Hangzhou‑based artificial intelligence firm DeepSeek announced that it has retained CITIC Securities to guide the company through the initial public offering process on Shanghai’s technology‑focused STAR Market. The move signals that DeepSeek is advancing its plans to list domestically this year, according to two sources familiar with the private discussions.
IPO preparation and timeline
DeepSeek’s engagement of CITIC, a major Chinese brokerage, is a standard step for companies seeking a mainland China listing. Securities firms typically provide pre‑listing tutoring and help prepare the necessary documentation before an official application is submitted. While the exact timing of the offering, the amount of capital to be raised, and the target valuation have not yet been disclosed, the sources said the company intends to begin the IPO process before the end of the calendar year.
Funding needs and recent financing
The startup is pursuing additional capital to expand its computing infrastructure, accelerate model development, and retain key researchers and engineers. DeepSeek is currently in a funding round that could value the company at roughly 500 billion yuan (about $75 billion). In June, the firm raised approximately $7.4 billion at a post‑money valuation exceeding $50 billion, according to filings and sources. Founder Liang Wenfeng contributed 20 billion yuan personally, while Tencent Holdings and battery maker CATL each invested 10 billion yuan and 5 billion yuan respectively, becoming the largest external shareholders.
Competitive landscape
DeepSeek’s IPO push comes as Chinese AI developers race to secure public‑market funding amid rising costs for computing power, data‑center capacity, and engineering talent. Earlier this year, large‑language‑model developers Z.AI and MiniMax listed in Hong Kong, and Beijing‑based Moonshot filed confidentially for a Hong Kong IPO. Both Z.AI and Moonshot carry valuations in the $50‑$54 billion range, still well below the valuations sought by U.S. rivals such as Anthropic and OpenAI, which are rumored to target valuations of up to $2 trillion and $1 trillion respectively.
Strategic goals
According to a source close to the company, DeepSeek hopes the IPO proceeds will enable stronger incentive packages to retain its top talent, a challenge the firm has faced as competitors like ByteDance and Xiaomi attract skilled engineers. The company’s leadership believes a domestic listing will provide a stable funding base while reinforcing China’s position in the global AI race.
Responses
DeepSeek and CITIC Securities did not immediately respond to requests for comment.
($1 = 6.7072 Chinese yuan renminbi)
Original reporting: Appleton, WI News Feed (HLL/CB) — read the source article.
