Alibaba-backed social media app Momo jumps 26% in US debut

New York

MOMO Inc, a Chinese social media application backed by Alibaba Group Holding Ltd, surged 26 per cent on its first day of trading in New York after raising US$216 million.

The shares jumped to US$17.02 on Thursday in New York after they were sold for US$13.50, the middle of the price range. Concurrently to the initial public offering (IPO), Momo plans a private placement to shareholder Alibaba of US$50 million and US$10 million to classified advertising website 58.com Inc, its prospectus shows.