Asian Tech Press (Dec 06) -- Chinese artificial intelligence startup SenseTime Group is seeking to raise up to $767 million in its Hong Kong initial public offering, Reuters reported.

SenseTime Group hopes to raise up to $767 million in its Hong Kong initial public offering (IPO), according to a term sheet seen by Reuters.

According to the term sheet, the company plans to use most of the IPO funds for research and development of its key artificial intelligence technology.

The company's deal, launched Monday, will sell 1.5 billion primary shares in a price range of HK$3.85 to HK$3.99 per share, the term sheet said. Eight cornerstone investors have signed up for the IPO and subscribed $450 million, or 58.6 percent of the deal, ahead of the IPO.

SenseTime declined to comment on the launch of the deal.

SenseTime's shares will be priced on Friday and start trading on the Hong Kong Stock Exchange on Dec. 17.

SenseTime had planned to raise up to $2 billion in a Hong Kong IPO but scaled back the deal before going public.

It had been one of eight Chinese technology companies blacklisted by the U.S. in 2019. The initiative prohibits these companies from buying parts from U.S. companies without U.S. government approval.