On Thursday, Chinese smartphone maker Honor announced support from new investors as it prepares for an initial public offering (IPO). The new investors include China Telecom, one of the country’s major telecom operators; CICC Capital; Chinese venture capital firm Cornerstone; and SDG, a fund associated with a Shenzhen economic zone. Honor noted that its existing partners also participated in the latest funding round through an entity named Jinshi Xingyao.
Chinese smartphone company Honor prepares for IPO
Earlier this year, Honor stated its intention to adjust its shareholder structure in the fourth quarter, after which it would proceed with the IPO "at an appropriate time." The company has not disclosed where it intends to list. Honor first announced its IPO plans in November 2023.
Honor was spun off from Chinese tech giant Huawei in November 2020 after U.S. sanctions impacted the parent company. Huawei has confirmed it no longer holds shares in Honor nor has influence over its business decisions.
New product unveiled
Last week, Honor unveiled a new version of its operating system, equipped with AI that can replicate touchscreen actions, like opening an app to order coffee. On Wednesday, the company launched its new Magic7 series in China, which supports these AI capabilities.
According to Counterpoint, nearly one-third of Honor’s sales in the first half of this year came from markets outside China.
