Xiaomi submits HK filing; public offering expected

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The IPO could be the biggest offering since fellow Chinese tech company Alibaba, which listed in NY for $25bn (£18.4bn) in 2014.

The Agency noted that Xiaomi had applied for the IPO immediately after the exchange has simplified procedures for public placement of shares in a bid to attract more big innovative companies around the world.

The prospectus gave investors the first detailed look at Xiaomi's financial health ahead of the IPO, showing resilience in a slowing global smartphone market thanks partly to a push into overseas markets like India. Xiaomi should be debuting with what should be the largest IPO since 2014, that is when Alibaba was listed on Nasdaq. At its height, it raised US$1.1 billion in venture capital and became the world's most valuable startup.

The Beijing-based company Thursday laid the groundwork for a blockbuster initial public offering in Hong Kong, capping a remarkable turnaround for what only 18 months ago was looking like one of China's biggest tech flameouts.

A wave of huge tech companies in China is considering filing for IPOs over the next year, including Ant Financial the online payments behemoth.

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The world's fourth largest smartphone maker has struck a deal to start selling its devices in the United Kingdom, competing with industry heavyweights Apple and Samsung.

The main business of Xiaomi is phone, but the company also makes a broad range of other devices that are internet connected including laptops and a smart rice cooker. Import models have been easily available here, but now the company has partnered with Three to officially bring the devices to the UK.

In 2017, Xiaomi's revenue was 114.62 billion yuan (about 18.33 billion US dollars), up 67.5 percent from 2016. The filing caps a remarkable turnaround for a company that encountered serious growing pains in 2016 after an over-aggressive expansion disrupted its supply chain and allowed rivals to grab market share. It will now be interesting to see if the decision of Lei Jun will be imitated by some other global giants or if NY will be able to retaliate in turn to win more mega IPOs.

It's unclear if Xiaomi can really convince USA wireless carriers to sell its phones amid trade tensions with China.

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