Chinese AI startup MiniMax Group announced Friday it is seeking to raise HK$16.04 billion ($2.05 billion) in fresh capital through a share sale and convertible bond issue in Hong Kong, joining a wave of Chinese tech companies capitalizing on strong investor appetite.
The company said in a Hong Kong exchange filing that it plans to raise about HK$9.54 billion by offering 35.6 million new Class A shares at HK$268 each, a 9.9% discount to the stock's last close. It is also proposing zero-coupon bonds worth HK$6.50 billion due 2027, convertible into Class A shares at an initial HK$335 apiece — a 12.6% premium to the last close.
MiniMax stated that 80% of the net proceeds will be used to beef up AI infrastructure and model research and development, about 10% for commercialization and working capital, and the remainder for general corporate purposes.
The fundraising follows similar activities by other Hong Kong-listed tech firms. On Thursday, AI company Zhipu AI announced plans to raise HK$31.41 billion, and GPU designer Iluvatar CoreX unveiled plans for HK$7.07 billion — a collective surge in Chinese AI sector capital raising.
The moves underscore a broader trend: Chinese tech stars are rolling out large capital raises to fund their AI research, hiring, and expansion plans amid intensifying competition with U.S. tech giants. MiniMax's shares have surged over 564% since its Shanghai IPO, with its valuation now estimated at approximately $41 billion.
