Alibaba, the Chinese e-commerce giant run by Jack Ma, has submitted F-1 paperwork to the SEC with the expectation that it will go public on September 8 under the NYSE symbol BABA.
The filing appeared on SEC.gov today. 20.1 million shares will be on offer. Japanese investor Softbank currently owns 34 percent of the company while Yahoo owns 22 percent.
The initial price is expected to hit at $60-66 per share with an initial valuation of up to $162 billion. At that valuation, Softbank’s share of the firm is worth around $55 billion, and Yahoo’s stake is worth more than $36 billion.
In after-hours trading, Yahoo is up more than 1 percent, implying that investors in the American Internet giant are content with the Alibaba offering price range, but not surprised on the positive side. Yahoo ended the day worth just over $39 billion. Investors are therefore valuing Yahoo somewhat slimly when compared to the expected market value of its Alibaba shares.
The proposed valuation alone would make Alibaba and its subsidiary Taobao the second most valuable Internet company after Google. The Wall Street Journal, however, is expecting a valuation of $155 billion, still far from shabby. You may now commence the pricing guessing game.
Earlier estimates pointed to a filing in last week in August, a slip of about a week from market expectations.
Read more on this story at TechCrunch.
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