Xiaomi Seeks Valuation of at Least $50 Billion in IPO
- Bankers are pitching Xiaomi management, despite some concerns
- Xiaomi is said to consider an IPO in Hong Kong as soon as 2018
Xiaomi Corp., the Chinese smartphone maker that was once the most valuable startup in the world, is in talks with investment banks about a possible initial public offering and seeking a valuation of at least $50 billion, according to people familiar with the matter.
The Beijing-based company is considering an offering as soon as next year with banks suggesting Hong Kong as the most likely destination, said the people, requesting not to be named because the matter is private. While banks have talked up Xiaomi’s prospects as they seek to win the mandate, they have concerns about whether the company can reach the $50 billion level, much less a $100 billion target that some top executives have embraced, the people said. Xiaomi last raised money in 2014 at a $46 billion valuation.