Xiechuang Data Plans $1.18B Share Sale to Fund AI Infrastructure and Debt Repayment

According to Security Times, Xiechuang Data announced on June 26 a plan to raise up to 8 billion yuan ($1.18 billion) through an A-share issuance to no more than 35 investors. The new shares will account for no more than 30% of its pre-issue share capital, with proceeds allocated primarily to AI infrastructure projects (4.7 billion yuan), enterprise solid-state drive expansion (1.8 billion yuan), and working capital and loan repayment (1.5 billion yuan).

As of December 31, 2025, the Shenzhen-based data storage and AI computing company had a debt-to-asset ratio of 81.48%, with short-term and long-term borrowings of 4.3 billion yuan and 7.5 billion yuan respectively. Xiechuang Data also flagged potential delivery delays or non-delivery of overseas high-performance computing equipment due to supply chain constraints.