Alibaba.com Shares Trade At 160%+ Premium In First Days Trading
Written by on November 6th, 2007 in Ajax News.
The IPO of Alibaba.com hit the Hong Stock Stock Exchange Tuesday (local time) with a big increase over its initial offering price.
Alibaba.com is a spinoff from the Alibaba Group, the company that owns Alipay, Taobao.com and Yahoo China and is 40% owned by Yahoo.
Applications for shares in the IPO were 256x the amount of stock available, 858.9 million shares or 17% of the company. The IPO price was HK$13.50 ($1.74) per share.
As of 12:30pm local time (+8 GMT) Alibaba.com shares were trading at HK$35.75 ($4.60), an increase of 164% on the list price.
Yahoo is a big winner from the IPO, having obtained a 8.2% stake pre-IPO that went from a paper value of $720.89 million to $1.9 billion based on the 12:30pm price.
Alibaba now has a market cap of a rather staggering $23.24 billion, significantly more than the market cap of China’s biggest search engine, the NASDAQ listed Baidu on $14.05 billion.
See our previous coverage here and here.
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Source: TechCrunch
Original Article: http://feeds.feedburner.com/~r/Techcrunch/~3/180420786/