Key Takeaways:
Evoken, the Chinese startup behind AI image-generation platform Lovart, is weighing a Hong Kong listing, Bloomberg reported, citing sources.
The company is holding early-stage discussions with advisers regarding a potential IPO, and no final decision has been made, the report said.
Evoken said in June it raised nearly $300 million in a Series B+ funding round, giving it a post-money valuation of more than $2 billion. Investors included Granite Asia, Shunwei Capital, Ant Group and HSG. As of end-May, the company's annual recurring revenue had topped $300 million.
Evoken is reportedly preparing for a new funding round that could lift its valuation to $3 billion. A successful listing would add another AI company to Hong Kong's exchange as Chinese tech firms increasingly turn to the city for capital.
The potential listing comes as brokerages turn more constructive on China's AI sector. Daiwa initiated a positive rating on the space, naming Alibaba (09988.HK) as its top pick, while Morgan Stanley raised its price target on Z.AI (02513.HK) to HKD 1,700 and cut MINIMAX-W (00100.HK) to HKD 900.
Evoken's ARR of more than $300 million places it among the fastest-growing AI startups in China, competing with the likes of Z.AI and MINIMAX in the generative AI space. The company's valuation trajectory — from $2 billion post-money in June to a projected $3 billion in the next round — reflects sustained investor appetite for AI infrastructure and application companies.
If the listing proceeds, it would test institutional demand for AI pure-plays on the Hong Kong exchange, where recent AI listings have drawn mixed reception. The company has not disclosed a timeline for the IPO or selected underwriters.
The potential listing signals Evoken's ambition to tap public markets for growth capital as it scales its AI image-generation business. Investors will watch for confirmation of the new funding round and any formal filing with the Hong Kong Stock Exchange.
This article is for informational purposes only and does not constitute investment advice.
