Chinese Smartphone Maker Xiaomi Falls in Hong Kong Trading Debut

Chinese Smartphone Maker Xiaomi Falls in Hong Kong Trading Debut

Chinese Smartphone Maker Xiaomi Falls in Hong Kong Trading Debut

Shares lost about 4 percent in early trading but rebounded to end the day 16.80 Hong Kong dollars ($1.98).

By contrast, China Literature Ltd, the e-book arm of Chinese gaming and social media firm Tencent Holdings, late past year raised US$1.1 billion for its Hong Kong IPO amid heavy demand, with the retail portion being 625 times oversubscribed.

These include a US$4 billion deal from online food delivery-to-ticketing services platform Meituan Dianping and an up to US$10 billion IPO from China Tower, the world's biggest mobile tower operator, Reuters reported.

The IPO opened at a price of HK $16.60 (about $2.12 USD) per share which is a fair amount below the original IPO value of HK $17. "And they have to speed up the pace if they aim for a good valuation", said Hong Hao, the chief strategist at brokerage BOCOM International.

Speaking at the ceremonial opening of trading, Xiaomi's chairman Jun Lei acknowledged that the timing of the IPO might not be optimal given the state of trade friction between the USA and China.

Turkey's New Era: Turkish President Erdogan takes oath of office
After his election victory two weeks ago, Erdogan said he would spare no effort to spur economic growth. Turkey narrowly approved the executive presidency in a contentious referendum previous year .

Fireworks expected in World Cup semifinals
Speaking on the club's official Instagram channel, Brown said: "Dedo, my man, congratulations on how well you've done so far".

Prince Louis' Christening Photo Shows All the Royal Kids Behaving Perfectly
The fitted and flared number with three-quarter sleeves and a boat neckline was reminiscent of her Givenchy wedding gown. Not everyone would wear olive green to a christening, but Meghan Markle managed to pull it off easily .

Xiaomi founder, Chairman and CEO Lei Jun prepares to hit the gong during the listing of the company at the Hong Kong Exchanges in Hong Kong, China July 9, 2018.

"Other IPO candidates will rush to Hong Kong to list before the market sentiment shifts". This has resulted in the Hong Kong stock market, Hang Seng, falling to a nine-month low.

Despite being one of the most anticipated Chinese technology public offerings this year, the group saw a disappointing valuation of US$54 billion, well below its ambitious US$100 billion target. Even though much of the company's revenue comes from smartphones sales, Xiaomi has pinned its hope on internet services to account for most of the profit in the future.

Xiaomi sold 2.18 billion shares in its IPO, 1.4 billion of which were new shares.

The company is now the biggest smartphone vendor in India and is pushing into European markets including Spain and Russian Federation, though it has lost share in China recently to lower-cost rivals.

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