Shanghai Biren Technology plans to raise about HK$7 billion (US$892.5 million) to boost production of graphics processing units (GPUs). This positions company to challenge Nvidia in fast-growing domestic market fueled by AI boom. Biren,which listed in Hong Kong earlier this year,plans to issue 153 million new shares at HK$46.2 each — a 9.9% discount from its last closing price of HK$51.3.
60% of funds will target commercialization and mass production of next-gen GPUs. Biren stressed need to have enough capital to meet rising demand from customers like cloud service providers and AI data centers. “Facing strong demand,company sees it as crucial to maintain adequate capital to ramp up production of next-gen GPU solutions to ensure timely fulfilment of orders,” Biren stated in its filing .
Monday morning,shares of Biren first rose nearly 1% but later dropped 2.5%. Despite this slide,stock's up over 150% since its IPO . Local AI chip developers locked in fierce race to meet rising demand for chips as China's AI data center projects expand…
