Beijing-based, Cayman-domiciled Xiaomi priced its IPO at $2.17 – the bottom end of its indicative range.

On Friday, sources close to Xiaomi Corp’s Hong Kong initial public offering (IPO) disclosed, the Chinese firm priced the IPO at the bottom of an indicative range, of HK$17 to HK$22, and raised $4.72 billion.

Xiaomi is selling around 2.18 billion shares in this fund raising exercise, the largest in the tech sector since Alibaba Group Holding Ltd’s $25 billion IPO in New York in 2014.

When requested to comment on its IPO pricing, Xiaomi declined comment.

Sources have preferred the cover of anonymity since the information was not public.

The IPO comes at a time when the Hong Kong’s stock market’s benchmark Hang Seng index has fallen by 6.5% this month; it is down by 4.8% this year midst escalating trade tensions between the United States and China.

Xiaomi’s IPO is widely seen as testing the market sentiments for expectations of packed IPO-launches in the second-half of this year where Meituan Dianping, a massive online food delivery-to-ticketing services platform and China Tower, the world’s largest mobile mast operator, are queued up to raise funds.

If trade tensions between the U.S. and China escalate, several potential Chinese IPO could be affected with investors increasingly wary of getting caught in crossfire between the two economies.

According to sources, although China Tower has received approval in Hong Kong for its IPO, where it plans on raising up to $10 billion, the timing of its IPO is likely to depend on how well Xiaomi’s IPO goes.

Its Hong Kong IPO adds to the $6 billion of new listings which have hit the island city so far in 2018 and is set to be the first IPO under the city’s new exchange rules which permit dual-class shares that are common in the tech industry.

Xiaomi had expected to raise up to $10 billion, split between Hong Kong and mainland China. Last week it shelved its plans of launching a IPO in mainland China until after its Hong Kong IPO.

Sources close to the matter say, the decision to delay its IPO in mainland China has largely to do with its dispute with Chinese regulators over the valuation of its China depositary receipts (CDRs).

Last week Xiaomi said there was no such dispute and added, there was no time frame for the issue of its CDR, which again casts doubts on the Chinese government’s efforts to lure foreign-listed Chinese tech companies back home.

Xiaomi’s shares are scheduled to start trading in Hong Kong from July 9.