The best regulated crypto exchange
Find out why?
Christmas game by Currency.com
Win 1 Bitcoin. 1000 presents
Get My Gift

Alibaba to pay $32.3m for Hong Kong listing

By Yana Berman

Chinese e-commerce giant is expected to raise $12.9bn from next week’s IPO

Chinese e-commerce giant will pay $32.3m (£24.9m, €29.1m) in fees to banks chosen to lead its Hong Kong listing.

The IPO will be lead by two co-sponsors, China International Capital Corp and Credit Suisse, Reuters reports. Citigroup Inc, JP Morgan and Morgan Stanley were appointed as joint global co-ordinators. HSBC and Industrial and Commercial Bank of China also have senior roles.

Alibaba is paying $28.1m for the sale of 500 million of its shares, according to the US Securities and Exchange Commission (SEC).

The total amount of fees will climb up to $32.3m if Alibaba issues an additional 75 million shares.

The amount received by each bank was not revealed. Usually the co-sponsors are paid the most.

The banks will also get their profits from the 1 per cent brokerage fee paid by investors who buy the stock in the secondary listing.

Alibaba's IPO is scheduled for next Tuesday, November 26. The company will raise up to $12.9bn, according to the SEC.

The investors' interest listing was boosted by record sales during the Singles' Day in China on November 11. The company revealed it sold goods worth $38.4bn in just 24 hours.

FURTHER READING: Alibaba plans Hong Kong’s first paperless IPO

Subscribe to Currency.com news
iMac Image
The most beautiful trading app
google play storeapple store
iPhone Image
iPhone Image