Chinese e-commerce giant Alibaba’s initial public offering is priced at $68 per share. This offering is expected to raise around $21.8 billion, and would raise the company’s market valuation to $167.6 billion, Reuters reports. Also Read - Ant Group ordered by China to reexamine its fintech businesses and return to its roots as a payments service
At this price, Alibaba’s IPO is bigger than some American giants like Walt Disney and Boeing, and also tops its rivals like Amazon and eBay. Alibaba’s listing will be the third largest IPO following Agricultural Bank of China’s $22.1 billion listing in 2010 and ICBC’s $22 billion in 2006. The IPO will also allow Alibaba investors including Softbank and Yahoo to earn massive profits. The latter is said to be selling $8 billion worth of shares in the offering, leaving it with a 16.3 percent stake. Also Read - India bans 43 more Chinese apps over security concerns
The publication also claims as many as 40 institutions placed orders for shares worth $1 billion and more, but many are finding it difficult to get their hands on their shares. One such investor is Maple Capital Management, which had placed an order for 5,000 Alibaba shares, but have been told that the “offer was oversubscribed and that they would probably not get the full order.” Also Read - India bans 47 more Chinese apps; 250 more including PUBG Mobile under review
