Alibaba.com, the B2B arm of China-based Alibaba Group, told investors that it plans to raise up to $1.33 billion through its IPO, currently scheduled for November 6th. Bloomberg has the full details: the company plans to sell 858.9 million shares at HK$10-HK$12 (US $1.29-$1.54) each; at the upper end of the range, it will have a market cap of $7.8 billion market cap, making it the largest internet IPO in Hong Kong this year. Last week, Yahoo, which owns a 40 percent stake in the parent company, said it would purchase 10 percent of the IPO shares.
Meanwhile, the company’s decision to list in Hong Kong rather than the US is looking like a good one. As MarketWatch discussed this morning, the market there is up 41 percent in the seven weeks since the Chinese government opened it to select mainland investors. It’s no wonder that the company’s plan to raise $1.33 billion is above the $1 billion it thought it could raise when it announced its intentions in July.