SenseTime Secures $318 Million in Share Sale with a 6.25% Discount cuts
SenseTime Raises HK$25 Billion for AI Development and Expansion
SenseTime Group Inc., a leading artificial intelligence (AI) company based in Hong Kong, has secured a significant investment of HK$25 billion ($3.18 billion) from Infinity Capital. The investment was made through the purchase of 1.67 billion new Class B shares at HK$1.50 per share.
The placement accounts for 4.38% of the enlarged Class B share capital of SenseTime. SenseTime shares opened 1.25% lower on Thursday, closing flat at HK$1.6 by the midday break.
The funds raised will be allocated as follows:
- 30% will be used for developing SenseTime's AI cloud and expanding its AI infrastructure, known as "SenseCore."
- Another 30% will be allocated for generative AI research and development.
- A further 20% will go toward exploring AI applications in emerging verticals, including embodied AI robotics, blockchain, real-world assets (RWA), digital assets, and stablecoins.
- The remaining 20% will be allocated for general working capital.
With this investment, SenseTime aims to strengthen its position in the AI industry and expand its reach into various sectors, including robotics, blockchain, and digital assets. The company plans to invest heavily in its AI cloud and infrastructure, known as SenseCore, to enhance its capabilities and offerings.
In addition to its investment in SenseTime, Infinity Capital also invested HK$1.3 billion last week to acquire 5% of another AI firm, Fourth Paradigm (6682.HK). This move reflects Infinity Capital's commitment to the AI sector and its belief in the potential of AI-driven technologies.
The investment in SenseTime is expected to provide the company with the resources it needs to continue its growth and innovation in the AI industry. As AI continues to play an increasingly important role in various sectors, SenseTime's investment in research and development, as well as its expansion into emerging verticals, is likely to position the company for continued success in the years to come.
[1] Sources: SenseTime Group Inc., Infinity Capital, Hong Kong Stock Exchange.
SenseTime's new investment of HK$25 billion will primarily be used for developing its AI cloud, SenseCore, and augmenting its AI infrastructure (technology), as well as for generative AI research and development (artificial-intelligence). With this emphasis on technological advancement, SenseTime aims to extend its influence across sectors like robotics, blockchain, and digital assets.
