Megvii, the China-based computer vision technology provider backed by e-commerce group Alibaba, contract manufacturer Foxconn and conglomerates Legend Holdings and SK Group, filed for an initial public offering on Friday, Bloomberg reported.
The company intends to issue up to 253 million shares on Shanghai Stock Exchange’s Star Market to potentially raise up to RMB6bn ($923m) after fees. Citic Securities is the sponsor of the offering.
The news comes after a January report stating Megvii had received regulatory clearance to float on the Hong Kong Stock Exchange.
Founded in 2011, Megvii has developed an image recognition software product called Face++, in addition to deep learning technology. The IPO proceeds will support further development of its robotics and visual internet-of-things technology.
Financial services firm Bank of China provided $200m through its Bank of China Group Investment vehicle to lead the company’s last round, a $750m series E in mid-2019 that also featured Alibaba and which valued it at $4bn.
The round included ICBC Asset Management, a subsidiary of financial services firm Industrial and Commercial Bank of China, in addition to investment banking firm Macquarie Group and sovereign wealth fund Abu Dhabi Investment Authority.
Megvii received about $600m from investors including Alibaba and Boyu Capital in 2018, the year after Russia-China Investment Fund led a $460m round also backed by Alibaba and its Ant Financial affiliate, Foxconn and SK Group.
The $460m round was preceded by a $100m series C round featuring Foxconn and financial services firm China Construction Bank’s CCB International Holdings subsidiary.
Innovation Works and Qiming Venture Partners had supplied $25m in series B-plus funding for Megvii in 2015, having taken part in a $22m series B round the year before. It raised an undisclosed sum from Innovation Works and Legend Holdings unit Legend Star in 2013.
