Top Chinese smartphone manufacturer during the third-quarter is planning an IPO،
In November 2020, as US sanctions against Huawei began to take effect, the company sold its Honor subunit to a consortium for an estimated $15.2 billion. Huawei did this for several reasons. It raised much-needed cash at the time given the impact of US sanctions, and by parting ways with Honor, the latter brand was no longer bound by the same US sanctions as Huawei.
A year after escaping Huawei, in August 2021, Honor was the third largest smartphone brand in China. Last year, Honor was the second-largest smartphone brand in all of China and in this year’s latest report covering the third quarter, Honor was the top brand in the country with 11.8 million units sold. In Europe, Honor was the fifth most popular smartphone brand in the third quarter.
The second iteration of the book-shaped foldable Honor Magic V2
Now Honor is planning to go public according to Reuters. Honor did not give a timeline for its initial public offering (IPO) or even the name of the market on which the company’s shares would be listed. In a statement, the company said its market position had improved over the past three years and a public offering would be the next step in the company’s development.
Honor already offers a book-style foldable and the Honor Magic V2 is the second generation of the device. The company will reportedly offer a foldable clamshell model sometime in 2024.
Shenzhen-based Honor said it seeks to “continue to optimize its shareholding structure, attract diversified capital and enter the capital market through an IPO.” It will also make changes to its board “to embrace greater diversity and meet relevant governance and regulatory requirements.”
Honor’s 18% share of China’s smartphone market in the third quarter was followed by Oppo, Apple and Vivo, all three with 16% of China’s smartphone market. Xiaomi was next with 14%.
