Investors Gain Billions From Chinese Tech IPO

Meituan Dianping’s market debut shows there are still outsize returns to be made in China’s internet boom

The past year has been a wash for China’s biggest online stocks. But some investors are enjoying big gains from a well-timed bet on an emerging internet company in the world’s second-largest economy.

The recent public trading debut of online services platform Meituan Dianping in Hong Kong has netted a hefty return for Sequoia Capital, a venture-capital firm that is one of the most active investors in Chinese startups. Various Sequoia funds invested around $400 million into Meituan over a period of years, according to a spokesman....