Hangzhou-based artificial intelligence company DeepSeek has informed potential investors that it will not be proceeding with the signing of new investment agreements in the coming days. The decision marks a sudden shift for the startup, which had been preparing to initiate a fresh fundraising round at a valuation of approximately 500 billion yuan, or about $74 billion.
This development follows the company’s successful maiden round of financing, during which it raised about $7.4 billion. The current pause is driven in part by the frustration of DeepSeek founder Liang Wenfeng regarding online coverage of comments he made to investors during that initial fundraising phase.
While the company has halted these immediate investment discussions, it has simultaneously been exploring long-term capital plans. DeepSeek has begun early deliberations regarding a potential initial public offering on the STAR Market, the Nasdaq-style exchange based in Shanghai.
