Alibaba's stellar HK debut

Asian businesses now have access to large, new capital

The listing of e-commerce giant Alibaba in Hong Kong (HK) in a secondary offer last week has many implications. Alibaba listed on the New York Stock Exchange (NYSE) in 2014, raising a record $25 billion. The offer in HK raised over $11 billion, by selling 2.8 per cent of stock. It is the largest initial public offering (IPO) of 2019 and can get even bigger, swelling to over $13 billion, if institutions exercise all their greenshoe options. The IPO is an endorsement of the relaxation of rules by HK’s market regulator. Alibaba has a complex corporate structure with dual-class equity;