Baidu’s AI chip arm Kunlunxin files confidentially for Hong Kong listing

Jan 2 (Reuters) – Chinese internet search giant Baidu said on Friday its AI chip unit Kunlunxin filed for a confidential listing on the Hong Kong stock exchange on Jan. 1, paving the way for a spin-off and separate listing.

Reuters had previously reported that Kunlunxin was planning an initial public offering in Hong Kong after completing a fundraising that valued it at 21 billion yuan ($3 billion).

At a time when Washington is increasing export restrictions on advanced chips, China is pushing to develop domestic alternatives to U.S. semiconductors, and several other Chinese AI chip companies have also announced IPOs.

Earlier this week, Chinese AI startup MiniMax said it expected to raise up to HK$4.19 billion ($538 million) in its offering in Hong Kong, and semiconductor designer Shanghai Biren Technology had raised HK$5.58 billion in its IPO, according to a stock exchange filing.

Semiconductor specialists OmniVision Integrated Circuits and GigaDevice Semiconductor have also begun bookbuilding for IPOs, aiming to raise about $600 million each.

Hong Kong raised $36.5 billion from 114 new listings in 2025, its strongest year since 2021, according to LSEG data; That’s more than three times the $11.3 billion raised in 2024.

Kunlunxin is expected to remain a subsidiary of Baidu after the proposed spin-off, the company said.

It was stated that details such as the size and structure of the offer have not yet been finalized.

Founded in 2012 as an internal business unit developing AI chips for Baidu, Kunlunxin has since been independently operated but Baidu retains a controlling stake.

Kunlunxin mainly supplies chips to Baidu but has increased its foreign sales in the past two years.

($1 = 7.7847 Hong Kong dollars)

(Reporting by Sneha Kumar in Bengaluru; Editing by Tom Hogue)