Xiaomi awards staff shares worth US$24mil, celebrating status as top 500 global company

By Li Tao
  • TECH
  • Tuesday, 23 Jul 2019

Xiaomi was included in the '2019 Fortune Global 500' companies announced by Fortune magazine this week.

Chinese phone maker Xiaomi Corp has given each of its employees 1,000 free shares in the company, worth a total of HK$187.5 million (RM98.7mil), to celebrate the company being included in the latest Fortune 500 global company list for the first time.

Just over 20,000 people were granted the stock award on July 19, when shares in the Hong Kong-listed company closed at HK$9.11 (RM4.80), Xiaomi said in a statement to the city’s stock exchange late on Tuesday.

The July 19 closing share price reflects a 46% fall from Xiaomi’s IPO price of HK$17 (RM8.90) per share a year ago.

The vesting period of the shares is one year, which means staff leaving the company before July 19, 2020 will not be able to cash in on the award.

Xiaomi was included in the “2019 Fortune Global 500” companies announced by Fortune magazine on Tuesday, the first time that the nine-year old firm has made it into prestigious list.

Beijing-based Xiaomi ranked 468th on the Fortune Global 500 list and was also ranked 7th in the Internet Services and Retailing category, after posting revenue of US$26.4bil (RM108.6bil) and net profit of US$2bil (RM8.2bil) in the previous financial year.

Many other major Chinese technology companies also made into the list, such as Huawei Investment and Holding, Alibaba Group Holding, and Tencent Holdings.

“As the youngest among all Fortune Global 500 companies (except those established through mergers), we have overachieved after our inception nine years ago,” Xiaomi’s founder and CEO Lei Jun said in an open letter to employees.

The share award was also given to outsourcing service teams, in addition to Xiaomi’s full-time staff. – South China Morning Post

Article type: metered
User Type: anonymous web
User Status:
Campaign ID: 1
Cxense type: free
User access status: 3
Subscribe now to our Premium Plan for an ad-free and unlimited reading experience!

Next In Tech News

U.S. approves 50 states' EV charging plans
Hertz ties up with BP for EV charger installations in North America
French telecoms tycoon Niel ventures into crowded payment sector
Crypto regulation laggards spur arbitrage risk - French central banker
Saudi NEOM's tech unit rebrands, invests $1 billion in 2022 -CEO
Hollywood star, tech execs invest in Italian start-up Bending Spoons
FTC should probe payroll data deals by brokers like Equifax, rival says
French police arrest three over online porn violence
Stellantis and Uber join forces on electric vehicles market in France
Opinion: Robots may not be coming for your job – but they are coming

Others Also Read