China's richest man invests $350 million in DeepSeek AI

China's richest man, Zhong Shanshan, has quietly joined DeepSeek's funding round with a roughly 354 million yuan stake through his Guanze Venture Capital platform.

China's richest man, Zhong Shanshan, has entered the AI large-model race, investing about 354 million yuan ($350 million) in DeepSeek through his Guanze Venture Capital platform — his first move into the sector.

"Humanity stands on the brink of AGI," DeepSeek's recruitment posting reads, urging candidates to "experience the development of AGI firsthand, seated at the forefront of this era, witnessing the birth of a new age."

The investment runs through a chain of partnerships anchored by Hangzhou Chengli, the entity through which Tencent, CATL, NetEase, JD.com, IDG Capital and other backers took stakes in DeepSeek's first round, completed in June. Guanze Venture Capital, wholly owned by Zhong's Yangshengtang Ltd., holds a stake in Tianjin Huicheng, whose 804 million yuan registered capital implies an investment of roughly 354 million yuan. Both Tianjin Huicheng and Tianjin Huiqi were established in May and June this year, indicating the vehicles were created for the DeepSeek financing.

The move brings DeepSeek's second-round financing, which the company is preparing ahead of a potential onshore IPO, a new class of industrial capital. Zhong built his fortune through Nongfu Spring, the bottled-water giant that listed in Hong Kong in 2020, and Wantai Biological, a vaccine maker he acquired for 171 million yuan in 2001 that briefly topped 100 billion yuan in market value.

Guanze's Quiet Tech Portfolio

Zhong's investment style mirrors the low profile he keeps as a businessman. Guanze Venture Capital, established in Hangzhou in 2021 with registered capital exceeding 2 billion yuan, has backed companies across pharmaceuticals and new materials, including Symero Biotech, Jiayue Pharma, LifeBio, Ruijian Pharma, Jiake New Materials and Zhuocheng New Materials. AI is not entirely new territory — Guanze was a pre-IPO shareholder in SiLight Technology, the "first AI photonic chip company" per its Hong Kong listing documents.

Two other vehicles operate under the Yangshengtang system. Qiantang New Materials Lab, founded in 2024 with an initial planned investment of 1 billion yuan, favors startups founded by scientists and has backed more than ten companies, nearly all in hard technology. After 2025 it expanded into photonic chips (Qiming Photonics), high-temperature superconducting thin-film equipment (Shanghai Superconductor) and embodied AI (Oakfruit Robotics). Kunshan Gewu Zhizhi Fund took a 10 percent stake in solid-state battery maker Zhibang Lithium for 500 million yuan and has invested in space-computing firm Zhongke Tiansuan.

Old Money Flows Into AI

DeepSeek's first round already drew a cluster of industrial capital. CATL committed 5 billion yuan through its investment entities; Jiuan Medical's Hong Kong unit invested 750 million yuan through the Tianjin Shixiang Industrial Fund; By-Health subscribed 130 million yuan to the Monolith Lishi fund, indirectly holding 0.04 percent of DeepSeek; and Septwolves' Zhou Shaoxiong invested about 150 million yuan through his controlled partnership Ningbo Yishang. The pattern extends beyond DeepSeek — Jiuan Medical has backed Moonshot AI, Muxi Semiconductor, Jieyue Star and AgiRobot, while Septwolves has invested in Moore Threads and Unitree Technologies.

The influx of consumer, battery and healthcare fortunes into AI marks a shift for China's technology capital. Zhong's 354 million yuan stake is small against DeepSeek's scale, but it carries weight as a sign of confidence from the country's wealthiest industrialist. With DeepSeek's second round underway and an onshore IPO in preparation, the question is how much more of this old money finds its way to the table.

This article is for informational purposes only and does not constitute investment advice.