Chinese AI Firms Aim to Raise $280 Million in Hong Kong IPOs

Three Chinese companies, led by AI software company Beijing Fourth Paradigm, have launched initial public offerings (IPOs) in Hong Kong with a goal of raising up to $280 million. Beijing Fourth Paradigm, an AI startup, plans to raise up to $144 million by selling 18.4 million shares at a price range of HK$55.60 to HK$61.16 per share.

According to regulatory filings, three cornerstone investors, led by New China Capital Management, have subscribed to around $96.8 million worth of stock, accounting for 70.6% of the IPO.

Founded in September 2014, Beijing Fourth Paradigm’s AI products have been utilized in various industries, including finance, retail, manufacturing, healthcare, energy and power, telecommunications, and others.

In a separate IPO, Chinese cloud hospital platform Neusoft Xikang aims to raise between $81 million and $101 million by offering 133.8 million shares. The price range for the shares is set at HK$4.76 to HK$5.91 each.

ZX Inc, a mobile games operator, plans to raise between $27 million and $34 million by selling 18.97 million shares at a price range of HK$11 to HK$14 per share, as stated in its prospectus.

These IPOs by Chinese AI companies indicate a growing interest in the AI sector and highlight the potential for investment opportunities in this field.