Chinese video streaming service iQiyi – called China’s Netflix – made a rocky US stock market debut as it propelled on the Nasdaq.

Shares opened marginally in front of the $18 posting cost, before rapidly falling back and shutting down 14%.

Be that as it may, iQiyi CEO Gong Yu said he was not worried in regards to the ” short term volatility “.

The firm, majority owned by Chinese internet search goliath Baidu raised more than $2.2 billion through the listing.

The IPO gave the streaming service a valuation of about $12.7 billion.

In spite of the underlying stock value fall, Mr. Gong was sure about the company’s future prospects.

“Long term, you’ll see how much value the IPO creates,” he told the Reuters news agency.

Not productive

iQiYi had in excess of 50 million subscribers before the finish of 2017 and an average of 420 million mobile clients for every month, as indicated by Reuters.

In any case, while incomes have ascended lately, iQiyi has never posted a benefit since it propelled in 2010.

In China, it rivals fellow streaming platforms Youku Tudou, which is owned by Alibaba, and Tencent Video.

In April 2017, iQiyi signed a licensing agreement with Netflix to stream a portion of the US streaming platform’s unique content including Black Mirror and Stranger Things.

A year ago, iQiyi posted a net loss of 3.7 billion yuan compared to 3.1 billion yuan in 2016, however income bounced by 55% to 17.4 billion yuan.

Baidu, which established the business as Qiyi before later changing its name to iQiyi, is itself recorded in the US.