In a report on Bloomberg News, Xiaomi is reportedly in talks to raise capital that values the smartphone and wearable maker at US$40-US$50 billion. To put that into context, Lenovo has just closed a deal to purchase Motorola’s phone unit for US$16 billion, putting the (unconfirmed) valuation of Xiaomi more than 3x that of Motorola.

While the actual amount of money being raised is not known, the reason for the fundraising may be linked to the expansion plans outlined by its CEO, Lei Jun. Earlier this year, Lei set a goal of selling 100 million phones in 2015 – more than five times the number of phones the company sold in 2013. To put that in perspective, Xiaomi shipped just over 17 million phones in the third quarter of 2014, according to IDC.

The company’s recent expansion into 10 new markets in the past few months has certainly had an impact on sales, and if Xiaomi continues on its path it should hit that 100 million phone goal, especially with the expected growth in the Indian market, as well as the shift from 3G to 4G in China. That kind of opportunity may have driven Xiaomi to raise more capital for its expansion plans.