Alibaba IPO Expected After Labor Day
Back in May, Chinese ecommerce giant Alibaba filed for tis IPO, which is to be the biggest ever for a tech company.
The IPO had been expected to take place in August, but The New York Times is now reporting, citing people with knowledge of the matter, that it will come sometime after Labor Day. The NYT’s Michael De La Merced reports:
Going public in August was always seen as an ambitious, though potentially achievable, target. Company executives and their armada of bankers at six investment banks had set Aug. 6 as a potential day to price the offering, with trading beginning the next day.
But to hit that target, Alibaba would have had to begin its global road show to investors, a nonstop flurry of presentations to big institutional firms around the world, sometime next week.
The company isn’t commenting.
Alibaba’s IPO is expected to raise $20 billion with the company’s worth reaching over $200 billion.
Earlier this week, Yahoo reported its quarterly earnings, and announced that it has entered an amendment to its share repurchase agreement with Alibaba, reducing the number of shares Yahoo is to sell at the IPO from 208 million to 140 million.
Alibaba recently expanded its presence in the U.S. with the announcement of a Main street-inspired marketplace website called 11 Main.
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