Alibaba can raise up to $ 12.9 billion with its IPO in Hong Kong. In several business media, insiders state that the Chinese internet giant wants to sell shares for a price of 176 Hong Kong dollars each.
This would make it the largest IPO in Hong Kong since 2010, when insurance giant AIA was listed. The intention is to start trading in Alibaba on November 26. Alibaba recently formally applied for a listing in Hong Kong, in addition to that in the United States. Incidentally, the company actually wanted to go to the Hong Kong market in the summer, but the IPO was postponed due to the ongoing protests against Chinese influence in the city state.
According to sources, there is a lot of interest from investors in Alibaba’s shares in Hong Kong, including state investment funds and major institutional parties from Asia. Alibaba went to the New York Stock Exchange in 2014, raising a record amount of $ 25 billion. The listing in New York remains the most important, Alibaba has indicated.
Alibaba’s progress to Hong Kong’s financial markets can be seen as a sign of confidence in the status of the city as an important financial and business center, despite protracted and sometimes violent protests. The Chinese government would therefore be very satisfied with the company’s arrival in Hong Kong. Alibaba is now competing with the Chinese internet giant Tencent, also listed in Hong Kong, for the title of largest listed company in the city-state.