Facial Recognition Firm Yitu Steps Closer to STAR Market Listing
What’s new: Shanghai’s securities regulator is reviewing the IPO filing of Yitu Internet Technology Co. Ltd., as one of China’s leading facial recognition developers moves closer to a public listing on the STAR Market.
The artificial intelligence company has appointed Guotai Junan Securities to provide guidance for its listing but has not set out any clear timelines for the initial public offering.
Background: The group of Chinese companies known as the “AI quartet” — Yitu, Megvii Tehcnology Ltd., SenseTime Group Ltd., and Guangzhou CloudWalk Information Technology Co. Ltd. — made up 60% of China’s highly contested $1.46 billion AI machine vision market last year.
The three biggest homegrown rivals to Yitu have all shown a desire to tap the rising interest of investors in the burgeoning AI sector, despite the U.S. blacklisting these facial recognition companies over their alleged involvement in rights violations in western China.
Yitu is valued at $2.37 billion by research consultancy CB Insights. In the first half of this year, it posted a loss of 450 million yuan on revenue of 380 million yuan, according to its prospectus.
This story has been updated with additional information.
Contact reporter Anniek Bao (firstname.lastname@example.org) and editor Joshua Dummer (email@example.com)
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