DeepSeek: the AI start-up is considering an IPO in Shanghai before the end of the year

(Il Sole 24 Ore Radiocor) - The Chinese artificial intelligence start-up DeepSeek is considering a listing on the Shanghai Stock Exchange, with the aim of completing the process by the end of the year. This is according to Reuters, which reports that the company, founded by entrepreneur Liang Wenfeng, has appointed Citic Securities to oversee the listing, which is expected to take place on the Shanghai Stock Exchange’s Star Market, a segment dedicated to technology and high-growth companies.

Over the summer, DeepSeek was engaged in a new round of funding based on a valuation of $75 billion, having raised $7.4 billion in June, with investors including the founder himself, Tencent Holdings and the Chinese lithium-ion battery group CATL.

The timing of a potential offer, the amount of capital DeepSeek intends to raise and the target valuation have not yet been finalised, the sources said.

DeepSeek and Citic did not respond to a request for comment. The talks are taking place as DeepSeek seeks new capital to fund its computing infrastructure, model development and talent recruitment efforts, against a backdrop of growing competition between leading Chinese and US AI firms.

In the June funding round, DeepSeek’s founder, Liang Wenfeng, personally invested 20 billion yuan, whilst Tencent Holdings and battery manufacturer CATL contributed 10 billion and 5 billion yuan respectively, thereby becoming the largest external shareholders, according to Reuters.