Alibaba Group has taken the next step in its much-discussed path towards the IPO of its B2B division by confirming that it has filed application papers with the Hong Kong Stock Exchange. The IPO is expected to raise US$1 billion and is thought likely to take place before the end of this year.

Analyst for Sanford Bernstein, Jeffrey Lindsay wrote in a report last week, “If Alibaba’s IPO is as successful as Baidu’s—which we think unlikely because Baidu was also listed on the U.S. markets—then Alibaba’s maximum potential valuation would be $10.7 billion: the contribution to Yahoo’s stock price would be $2.04”. Source: Various Media Reports

BIIA Newsletter September – 2007 Issue