The biggest IPO this year, Xiaomi, will be named in the Hong Kong stock market
China's Xiaomi is expected to be listed in the Hong Kong stock market in September, which is becoming a smartphone-electronics company.
Hong Kong's South China Morning Post (SCMP) quoted an anonymous source as saying Xiaomi has decided to open an IPO in Hong Kong on Monday (January 31).
Xiaomi is said to have selected Credit Suisse, Deutsche Bank, JP Morgan and Morgan Stanley as the main organizers.
Earlier, the global securities industry had expected Xiaomi to be listed in one of New York and Hong Kong. The Hong Kong Stock Exchange also allowed a form of guaranteeing the ownership of the voting rights of the owner to attract Xiaomi, the IPO partner. The Hong Kong Stock Exchange is struggling to attract large companies' IPOs after it issues the Alibaba listing on the New York Stock Exchange in 2014.
If the IPO is concluded, it will be the largest IPO in 2018. Although the exact price is not available now, Bloomberg said it expects Xiaomi's enterprise value to reach 100 billion dollars (107 trillion won). The Wall Street Journal (WSJ) expects a higher figure of $ 110 billion ($ 117 billion).
Xiaomi did not give a different answer to the report.
Since its establishment in 2010, Xiaomi has made remarkable growth by 2014 and has been put on the run for a decline in market share due to its successors. However, Xiaomi is continuing to grow again in pursuing the Indian market.
According to Counterpoint Research, Hong Kong market researcher, Xiaomi's market share in India is 25%. The second largest market share in India is Samsung Electronics (23%).