It is reported that Xiaohongshu's major shareholders are in talks to sell shares at a valuation of at least $20 billion. With a potential TikTok US ban approaching, the deal has attracted the interest of Tencent Holdings Ltd. and other well-known investors. According to people familiar with the matter, Xiaohongshu's backers GGV Capital, GSR Ventures and Tiantu Capital are in talks to sell part of their shares. Investors who have expressed interest include existing shareholders Sequoia China and Hillhouse Capital. Tencent is also considering whether to increase its stake. In this regard, Sina Technology verified with Xiaohongshu officials, but as of press time, the other party has not responded.