MINIMAX-WP (ASX: 00100) shares experienced a significant surge in afternoon trading, rising over 20%. At the time of writing, the gain was 11.55%, with the share price at HK$361.2 and turnover reaching HK$874 million.

The catalyst for the move is upcoming. MiniMax is set to see its first post-listing lock-up period expire on July 9th. The company's two largest investors and strategic shareholders, Alibaba and miHoYo, have explicitly stated their long-term optimism regarding MiniMax's development prospects and have committed to continuing their support for the company's growth.

Analysts at Bank of America Securities noted that while the expiry of the lock-up is expected to cause some share price volatility, the stock has a chance of being included in the Southbound Stock Connect scheme as early as August 6th, which could provide liquidity support.

The firm also highlighted that MiniMax's annual recurring revenue had already reached $400 million as of April this year. Management indicated a significant shift in the revenue mix, with contributions from enterprise and cloud API services seeing a notable increase. They expressed confidence in achieving at least $1 billion in ARR by the end of 2026.

Furthermore, management revealed that the recently launched M3 model is a native multimodal system with a parameter scale of 428 billion. It is reported to excel in multimodal tasks and front-end design. The company believes that by scaling up parameters and continuously improving infrastructure efficiency, it can maintain stable gross margins during the long-term promotion of the M3 model.