Narwal, known for its robot vacuums and mops, will use the funding to develop an AI-powered household product.

Hong Kong-based China Ruyi Holdings said on Tuesday it would raise around HK$2.34 billion ($301.74 million) in convertible bonds.

Backed by Alibaba Group Holding Ltd. and Tencent Holdings Ltd., Zhipu is one of just a handful of Chinese startups trying to take on OpenAI globally.

Investors believe practical AI applications will fuel the next wave of growth, with startups building on top of DeepSeek’s ...