Asia’s richest man, Li Ka-shing, is selling a quarter of his holding in Alibaba Holding Group Ltd. through his foundation, cashing in an estimated HK$166 million (US$21.42 million), the Hong Kong Economic Journal reported Monday, citing unnamed sources.
The Chinese e-commerce giant is seeking as much as US$24.3 billion in what may be the biggest initial public offering (IPO) on record, surpassing the US$22.11 billion IPO by Agricultural Bank of China Ltd. (01288.HK) in 2010.
Alibaba is issuing 320 million American depositary shares at an indicative price range of US$60 to US$66.
About 123 million of the units would be issued by the company, with the rest being sold by chairman Jack Ma, vice chairman Joseph Tsai, Yahoo Inc. and other existing investors.
Li Ka Shing (Canada) Foundation, which holds 1.29 million shares, or 0.1 percent of the stock, is selling 322,600 shares.
The listing would value Alibaba at US$163 billion to US$187 billion, potentially overtaking Amazon.com Inc. to become the third largest listed internet and technology counter.
Analysts said Alibaba may be trying to tamp down market expectations over its valuation to avoid pressure on its share price after the debut.
The company has made a number of acquisitions this year that could have jacked up the price of its shares.
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