May Day Vision, Moore Threads concept, Ge Weidong's heavy investment, the first stock of PhysicalAI—(06651.HK) December 2025 IPO analysis

51WORLD-B(06651.HK) 

Sponsors: China International Capital Corporation Hong Kong Securities Limited   Huatai Financial Holdings (Hong Kong) Limited

Offer Price: HK$30.50 fixed price

Fundraising Amount: HK$731 million

Total Market Cap: HK$12.394 billion

H-share Market Cap  HK$11.812 billion 

Board Lot Size  200 shares 

Minimum Subscription  HK$6,161.51

Offer Period December 18-23, 2025

Grey Market Date: December 29, 2025

Listing Date December 30, 2025 (Tuesday)

Total Offer Size 23.9752 million H-shares

International Placement 22.7764 million H-shares (~95.00%) 

Public Offering 1.1988 million H-shares (~5.00%)    

Allocation Mechanism Chapter 18C

Interest Accrual Days: 1 day

Stabilizing Agent  CICC, with greenshoe

Issue Ratio 5.90%

P/E Ratio  -146.85

Company Profile

51WORLD is China's leading digital twin technology company, with 3D graphics, simulation and AI as its core technological foundations, building a digital twin solution system covering over ten industries, serving enterprises and developers in urban, energy, automotive, healthcare and other fields. "51WORLD is poised to become the first Physical AI stock." "51WORLD has a complete closed-loop system from digital world → simulation → execution." "51WORLD's system completeness and engineering implementation in Physical AI positions it as an industry leader." "Physical AI is the technological system that brings AI into the physical world, serving as the infrastructure for the next generation of intelligent era.

The company's core business focuses on three platforms: 51Aes as a cross-industry digital intelligence transformation support platform to enhance enterprise design and operational efficiency; 51Sim, leveraging synthetic data and simulation technology, has become a core solution provider in autonomous driving and robotics, with products featuring pan-industry scalability; 51Earth aims to build an open digital twin world as a long-term goal, accumulating ecosystem foundations through developer tools and high-precision data assets, attracting over a thousand builders and developers.

With over a decade of deep cultivation in digital twin, simulation and physical intelligence technologies, the company has built a full-stack technological closed-loop from "digitally reconstructing the world" to "simulating the world" and then to "physically intelligent transformation of the world," becoming a core force driving AI from the virtual digital world into the physical real world.

51WORLD's technological development did not happen overnight but gradually deepened along the path of Digital Twin - Simulation - Physical AI, forming the three key elements for Physical AI implementation: high-quality data, spatial intelligence models, and high-confidence training platforms.

51WORLD has built a full-chain Physical AI closed-loop ecosystem of synthetic data - spatial intelligence models - simulation training platforms, with benchmark Physical AI cases implemented in autonomous driving, transportation hubs, smart factories, smart energy and other fields.

Synthetic data: With years of experience using graphics engines to digitally twin the real world, 51WORLD has accumulated massive high-quality 3D asset libraries, possessing comprehensive synthetic data technology paths in the industry including physical simulation & graphics rendering, 3DGS/4DGS radiance field reconstruction, and world model generation routes, making it one of the few Chinese companies mastering full-stack synthetic data paths.

The synthetic data generated from these virtual scenarios strictly follows the physical laws of the real world, including lighting changes, material properties, collision feedback and dynamic interactions between objects. The prospectus shows synthetic data achieves 90% authenticity, 100% scene controllability and 100% multi-sensory consistency. The credibility of power simulation, LiDAR simulation and camera simulation reaches 95%, 95% and 90% respectively.

Spatial intelligence models: 51WORLD is defining a new paradigm for spatial agent construction and evolution based on a dual-engine framework of 3DGS + spatial intelligence models. While creating high-fidelity digital twin environments, it builds reinforcement learning environments for agents to understand, plan and predict the physical world and receive feedback from actions, charting the path to enhance spatial intelligence model performance.

Simulation training platform: 51WORLD builds high-confidence simulation environments based on massive real-world data, achieving the leap from traditional graphics simulation to data-driven approaches. By introducing 4DGS reconstruction + generation technology, it has built a next-generation simulation technology system enabling closed-loop simulation based on real data while supporting reinforcement learning.

Haidian IOCC marks China's first practical application of digital twin engines in city-level management operations. As the digital twin foundation for city-level brain systems, 51WORLD's self-developed AES digital twin platform can recreate real-world terrain, roads, buildings and vegetation with near-photorealistic quality. Its products serve specialized fields including campuses, transportation, water management, ports, airports and real estate. In developing Haidian IOCC, driven by smart city demands, 51WORLD continuously upgrades its capabilities to support urban operations and command dispatch scenarios.

51Aes Digital Twin Platform:

As the "world expression layer" of 51WORLD's Physical AI, 51Aes is the core digital twin development and application platform integrating three key products - AES full-element scenarios, WDP digital twin SaaS platform and ISE infinite simulation engine - with capabilities for multi-source heterogeneous data fusion, ultra-large-scale detailed scene reconstruction, real-time rendering and virtual-physical interaction. Its core value lies in providing precise digital mapping of the physical world, rapidly generating full-element virtual scenarios from city-level macro views to device-level details, adaptable to over ten vertical industries including urban, campus, water, industrial energy, education and healthcare through specialized solutions like 51CIM, 51WIM and 51XIM. Having served over 1,000 government, corporate and academic clients globally, it has implemented benchmark projects like Turkey's Osmaniye City Brain and the recreation of Jakarta's 700 sq km urban landscape, empowering industries with visualization, risk prediction and efficiency optimization.

51Sim Synthetic Data & Simulation Platform:

Positioned as Physical AI's "reasoning & learning layer," 51Sim is a full-chain simulation solution platform focused on autonomous driving and smart equipment, with core products including SimOne simulation platform, DataOne data management & synthesis platform (with Dataverse data mining tools and Synthverse synthetic data generation tools) and TIM traffic information modeling platform. Leveraging cutting-edge technologies like 3D Gaussian Splatting (3DGS) and 4D Gaussian Splatting (4DGS), it builds "real-simulation-real" data closed-loops achieving over 95% simulation confidence for core modules including dynamics, LiDAR and cameras, with 92% consistency between simulation and field tests. It provides key capabilities like high-value scenario mining, mass synthetic data generation and distributed cloud simulation, effectively reducing real-world testing costs and safety risks, having served over 100 autonomous driving OEMs and supply chain partners globally while extending technology to R&D and mass production of drones, warehouse robots and other smart devices.

51Earth Digital Earth Platform:

As the key vehicle for 51WORLD's "Earth Cloning Project," 51Earth integrates a decade of technological沉淀 to build a full-stack "assets-tools-applications" system as the core platform for planetary-scale digital twins. With multi-scale (from planetary macro to device micro) high-precision modeling, real-time interaction and intelligent reasoning capabilities, it supports complex decision-making scenarios like urban planning, disaster simulation and energy optimization while extending to mass consumer fields like 3D creation, virtual tourism and immersive experiences. The platform has achieved city-level precision real-time generation and rendering, with operations across 19 countries/regions globally, bridging physical and digital worlds through digital twin technology as both essential infrastructure for government/enterprise digital transformation and a key gateway to popularize digital earth technology.

51WORLD's Physical AI sector boasts immense market potential, recognized as the largest, most tangible and implementable trillion-dollar track in AI, with AI's value creation in the physical world projected to exceed tenfold that of the content world in the next decade, its commercial market expected to grow by RMB 400-700 billion annually. As next-gen intelligent era infrastructure, Physical AI profoundly impacts the real economy, determining 40% of physical world GDP, not only solving humanity's fundamental "physical world" challenges but driving societal productivity paradigm shifts as foundational force. As a Physical AI pioneer with decade-long technological沉淀 enabling system completeness and implementation capabilities, 51WORLD has seized first-mover advantage in this golden赛道, positioned to fully benefit from Physical AI's explosive growth.

Notably, 51WORLD's shift to Physical AI isn't abrupt but the inevitable outcome of over a decade's technological accumulation. Through ten years of沉淀, the company has established three standard systems for "how the world is expressed, how objects are defined, and how the world operates" - barriers making industry competition难以复刻.

In Physical AI competition, 51WORLD's core advantages lie in full-stack technological闭环 and real-world data积累:

1. Full-chain technology布局: The company possesses complete "synthetic data - spatial intelligence models - simulation training platform" capabilities, among few domestic firms with full-chain tech, its simulation platform supporting thousand-level parallel simulations enabling high-confidence AI training validation at low cost;

2. Massive industry data沉淀: Having served over 1,000 global enterprises, it has accumulated vast real-scenario data in autonomous driving, smart factories and smart energy, forming难以复制的 industry expertise;

3. Leading technical metrics: Key indicators like sensor simulation accuracy and scene还原度 for synthetic data lead the industry, providing highly reliable technical support for Physical AI implementation.

51WORLD's Physical AI tech has achieved scaled commercial implementation across core sectors including autonomous driving, smart city scenarios, industrial manufacturing, energy/water management: 

- In autonomous driving: Providing automakers with simulation testing and data services to enable safe validation and iteration of self-driving tech;

- In smart cities: Combining digital twins with Physical AI to enable intelligent management of urban traffic, security and municipal services;

- In industrial manufacturing: Empowering predictive maintenance and production line optimization to drive manufacturing efficiency leaps.

H1 2025 revenue grew 62% YoY, validating strong commercialization potential.

Against Nvidia CEO Jensen Huang's industry thesis that "AI has entered the Physical AI era," 51WORLD's development impacts not just itself but represents Physical AI's industrialization direction:

1. Social value: Making cities safer, factories more efficient, water systems more reliable and traffic smoother, positioning AI as core tool enhancing physical world efficiency/safety;

2. Industrial value: Supporting trillion-dollar industry intelligent upgrades, with IDC projecting global robotics market exceeding $400 billion by 2029, Physical AI being key driver;

3. Capital value: As next-gen tech focus, 51WORLD becomes core capital markets play for Physical AI exposure.

Physical AI is revolutionizing deep bit-atom integration, with 51WORLD's core capability to connect digital/physical worlds making it key enabler. Its focus on spatial intelligence algorithms, high-fidelity simulation platforms and synthetic data provides Physical AI's "core nourishment" for safe evolution - giving intelligent models "eyes" to perceive the physical world while creating low-cost infinite trial-and-error "parallel universes," perfectly meeting Physical AI's needs for "brain, senses, testing ground." In reshaping reality's intelligent revolution, 51WORLD's irreplaceable infrastructure-level value secures its pivotal ecosystem position in Physical AI's closed-loop, ensuring continued industry leadership as global Physical AI's core participant and definer.

Source: LiveReport Big Data

For the 3 years ended December 31, 2024 and H1 2024-2025:

Revenue: ~RMB170m, RMB256m, RMB287m, RMB33m and RMB54m, 30.02% CAGR;

Gross profit: ~RMB110m, RMB139m, RMB147m, RMB17m and RMB22m, 15.34% CAGR;

R&D: ~RMB-134m, RMB-103m, RMB-58m, RMB-29m and RMB-30m, -34.08% CAGR;

Net profit: ~RMB-190m, RMB-87m, RMB-79m, RMB-65m and RMB-94m, -35.49% CAGR;

Gross margin: ~64.95%, 54.24%, 51.11%, 49.97% and 41.11%;

The company has seen sustained revenue growth over three years with narrowing net losses and maintained high gross margins; 2024 R&D expenses decreased significantly with R&D expense ratio falling to 20.3% and net loss ratio narrowing below 30%.

As of June 30, 2025, the company had RMB166 million in cash

II. Cornerstone Investors

No cornerstone investors

Total 12 underwriters

Sponsor Track Record:

China International Capital Corporation Hong Kong Securities Limited

Huatai Financial Holdings (Hong Kong) Limited

2. Allotment Ratio & New Share Analysis

(From AIPO)

Current margin financing shows 12x oversubscription.

Allotment ratio appears relatively high, this stock will likely only see 10% clawback!

Group A margin financing tiers with corresponding capital and financing amounts:

Group B heads require HK$5.55 million subscription, Group B margin financing tiers with corresponding capital and financing amounts:

At the HK$30.50 offer price, total listing expenses are ~HK$78.88 million versus ~HK$731 million fundraising, ~10.79% ratio, expenses appear normalized relative to fundraising size.

To subscribe or not? See my analysis below:

51WORLD's key financing round data:

- Series A (June 30, 2016): RMB0.44/share, 98.56% discount to offer price, post-money $13 million, subscribed 34,284 Series A preferred shares.

- Series A+ (August 15, 2016): RMB1.09/share, 96.48% discount, post-money $40 million, subscribed 373,135 Series A+ preferred shares.

- Series B (November 3, 2017): RMB3.26/share, 89.43% discount, post-money $140 million, subscribed 310,946 Series B preferred shares.

- Series B1 (December 4, 2017): RMB3.49/share, 88.67% discount, post-money $151 million, subscribed 14,510 Series B1 preferred shares.

- Series C (March 13, 2020): RMB5.17/share, 83.04% discount, post-money RMB178 million, capital increase RMB17.5955 million.

- Series D (December 25, 2020): RMB10.16/share, 66.70% discount, post-money RMB362 million, capital increase RMB5.8778 million.

- Series E (November 30, 2021): RMB11.22/share, 63.20% discount, post-money RMB410 million, capital increase RMB4.2745 million.

- Series F (June 28, 2024): RMB11.50/share, 62.27% discount, post-money RMB440 million, capital increase RMB17.3810 million.

51WORLD's per-share financing costs show sustained upward trend from Series A RMB0.44 to Series F RMB11.50, with significant early-stage (A-D) increases before growth slowed markedly in later stages (E-F), stabilizing.

Post-money valuations grew consistently, with dollar-denominated phases (A-B1) rising from $13 million to $151 million before RMB-denominated phases (C-F) grew from RMB178 million to RMB440 million, maintaining growth albeit at narrowing rates.

Discount to offer price showed continuous decline from Series A 98.56% to Series F 62.27%, with larger early-stage declines before slowing noticeably later, gradually narrowing discount space.

Moore Threads' recent listing at over RMB300 billion market cap ignited related concepts, with another hot Hong Kong stock Biren Tech coming soon. Moore Threads' inaugural MUSA Developer Conference (MDC) grandly opened, themed "Create, Connect, Converge" to build open exchange platforms unleashing developer creativity, linking industry wisdom and ecosystem forces to jointly chart domestic computing innovation.

Founder/CEO Zhang Jianzhong's keynote highlighted Moore Threads' deep collaboration with 51Sim building next-gen Physical AI simulation systems around KUAE computing clusters. Leveraging domestic GPU computing power and next-gen simulation/world model tech, they jointly explore Physical AI infrastructure paths for end-to-end autonomous driving and embodied intelligence.

Among 51WORLD's shareholders beyond top VCs like Lightspeed and Sky9, Ge Weidong personally holds ~2.2%, Leung Pak-tao ~1.7%, plus strategic investments from industry giants SenseTime and Moore Threads, making a high-quality shareholder roster. Mr. Leung holds ~1.7% via Grandwin Enterprises (HK) Limited!

Ge Weidong, as China's renowned "private equity tycoon," has investment moves closely watched as bellwethers. After profiting hugely from "China's Nvidia" MetaX, his heavy 51WORLD bet stems from:

1. Betting on Physical AI's super赛道 Ge's style emphasizes "backing national destiny" and "hard tech." 51WORLD's Physical AI core brings AI into the physical world (humanoid robots, autonomous driving). Nvidia's Jensen Huang declared this next AI wave. Ge eyes its $50 trillion potential.

2. "GPU+AI infrastructure" closed loop Ge invested across upstream compute (MetaX, Moore Threads) and downstream apps/infrastructure (51WORLD). 51WORLD needs powerful GPUs for simulation rendering, provided by shareholder Moore Threads, creating synergistic "industry chain investments."

51WORLD's listing is key in Ge's "domestic compute + Physical AI" blueprint. If bullish on humanoid robots, autonomous driving simulation or digital twins, watch this stock.

The IPO rides Moore Threads' hype, with future performance depending on institutional interest. With GPU peer Biren Tech launching soon, fueling Hong Kong stock GPU mania and institutional focus, 51WORLD's listing timing aligns perfectly with Biren's offer period, creating additional appeal.

The Chapter 18C offering initially sells 5% publicly, clawing back up to 20%, with HK$731 million float. Current oversubscription suggests only 10% (~HK$73 million) public allocation, total market cap HK$12.394 billion, H-share cap HK$11.812 billion, March 2026 Stock Connect inclusion appears unpressured, hence the pre-19th offer timing.

Listings timed now mostly target index/Connect inclusion by December 31. December IPOs cannot list after 31st given Hong Kong's 25th-26th holidays and 31st half-day, requiring 30th grey market, 24th final offer day, must launch by 19th for March Connect eligibility - one day late pushes to September 2026. Post-19th offers may just save one fiscal year reporting. We've calculated timing precisely.

Just 6 trading days left, counting down to December 31 for arbitrage opportunities.