Jon Russell
The Beijing company may enter the IPO next year. The publisher informs that the banks recommend the Hong Kong stock exchange for the placement of shares. Investment banks are not sure that Xiaomi will be able to reach an estimate of $ 50 billion, although in 2014 Xiaomi held a round of financing, during which it was estimated at $ 46 billion.
The first reports that Xiaomi is preparing an IPO for the second half of 2018 appeared on Friday on The Information website. On Saturday, Xiaomi through the Chinese news site sina.com.cn denied rumors about plans for primary placement. Bloomberg's article came out on Monday afternoon, no reaction from Xiaomi yet.
Xiaomi could decide to enter the exchange on the background of a successful expansion. So, recently the company caught up with rival Samsung Electronics Co on the market in India. The company takes the 5th place in terms of production of smartphones in the world as a whole. "In India, we created a miracle in just three years have passed, and we are already number one," Xiaomi’s head Lei Jun said at a conference in Wuzheng on Monday without commenting on the rumors about the IPO.
Further expansion will require significant funds, and an IPO is just the way. In case of successful placement, the Chinese company can attract at least $ 5 billion, which it needs for further development.
It should be noted that the figures of the Chinese manufacturer of smartphones began to grow again after the change of business model. After several difficult quarters, when the financial results of the company were declining due to tightening competition from other Chinese companies and weakening, Xiaomi in the II quarter increased deliveries by 70% compared to the previous period. This happened after the vendor stopped selling its products exclusively through the Internet and began to open ordinary stores.
The head of the company Lei Yong is so confident in the new strategy that he again decided to predict the company's results: sales of 100 billion yuan ($ 14.7 billion) this year and the delivery of 100 million smartphones in the next. In addition, the CEO of Xiaomi said that currently the brand Xiaomi produced 85 million devices that have a connection to the Internet.
At the same time, Xiaomi’s IoT platform lists more than 800 types of "smart" devices that were created with the participation of 400 partners. Thus, Xiaomi, according to its leader, has created the world's largest IoT platform for "smart" devices.
To further popularize its products, Xiaomi plans to open by 2019 a thousand mono-brand stores Mi Home, which is twice as much as that of its American rival, Apple. And by 2021 the revenue figure is planned to reach $ 10 billion.
source: bloomberg,com
The first reports that Xiaomi is preparing an IPO for the second half of 2018 appeared on Friday on The Information website. On Saturday, Xiaomi through the Chinese news site sina.com.cn denied rumors about plans for primary placement. Bloomberg's article came out on Monday afternoon, no reaction from Xiaomi yet.
Xiaomi could decide to enter the exchange on the background of a successful expansion. So, recently the company caught up with rival Samsung Electronics Co on the market in India. The company takes the 5th place in terms of production of smartphones in the world as a whole. "In India, we created a miracle in just three years have passed, and we are already number one," Xiaomi’s head Lei Jun said at a conference in Wuzheng on Monday without commenting on the rumors about the IPO.
Further expansion will require significant funds, and an IPO is just the way. In case of successful placement, the Chinese company can attract at least $ 5 billion, which it needs for further development.
It should be noted that the figures of the Chinese manufacturer of smartphones began to grow again after the change of business model. After several difficult quarters, when the financial results of the company were declining due to tightening competition from other Chinese companies and weakening, Xiaomi in the II quarter increased deliveries by 70% compared to the previous period. This happened after the vendor stopped selling its products exclusively through the Internet and began to open ordinary stores.
The head of the company Lei Yong is so confident in the new strategy that he again decided to predict the company's results: sales of 100 billion yuan ($ 14.7 billion) this year and the delivery of 100 million smartphones in the next. In addition, the CEO of Xiaomi said that currently the brand Xiaomi produced 85 million devices that have a connection to the Internet.
At the same time, Xiaomi’s IoT platform lists more than 800 types of "smart" devices that were created with the participation of 400 partners. Thus, Xiaomi, according to its leader, has created the world's largest IoT platform for "smart" devices.
To further popularize its products, Xiaomi plans to open by 2019 a thousand mono-brand stores Mi Home, which is twice as much as that of its American rival, Apple. And by 2021 the revenue figure is planned to reach $ 10 billion.
source: bloomberg,com