Xiaomi shares drop as co-founder plans $2b sale
Xiaomi shares fell after co-founder and vice-chairman Lin Bin announced plans to sell up to US$2 billion of his shares starting December 2026, raising investor concerns over future supply.
The company said in a voluntary filing that Lin will offload class B shares, capped at US$500 million in any 12-month period, with proceeds mainly intended to fund an investment initiative. Lin emphasized his confidence in Xiaomi’s long-term prospects and will continue serving the company, News.Az reports, citing SCMP.
Xiaomi shares dropped as much as 3.3% to HK$37.94 before closing 1.6% lower at HK$38.58, underperforming the Hang Seng Index, which fell 0.7%. Lin currently holds 1.88 billion class B shares and 448 million class A shares, valued at over US$10 billion.
Analysts noted the move as “neutral” but highlighted its potential sentiment impact. The planned investment fund may focus on emerging technology incubation, potentially benefiting Xiaomi’s AIoT ecosystem. Target prices remain optimistic at HK$50 by the end of 2026, though risks from market competition, new store costs, and rising interest rates remain.
Similar news
