TECNO and Infinix Parent Company Set For IPO Listing in China
Just as BBK Electronics gained popularity via its trade with the shipping of OPPO, OnePlus and vivo phones across different markets in the globe, Transsion, another Chinese corporation has grown its mobile business by selling cheap devices to emerging markets.
Transsion continues to benefit from growing economies by distributing affordable devices, which include the likes of TECNO, itel and Infinix. The three brands are very popular in Nigerian households as well as most other African markets and will probably continue to reap the benefits in the foreseeable future, provided the company remain price-sensitive to warrant its bang for the buck moniker.
Now, it has been confirmed by Tech Crunch that Transsion will list in Shanghai’s STAR market. It has also been reported that the device marker could amass up to $426 million from the IPO.
In the last couple of months, STAR has facilitated the listing of about 25 companies, most of which are tech-based.
Transsion’s main offices are in Shenzen, the same city that houses a logistics facility for Jumia, an e-commerce site that listed in the NYSE a couple of weeks ago to a poor start.
Besides selling phones in Africa, Transsion has also been making critical investments in the continent to expand its presence. For instance, it launched a manufacturing and assembly facility in Ethiopia.
Transsion has also been trying to make its brands known in the Indian market, however residents of the Asian country appears to still hold on to their love for Xiaomi and Samsung.
A substantial share of the raised funds from the IPO will be used to erect more manufacturing facilities. Transsion will also pump $62 million into research and development for mobile devices in Shanghai.
In Africa, phones manufactured by Transsion have been embraced more if compared with those from Huawei, although Samsung leads the pack. In fact, most feature phones sold here are made by Transsion. Sales have been plateauing as people keep their devices for an extended period, although emerging markets continue to see impressive growth.