Xiaomi announced its decision on Tuesday to postpone its listing process in mainland China while proceeding with original plans in Hong Kong.
The smartphone maker published a special announcement on its Weibo (Chinese Twitter-like platform), on the morning of June 19, stating that the company will “implement the listing plan in a step-by-step manner, i.e. only after listing in Hong Kong first, would it then go through the issuance of CDR in the domestic market.”
For this purpose, the company will initiate an application to the China Securities Regulatory Commission, postponing the review of the company’s CDR issuance application.
Xiaomi, the first tech giant testing the pilot program of CDR issuance that allows selected tech companies to list directly on the mainland market, was expected to raise as much as $10 billion.
The stock price of Xiaomi’s CDR concept plunged on the Shanghai exchange market on Tuesday – the first day of reopening after China’s Duanwu Festival long weekend holiday.