NEW YORK (TheStreet) -- Shares of Yahoo! (YHOO) rose to a 52-week high of $44 in morning trading Monday after Reuters reported Alibaba, in which Yahoo! holds a 22% stake, plans to increase its IPO size due to "overwhelming" investor demand.
The Chinese e-commerce company debuted the initial public offering last week and investor demand was great enough to cover the entire deal in two days, according to the report.
Alibaba could break the world record for largest IPO if underwriters exercise an option to sell additional shares to meet demand, which could increase the IPO to $24.3 billion. This would beat the $22.1 billion record set by Agricultural Bank of China in 2010.
TheStreet's Brittany Umar has more on Alibaba's plan to boost its IPO price:
Alibaba and some of its shareholders offered 320.1 million American depositary shares at a range of $60 to $66 per share. Alibaba would likely file an amendment to its IPO Monday with an increased price range after talking to large U.S. mutual funds and institutional investors, according to Reuters.
Bloomberg previously reported Alibaba could increase the top end of its IPO range to more than $70.
Yahoo! holds a 22% stake in Alibaba and is set to receive a major windfall when the Chinese company goes public.
Separately, TheStreet Ratings team rates YAHOO INC as a "buy" with a ratings score of B. TheStreet Ratings Team has this to say about their recommendation: