BABA - Alibaba Group Holding Limited
184.00 -1.25 (-0.67%)
After hours: 7:59PM EST
| Previous close | 184.61 |
| Open | 186.31 |
| Bid | 184.20 x 1100 |
| Ask | 184.10 x 800 |
| Day's range | 183.87 - 186.71 |
| 52-week range | 129.77 - 195.72 |
| Volume | 12,699,469 |
| Avg. volume | 13,287,401 |
| Market cap | 483.66B |
| Beta (3Y monthly) | 2.26 |
| PE ratio (TTM) | 52.97 |
| EPS (TTM) | 3.50 |
| Earnings date | 28 Jan 2020 - 3 Feb 2020 |
| Forward dividend & yield | N/A (N/A) |
| Ex-dividend date | N/A |
| 1y target est | 223.08 |
- Reuters
Alibaba will raise up to $12.9 billion in Hong Kong listing - sources
Chinese e-commerce giant Alibaba will raise up to $12.9 billion (£9.98 billion) in its Hong Kong secondary listing, pricing its shares at a 2.8% discount to their last closing price in New York, two sources with direct knowledge of the matter said. The company has given guidance to prospective institutional investors that its shares will price at HK$176 each, the sources told Reuters. Alibaba had previously indicated it could raise up to $13.4 billion if the greenshoe option is exercised.
- Reuters
Alibaba will raise up to $12.9 billion in Hong Kong listing: sources
Chinese e-commerce giant Alibaba will raise up to $12.9 billion in its Hong Kong secondary listing, pricing its shares at a 2.8% discount to their last closing price in New York, two sources with direct knowledge of the matter said. The company has given guidance to prospective institutional investors that its shares will price at HK$176 each, the sources told Reuters. Alibaba had previously indicated it could raise up to $13.4 billion if the greenshoe option is exercised.
- Bloomberg
Alibaba Guides Pricing on Hong Kong Listing Around HK$176
(Bloomberg) -- Alibaba Group Holding Ltd. is telling prospective investors it will likely price its mega Hong Kong stock offering at about HK$176 per share, people with knowledge of the matter said.The potential price represents a 2.9% discount to Alibaba’s last close in New York. Alibaba has already stopped taking orders from institutional investors, according to the people, who asked not to be identified because the information is private.Fund managers can change the price they’re willing to buy shares at until 8 p.m. U.S. Eastern time Tuesday, the people said. The final price for the offering hasn’t been formally set and could still change, according to the people.The e-commerce giant is poised to raise more than $11 billion from the offering, marking one of the largest share sales globally this year. A representative for Alibaba declined to comment.Credit Suisse Group AG and China International Capital Corp. are the joint sponsors of the share sale. Citigroup Inc., JPMorgan Chase & Co. and Morgan Stanley are also arranging the deal.\--With assistance from Crystal Tse.To contact the reporter on this story: Carol Zhong in Hong Kong at yzhong71@bloomberg.netTo contact the editors responsible for this story: Fion Li at fli59@bloomberg.net, Ben Scent, Michael HythaFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
- Reuters
China's Megvii seeks approval for Hong Kong IPO despite U.S. blacklist - sources
Chinese artificial intelligence firm Megvii Technology Ltd plans to seek listing approval on Thursday for a Hong Kong IPO of at least $500 million, people with knowledge of the matter said, despite being blacklisted by the U.S. government. Sources had previously told Reuters the listing was scheduled for Hong Kong in the fourth quarter and might raise as much as $1 billion. The latest move comes weeks after the U.S. government placed Megvii and seven other Chinese companies on a trade blacklist over their alleged involvement in human rights violations related to Beijing's repression of Muslim minority populations in the Xinjiang Uighur Autonomous Region.
- Reuters
China's Megvii seeks approval for Hong Kong IPO despite U.S. blacklist: sources
Chinese artificial intelligence firm Megvii Technology Ltd plans to seek listing approval on Thursday for a Hong Kong IPO of at least $500 million, people with knowledge of the matter said, despite being blacklisted by the U.S. government. Sources had previously told Reuters the listing was scheduled for Hong Kong in the fourth quarter and might raise as much as $1 billion. The latest move comes weeks after the U.S. government placed Megvii and seven other Chinese companies on a trade blacklist over their alleged involvement in human rights violations related to Beijing's repression of Muslim minority populations in the Xinjiang Uighur Autonomous Region.
- FX Empire
Asian Traders Shrug-Off Trade Deal Concerns; Alibaba Listing Boosts Hang Seng; Aussie Shares Up on Rate Cut Hopes
Hong Kong’s Hang Seng Index rose sharply for a second session this week on the hopes of fresh government stimulus and the news that Alibaba will close its order books to institutional investors early for its upcoming secondary listing in Hong Kong. The Australian share market rallied after it was revealed the Reserve Bank gave serious consideration earlier this month to cutting rates for a fourth time this year.
- Reuters
Alibaba to close books early in $13.4 billion Hong Kong listing after strong demand: sources
Alibaba will stop taking orders from prospective institutional investors for its $13.4 billion secondary listing in Hong Kong earlier than expected after attracting strong demand, two people with direct knowledge of the matter said. Order books will now close on Tuesday at 12 p.m. in New York (1700 GMT), half a day earlier than initially planned by the Chinese e-commerce giant and its investment banking advisers. The final price that institutional investors will pay will still be set by Wednesday evening Hong Kong time, based on Tuesday's closing price in New York, they added.
- Zacks
Amazon Brings Third-Party Data Access to AWS Marketplace
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- Zacks
The Zacks Analyst Blog Highlights: Alibaba, The Buckle, Boot Barn, Pinduoduo and Tempur Sealy International
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- Reuters
Alibaba's books close early in $13.4 billion Hong Kong listing: sources
Alibaba will close its order books early to prospective institutional investors as part of its $13.4 billion secondary listing in Hong Kong, according to two people with direct knowledge of the matter. Books will now be shut at 12 p.m. EST Tuesday in New York which is a half day earlier than initially planned by the Chinese e-commerce giant and its investment banking advisers. The decision was made by the company on Monday, and the final price will still be set by Wednesday evening, Hong Kong time, according to the sources.
- Bloomberg
Aramco’s IPO Becomes a Saudi Affair as London Roadshow Scrapped
(Bloomberg) -- Saudi Aramco set a valuation target for its initial public offering well below Crown Prince Mohammed bin Salman’s goal of $2 trillion and pared back the size of the sale after the government decided to make the deal an almost exclusively Saudi affair.The initial public offering will now rely on local investors after most international money managers balked at even the reduced price target. The deal won’t be marketed in the U.S., Canada or Japan and on Monday bankers told investors roadshow events in London and other European cities, planned for this week, were canceled.Aramco will sell just 1.5% of its shares on the local stock exchange, about half the amount that had been considered, and seek a valuation of between $1.6 trillion and $1.71 trillion. As well as slimming down the deal, the Saudi authorities relaxed lending limits to ensure sufficient local demand to get the share sale done.While the new valuation means Aramco will overtake Apple Inc. as the world’s biggest public company by some distance, the plans are a long way from Prince Mohammed’s initial aims: a local and international listing to raise as much as $100 billion for the kingdom’s sovereign wealth fund.At the lower end of the price range, the offer would fall short of a record, coming in just below the $25 billion raised by Alibaba Group Holding Ltd. in 2014.Aramco Chief Executive Officer Amin Nasser kicked off the IPO’s final phase at a presentation for hundreds of local fund managers in Riyadh on Sunday.This is “a historic day for Saudi Aramco,” Nasser said. “We are excited about the transition to being a listed company.”With the offer price putting Aramco’s maximum valuation at about $1.7 trillion, there should be room for investors to make some money, said one local investor, who like all the people attending asked not to be identified.Aramco will need to lean heavily on local investors, large and small, to get the job done. The Saudi Arabian Monetary Authority will allow smaller retail investors to borrow twice their cash investment, double the normal leverage limits the regulator allows for IPOs, according to people familiar with matter.The kingdom’s richest families, some of whom had members detained in Riyadh’s Ritz-Carlton hotel during a so-called corruption crackdown in 2017, are expected to make significant contributions to the IPO.Cornerstone InvestorsThe final version of the prospectus didn’t identify any cornerstone investors, though the company is still in talks with Middle Eastern, Chinese and Russian funds.Foreign investors had always been skeptical of the $2 trillion target and recently suggested they would be interested at a valuation below $1.5 trillion. That would offer a return on their investment close to other leading oil and gas companies like Exxon Mobil Corp. and Royal Dutch Shell Plc.The new valuation implies Aramco, which has promised a dividend of at least $75 billion next year, will reward investors with a yield of between 4.4% and 4.7%. That compares with just under 5% for Exxon Mobil and 6.4% for Shell.“Institutional investors are unlikely to find this valuation range attractive,” analysts at Sanford C. Bernstein said in a research note Sunday, adding that the price range implies a premium to Western oil majors on most metrics, including price-to-earnings and free cash flow yield. “Cornerstone investors, sovereign wealth funds and local investors could still provide enough support to support the IPO given some of the strategic interests.”Saudi Arabia has been pulling out all the stops to ensure the IPO is a success to a skeptical audience. It cut the tax rate for Aramco three times, promised the world’s largest dividend and offered bonus shares for retail investors who keep hold of the stock.“Aramco’s price range takes into account some uncertainties that weren’t fully absorbed when the IPO was first floated,” such as governance, said Jaafar Altaie, managing director of Abu Dhabi-based consultant Manaar Group. “The lower range reflects uncertainties. It takes into account issues of supply that are very fluid, and demand that doesn’t look so good now.”Aramco has also faced the challenge of the strengthening global movement against climate change that’s targeted the world’s largest oil and gas companies. Many foreign investors are concerned the shift away from the internal combustion engine -- a technology that drove a century of steadily rising fossil fuel demand -- means consumption of oil will peak in the next two decades.Speaking in Riyadh on Sunday, Nasser acknowledged the prospect of peak demand, but argued that with the lowest production costs in the industry, Aramco would be able to win market share from less-efficient producers.The IPO is a pillar of Prince Mohammed’s much-hyped Vision 2030 plan to change the social and economic fabric of the kingdom and attract foreign investment. The prince, who rules Saudi Arabia day-to-day, is trying to recover his reformist credentials after his global reputation was damaged by the 2018 assassination of government critic Jamal Khashoggi in the kingdom’s Istanbul consulate.Proceeds from the IPO will be transferred to the Public Investment Fund, which has been making a number of bold investments, plowing $45 billion into SoftBank Corp.’s Vision Fund, taking a $3.5 billion stake in Uber Technologies Inc. and planning a $500 billion futuristic city.No matter what the final valuation, the share sale will create a public company of unmatched profitability. Aramco earned a net income of $111 billion in 2018 on revenue of $315 billion.\--With assistance from Nayla Razzouk, Abbas Al Lawati, Filipe Pacheco, Archana Narayanan, Dinesh Nair, Ramsey Al-Rikabi, Jack Farchy and Swetha Gopinath.To contact the reporters on this story: Matthew Martin in Dubai at mmartin128@bloomberg.net;Javier Blas in London at jblas3@bloomberg.netTo contact the editors responsible for this story: Nayla Razzouk at nrazzouk2@bloomberg.net, ;Stefania Bianchi at sbianchi10@bloomberg.net, Bruce StanleyFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
- Bloomberg
Alibaba Calls Off Event for Hong Kong Share Sale Amid Unrest
(Bloomberg) -- Alibaba Group Holding Ltd. called off plans for an investor luncheon in Hong Kong amid intensifying protests in the city, according to people with knowledge of the matter.The e-commerce company is conducting investor meetings by phone rather than in person for its planned new share sale, citing logistics and safety concerns, said one of the people, who asked not to be identified because the information is private.Months of pro-democracy protests in Hong Kong have closed the city’s airport at least twice, while its transit system is increasingly facing disrupted service. Citigroup Inc., one of the underwriters on Alibaba’s offering, warned staff to steer clear of dangerous places after one of its bankers was arrested in the financial district this week.Companies that go public in Hong Kong typically arrange a luncheon with institutional investors on the day book-building commences.A representative for Alibaba declined to comment on the roadshow schedule.Alibaba’s planned offering size hasn’t changed as a result of the protests, Michael Yao, the company’s head of corporate finance, said on a conference call with investors earlier this week.The company priced the retail portion of its Hong Kong share sale at HK$188 each, an auspicious number in Chinese culture. Alibaba said it may price the remainder of its 500 million-share offering above that ceiling, signaling that it aims to raise at least $12 billion, the biggest first-time share sale in Hong Kong this year.Alibaba aims to price the institutional tranche of the offering Nov. 20, according to terms for the deal obtained by Bloomberg. China International Capital Corp. and Credit Suisse Group AG are sponsors for the deal.To contact the reporters on this story: Crystal Tse in New York at ctse44@bloomberg.net;Lulu Yilun Chen in Hong Kong at ychen447@bloomberg.netTo contact the editors responsible for this story: Liana Baker at lbaker75@bloomberg.net, ;Peter Elstrom at pelstrom@bloomberg.net, Michael Hytha, Shamim AdamFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
- Bloomberg
Alibaba's Hong Kong Share Sale Is Feeling Lucky
(Bloomberg Opinion) -- Hong Kong is doing everything it can to ensure Alibaba Group Holding Ltd.'s listing is a roaring success. That's turning the $12 billion mega-sale into a hot item — if you can get your hands on the shares.Alibaba will initially offer only 2.5% of the offering to individual investors, a quarter of the allocation specified in Hong Kong’s listing rules and half the 5% level typically allowed for sales valued at more than HK$10 billion ($1.3 billion). The retail portion may be increased to as much as 10% depending on the level of demand, though that’s still well below the 50% that the listing rules require for the most heavily subscribed offers.The effect of squeezing down the retail offering may be to increase the perceived rarity value of Alibaba shares, magnifying the buzz around what may be Hong Kong’s biggest share sale since 2010. For example, an allocation that is barely covered at 10% would be four times subscribed at 2.5% with the same level of demand.Hong Kong Exchanges & Clearing Ltd. has done its utmost to accommodate Alibaba, introducing rules that allow dual-class shares after resisting change for a decade — and losing the company’s $25 billion initial public offering to New York in 2014. The word “waiver” appears 80 times in Alibaba’s prospectus.With Hong Kong’s economy and markets rocked by protests, there’s much riding on a successful sale. After the listing, HKEX will be home to Asia’s two largest technology companies in Alibaba and Tencent Holdings Ltd. That could help the exchange attract more tech plays such as Southeast Asian ride-hailing giants Grab Holdings Inc. and Gojek.There are reasons to expect Alibaba’s Hong Kong stock to do well. Many mainland Chinese investors will get their first chance to buy shares of the country’s most valuable corporation, once Alibaba is included in the “stock connect” trading pipes that link Hong Kong with the Shanghai and Shenzhen exchanges. Capital controls prevent Chinese investors from easily accessing overseas stock markets, meaning that only those with money parked outside the mainland can trade Alibaba’s U.S. stock. And Chinese technology companies often attract higher valuations on local exchanges than overseas.Alibaba is at the forefront of China’s digital and consumer economies, with its Taobao and Tmall sites continuing to thrive as weakening growth prompts more people to seek bargains online. The company reported record sales for its Singles’ Day shopping festival on Nov. 11 and posted a 40% surge in September-quarter revenue. Its New York-traded stock had risen 33% this year as of Thursday’s close, and 54 of 55 analysts tracked by Bloomberg rate the stock a buy (the other is a hold).Institutions are sure to support the sale, encouraged by expectations of a wall of Chinese money joining them. Demand will come from Asian funds that have overlooked Alibaba previously because they want to trade in their own time zone. Hedge funds also sense opportunity. An expected price gap between Alibaba’s New York and Hong Kong shares is fueling a colossal arbitrage trade, Fox Hu and Carol Zhong of Bloomberg News reported Nov. 14. Alibaba will raise as much as $13.4 billion if an over-allotment option is exercised. The institutional offering will be priced on Nov. 20.In a possible fillip for retail demand, the offering will be Hong Kong’s first fully paperless listing, according to Reuters. Whether by accident or design, that means individuals won’t have to line up at banks or brokerages to obtain application forms — a potential deterrent given the unrest. Even the numbers associated with the listing are auspicious. Alibaba has capped the per-share price for individual investors at HK$188 apiece — double eight is particularly lucky in Chinese. And the company will trade under the stock code 9988, which sounds like “forever prosperous.” It looks like no one is leaving anything to chance. To contact the author of this story: Nisha Gopalan at ngopalan3@bloomberg.netTo contact the editor responsible for this story: Matthew Brooker at mbrooker1@bloomberg.netThis column does not necessarily reflect the opinion of the editorial board or Bloomberg LP and its owners.Nisha Gopalan is a Bloomberg Opinion columnist covering deals and banking. She previously worked for the Wall Street Journal and Dow Jones as an editor and a reporter.For more articles like this, please visit us at bloomberg.com/opinion©2019 Bloomberg L.P.
- Yahoo Finance
Henry Kissinger: A permanent U.S.-China conflict will be 'catastrophic'
Henry Kissinger, with decades of experience of dealing with China, gives his assessment on the two countries' relationship.
- Zacks
Singles' Day Bonanza a Prelude to Holiday Season: 5 Picks
After a successful Singles' Day, American retailers expect a smashing holiday season.
- Reuters
Alibaba gets strong demand for $13.4 billion Hong Kong listing: sources
Alibaba's order books for its $13.4 billion Hong Kong share sale have already been covered "multiple times," sources with direct knowledge of the matter said on Friday, as the ecommerce group kicked off its campaign for the secondary listing in the city gripped by protests. The Chinese e-commerce giant plans to list its shares in Hong Kong from November 26, where it is hoping to raise up to $13.4 billion, and it is marketing the deal to investors around the world. The sources said potential investors had been told that the "quality of demand is high" and that there "continues to be very strong feedback" about the deal.
- Reuters
Alibaba's $13.4 billion bookbuild covered multiple times: sources
Alibaba's $13.4 billion institutional bookbuild for its Hong Kong listing is already covered "multiple times," according to a message sent to investors and verified by sources with direct knowledge of the matter. The Chinese e-commerce giant plans to list its shares in Hong Kong from November 26 and is currently marketing the deal to investors around the world. Pricing of the stock for institutional shareholders will be set on November 20, a prospectus lodged with the Hong Kong Stock Exchange shows.
- Reuters
Explainer: Why is Alibaba listing in Hong Kong?
Chinese e-commerce giant Alibaba is set to price its first share sale in Hong Kong next week, raising up to $13.4 billion (£10.5 billion) in what will be the largest deal in the city since 2010 and the world's biggest ever cross-border secondary listing. WHY IS ALIBABA LISTING IN HONG KONG? Alibaba, which is due to start trading on Nov. 26 in Hong Kong, could also benefit from Chinese demand.
- Reuters
Hong Kong's cash pool tightens as Alibaba primes for $13 billion listing
Alibaba Group's $13.4 billion (£10.5 billion) Hong Kong listing is shrinking cash levels in the protest-wracked financial hub, with short-term borrowing costs shooting back towards a decade-high marked in July. Large IPOs and share sales typically hoover up cash in Hong Kong's relatively small banking system, albeit temporarily. "Timing wise, it's not good for the liquidity to get sucked out of the system as there's a bit of capital outflow happening due to the protests," said a Hong Kong-based senior banker at a European bank, who asked not to be identified.
- Bloomberg
Alibaba Launches Mega Share Sale With $12 Billion Retail Tag
(Bloomberg) -- Alibaba Group Holding Ltd. priced the retail portion of its Hong Kong share sale Friday, issuing an appeal to individual investors in a city in the throes of recession after months of violent pro-democracy protests.The largest Chinese e-commerce company capped the 12.5 million shares available to individual investors at HK$188 apiece -- an auspicious number in Chinese culture -- making it the most expensive first-time share sale in Hong Kong. Alibaba said it may price the remainder of its 500 million-share offering above that ceiling, signaling that it aims to raise at least $12 billion in what would be one of the world’s largest sales of stock this year. The company will price the rest of its international offering by Nov. 20.Asia’s largest corporation is proceeding with what could be Hong Kong’s biggest share sale since 2010. Slated for late November, it’ll be the Chinese e-commerce juggernaut’s official Asian coming-out party -- half a decade after snubbing the financial hub for a record Wall Street debut. Alibaba’s return hands a much-needed victory to a city wracked by protests since the summer, and will please Chinese officials who’ve watched many of the country’s largest private corporations flock overseas for capital. If the deal goes through, Alibaba will challenge Tencent Holdings Ltd. for the title of the largest Hong Kong-listed corporation.“The listing in Hong Kong will allow more of the company’s users and stakeholders in the Alibaba digital economy across Asia to invest and participate in Alibaba’s growth,” the company said. “During this time of ongoing change, we continue to believe that the future of Hong Kong remains bright,” Daniel Zhang, chief executive officer of Alibaba, said in a letter to investors.Read more: Alibaba Is Taking Orders for $11 Billion Hong Kong ListingListing closer to home has been a long-time dream of billionaire Alibaba co-founder Jack Ma’s. A successful Hong Kong share sale could help finance a costly war of subsidies with Meituan Dianping in food delivery and travel, and divert investor cash from rivals like Meituan and WeChat operator Tencent. It will also be a feather in the cap for Zhang, who took over as chairman from Ma in September. The former accountant is now spearheading the company’s expansion beyond Asia but also into adjacent markets from cloud computing to entertainment, logistics and physical retail.What Bloomberg Intelligence SaysAlibaba’s secondary listing in Hong Kong could lead to a shake up of the Hang Seng Index, the city’s main stock benchmark. The 50-member index is heavy on financial stocks, when comparing weights to other leading equity indexes in the world. Meanwhile, IT, industrials and consumer discretionary stocks are severely underrepresented.\- Steven Lam, analystClick here for the researchA marquee name like Alibaba’s could draw investors and boost trading liquidity for Hong Kong Exchanges & Clearing Ltd., which just incurred its biggest profit slump in more than three years. For Hong Kong, it’s bit of welcome news following half a year of often violent protests that have at times paralyzed the city and its service industry. Efforts to court Alibaba emanated from the very top, with Chief Executive Carrie Lam herself exhorting Ma to consider a listing in the city.Alibaba has considered a Hong Kong listing for a long time, Michael Yao, head of corporate finance at Alibaba, said on a call with investors this week. The deal size hasn’t changed as a result of the protests, he added.(Updates with details of price per share comparison in second paragraph)\--With assistance from Zhen Hao Toh.To contact the reporters on this story: Lulu Yilun Chen in Hong Kong at ychen447@bloomberg.net;Alistair Barr in San Francisco at abarr18@bloomberg.netTo contact the editors responsible for this story: Peter Elstrom at pelstrom@bloomberg.net, Edwin Chan, Colum MurphyFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
