Reuters reported on Tuesday that Alibaba plans to carry out a dual IPO listing in the Hong Kong stock market in the final week of November. The company has been preparing a Hong Kong IPO following the New York stock market.
Citing two officials who know about the situation, the news agency said Alibaba with Hong Kong listing will raise 10 billion to 15 billion U.S. dollars.
According to the officials, Alibaba applied for the approval of the dual listing with Hong Kong’s stock market president committee on Tuesday.
U.S. market research firm Dilogic said Alibaba’s double listing will be the largest ever.
Alibaba going on with Hong Kong listing after previously delayed it
Although Alibaba initially set the Hong Kong listing in late August, it decided to delay the listing in consideration of the growing political and social chaos. Including a series of protests against the extradition law in Hong Kong since June.
Markets predict that Alibaba has decided to go ahead with its listing within November. Considering that it could no longer delay the listing as the situation has not been favorable. Although it had planned to launch a double listing in October. If political tension calmed down and market conditions improve in Hong Kong.
In 2014, Alibaba went public to the New York stock market instead of Hong Kong’s stock market. And it is maintaining the largest amount of new IPO at $25 billion. Even though Aramco’s listing might claim the title.
The Hong Kong Trading Center refused to recognize the listing of the shares. Saying it goes against the one-week, one-vote principle that sets the equality of shareholders’ rights.
However, the Hong Kong Trading Center revised its rules in April 2018 to allow high-tech companies to enter the stock market. Since then, Chinese smartphone maker Xiaomi and delivery app site May Nanping have been listed on the Hong Kong stock market one after another. Both successfully raising funds on a large scale.
