Kuaishou AI Unit Secures $2.03 Billion Investment
Chinese tech firm Kuaishou announced a new funding round for its AI-focused Beijing Keling unit, securing $2.03 billion in initial capital with potential for further investment.
Kuaishou, the Chinese technology company, has announced a significant funding round for its artificial intelligence arm, Beijing Keling.
The company disclosed on the Hong Kong Stock Exchange that 21 investors have agreed to inject a total of RMB 13.82 billion (approximately $2.03 billion) in cash into Beijing Keling. This unit is slated to house Kuaishou's AI-related assets and businesses following a corporate restructuring.
Under the agreement, additional investors have the option to join the funding round within 60 days of signing, subject to further conditions. The total fundraising cap for the round is set at RMB 20.45 billion (approximately $3 billion). If fully subscribed, this would represent about 16.67% of Beijing Keling's post-investment registered capital.
Fifteen investors, including 13 independent parties, have already signed accession agreements, committing to contribute RMB 5.22 billion (approximately $766 million) in cash. The finalization of these investments is contingent upon the fulfillment of certain pre-conditions.
Keling AI's funding round was previously rumored to be around $3 billion with a post-investment valuation of $18 billion. Sources suggest Kuaishou is planning to list Beijing Keling on the Hong Kong Stock Exchange within the next 12 months, with proceeds intended to enhance computing power, build data centers, and attract talent.