Xiaomi teaming up with CK Hutchison in overseas push
Strategic alliance would offer access to 17,700 retail and telecom stores around the globe and 130 million active telecom users
Chinese phone maker Xiaomi founded a global strategic alliance with Li Ka-shing’s CK Hutchison Holdings the same day it filed an IPO to raise funds in Hong Kong. Both firms later refused to comment on the possibility of becoming a shareholder in Xiaomi, Yicai.com reported.
The cooperation aims to introduce Xiaomi’s smartphones, smart hardware and lifestyle products into the telecommunication and sales departments of CK Hutchison around the world.
This will help Xiaomi with its overseas push, as CK Hutchison owns more than 17,700 retail and telecom stores around the globe. The alliance could also provide the access to CK Hutchison’s 130 million active telecom users and 140 million customers in retail sales.
According to the Xiaomi’s prospectus, Chairman Lei Jun emphasized that the firm must establish a global business ecosystem.
For instance, the Xiaomi smartphone has entered more than 70 countries and it has achieved the largest market share in India, ranking among the top brands in 15 countries.
Huo Jianning, general manager of CK Hutchison, said he would not comment on the question of whether the company would buy into Xiaomi. “I can’t say anything (or) if we have the idea,” said Huo, adding they are still awaiting the formal offer.