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iQIYI aims to raise up to $2.4 billion in its initial public offering (IPO) in a bid to enhance its content and technology offering.

The Baidu-owned video platform plans to offer 125 million American depositary shares priced at $17 to $19 each, according to its filing with the U.S. Securities and Exchange Commission.

iQIYI, which reported total revenues of $2.7bn last year, plans to list its shares on the Nasdaq Global Market under the symbol IQ.

Baidu, which owns just under 70% of the business, will retain a controlling stake in the company.  iQIYI plans to use the investment to enhance its content library as well as its technology platform.

The IPO comes as the competition in China’s online video market heats up as rivals Tencent Video and Alibaba-owned Youku Todou experience growth.

This week, Tencent declared it was China’s largest online video platform after paid subscribers passed the 62 million mark in February. iQIYI reported 60.1 million subscribers, of which 98% are paid, according to Reuters.

It follows the announcement, earlier this month, that Chinese video site Bilibili has filed for a $400m IPO.

China's online video market is experiencing strong growth and the industry is expected to be worth RMB752.7bn by 2021.

The latest figures suggest China's video subscription market is on target to pass 220 million this year, according to eMarketer.