Chinese tech giant Alibaba Group has announced plans to raise approximately HK$12 billion ($1.53 billion) through exchangeable bonds to bolster investments in cloud infrastructure and global commerce operations. The bonds, linked to Alibaba Health Technology, will allow investors to convert them into shares in Alibaba Health without accruing interest.
Alibaba’s previous $5 billion bond in 2024 was the largest of its kind in the Asia-Pacific region. The company’s focus on AI, including Qwen AI models and cloud services, aligns with its strategic expansion into Thailand, Mexico, and South Korea. This move reflects growing investor interest in the Asian credit market post-Beijing’s economic stimulus efforts.
Key highlights:
• Alibaba seeks to raise $1.53 billion through exchangeable bonds for cloud and commerce.
• Investors can convert bonds into Alibaba Health shares without interest.
• Previous $5 billion bond was the largest in Asia-Pacific in 2024.
• Alibaba expands AI initiatives and cloud services globally.
• Move indicates increased investor interest in the Asian credit market.
The development showcases Alibaba’s commitment to innovation and global market expansion amid growing investor confidence in the Asian tech sector.
Source: Technology News Today, Latest Tech News | The Hindu