Xiaomi said to eye valuation of at least $50b in IPO

Xiaomi CEO Lei Jun. Photographer: Dhiraj Singh/Bloomberg

Xiaomi Corp., the Chinese smartphone maker that was once the most valuable startup in the world, is in talks with investment banks about an 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.

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