KNOWLEDGE ATLAS (Zhipu) stock plummeted 13.31% during intraday trading on Thursday, reflecting significant investor concern over near-term supply pressures.

The sharp decline comes as the company's six-month post-IPO lock-up period is set to expire on July 8, with approximately 25.68 million cornerstone investor shares becoming eligible for sale. This will cause the free float to surge from approximately 11.74 million shares to roughly 37.43 million shares — an expansion of more than two-fold — creating substantial near-term supply pressure.

Concurrently, market reports indicate that KNOWLEDGE ATLAS is in discussions with advisors regarding a potential Hong Kong share placement that could raise several billion US dollars, with execution possible as early as July. The stock had previously experienced sharp declines in late June when placement rumors first surfaced, and the dual overhang of imminent lock-up expiry and dilutive fundraising continues to suppress sentiment on the stock.