Xiaomi Secures $1B Loan to More Aggressively Invest in International Markets

Xiaomi has seen a recent return to form in phone sales after being hit by competition from rival Huawei Technologies and brands Vivo and Oppo

Xiaomi has seen a recent return to form in phone sales after being hit by competition from rival Huawei Technologies and brands Vivo and Oppo

It signed a syndicated loan agreement for US$1 billion over the next three years, with 18 banks including Bank of China, Deutsche Bank AG and Wing Lung Bank.

Xiaomi has signed a three-year syndicated loan agreement worth United States dollars 1 billion loan, with the aim of growing of worldwide footprint and developing its offline sales presence, TechCrunch reported.

The company had previously secured a three-year term Dollars 1 billion syndicated loan in 2014.

With $1 billion more in the bank, founder and CEO Lei Jun added that globalization and pursuing more offline retail channels (i.e. brick-and-mortar stores) are among the company's top priorities for development.

The syndicated loan will further boost efforts to develop these areas, according to the Chinese company.

Xiaomi is among the top five smartphone brands in China, behind Huawei, Oppo, Vivo and Apple.

Xiaomi has opened 149 Mi "Home Stores" in China out of which the first-ever store was opened in India.

The company claimed to have shipped 23.16 million smartphones in the second quarter of 2017, an increase of 70% from the previous quarter. The manufacturer is now present in over 20 countries.

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