Technology
DeepSeek founder's quant fund expands into pre-IPO tech bets as AI lab seeks outside capital
High-Flyer Quant has taken pre-IPO stakes in Chinese semiconductor and robotics firms while DeepSeek raises external funds to meet rising capital demands.
The short version
- High-Flyer Quant, founded by Liang Wenfeng, has taken pre-IPO shares in domestic tech firms like memory chipmaker CXMT and robot manufacturer Unitree Robotics.
- DeepSeek, which was historically financed by High-Flyer, has sought outside capital to meet its ballooning capital and computing needs, raising an initial $7.4 billion.
- The AI lab is reportedly in discussions to secure a second round of funding of at least $7.4 billion at a $74 billion valuation, expected to close by late August.
Key facts
- High-Flyer Quant affiliates obtained pre-IPO allocations including $26 million in memory chipmaker CXMT and $5.8 million in robot maker Unitree Robotics.[CNBC]
- DeepSeek acquired a 2.31% stake in Unitree Robotics as a strategic investor during its IPO, accepting a 36-month lock-up period.[CNBC]
- DeepSeek completed its first external funding round of 50 billion yuan ($7.4 billion) with backing from firms including Tencent, JD.com, NetEase, Monolith Management, and CATL.[CNBC]
- Eight of High-Flyer's nine investment products registered losses in July following a global pull-back in AI and chip stocks.[CNBC]
What remains uncertain
- The status and outcome of DeepSeek's reported second funding round—seeking at least $7.4 billion at a $74 billion valuation—remain unverified as negotiations continue.[CNBC]