The largest-ever Tech IPO is coming and this time, it’s not from the Silicon Valley. With a valuation of US$46 billion back in 2014, Xiaomi, one of world’s largest smartphone company, is reportedly opening up for an initial public offering ( IPO ).
Founded in 2010, Xiaomi began with a focus on making smartphones before expanding out to other consumer electronics products, such as the MI band fitness tracker.
Xiaomi is reportedly weighing a dual listing in both Hong Kong and New York and is gearing up for their IPO valuation which is expected to come in the second half of the year.
The Thomson Reuters publication reported that this IPO is poised to be the world’s biggest tech float this year, with Xiaomi being valued at up to $100 billion. With that amount, Xiaomi would join a number of Chinese tech giants listed on public markets, alongside Alibaba and Tencent.
However, some analysts are critical and skeptical about the high $100bn price tag given the high levels of competition in the global smartphone market, with well-known domestic rivals such as Huawei, Vivo, and Oppo.
Furthermore, Xiaomi has just recovered from a fall and is on the comeback trail as its smartphone sales soar. Xiaomi, once the world’s treasured unicorn, looked set to become China’s biggest unicorpse back in 2016. However, with its fortunes improving in 2017, Xiaomi looks towards staging its next act as the Chinese phoenix.
With Xiaomi’s comeback as one of the world’s biggest phone makers again, will you be taking a leap of faith with Xiaomi in its IPO?
Let us know what you think about Xiaomi’s IPO! Will you be interested in it?