Xiaomi reportedly eyeing a US$50bn IPO in 2018

Chinese smartphone maker Xiaomi is eyeing a valuation of at least US$50 billion, according to a report in Bloomberg.

Citing people familiar with the matter, the report said that Xiaomi is now in talks with investment banks about an initial public offering as early as the second half of 2018, with banks suggesting Hong Kong as the most likely destination.

However, sources said there are concerns about whether the company can reach the US$50 billion level. Xiaomi raised US$46 billion during its last funding round in 2014, but the Beijing-based company lost its spot as the fifth largest smartphone manufacturers in the first quarter of last year by two other Chinese companies, Oppo and Vivo, according to a study by IDC.

However, according to the state-owned media Global Times, the Chinese technology giant has denied media reports that it plans to launch an IPO in 2018.