1. In June 2018 XiaomiCorp.andsomeexistinginvestorsraised$4.7billionafterpricing a Hong Kong initial public offering at the low end of a marketed range, a person with knowledge of the matter said. The Beijing-based smartphone maker priced the sale of 2.18 billion shares at HK$17 each, the person said, asking not to be identified because the details are private. Xiaomi had offered the shares at HK$17 to HK$22 apiece. The pricing values Xiaomi at about $54 billion, roughly half the companys initial goal. Explain the core principles that are relevant to investors decision to buy or not to buy the stocks.