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Introduction: According to Xiaomi Group's announcement, on January 17, 2019, Xiaomi Group repurchased 6,140,000 Class B shares at a price of HK$9.7625 per B share in the market, totaling nearly HK$60 million. . This is the first repurchase after the listing of Xiaomi. Any further repurchase in the future will be further disclosed according to the rules.

According to Xiaomi Group's announcement, on January 17, 2019, Xiaomi Group repurchased 6,140,000 Class B shares at a price of HK$9.7625 per B share in the market, totaling nearly 60 million. Hong Kong dollar. This is the first repurchase after the listing of Xiaomi. Any further repurchase in the future will be further disclosed according to the rules.

Xiaomi Group announced that the existing financial resources are sufficient to support the share repurchase while maintaining a sound financial position. Driven by the Internet business model and the company's mobile phone + AIOT dual-engine strategy, Xiaomi Group's share repurchase shows its confidence in the current and long-term business prospects.

At the same time, Xiaomi Group also said that confidence is also derived from the belief that the company's high-quality, cost-effective products will be particularly competitive in the overall economic situation.

Repurchase is a measure that companies often take when they show long-term confidence and believe that stock prices are undervalued. Previously, when the stock price was under heavy pressure, Tencent also implemented a total of 2.848 million shares of repurchase, which totaled 887 million Hong Kong dollars, from September 7, 2018 to October 12, 2018. Among them, 22,700 shares were repurchased for the first time.

Under the circumstances that the fundamentals of the business are not changing, the capital market has tested the millet. In the past year, especially in the second half of 2018, the international market has generally been sluggish and the investment climate is not good. The Hang Seng Index fell by 7%, and the global capital market fell by an average of 8.6%. The same is true for the TMT industry, where the overall share price of domestic TMT companies has been poor in the past year, with an average decline of 32.1% over the past year.

From July 9, 2018 to January 11, 2019, Baidu fell 36.6%, and Jingdong shares fell 41.9%. The US group, which also landed in Hong Kong stocks this year, has fallen 37.4% in less than four months since its listing. Under the big environment, Xiaomi’s share price, which has just been on the market for half a year, is also hard to avoid.Under pressure together.

Due to the lifting of the ban on some institutions on January 9, Xiaomi is also inevitably under pressure from this traditional stock price. Previously, Xiaomi Group announced on January 9th that the stock was released on the day of the lifting of the ban. The company's founder, chairman and CEO Lei Jun, based on the firm confidence in the company's long-term value, promised not to sell its shares within one year.

On January 11, Lei Jun announced at the annual meeting that he officially launched the "mobile +AIoT" dual-engine strategy and regarded this as the core strategy for the next five years. In the next five years, we will continue to invest more than 10 billion yuan in the AIOT field.

At present, the global mobile phone industry market share declines, before the 5G change tide, entering the stage industry "winter". Xiaomi previously described its response as a “protracted war” and launched a multi-brand strategy to form two independent brand strategies of “Millet + Red Rice”.

Xiaomi IoT is the world's largest consumer Internet of Things platform. As of November 2018, the Xiaomi IoT platform has now connected 132 million smart devices (excluding mobile phones and laptops) and supports over 2,000 devices. As of the end of December 2018, the number of activation devices of Xiaomi's artificial intelligence assistant "Xiao Ai" was more than 100 million.

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