[photopress:jack_ma200.jpg,full,alignright]Alibaba.com, China’s biggest e-commerce company, is to have its IPO of stock in Hong Kong and not in the United States as was previously thought. Alibaba is expecting to raise up to US$1 billion in this IPO which makes it that Alibaba has a wonderful lamp.
Goldman Sachs and Morgan Stanley will handle the deal. The South China Morning Post advances the theory that the IPO is in Hong Kong rather than Nasdaq in New York because of a tighter regulatory environment in the USA in the wake of the Enron and WorldCom scandals.
This view is far from universally accepted. Many mainland technology firms still favour listing on the Nasdaq where there is a large pool of mostly West Coast investors with a long history of trading and understanding high-tech companies. On the other hand, it would be an ignorant investor, indeed, who has not heard of Alibaba and its charismatic founder, chairman and CEO, Jack Ma.
Source: China Daily