Xiaomi applies to raise funds in Hong Kong, giving city the pole position in 2018 global IPO race

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Xiaomi has applied to sell shares in Hong Kong, giving the city what’s probably the world’s biggest initial public offering (IPO) of 2018 and the pole position in a race with New York and Shanghai to be the global capital for raising funds.

The company, the world’s fourth-largest smartphone maker ranked by shipment, has submitted an IPO application to the Hong Kong Exchanges & Clearing Limited under new listing regulations for technology start-ups. 

While the application omitted financial terms, bankers familiar with the plan said the Beijing-based company is seeking to raise US$10 billion, in a sale that values the eight-year-old firm at US$100 billion.  

That would catapult Xiaomi, founded in 2010 by serial entrepreneur Lei Jun, past Baidu and JD.com to become the third-biggest Chinese technology company by value, after Tencent Holdings and Alibaba Group Holding. At US$10 billion, Xiaomi’s IPO would also be the 15th biggest of all time, or the fourth-largest in Hong Kong.

Read more at SCMP