Xiaomi postpones plan to sell shares in China alongside Hong Kong IPO

Chinese smartphone giant Xiaomi has shelved a plan to sell shares in China in conjunction with its imminent Hong Kong IPO. The company will instead go public in Hong Kong first and consider the potential for a Chinese offering at a later date.

The change in strategy was confirmed in a message posted to Xiaomi’s Weibo account without specific explanation. Reuters reported that the move was down to a dispute over valuation. Xiaomi declined to comment further when asked by TechCrunch.

The news is a blow to China, which is reportedly scouting out promising tech companies with a viewing to issuing China depositary receipts (CDRs) on Chinese stock exchanges. Recent laws paved the way to allow CDRs, which is tipped to create a trillion-dollar…

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