Kingsoft Cloud proposes 282 million share offering to boost AI business

Kingsoft Cloud Holdings Limited (NASDAQ: KC) announced a proposed offering of 282 million ordinary shares in offshore transactions outside the United States to non-U.S. persons, according to a company statement.

The Chinese cloud service provider plans to conduct the offering under Regulation S of the Securities Act of 1933, subject to market conditions and other factors. Morgan Stanley Asia Limited has been appointed as the placing agent for the transaction.

Kingsoft Cloud intends to allocate 80% of the net proceeds from the share placement to support its artificial intelligence business, including expanding infrastructure and enhancing cloud service capabilities. The remaining 20% will be used to replenish working capital and for other corporate purposes. The company plans to deploy these funds by December 31, 2028.

The shares will not be registered under the Securities Act or any state securities laws, and will not be registered in Hong Kong or elsewhere. The offering excludes sales to U.S. persons and will not be available to the general public in Hong Kong under local securities regulations.

The company noted that completion of the proposed offering cannot be assured, as the transaction remains subject to market conditions and other factors.

Kingsoft Cloud operates as a cloud service provider in China, offering cloud infrastructure and industry-specific solutions to customers in selected vertical markets.

You May Also Be Interested In

• Zscaler and CrowdStrike expand partnership with new integrations
• Scorpio Gold says trading halt on its shares was made in error
• Quanome Technologies (QNME) files $250M mixed shelf