Billionaire trio Li Ka-Shing, Jack and Pony Ma grab a slice of Xiaomi’s IPO

The Xiaomi Corp. Mi MIX 2S smartphone sits on display at an unveiling event in Shanghai, China, on Tuesday, March 27, 2018. Xiaomi unveiled its latest top-tier smartphone to bring the fight to Apple and Samsung, as the Chinese startup readies a highly anticipated initial public offering. Photographer: Qilai Shen/Bloomberg Photo by Bloomberg

China’s richest people are buying into Xiaomi Corp.’s imminent Hong Kong initial public offering, conferring their imprimatur on the world’s biggest coming-out party in two years.

Former CK Hutchison Holdings Ltd. Chairman Li Ka-shing, known in the former British colony as “superman” for his business acumen, plans to invest $30 million for an unknown slice of the Chinese smartphone maker, according to people familiar with the matter. Alibaba founder Jack Ma and Tencent Chairman Pony Ma — the country’s two richest persons — have also agreed to take stakes in Xiaomi, said the people, who asked not to be identified discussing personal investments.

The billionaire triumvirate join a group of big corporate names backing an IPO that could raise as much as $6.1 billion — the world’s biggest first-time share sale since Postal Savings Bank of China Co. raised $7.6 billion in Hong Kong in 2016. China Mobile Ltd., the nation’s biggest wireless carrier, and U.S. chipmaker Qualcomm Inc. are among those that’ve agreed to participate as cornerstone investors, according to terms for the deal obtained by Bloomberg.

Li’s participation could go down well with individual investors in Hong Kong, where the now-retired businessman enjoys near-celebrity status. He is investing through the Li Ka Shing Foundation, one of the people said. Li’s deal was first reported by the Hong Kong Economic Journal.

For the Mas, it’s unclear which entity they would use to buy their stakes. Alibaba Group Holding Ltd. and CK Hutchison representatives had no immediate comment. Tencent Holdings Ltd. representative Jane Yip didn’t respond to requests for comment.

 

Also read:

https://www.dealstreetasia.com/stories/xiaomi-cdr-delay-100382/

https://www.dealstreetasia.com/stories/xiaomi-ipo-could-value-smartphone-giant-at-half-its-initial-goal-100218/

Bloomberg

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In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.