Shares in China’s most valuable artificial intelligence company SenseTime plunged more than 50 per cent in Hong Kong as its lock-up period expired and some pre-initial public offering investors withdrew their profits following a March rebound.
SenseTime was forced to postpone its initial public offering when the US put it on an investment blacklist over its alleged links to the Chinese military. With state backing, it revived the share float plan and raised about $740mn in Hong Kong in December.
The company’s shares fell as low as HK$2.90 (US$0.37) in the morning trading session on Thursday, their lowest-ever level and well below the listing price of HK$3.85. A lock-up on a portion of the company’s stock owned by cornerstone investors and shareholders expired on Wednesday.