Chinese artificial intelligence software company SenseTime said on Friday it would raise about HK$3.25 billion ($415.2 million) by placing 1.7 billion new class B shares at HK$1.91 each, to fund AI infrastructure expansion, generative AI research and working capital.
The placing price represents discounts of about 8.6% to SenseTime’s Thursday close, 5.5% to its five-day average and 6.8% to its 30-day average, the filing said.
SenseTime shares fell as much as 4.8% to HK$1.99 on Friday morning, putting them on track for their biggest one-day drop since March 23.
Hong Kong-listed SenseTime said it plans to use 40% of the proceeds for its SenseCore AI infrastructure, 30% for generative AI research and commercialization, 20% for AI applications in vertical industries and 10% for general working capital.
SenseTime describes itself as an AI software company focused on AI infrastructure, large models and industry applications, according to its website.
HSBC is the sole global coordinator and sole placing agent for the deal, the filing showed.
The shares will be sold on a best-efforts basis to at least six independent investors, according to the filing.
The shares are being sold offshore under Regulation S and will not be offered publicly in the U.S., the filing showed.
SenseTime delayed its Hong Kong IPO in December of 2021 after the U.S. put it on an investment blacklist.
Reuters
