Although Xiaomi did not disclose the size of the listing or the expected valuation details, according to the newspaper, citing people familiar with the matter, this valuation range is lower than previously discussed 100 billion US dollars, the company plans to raise at least 10 billion US dollars in this transaction.
Millet lowered its valuation
The person familiar with the matter said that under the recent global stock market downturn, Xiaomi’s previous target valuation was too aggressive.
For Xiaomi’s previous valuation of US$100 billion, Hong Wei, the head of the Bank’s Managing Director and Research Department, had previously indicated that the valuation was too high, much higher than that of many companies of the same type. According to the prospectus’s display of Xiaomi Jing’s The profit data is valued according to the investment bank's PE method. Xiaomi's valuation is as high as 83 times.
Hong Hao said that the valuation of the same type of Apple company is only about 13 times. According to Hong Wei, under the current situation of macro liquidity tightening, the giant IPO for Xiaomi may be difficult for the market to digest.
Last week, the company submitted an IPO application to the Hong Kong Stock Exchange, which is expected to become the first share of the "shares with different rights" of the Hong Kong Stock Exchange and is considered to be the world's largest IPO since 2014.
The Wall Street Journal reported that Xiaomi is expected to soon be listed in the Mainland after being listed in Hong Kong, becoming one of the first companies to use the China Depositary Receipt (CDR) for listing.
Previously, although Xiaomi had not disclosed the details of the listed company or the expected valuation of the company, informed sources revealed that Xiaomi's valuation range may be lower than the previously announced 100 billion US dollars (about 636.7 billion yuan). The current valuation is Have dropped.
Enter the European market
At the same time, on May 3rd, Huo Jianning, the joint managing director of the Cheung Kong Group, and Wang Xiang, the senior vice president of Xiaomi, attended the press conference and announced that they will form a global strategic alliance to integrate Xiaomi’s smart phones, smart hardware and lifestyle. Product introduction and its telecommunications and retail divisions around the world.
The report said that Xiaomi's products will initially be available in the 3 Group stores in Austria, Denmark, Hong Kong, Ireland, Italy, Sweden and the United Kingdom, as well as in Fortress, Superdrug and Kruidvat stores in Hong Kong, Ireland, United Kingdom and the Netherlands.
In addition, Xiaomi will expand cooperation with Changhe Telecom Stores in the European market. The agreement includes telecommunication markets in Denmark, Ireland and Sweden, giving specific priority to smart phones and certain markets to the Xiaomi Ecological Chain smart hardware and lifestyle products. arrangement.
Millet mobile phone has already started its internationalization, gradually becoming a global mobile phone manufacturer with brand recognition in China. However, Xiaomi's internationalization focuses mainly on Asia, especially India, which is adjacent to China.
Prior to this, Xiaomi Company was only a small chopper in the European market, and it entered some markets in Eastern Europe or Southern Europe, but it did not create much waves. Through this cooperation, products such as Xiaomi’s mobile phones will be in full service. European distribution sales.
According to the latest news from Micronet, Xiaomi announced on Monday that it plans to enter France and Italy on May 22 and May 24, respectively. Although Xiaomi will not know which devices will be sold in these markets, it will usually include smart phones and mobile phone accessories. And smart home products. Xiaomi is likely to open an online store (via Mi.com) and collaborate with local online and offline retailers.