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Xiaomi Files Prospectus for $10bn Listing in Hong Kong

Xiaomi files for IPO in Hong Kong, aims for $100bn value

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Xiaomi refreshes 'Mi TV' series in India. (Wikimedia Commons)

Chinese smartphone maker Xiaomi has officially filed for an initial public offering (IPO) in Hong Kong that aims to raise $10 billion in a sale that may value the company at $100 billion.

According to a report in South China Morning Post on Thursday, the move “would catapult Xiaomi past Baidu and JD.com to become the third-biggest Chinese technology company by value, after Tencent Holdings and Alibaba Group”.

“At $10 billion, Xiaomi’s IPO would also be the 15th biggest of all time, or the fourth-largest in Hong Kong,” it added.

According to the regulatory filing with the Hong Kong stock exchange, Xiaomi also reported a revenue of $18 billion and a gross profit of $2.3 billion in 2017.

The company is currently at the fourth position in the smartphone market globally, behind Samsung, Apple and Huawei.

Xiaomi, which means millet in Chinese, will use 30 per cent of its IPO proceeds to develop the ecosystem of its technology business, especially in Artificial Intelligence (AI) and Internet of Things (IoT), the report noted.

Representational image.
Representational image. Pixabay

In the first quarter of 2018, Xiaomi with over 51 per cent growth was at fifth spot in China, Counterpoint Research reported. Xiaomi was the fastest growing brand in China during the quarter.

The growth was driven by Xiaomi’s expansion in the offline segment with aggressive promotions. It also refreshed its Redmi Note series and now has a very strong product portfolio in the mid segment, giving more choice to budget-conscious consumers.

In the first quarter of 2018, Xiaomi once again topped the Indian smartphone market, reporting an over 31 per cent market share — a whopping 155 per cent annual shipment growth.

Also Read: Xiaomi And Jio Top India Market

Xiaomi Chairman, CEO and Founder Lei Jun in April announced that the company will forever limit the net profit margin after tax for the entire hardware sales — including smartphones, Internet of Things (IoT) and lifestyle products — to a maximum of five per cent.

Lei promised its users that the company’s hardware business will have an overall net profit margin that will never exceed five per cent.

“If the margin crosses five per cent, then we will find a way to return the excess above five per cent to our users,” he said in an email to all Xiaomi employees.

“If we sell our products at close to cost and return value to our users, then we can earn the long-term support of our users. Aiming for large volumes with small profit margins will still result in suitable hardware profits for us in the long term,” the Xiaomi CEO added.  (IANS)

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Xiaomi Unveils Two New Smart Tvs, Mi Soundbar

Both the TVs are equipped with "Patchwall" OS by Xiaomi. PatchWall features content from 14 different partners with over 700,000 hours of content from Hotstar, Hungama, Sony Liv, Voot, Eros Now, Zee5, Hooq, Epic ON and others

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Xiaomi
Xiaomi launches 2 smart TVs, Mi soundbar.

Chinese electronics company Xiaomi on Thursday launched two new smart TVs and entered the home audio category with an Mi soundbar.

The two TVs — Mi LED TV 4X PRO (55-inch) and Mi LED TV 4A PRO (43-inch) — will be available for Rs 39,999 and Rs 22,999 respectively, starting January 15, the company said in a statement.

The Mi soundbar will be available via Mi.com and Mi Home stores for Rs 4,999, starting January 16.

The complaint alleged that Xiaomi had used the patents without any license from Yulong.
The Mi soundbar will be available via Mi.com and Mi Home stores for Rs 4,999, starting January 16. wikimedia commons

“We launched Mi LED TVs last year. We hit many milestones, including becoming the number 1 smart TV brand in India by selling over a million units in 9 months,” said Eshwar Nilakantan, Category Lead, Mi TVs.

Mi LED TV 4X PRO comes with a large 55-inch 4K UHD display with the panel featuring 10-bit colour depth, and support for HDR10.

Also Read- Satellite Images May Help Trace Extreme Poverty

Mi LED TV 4A PRO’s 43-inch display features a Full HD resolution of 1920 x 1080 pixels. The same 20W audio from Mi LED TV 4X PRO (55) also features here, as does the Bluetooth remote.

Both the TVs are equipped with “Patchwall” OS by Xiaomi. PatchWall features content from 14 different partners with over 700,000 hours of content from Hotstar, Hungama, Sony Liv, Voot, Eros Now, Zee5, Hooq, Epic ON and others. (IANS)