FOXCONN Industrial Internet, a subsidiary of the world’s largest contract manufacturer Foxconn, plans to raise 27.1 billion yuan (US$4.26 billion) in what will be the biggest initial public offering (IPO) in about three years in China.

The Foxconn unit, which makes electronic devices, cloud service equipment and industrial robots, is offering 1.97 billion shares at 13.77 yuan per share on the Shanghai Stock Exchange, according to a stock exchange statement filed late Tuesday.

With 10 percent of its enlarged capital offered in the IPO, Foxconn Industrial Internet would have a valuation of 271.3 billion yuan at listing.

The move is widely seen as a step for Foxconn, a major Apple Inc. supplier formally known as Hon Hai Precision Industry Co., to wean itself off heavy reliance on manufacturing smartphones for the U.S. iPhone maker and to diversify into new areas.

Foxconn has signaled previously that Foxconn Industrial Internet will launch projects in areas including smart manufacturing, industrial Internet, cloud computing and fifth-generation wireless technologies.

Foxconn Industrial Internet plans to sell 30 percent of its public share offering in Shanghai to a group of cornerstone-type investors, its prospectus showed, a rare move in listings on the Chinese mainland.

(SD-Agencies)