Market speculation emerged on the afternoon of September 9 suggesting that Hangzhou-based DeepSeek, formally known as Hangzhou DeepSeek Artificial Intelligence Infrastructure Technology Research Co., Ltd., has engaged CITIC Securities to prepare for a STAR Market IPO. As of now, DeepSeek's official channels have not commented on the matter, though informed sources have confirmed the news to be accurate.

According to reports, CITIC Securities has already initiated contact with DeepSeek and entered the due diligence phase. While a formal listing advisory agreement has yet to be signed between the parties, this marks a critical step forward in the capital markets journey for the prominent AI enterprise. Reports indicate that no filing information for DeepSeek has yet appeared on the official website of the Zhejiang Securities Regulatory Bureau. Given that the advisory filing process requires a minimum of three months, DeepSeek would need to submit its advisory filing materials by September to have a chance of submitting an IPO application within the year.

From "No Fundraising" to IPO Sprint

Three years ago, Liang Wenfeng famously stated: "No fundraising, no commercialization, no roadshows." However, in June of this year, it was revealed that DeepSeek had completed its first external financing round since its founding, raising over 50 billion yuan in total. This set a record for a single financing round in China's AI industry and marked the official opening of the company's doors to external capital.

What made this financing round particularly distinctive was the structure of the deal. The founder himself contributed 20 billion yuan as the largest investor. Tencent invested 10 billion yuan, with CATL, JD.com, NetEase, and others also participating, yet none of these investors received voting rights. Additionally, external investors' shares are subject to a five-year lock-up period, ensuring that Liang Wenfeng retains firm control over the company's direction even after the funding round.

Just one month after completing the first financing round, DeepSeek moved forward with a second round of fundraising. Market sources indicated that DeepSeek would quickly launch a second round, having reportedly begun preparations by at least mid-July. However, news emerged at the end of July that this new round had been temporarily suspended, with one reason cited being the founder's dissatisfaction with a widely circulated "meeting transcript for investors."

Then, on August 27, The Wall Street Journal reported, citing sources, that DeepSeek was advancing a new financing round with plans to raise $7.4 billion for research and computing infrastructure development. The company's pre-investment valuation had reached $74 billion, though no official confirmation of completion has been received to date.

Capital Demands and Policy Tailwinds

DeepSeek's pursuit of an IPO comes at a critical juncture when the company urgently needs substantial capital investment. Competition in the AI industry has evolved into a comprehensive race encompassing computing infrastructure, frontier model research and development, and the acquisition of top-tier talent, all of which require enormous financial backing.

Analysis suggests that DeepSeek's IPO preparations are closely tied to the opening of favorable policy windows. On June 17, 2026, the Shanghai Stock Exchange issued guidelines for the application of the fifth set of listing standards on the STAR Market specifically for AI large model enterprises, designed for AI companies with proprietary foundation models that have not yet achieved stable profitability. This policy support opened an A-share listing channel for AI enterprises like DeepSeek that have yet to demonstrate consistent earnings.

The results have been notably swift. Less than three months after the guidelines were issued, DeepSeek initiated its IPO preparations, demonstrating an efficient alignment between the company, industry policy, and capital market regulations.

Opportunities and Challenges Ahead

Naturally, DeepSeek's listing journey still faces numerous issues that need to be addressed. First, the advisory agreement with CITIC Securities has yet to be formally signed, and the specific fundraising scale, listing timeline, and target valuation remain undetermined. Neither DeepSeek nor CITIC Securities has issued an official response.

Second, there has been no official confirmation regarding the completion of the second financing round originally scheduled to conclude by the end of August, and its final outcome could potentially impact the IPO pricing.

Furthermore, the issue of core team talent attrition has become increasingly prominent. From the second half of 2025 through early 2026, several key technical members departed from DeepSeek. Meanwhile, competition from major tech companies for top AI researchers has driven talent costs to new heights. Implementing more attractive equity incentive plans after the IPO may become an effective means of retaining critical personnel—these are all challenges DeepSeek will need to confront and address in the future.

What remains certain, however, is that against the backdrop of accelerated reshuffling in the global AI industry, DeepSeek's IPO path will undoubtedly become one of the most closely watched domestic technology listing events of 2026.