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Xiaomi Corp. is considering raising about half of its proposed $10 billion initial public offering from mainland Chinese investors.

According to the people familiar with the matter, the company may seek about $5 billion from the sale of Chinese depositary receipts and a similar amount from selling shares in Hong Kong.

The split will depend on demand in the two markets and may change before the IPO. Also, the company is targeting a valuation of about $75 billion although that number could also shift.

Xiaomi CDRs

Xiaomi’s IPO, the largest since Alibaba’s 2014 debut, comes as China accelerates a push to attract more blockbuster listings through CDRs that enable a version of the shares to be traded on domestic exchanges.

Selling more equity to local investors aligns the company with Beijing’s policy goals and helps it command a higher valuation.

The 8-year old company published its first prospectus for CDRs in Shanghai on Monday, disclosing a loss of more than $1 billion in the March quarter, as it begins gauging demand for the IPO.

The share sale will be used to fuel expansion beyond China and bankroll the development of devices and media services.

China is still developing the final rules for CDRs and raising half the money through such securities would represent a much larger proportion than expected. The company plans to sell about 30 percent of the stock to mainland investors.

In its CDR prospectus, XIaomi said it plans to use about 40 percent of the proceeds to enlarge its global footprint. Xiaomi reported a 7 billion yuan net loss on revenue of 34.4 billion yuan in the first quarter.

“In 2018, the company plans to enter or consolidate positions in Southeast Asian and European markets,” Xiaomi said in its Chinese prospectus, which didn’t mention a fundraising target.

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