SHANGHAI, May 26 Reuters A growing number of Chinese tech startups, once the darlings of equity markets, are willing to list shares publicly in China at valuations lower than during private funding rounds in socalled blood listings.

Unlike tech sector woes elsewhere, triggered mainly by rising interest rates, the misery in China comes from frothy tech markets and disruptions from harsh COVID19 restrictions. Public offerings at slashed valuations could translate into losses for venture capitalists in late funding rounds.

CloudWalk Technology Co, hailed as one of China39;s Four Dragons in Artificial Intelligence AI, debuts in Shanghai on Friday following an initial public offering that slashed its preIPO valuation by 29.

Smarter Microelectronics Guangzhou Co, a lossmaking chipmaker, submitted an application this month for a Shanghai IPO that could see a 78 slump in valuation, according to calculations based on the company39;s draft prospectus.

And Wuxi Shoulder Electronics Co is waiting for regulatory registration for a Shanghai IPO that could see its value slump onethird from its private market price tag.

Since the U.S.China trade war begun during the Trump administration, money had been gushing into AI, semiconductor and other sectors crucial for Beijing39;s tech selfsufficiency, fuelled by a cocktail of patriotism and greed, said Shenzhenbased venture capitalist Abraham Zhang.

Now, the bubble is bursting, and you start to see many bloodlistings, said Zhang,…