Full Breakdown
DeepSeek Taps CITIC Securities for STAR Market IPO Preparation
9/9/2026, 8:24:51 PM
Core Event: Sponsorship Appointment
Two people familiar with the matter said Hangzhou-based AI startup DeepSeek has selected CITIC Securities as its listing sponsor for a potential IPO on the Shanghai Stock Exchange’s STAR Market. The appointment, disclosed on September 9, signals a shift from informal fundraising to formal capital-market preparation. Both DeepSeek and CITIC Securities declined to comment.
Background & Context
DeepSeek, founded by Liang Wenfeng, raised more than CNY 50 billion (?US$7.5 billion) in an April-June 2026 round at a post-money valuation of about US$50 billion, followed by a July round involving SMIC PE, Boyu Capital, CPE Yuanfeng and a Hefei state-owned platform. Earlier backers such as Tencent, CATL and IDG Capital have increased stakes. Chinese AI firms are turning to public markets to fund computing infrastructure and talent; competitors Z.AI and MiniMax have listed in Hong Kong, while Moonshot AI has filed for a Hong Kong IPO.
Data & Statistics
- Valuation: Insiders estimate DeepSeek’s current valuation at CNY 500 billion (?US$74 billion).
- Post-listing market cap: Projected range of CNY 1.5-2.5 trillion (?US$223-373 billion).
- Revenue & loss (first seven months of 2026): Revenue of CNY 475 million (?US$70.8 million), a tenfold increase over 2025, with a net loss of CNY 715 million (?US$106.6 million).
- Funding details: Founder Liang contributed CNY 20 billion (?US$3.0 billion); Tencent invested CNY 10 billion (?US$1.5 billion); CATL invested CNY 5 billion (?US$745 million).
- Equity structure: The National Artificial Intelligence Industry Investment Fund, the sole direct first-round investor, will also participate in the current round. First-round investors hold shares with a five-year lock-up; new investors face a three-year lock-up to meet STAR Market rules.
- Workforce expansion: On September 7, DeepSeek’s Harness team added 150 technical positions, bringing staff to roughly 300.
Official Statements & Responses
Both DeepSeek and CITIC Securities issued no comment when contacted. A CITIC representative declined to comment on the listing-preparation information, indicating that an IPO filing has not yet been submitted.
What’s Next
Sources said DeepSeek intends to submit IPO application materials before year-end, though timing, offering size and target valuation remain undecided. The STAR Market listing will require compliance with share-lock-up rules, prompting the recent equity restructuring.
Conflicting Reports & Gaps
- Valuation expression: Some sources round the valuation to US$75 billion; the difference stems from currency conversion.
- Post-listing market-cap range: Estimates of CNY 1.5-2.5 trillion are consistent, but DeepSeek has not disclosed a definitive target.
The forthcoming filing will determine the final terms of DeepSeek’s public debut and its impact on China’s AI landscape.
