Xiaohongshu shareholders seek to sell portion of their stakes to companies including Tencent

According to a report by IThome on Tuesday, major shareholders at Xiaohongshu (also known as RedNote) are in talks to sell part of their holdings. The shareholders reportedly looking to sell a portion of their stakes are GGV Capital, GSR Ventures, and Tiantu Capital. Interested investors include existing shareholders Sequoia China and Hillhouse Capital, while Tencent is also considering acquiring more shares, according to the report. Sources familiar with the matter indicated that any deal has yet to be finalized, as many existing shareholders hold a right of first refusal. The potential transactions could value Xiaohongshu at at least $20 billion. [IThome, in Chinese]