Xiaomi Corp., a leading Chinese smartphone manufacturer, has successfully raised $5.5 billion through an upsized share sale. The company sold 800 million shares at HK$53.25 each, a 6.6% discount to its closing price of HK$57 on the previous day. The share sale was initially set to offer 750 million shares but was increased due to high demand during the bookbuilding process. The funds raised are intended to accelerate Xiaomi's business expansion, particularly in the electric vehicle (EV) market, as well as to fund research and technology development. This comes as Xiaomi ramps up its EV manufacturing plans, having entered the market last year with the launch of the SU7 sedan. The company reported 32.1 billion yuan in revenue for its EV business in 2024, delivering over 135,000 SU7 sedans. Xiaomi aims to increase its EV production from 300,000 vehicles in 2024 to 350,000 this year and plans to start shipping cars overseas in 2027. In a related development, Nio Inc., another Chinese EV maker, announced plans to issue up to 118,793,300 Class A ordinary shares in offshore transactions outside the United States. The proceeds from this equity placement are earmarked for research and development of smart EV technologies, strengthening the company's balance sheet, and general corporate purposes. Nio has purchased a new land plot of 52 hectares in Beijing's south for the third phase of its car factory and plans to invest 7-8 billion yuan out of its 2025 total research and development budget of 30 billion yuan into AI.