Chinese ecommerce group Alibaba has confirmed preparations for an IPO of Alibaba.com.
Alibaba.com shares will be listed on the Hong Kong Stock Exchange in the third quarter and the IPO is expected to raise HK $7.8 billion (US $1 billion). Alibaba has said that they would be using the additional capital to expand their international footprint.
The IPO will see the partial spin-off of Alibaba.com from the Alibaba Group, the China based holding company that owns sites including Alipay, Taabao.com and Yahoo China.
Yahoo Inc is currently the largest shareholder of the Alibaba Group, having acquired a 40% stake in 2005.
(via cs.com.cn)
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Every time you see the “Made in China” sign, you should think there might be Alibaba behind it. This could become the biggest marketplace in the world. And it’s expanding to many other areas too, even search engine.
yes, its great for business mans there is another one as sabqat.com too
With the exponential grow of online shopping, this company has will be very successful. They have done a fine jobs of aligning themselves with successful companies. Smart real Smart.
Sorry, I don’t see it worth the money as an investment. Yes, I know it’s a popular site…but I sure as hell won’t buy this ipo and I can’t imagine it being a good investment long term. The only people getting rich off these types of ipos are the insiders and early investors.
I remember American Businessman or Yahoo Agent or CIA agent threat to kill founder if Alibaba didn’t open the business.
This can happen to anyone. They want to make evil billion dollar business.
Hopefully this will boost Yahoo stock
I use alibaba a lot for electronic trading. It is one of the best resources to have if you are into importing and exporting. The only drawback is security. I hope they use the money to improve their security system. Good for them.
does anyone know how an american can buy shares on the hong kong exchange? why didn’t they nasdaq it like bidau? this would have gone ballistic on an american exchange. hong kong? wtf?
regardless, smart of them to go public while the going is good. a year from now, unless santa claus delivers three wishes to everyone stuck holding subprime and alt-a real estate paper (like, your 401k and/or pension), the bear will hit the earnings sheets and no one will be talking about ipos anymore. there are still some naive longs willing to put money on the table at the “dip”, you definitely do not want to miss the boat.
Hopefully now they will stop to facilitate the trade of shark fins on their site.
It is Taobao.com, not taabao.com.
It is reported that Taobao.com beats Ebay and becomes the no.1 consumer-to-consumer auction site.
Dr. Stock;
Many companies are not interested in publically filing in the U.S. anymore due to Sarbanes Oxley (sp??). Also listing and compliance fees are so outrageous why not list elsewhere? Frankly a company saves not only money, but time, effort, and overall resources.
Although the U.S. stock exchanges have a certain prestige, other stock markets throughout the world have being fairing much better than Nasdaq, DJ, etc…
Do some web search on various exchanges to see the difference in growth throughout the world, and you’ll see why they chose somewhere other than the U.S. to go public.
this is a smart step!
Laurent.
http://www.ooholidays.com
Alas, TC becomes VW (VentureWire). Is this really a good thing, or should it be relegated to perhaps a different (and new) TC family blog?
Thanks for the info Len.
Dr Stock - It may just be my interpretation, but your comment “Hong Kong? Wtf” suggests that every company or person in their right mind would associate with America first, and only with other countries as a last resort. Do remember that Alibaba is a proudly Chinese company, and does not need America or it’s services to succeed.
Felix - Alibaba, being a Chinese company, abide by Chinese laws, which do not mention sharks or shark fins. As far as I know, shark fin soup is legal in the EU and USA, and is only unacceptable on ethical grounds, not legal grounds. If it was to become illegal, then (and only then) would governments in Western countries maybe take sanctions to prevent sites facilitating the shark fin trade.
Ian - you complain that only insiders and early investors will make real money here. Well why not become an early investor then?
If I was running a Chinese company, based in Hangzhou, and my online properties were targeting the mainland internet market it would be pointless to list as far away as the US. There is more than enough capital in the public markets in HK to raise the money (HK has listed the largest banks in China recently and they were all oversubscribed many times, both institutional and retail tranches). Also, mainland Chinese retail investors are now able to trade in shares trading on the HK stock exchange, providing even more liquidity.
China’s numbers of internet users will exceed the US in the near future. I would say it is the best place to list for Alibaba.
Churchill - for a company to say that they are concerned about the environment and the future generations, selling shark fins does not seem right. They are part of the problem, legal or illegal…Amazon.com was selling shark fin soup and has removed it. And let’s not forget Yahoo stake in the company.
i have one cuestion for you guys, im from Argentina, and i had a contact with someone in the store, alibaba.com, and i been meditade in the fact of, how can i be sure on the deliver…you did it before? its a serius page and company??, will deliver the product or just can take the money and no give it back??…after all they’re in china…so… WTF!!!
I dont know what to do…