The report states that Zhipu is working with advisers on a potential placement that may take place as soon as next month. The six-month lock-in period for the stock will end on July 8.
A major fund raise would be higher than the $558 million that Zhipu had raised during its IPO in Hong Kong. From its issue price of HK$116.2, the stock now trades at over HK$2,440. The surge has taken Zhipu’s market capitalization past HK$1 trillion ($128 billion).
The Artificial Intelligence model maker is also aiming to issue shares in Shanghai, as per the Bloomberg report, raising more funds to develop its models.
Zhipu recently launched its GLM-5.2 AI model and is making the technology free and open for anyone to build upon, expecting to attract developers to its platform and embed its tools into the global market.
While the street has focused on the eye-popping rally seen in the stock, analysts covering the company do not expect it to be profitable anytime soon. They also said that competitions with Anthropic do not stand up to scrutiny, due to the latter’s financial strength, R&D resources, and access to reach.
Shares of Zhipu have more than doubled in value in just the last nine trading sessions, including a 12% advance on Wednesday. During this period, the stock has risen 135%.
