Xiaomi files for IPO in Hong Kong, aims for $100bn value
Beijing, May 3: Chinese smartphone maker Xiaomi has officially filed for an initial public offering (IPO) in Hong Kong that aims to raise $10 billion in a sale that may value the company at $100 billion.
According to a report in South China Morning Post on Thursday, the move "would catapult Xiaomi past Baidu and JD.com to become the third-biggest Chinese technology company by value, after Tencent Holdings and Alibaba Group".
"At $10 billion, Xiaomi's IPO would also be the 15th biggest of all time, or the fourth-largest in Hong Kong," it added.
According to the regulatory filing with the Hong Kong stock exchange, Xiaomi also reported a revenue of $18 billion and a gross profit of $2.3 billion in 2017.
The company is currently at the fourth position in the smartphone market globally, behind Samsung, Apple and Huawei.
Xiaomi, which means millet in Chinese, will use 30 per cent of its IPO proceeds to develop the ecosystem of its technology business, especially in Artificial Intelligence (AI) and Internet of Things (IoT), the report noted.
In the first quarter of 2018, Xiaomi with over 51 per cent growth was at fifth spot in China, Counterpoint Research reported. Xiaomi was the fastest growing brand in China during the quarter.
The growth was driven by Xiaomi's expansion in the offline segment with aggressive promotions. It also refreshed its Redmi Note series and now has a very strong product portfolio in the mid segment, giving more choice to budget-conscious consumers.
In the first quarter of 2018, Xiaomi once again topped the Indian smartphone market, reporting an over 31 per cent market share -- a whopping 155 per cent annual shipment growth.
Xiaomi Chairman, CEO and Founder Lei Jun in April announced that the company will forever limit the net profit margin after tax for the entire hardware sales -- including smartphones, Internet of Things (IoT) and lifestyle products -- to a maximum of five per cent.
Lei promised its users that the company's hardware business will have an overall net profit margin that will never exceed five per cent.
"If the margin crosses five per cent, then we will find a way to return the excess above five per cent to our users," he said in an email to all Xiaomi employees.
"If we sell our products at close to cost and return value to our users, then we can earn the long-term support of our users. Aiming for large volumes with small profit margins will still result in suitable hardware profits for us in the long term," the Xiaomi CEO added.
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César Luis Menotti, coach who led Argentina to its first World Cup title in 1978, dies at 85
Buenos Aires (AP/PTI): César Luis Menotti, the charismatic coach who led Argentina to its first World Cup title in 1978, has died, the Argentine Football Association said Sunday. He was 85.
"Goodbye, dear Flaco!" the association's statement added, using Menotti's nickname which means "the thin one."
The association did not give a cause of death. Local media reports said Menotti was admitted to a clinic in March with severe anemia. He reportedly underwent surgery for phlebitis in April and subsequently returned home.
Passion for soccer and a sharp ability to explain its mechanics were Menotti's hallmark characteristics as a trainer, and he was considered one of the most emblematic and influential coaches in Argentine soccer.
Menotti was a political activist and an affiliate member of the Argentine Communist Party, a boxing fan and an admirer of the works of Latin American writers Mario Benedetti, Gabriel García Márquez, Jorge Luis Borges, Mario Sábato and Joan Manuel Serrat, among others.
"Once I was interviewed by Borges, and when I asked him if it bothered him that I smoked, he told me: What intoxicates me is not the cigarette, but the stupid conversations,'" Menotti recalled in one of his last interviews.
"So, I asked about everything ... but not about soccer, because I know about soccer!" he added.
He launched his career as a player for Rosario Central (1960-1963 and 1967), then went to Racing Club (1964) and Boca Juniors (1965-1966), all Argentine clubs. Menotti played for the New York Generals in the U.S. (1967), followed by Brazil's Santos (1968) and Italy's Juventus (1969-1970).
At Santos, he played alongside Pelé, whom he never hesitated to qualify as the best player among legends.
Menotti coached Argentina's national team between 1974 and 1983. He was convinced the side did not get the recognition it deserved when it won the World Cup in 1978 because the country was ruled by a military junta responsible for widespread human rights violations. His detractors would often recall a photo in which Menotti, after the World Cup victory, shook hands with Jorge Rafael Videla, head of the military junta.
On the eve of the World Cup, Menotti left a 17-year-old Maradona off the squad — a decision the coach later said soured their relations for years.
Menotti coached Mexico's national team in 1991-1992. He also led Barcelona (1983-1984), where he had Maradona on his squad; Atletico Madrid (1987-88); Uruguay's Penarol (1990-91); Italy's Sampdoria (1997) and Mexico's Tecos (2007) — his last coaching job.
For years, Menotti often had a cigarette hanging between his lips, but he mostly quit the habit in 2011 following a three-day hospitalization stemming from his tobacco addiction.
He also was known for wearing hair long but neat. He said he didn't rely on hairdressers. "I cut my own hair. I take the scissors, I cut the ends."
Menotti began leaving his hair long in the early 1970s.
"One day I said to myself: I won't cut my hair until we lose'. And we went 10 games undefeated, so it all started as a joke," he said.
In his later years, Menotti said he didn't fear death. "It's the only thing I'm sure of. I don't know anyone who hasn't died at some point,” he said in 2014."
