Chinese smartphone company Honor gets new investors as it gears up for IPO

BEIJING — Chinese smartphone institution Honor connected Thursday announced backing from caller investors arsenic the Huawei spinoff prepares for an archetypal nationalist offering.

The caller backers are: China Telecom — 1 of the large telecommunications operators successful the state — CICC Capital, Chinese task superior steadfast Cornerstone and SDG, a money linked to a Shenzhen economical zone. Honor said its existing partners besides made a caller concern circular done an entity called Jinshi Xingyao.

Honor said earlier this twelvemonth it planned to commencement changing its shareholder operation successful the 4th quarter, aft which it would commencement the IPO process "at a suitable time."

The institution has not said wherever it would list. Honor announced its IPO plans successful November 2023.

Honor spun disconnected from Chinese telecommunications elephantine Huawei successful November 2020 aft the genitor institution was deed by U.S. sanctions. Huawei said it does not clasp immoderate shares successful Honor oregon person engagement successful concern decisions.

Last week, Honor revealed the adjacent mentation of its operating strategy tin usage AI to mimic actions connected a touchscreen, specified as opening an app to bid java delivery. The institution connected Wednesday released its caller Magic7 bid of phones that tin usage the AI features successful China.

Just nether one-third of Honor's income came from extracurricular China successful the archetypal fractional of this year, according to Counterpoint.

— CNBC's Arjun Kharpal contributed to this report.