Alibaba values itself at US$ 133bn according to a US regulatory filing. This is significantly up from a valuation of US$ 119 bn in June. Alibaba seeks to raise approximately US$ 20 bn which is deemed to be the biggest initial public offering ever.
The company could start trading as soon as early August, although some people familiar with the deal say plans may be delayed.
Investor excitement around the listing is high as China’s ecommerce market, which Alibaba dominates, is growing rapidly. New consumers in China are coming online for the first time thanks to cheap smartphones, while improvements in infrastructure are enabling merchants to improve quality of service.
Yet some investors and corporate governance analysts say they are closely watching the company’s corporate governance standards, as independent directors will make up only a minority of the board.
Source: Financial Times