DeepSeek nears pre-IPO funding round as 2027 market debut takes shape: sources

Chinese AI startup DeepSeek is nearing a funding round that values it at about 500 billion yuan (US$74 billion) pre-investment, with plans to raise about 50 billion yuan before the end of August, according to sources. The round includes existing investors Monolith, Shixiang Capital, and Contemporary Amperex Technology Ltd (CATL), with new investors CPE, Legend Capital, and Stony Creek Capital in talks. DeepSeek is preparing for a potential IPO on Shanghai's Star Market, possibly filing by year-end and debuting in 2027.

Advertisement DeepSeek nears pre-IPO funding round as 2027 market debut takes shape: sources Landmark round to lift Chinese start-up’s valuation to US$74 billion and set the stage for a Shanghai Star Market listing, sources say 2-MIN READ2-MIN Listen DeepSeek https://www.scmp.com/tech/tech-trends/article/3365204/deepseek-leads-surge-low-cost-chinese-open-weight-models-us-platform?module=inline&pgtype=article is nearing the completion of a new funding round that values the company at about 500 billion yuan US$74 billion before investment, as the Chinese artificial intelligence start-up moves closer to a potential listing on Shanghai’s Star Market, according to people familiar with the matter. The company was seeking to raise about 50 billion yuan in the round, which was expected to close before the end of August, according to one person. Investors included incumbents from the company’s last fundraising round, such as local venture funds Monolith and Shixiang Capital, and Chinese battery giant Contemporary Amperex Technology Ltd CATL , another source said. New investors in talks included CPE, Legend Capital and Stony Creek Capital – a semiconductor-focused private equity firm historically linked to Zhu Yiming, chairman of chip giant ChangXin Memory Technologies https://www.scmp.com/tech/article/3364288/cxmt-tops-4-trillion-yuan-ai-fuelled-memory-rally-lifts-chinas-chip-champion?module=inline&pgtype=article and founder of memory chip designer GigaDevice https://www.scmp.com/business/markets/article/3364550/china-fund-managers-stick-ai-chips-august-despite-july-sell-survey-finds?module=inline&pgtype=article , the source added. Funds backed by GigaDevice and Hefei state investment vehicles were also involved.The sources requested anonymity as they were discussing private information. The latest funding round comes as Hangzhou-based DeepSeek has started preparing for a potential initial public offering IPO on Shanghai’s Nasdaq-like Star Market https://www.scmp.com/business/china-business/article/3364412/tech-outperforms-traditional-sectors-chinas-uneven-recovery-set-fuel-ai-stock-revival?module=inline&pgtype=article . The company could file for an IPO as early as the end of the year, eyeing a public market debut in 2027, two sources said.Advertisement Select Voice Select Speed 1.00x