It is reported that Knowledge Atlas (HKEX: 02513) is seeking to raise approximately $4 billion (around RMB 27.2 billion) through a share placement.

If the reported amount is accurate, this placement by Knowledge Atlas would become the largest fundraising exercise in the Hong Kong stock market so far this year. The amount is roughly six times the size of its initial public offering, which raised HK$5 billion (approximately RMB 4.3 billion).

The transaction terms indicate that Knowledge Atlas plans to issue 19.8 million shares at a price between HK$1,588 and HK$1,698 per share.

Calculated at the lower end of the range, HK$1,588, this represents a discount of approximately 13% compared to the stock's closing price of HK$1,825 today.

According to the proposed terms, the company intends to use the proceeds from the placement for research and development, business expansion, investments, and mergers and acquisitions.

Additionally, Knowledge Atlas aims to optimize its capital structure, bolster working capital, and allocate funds for other general corporate purposes.

It is understood that China International Capital Corporation (CICC) is acting as the sole global coordinator for this placement transaction.

It is noteworthy that, as of now, Knowledge Atlas has not yet issued an official announcement regarding this share placement, even as the company faces a significant test today with the expiration of its lock-up period.

Since its listing, the company's share price has surged by an impressive 1,470.57%, and its current total market capitalization stands at HK$813.664 billion.

On June 17th, Knowledge Atlas launched and open-sourced its new-generation flagship large language model, GLM-5.2, which supports 1 million tokens of lossless context length and features enhanced coding capabilities.