Chinese tech firms collectively worth hundreds of billions of dollars are on the starting line for initial public offerings this year. Investors thinking of buying in should scrutinize the process by which these unicorns have managed to get into the race. One thing these potential IPOs have in common is the way their valuations have escalated with each round of funding in private markets. Alibaba affiliate Ant Financial is raising $9 billion, supposedly making it worth close to $150 billion—a big jump from the $60 billion...

Source: Wall Street Journal May 11, 2018 11:26 UTC