HONG KONG, (Reuters) – Chinese startup SenseTime Group has been asked by two people familiar with the matter whether they can go ahead with a $767 million Hong Kong Initial Public Offering. This is after it was added to the investment blacklist.

According to sources, Saturday’s announcement by the company did not reflect a decision to proceed or not. However, one source said it was considering making risk disclosures to the public if the company proceeds.

A spokesperson from SenseTime did not comment on any possible IPO changes.

Following a Friday media report that SenseTime would be blacklisted, SenseTime has missed the pricing date of the IPO.

Later, SenseTime was added to a U.S. Treasury Department list of Chinese military-industrial complex businesses. This is part of sweeping sanctions against dozens of individuals and entities linked to China, Myanmar and North Korea.

The Treasury Department charged SenseTime with developing facial recognition programs that could identify a target’s race, with a special focus on ethnic Uyghurs.

SenseTime stated in a statement that Saturday it had “strongly rejected the designation and the allegations that have been made in relation to it,” and called the accusations unfounded.

SenseTime will be placed on the U.S. blacklist. This would prevent U.S.-based investors buying shares.

SenseTime was planning to sell 1.5 Billion shares at a price between HK$3.85 and HK$3.99 for the IPO. According to filings, the company was to determine the final price for the IPO and to allocate shares to institutional investors by Friday.