Alibaba Group Holding Ltd, the company behind the Chinese valuable e-commerce website”Alibaba.com”, is now considering to list its IPO in New York instead of Hong Kong stock exchange.
Initially, the company was planned to list the IPO in Hong Kong stock exchange, but the agreement fell down after months of negotiations. The listing will be a victory for the whatever U.S. stock exchange wins the Alibaba’s IPO. A person close to the Alibaba has told NYTimes, that “the deal between the company and Hong Kong exchange has ended” and it’s looking for the enlisting in New York exchange.
If Alibaba’s tech IPO lists successfully in U.S., then it will be the second largest and second most anticipated tech debut after Facebook’s Initial Public Offerings. According to the analysts, this new tech stock will possibly value the company around $70 billion, which will be higher than that of the Twitter, another company to enter into the IPO soon.
Jack Ma, founder of Alibaba said i the letter to employees:
“We believe that only a group of people who are passionate about the company and are mission-driven will be able to protect the company from external pressure from competition and temptation to seek short-term gains.”
Alibaba founded by Jack Ma in 1999 and now it’s a partnership firm of 28 members, where the partnership board has 10% of the company, Yahoo has a 24% partnership and SoftBank has a 36.7% of the partnership. It has acquired and built many other popular websites and services, which is now scooped into the Alibaba Group. In the 2013 Q1 results, the company has tripled the profit to $668.7 million from the 72% increased revenue of $1.38 billion.