Beijing-based Z.ai, an AI developer formerly known as Zhipu AI, said in a Hong Kong filing that it raised about US$5 billion through a share placement and a convertible bond sale.

The fundraising included about US$2 billion from 21.97 million new Hong Kong shares sold at HK$714 (US$91) each.

It also raised about US$3 billion through 20.1 billion yuan (US$3 billion) of zero-coupon bonds due in September 2027, to be settled in US dollars.

Z.ai said 60% of the net proceeds will fund research and development for next-generation models and its fully self-training system. Another 15% will support expansion, and the rest is for capital structure optimisation, working capital, and general corporate purposes.

The fundraising follows Z.ai’s Hong Kong listing in January and a July follow-on share sale that raised about US$4 billion. It also comes as Chinese AI developers seek funding for costly computing infrastructure and talent.

🔗 Source: Reuters

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