SenseTime to raise $2.5 billion through share sale at 6 percent discount

SenseTime (0020) plans to raise HK$2.5 billion through a share placement at a 6.3 percent discount to its closing price on Wednesday. 

The Chinese AI firm intends to sell 1.67 billion shares, or 4.3 percent of its total enlarged shares, for HK$1.5 apiece, more than 6 percent lower than its Wednesday closing price. 

It plans to use the 30 percent of the net proceeds to build an AI Cloud and expand the scale and scenario coverage of its AI infrastructure, 30 percent for research and development of generative AI, 20 percent to explore the integration and application of AI, and the rest as general working capital.