Xiaomi Corp. has set tentative terms for a Hong Kong initial public offering that could raise as much as $6.1 billion, people with knowledge of the matter said. The Chinese smartphone maker and some existing investors plan to offer about 2.18 billion shares at HK$17 to HK$22 apiece, according to the people, who asked not to be identified because the information is private. Beijing-based Xiaomi aims to start taking orders from institutional investors as soon as Thursday, the people said.
CLSA Ltd., Goldman Sachs Group Inc. and Morgan Stanley are leading Xiaomi’s Hong Kong IPO as joint sponsors, according to an exchange filing last month. Credit Suisse Group AG, Deutsche Bank AG, JPMorgan Chase & Co. and six Chinese banks are also helping arrange the share sale, people with knowledge of the matter have said.
Details of Xiaomi’s offering could still change before it launches, the people said. A Hong Kong-based external representative for Xiaomi said she couldn’t immediately comment.