Xiaomi, one of China's leading smartphone manufacturer, said that the company is financially sufficient. Despite plans to expand to India, company vice president Hugo Barra said that it doesn't plan to raise funds through an initial public offering. 

Xiaomi is a privately owned company. 

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Barra told Reuters in an interview that Xiaomi  has no plans to conduct an initial public offering. The company has "no need to raise money and no plans to raise more money. No plans for now. No IPO plans either."

The Chinese smartphone vendor is reportedly expanding its production across India this year, targeting to establish two new factories together with Taiwanese multinational electronics group Foxconn. Currently, Xiaomi produces in India 75 percent of the smart phones it sells and plans to raise the bar higher, at 100 percent with its new upcoming facilities, Reuters reported.

It aims to boost sales up to 100 factories, given its new factories.

First Post reported that once Xiaomi has set up its new facilities, it will enjoy some perks including an easier direct overseas investment policy for single-brand retailing like Apple.

The last time the company gathered funds from its investors was in December 2014. It sought capital from private equity funds like All-Stars Investment and DST Global plus GIC Pte Ltd. for $1.1 billion at a $45 billion valuation. 

The amount gathered was invested to over 50 start-up companies such as video content providers in an attempt to raise revenue from Internet services, which gain a much higher profit compared with handsets.

"All the money we have raised is allocated to investments. From an operations point of view, our business has been self-funded for sometime," Barra said.

TagsXiaomi, smartphone industry, IPO, indian market, china