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Kuaishou Technology’s AI video unit wants its own ticker. Kling AI plans a Hong Kong initial public offering that would raise at least $1 billion.
Reports from October 6, 2026, indicate the unit has brought on CICC, Goldman Sachs and UBS as underwriters. The target is an early 2027 listing. For a business that only launched in 2024, that is a fast trip from product demo to public markets.
The deal on the table
The IPO would carve Kling AI out of its parent, Kuaishou Technology, which trades in Hong Kong under the ticker 1024. Kling is also known as Keling AI, or 可灵AI in Chinese.
The listing comes on the heels of a large private round. In July 2026, Kling AI raised approximately $2.8 billion, with the round capped at $3 billion. That financing reportedly valued the unit at around $18 billion post-money.
Tencent, Alibaba and Baidu all participated in the round. Kuaishou’s ownership is expected to shrink as a result. The parent’s stake in Kling is anticipated to be diluted to about 68%.
The numbers behind the pitch
In the second quarter of 2026, the unit’s revenue topped RMB 850 million. That reflects growth of more than 200% year on year.
Kling’s ARR reached roughly $500 million by March 2026. That was up from about $240 million in December 2025.
On September 28, 2026, Kling unveiled Kling 4.0. The update supports video clips of up to 30 seconds, adds enhanced controls, and accepts multiple reference inputs. Kling 4.0 is positioned against ByteDance’s Seedance, another Chinese AI video tool.
How Kuaishou got here
In May 2026, Kuaishou filed a restructuring plan that consolidated Kling’s assets into an entity called Beijing Keling. That restructuring came with investor protections tied to a future listing. If Kling does not go public by October 30, 2031, investors hold repurchase rights.
What this means
For Kuaishou shareholders, the spinoff is a way to put a visible price on an asset that has been buried inside a larger company. A standalone listing gives the market a direct read on what Kling is worth, since Kuaishou is expected to keep about 68% of the unit.
An $18 billion private valuation sits at many multiples of a roughly $500 million revenue run rate. Public market buyers will need to believe the 200%-plus growth pace can hold, at least for a while.
Seeking at least $1 billion against an $18 billion valuation means the IPO would float a relatively modest slice of the company. The presence of Tencent, Alibaba and Baidu means Kling’s biggest shareholders include companies with their own AI ambitions, which could complicate strategic decisions down the road.
Disclosure: This article was edited by Diego Almada Lopez. For more information on how we create and review content, see our Editorial Policy.
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