Alibaba’s future hangs on IPOs of spawned units


New strategy: A pedestrian walks past Alibaba’s headquarters in Hangzhou. The company is splitting off business divisions equal to almost half its value. — Bloomberg

A SIX-WAY split of Alibaba Group Holding Ltd means the value of China’s largest eCommerce player will be increasingly divorced from its actual operations, depending instead on equity-market assessments of the units it spins off.

That would make the first few initial public offerings (IPOs) – when they happen – crucial to the conglomerate’s future.

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alibaba , ipo , split , valuation , china , ecommerce , tech , startups , investors , regulation

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