Xiaomi likely to raise up to $6.1 billion from IPO listing in Hong Kong Stock Exchange
China’s Xiaomi is planning to raise up to $ 6.1 billion from mega IPO in Hong Kong stock exchange this week. This is one of the first in Hong Kong under new rules to attract tech firm listings. The listing is expected to give Beijing-based Xiaomi a market value of between $80 billion and $100 billion. It is going to be one of the biggest technology floats globally of recent years.
Xiaomi, which also makes Internet-connected devices, plans to sell about 2.18 billion shares including about 65 percent primary shares in its initial public offering (IPO) at a price range of HKD 17 to HKD 22 ($2.17 to $2.80) each, said two of the people. It is expected that the Beijing-based company plans to bring in eight cornerstone investors including US chip-maker Qualcomm, Chinese express delivery company S.F. Holding Co, domestic telecom service provider China Mobile and state-run conglomerate China Merchants Group. The cornerstone investors are expected to buy about 13 percent to 15 percent of the shares being offered in the IPO, the people said.
As we had posted earlier on our publication in May, Xiaomi was initially planning for the listing a month ago. The delay was triggered by a dispute between the company and regulators over the valuation of its China depositary receipts (CDRs), sources said, casting doubt on Beijing’s efforts to lure foreign-listed Chinese tech giants back home. Xiaomi’s blockbuster Hong Kong offering, on the other hand, is set to be the first listing under new exchange rules designed to attract tech floats, as competition heats up between Hong Kong, New York and the Chinese mainland.
China’s largest provider of on-demand online services, Meituan-Dianping, also plans to file for a Hong Kong IPO later this week, which would be the city’s second multi-billion dollar tech float this year, the people said.
You might also like
More from News
OnePlus unveils four flagship gadgets at Cloud 11 Launch event
OnePlus unveils four flagship gadgets at Cloud 11 Launch event Leading technology brand OnePlus debuted its first four flagship products of …
Splendid TWS Earbuds Moonwalk M2 ENC from WeCool
Product Review – Splendid TWS Earbuds Moonwalk M2 ENC from WeCool for just ₹ 1,299 Wireless earphones free you from the …
Here is the best way to upgrade one’s knowledge at Seekho
Knowledge is constant learning at every stage of life. We all need to keep ourselves upgraded with the changing times …