The company is pursuing a pre-IPO raise of 2–3 billion yuan at a valuation up to $6 billion, with an anchor IPO valuation target of $10 billion. The exact timeline and terms of the restructuring remain undisclosed. StepFun has emerged as a top-tier Chinese AI firm developing multimodal large-language models, with its Step 3.5 Flash ranking in the top three on OpenClaw.
The shift reflects Beijing's broader policy pivot toward onshore structures for AI and technology IPOs, potentially delaying Hong Kong listings and raising compliance costs for affected companies. Competitors like Moonshot AI face identical regulatory pressure. For practitioners tracking cross-border tech financings, the CSRC's enforcement signals that the red-chip structure—historically used to access foreign capital while maintaining domestic operations—faces sustained headwinds. Expect similar restructurings across the sector and monitor whether the onshore requirement materially extends IPO timelines or valuation trajectories.