The Beijing-based company will offer up to 21.97 million new shares at HK$714 apiece, targeting gross proceeds of about HK$15.68 billion ($2 billion). The placement price is 10% below Z.ai’s closing price of HK$793 on Friday.
The company also plans to raise 20.14 billion yuan ($3 billion) through zero-coupon convertible bonds maturing in 2027. The bonds will initially carry a conversion price of HK$892.50 per share, representing a 12.5% premium to Friday’s close.
Z.ai said the funds will be used to advance its next-generation AI models, including research and development, model training and inference infrastructure, as well as commercialisation efforts.
The fundraising comes shortly after the company raised roughly $4 billion through a share placement in July, highlighting the scale of capital being deployed by Chinese AI companies to expand their computing and model-development capabilities.
Z.ai’s shares had rallied last month following the launch of a new AI model that the company said was powered entirely by Chinese-made chips. It claimed the model was supported by 100,000 domestically produced chips for handling online queries.
Shares of Chinese AI rival MiniMax also came under pressure on Monday, declining around 5%.
