You Won't Believe How MiniMax's Stock Skyrocketed 103%—Investors Are FURIOUS!

In a remarkable debut on the Hong Kong Stock Exchange, shares of the Chinese artificial intelligence startup MiniMax surged a staggering 103 percent on January 9, closing at HKD335 (approximately USD42.97). This impressive performance marks MiniMax as the fastest AI firm to complete an initial public offering (IPO) globally, achieving this milestone just over four years after its establishment in **December 2021**.

The IPO attracted overwhelming interest, with Hong Kong investors oversubscribing by **1,837 times** and international investors by **37 times**. MiniMax issued about **29.2 million shares** priced at **HKD165** each. Among the major cornerstone investors were industry heavyweights such as **Alibaba Group Holding**, **Aspex Management**, and **Mirae Asset Financial Group**, collectively investing **HKD2.7 billion** (around **USD346 million**).

Following the IPO, approximately **70 percent** of the raised capital will be allocated to the research and development of large language models over the next five years. Specifically, MiniMax plans to channel half of this funding toward upgrading its AI infrastructure, focusing primarily on acquiring third-party cloud computing services. An additional **20 percent** will support the expansion and training of R&D talent, while another **20 percent** will be dedicated to the development and global marketing of AI-native products. The remaining funds will be utilized for operational expenses and general corporate needs.

Since launching its first text model in **April 2022**, MiniMax, based in **Shaignah**, has introduced a series of innovative products, including tools for video generation and music creation. The company has developed a model matrix that includes the **MiniMax-M2**, **MiniMax Hailuo 02**, and **MiniMax Speech 02**, which are designed to bolster consumer applications such as **Hailuo AI** and **Talkie**, as well as enterprise platforms. By September last year, MiniMax boasted a user base of approximately **212 million**, with over **1.77 million** paying customers.

At the helm of MiniMax is **Yan Junjie**, who serves as the founder, CEO, and CTO. Yan, previously the vice president at the **SenseTime Research Institute**, and his affiliates hold **26 percent** of the voting rights related to shareholder decisions. Among the major shareholders, Alibaba holds a **15 percent** stake, followed by **miHoYo** with **7.1 percent**, **International Data Group** with **3.1 percent**, and **Tencent Holdings** at **2.8 percent**.

Despite its impressive revenue growth, MiniMax has faced significant financial challenges. The company's net loss widened dramatically to **USD465 million**, up from **USD1.5 million** the previous year, while its revenue skyrocketed by **782 percent** to **USD30.5 million**. Over the past four years, MiniMax has accumulated losses totaling **USD1.3 billion**. In the first nine months of the previous year alone, the startup reported income exceeding **USD53.4 million**, with **73 percent** of its revenue generated from international markets. Notably, the **Asia-Pacific region** accounted for **34 percent**, while the **Americas** contributed **24 percent**.

As MiniMax continues to innovate and expand, its rapid ascent in the AI sector serves as a compelling case study for the burgeoning industry, which is drawing increased attention from investors and consumers alike. The startup's performance raises intriguing questions about the future trajectory of AI technology and its growing impact on global markets.