Tencent-Backed AI Startup StepFun Is Said to Plan Hong Kong IPO

StepFun is considering an initial public offering in Hong Kong that may raise about $500 million, people familiar with the matter said, as companies tap investor demand for the Chinese boom in artificial intelligence.

StepFun has held discussions with prospective advisers about the share sale, according to the people, who asked not to be identified because the information is private. The Shanghai-based startup, which is backed by companies including Tencent Holdings Ltd., could go public as soon as this year, the people said.