract tech companies.

However, in late July Hong Kong Exchanges and Clearing (HKEX), the operator of Hong Kong exchange, said it would delay changes that would allow companies to hold shares with more voting rights, as more time was needed for investors to become accustomed to recent rule changes.

Meituan was valued at around US$30 billion in a fundraising round late last year.

Xiaomi started trading in July after a closely watched but disappointing initial public offering that valued it at almost half the US$100 billion that industry analysts had initially estimated.

Meituan has been likened to US discounting platform Groupon.

Founded in 2010 by serial entrepreneur Wang Xing, it completed a US$15 billion merger with Dianping in 2015, akin to US online review firm Yelp Inc. It offers a broad range of services including movie ticketing, food delivery, hotel and travel booking as well as ride-hailing.

Competitors include food-delivery platform Ele.me, backed by e-commerce firm Alibaba Group Holding, and leading ride-hailing firm Didi Chuxing, backed by Japan’s SoftBank Group.

Bank of America Merrill Lynch, Goldman Sachs Group and Morgan Stanley are sponsors of Meituan’s IPO. China Renaissance is the financial adviser.