Shares of Black Sesame International Holding Ltd., an AI chipmaker backed by Xiaomi Corp., plummeted up to 35% on their Hong Kong Stock Exchange debut, reflecting weak demand and market volatility. The IPO, priced at the low end of the marketed range, raised HK$1.04 billion ($133 million), making it one of the largest deals in Hong Kong this year. Nearly 95% of the shares were purchased by five cornerstone investors, including subsidiaries of Guangzhou Automobile Group and Ningbo Joyson Electronic. The broader market downturn, exacerbated by global economic uncertainties and a selloff in AI stocks, contributed to the tepid investor response. This IPO, the second under Hong Kong's Chapter 18C rule aimed at easing listing requirements for specialist tech firms, highlights the challenges facing Hong Kong's efforts to revive its equity market. Financial Secretary Paul Chan and other officials attended the listing ceremony, underscoring the significance of this event for the region's financial hub.