This Day On The Street
Continue to site
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Alibaba Chooses NYSE For IPO

NEW YORK (The Deal) -- Chinese e-commerce company Alibaba Group Holding Ltd. on Friday chose the New York Stock Exchange for its potentially record-setting initial public offering, dealing a blow to the technology-heavy Nasdaq.

Alibaba said it would list under the ticker BABA, a reflection on both the company's name and the Chinese word for "eight," which is seen as a lucky number.

The company is expected to list just 12% of itself and may arrive with a valuation nearing $200 billion. That would make the sale bigger than Facebook (FB - Get Report) $16 billion IPO in May 2012 and give Alibaba a market valuation above Facebook's $172 billion, Oracle's  (ORCL - Get Report) $178.8 billion, and IBM's  (IBM - Get Report) $182.6 billion.

The sale could lead to a windfall for Sunnyvale, Calif.'s Yahoo! (YHOO - Get Report), owner of 24% of Alibaba.

The decision continues a run of technology successes for the NYSE after Nasdaq, once synonymous with tech IPOs, received a black eye during troubles with the high-profile Facebook IPO. Last year, the NYSE hosted Twitter's debut as well as those of stock photo supplier Shutterstock and real estate site Trulia.

Hangzhou, China-based Alibaba filed for its IPO in May and has spent much of 2014 paying nearly $6 billion to keep its pole position as China's biggest online retail site and to expand into new areas. This month, it agreed to buy one-third of mobile browser maker UCWeb Inc. and 50% of the Guangzhou Evergrande soccer team from Hong Kong-listed Evergrande Real Estate Group Ltd.

In April, Alibaba and the investment vehicle of its billionaire founder Jack Ma agreed to pump $1.22 billion into Chinese Internet TV company Youku Tudou Inc. Alibaba also announced a $1.85 billion agreement to take Nasdaq-listed digital map maker AutoNavi Holdings Ltd. private and an $803 million deal to move its minor stake in content provider ChinaVision Media Group Ltd. to a majority.

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Submit an article to us!
SYM TRADE IT LAST %CHG
FB $77.75 -1.30%
IBM $172.67 -0.75%
ORCL $44.04 -1.20%
TWTR $37.25 -1.70%
YHOO $41.66 -0.90%

Markets

DOW 17,998.00 +69.80 0.39%
S&P 500 2,089.46 -25.03 -1.18%
NASDAQ 4,939.3270 -77.6020 -1.55%

Partners Compare Online Brokers

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs