Xiaomi retail share offer 9.5-times oversubscribed

Xiaomi’s highly-anticipated initial public offering in Hong Kong drew nearly ten times more applications for share purchases than what it made available for retail investors, after the Chinese tech giant priced at the bottom end of its target range.

The company received applications for more than 1bn shares, about 9.5 times the 108.9m shares the company made available under its IPO in Hong Kong, according to a regulatory filing.

That came after Xiaomi, touted as the biggest tech listing since 2014, was valued at just half its original $100bn ambition with its shares offered at HK$17 (US$2.16) each. The offering implies a market capitalisation of $53.9bn, compared with a $45bn valuation at its last private funding round in 2014. Shares in the lossmaking company start trading in Hong Kong on Monday.