The Chinese company could begin its journey on the Hong Kong Stock Exchange after the rules were changed to allow the entry of Chinese companies quoted in other countries.
Alibaba sets the course to make the leap to the Hong Kong trading floor. The Chinese giant of ecommerce has already submitted all the necessary documentation to be able to start trading on the Hong Kong Stock Exchange for the coming months, where it could raise up to 20,000 million dollars (17,670 million euros).
The objective of this operation would be obtaining enough funds to undertake technological investments, as well as to gain more visibility among investors in a context of trade war between China and the United States, according to Bloomberg.
Alibaba already led the largest IPO in 2014 when it managed to collect 25,000 million dollars (22.149 million euros) on Wall Street. On this occasion it has counted with International Capital and Credit Suisse to lead the IPO. At present, the Chinese group is one of the most valuable companies in the world by value of stock market capitalization, when last summer exceeded 500,000 million dollars (442,995 million euros).
Alibaba boosted its profit in the last fiscal quarter by 242%, to 3,346 million
The move by Alibaba to enter the Hong Kong Stock Exchange comes after the Asian market changed the rules in 2018, which allows Chinese companies quoted in other foreign markets to join this market with a second price. In this sense, the regulator changed the rules regarding the voting rights and the different types of titles with the purpose of attracting technological giants.
The company founded by Jack Ma in 1999, registered a 51% increase in its sales in its last fiscal quarter, reaching 15,337 million dollars (13,590 million euros), while the profit doubled to 3,776.13 million dollars (3,346 million euros), motivated by the revaluation of its investees.