Xiaomi has secured a whopping $1 billion loan to expand globally and increase its retail footprint. The Chinese smartphone maker has revealed that it has secured a three-year syndicated loan agreement from 18 banks across Europe, Middle East, India, China, Hong Kong and Taiwan. Deutsche Bank and Morgan Stanley served as joint global coordinator, with Bank of China (Hong Kong) Limited, Deutsche Bank AG, and Wing Lung Bank.
Wang Xiang, Senior Vice President Xiaomi, announced the news via Twitter. Xiaomi had previously secured a three-year term US$1 billion syndicated loan in 2014. The $1 billion loan will be used for expanding global footprint. Xiaomi launched its first Mi Home Store in Bengaluru in May with a record-breaking Rs. 5 crore in sales revenue (USD 775,000) within 12 hours of sales on 20 May 2017. The company will soon open four more Mi Home stores in Delhi, Mumbai, Hyderabad and Chennai. Xiaomi aims to roll out 100 Mi Home stores in two years.
In October last year Xiaomi expanded its offline reach beyond China region by opening its first overseas Mi Home store in Singapore. It already has Mi Home stores in China, Hong Kong and Taiwan. Xiaomi has shipped 23.16 million smartphones in the second quarter of 2017, an increase of 70% from the previous quarter. The company has been a hit in India with its budget and budget premium smartphones. Xiaomi recently announced that it sold more than 1 million or 10 lakh units of Redmi 4 smartphones in India since the smartphone went on sale on May 23rd.