China's CNOOC prepares to apply for an IPO in 2026

Sources close to the matter said that leading Chinese artificial intelligence company DeepSeek has begun preparations for its initial public offering (IPO), having submitted its IPO application earlier this year, paving the way for what could be a historic offering for China’s technology sector.

Bloomberg News cited sources as saying that the Hangzhou-based company began planning its mainland China IPO with the aim of filing the application this year, allowing it to execute the offering next year. The sources added that the startup is in discussions with accounting and banking advisors regarding the IPO.

DeepSeek is also seeking new funding from the private credit market ahead of the IPO, just weeks after raising approximately $7 billion. The company has begun talks with new backers for a new funding round that aims to value the company at no less than $71 billion.

This target valuation significantly exceeds the $50 billion valuation achieved in its previous funding round earlier this month, which included major investors such as Tencent Holdings and Contemporary Amperex Technology. DeepSeek is seeking to raise at least 10 billion yuan in additional funding, with the final amount potentially multiplying several times over depending on the number of investors participating in the financing.