Smartphone maker Xiaomi to buy back shares up to $1.3 bln
China’s smartphone maker Xiaomi Corp said on Thursday it will buy back shares up to HK$10 billion ($1.29 billion) on the open market under a repurchase program, even as its stock price continues to slump.
Xiaomi’s shares have lost more than a third of their value since the company was blacklisted by the United States in mid-January for its alleged ties to the Chinese military, which mandatorily forces American investors to divest their holdings.
“The board believes that a share repurchase in the present conditions will demonstrate the company’s confidence in its own business outlook…and create value to the shareholders,” Xiaomi said in a statement.