Friday, September 19, 2014

Alibaba shares boosted by more than 38 percent – handelszeitung.ch

Alibaba shares boosted by more than 38 percent – handelszeitung.ch

The Chinese online retailer Alibaba is facing a strong start on the New York Stock Exchange. The traders on Wall Street were inundated with orders from investors who were left empty-handed in the allocation of Alibaba shares. Therefore, the first course was a long time, more than one and a half hours, a price 89-91 Dollar recorded from 17 against clock.

rms have the shares in its IPO on the New York Stock Exchange in the face of huge demand more than 36 percent risen to $ 92.70. A little later the coveted paper cost $ 99.70 even before the course gave back to around $ 93. The shares were issued at $ 68. Experts had expected only at a price jump from ten to 15 percent in advance.



Huge rush

The volume of the IPO amounted to 25 billion dollars. The purchase orders for Alibaba shares were three times as high as the stock market debut of Twitter and 70 percent of the order volume of Facebook said a market strategist of large stockbroker TD Ameritrade

“This is the biggest IPO, the world has ever seen, so there is a festive mood on the floor – whether you like it or not.” said stockbroker Benedict Willis of Sunrise Securities. An investor who had ordered 200,000 shares for 13.6 million dollars, said he had been allocated 1,000 units. 35 to 40 investors, including the giant BlackRock fund had ordered each for more than a billion dollars Alibaba papers, as it was called in financial circles. Many investors had been assumed or disappointed empty in the allocation of Alibaba shares.



More valuable than Coca-Cola

With the first course Alibaba’s almost $ 230 billion (180 million euros ) worth more than long-established U.S. corporations such as Walt Disney and Coca-Cola – and again $ 61 billion more than the issue price

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Eine number of managers and software professionals at Alibaba are the step to the stock market millionaires. Only billionaire Ma collected almost $ 900 million. "I do not want to disappoint the shareholders," the company's founder, said on CNBC. "I want to make sure they make money." Largest Alibaba shareholder is the Japanese Softbank with 32 percent, but has now separated from any share.

 

Angela Merkel and the Wall Street

Even German Chancellor Angela Merkel looks excited to Wall Street: "If today held the IPO of Alibaba, this indicates but that the world does not sleep that Chinese large companies long global player are, "she said at the National Association of German craftsmanship. The rival Amazon and Ebay have already overtaken the Chinese at market value. E-commerce experts see Alibaba on par with Facebook and Google. Ma had investors in his promotional tour convinced: "This was one of the more impressive presentations," said Jerry Jordan, who manages the 48 billion dollar Jordan Opportunity Fund. "I did not realize how successful they are."

15 years after its founding in Mas one-room apartment wrapped Alibaba more business from as Amazon and Ebay together. About 80 percent of online sales in China, the second largest economy in the world, go to the account of Alibaba. From April to June, revenues shot up by 46 percent up, and unlike many Internet companies, the company makes profit: $ 1.99 billion it had in those three months

Zalando shares even for euphoria.

German Internet companies are still far away from such orders of magnitude. The E-commerce market candidates Zalando and Rocket Internet each valued at around five billion euros. The online fashion retailer Zalando was recorded on Friday but also on the stock market euphoria: Its shares which can be subscribed since Thursday for 18 to 22.50 euros, traded in the gray market for up to 26,75 €

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For many, the name Alibaba outside China but still sounds exotic: According to an Ipsos poll commissioned by Reuters, 88 percent of Americans have never heard from Alibaba. On the edge of critical voices were raised: "Historically, there has rarely been an IPO of this size, in which they knew less about the company," said Democratic Senator Bob Casey of Pennsylvania. "I'm still worried about the transparency of Chinese companies that are listed on our exchanges." On the Frankfurt Stock Exchange have scandals in small Chinese firms caused a considerable stir.

(reuters / ise / chb)

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