Kling Raises $2 Billion Ahead of Its IPO in Hong Kong

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Kling Raises $2 Billion Ahead of Its IPO in Hong Kong
Kuaishou has raised approximately $2 billion from investors for its AI video division, Kling. This funding round brought in 13.82 billion yuan (approximately $2.04 billion), according to the Wall Street Journal, raising the unit's valuation to $18 billion.
CPE, Guofang Investment, BlueFive, Tencent, and Citic Securities are the main players in this funding round. Other investors may still join this fundraising effort, potentially bringing the total to $3 billion. Kuaishou's stake in Kling would then decrease to 68.33%.
Sources close to the matter indicated as early as May that Kuaishou planned to spin off Kling and list it on the Hong Kong Stock Exchange. Kling is considered a crucial part of the business but is still at an early stage of profitability.
This initiative places Kling among a growing wave of Chinese AI companies preparing for IPOs in Hong Kong. MiniMax and Zhipu AI have recently gone public, some backed by strategic investors such as Tencent and Alibaba. In the video market, Kling faces competition from tools like Veo 3.1 from Google, Gen-4.5 from Runway, and Seedance from ByteDance. The company recently unveiled its video model Kling 3.0.
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