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Bloomberg: Alibaba Mulls Second Listing In Hong Kong

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Chinese e-commerce giant Alibaba Group Holding Ltd. (BABA) is considering raising $20 billion through a second listing in Hong Kong, Bloomberg reported Monday, citing people familiar with the matter.

This would be the company's second blockbuster deal after its IPO in New York raised $25 billion in 2014. The New York IPO of Alibaba was the world's biggest ever and gives the company a current market capitalization of more than $406 billion.

According to the Bloomberg report, Alibaba is working with financial advisers on the planned offering. The company intends to file an application confidentially in Hong Kong as early as the second half of 2019.

Alibaba's planned second listing comes as tech companies are increasingly being drawn into the U.S.-China trade war. Last week, Chinese chipmaker Semiconductor Manufacturing International Corp. (SMI) said it will delist its shares in New York and instead focus on its Hong Kong listing.

Alibaba's second listing will also bring the company closer to investors at home in China. Last year, the Hong Kong Stock Exchange introduced dual-class tech stock listings, enabling the bourse to attract tech companies such as Chinese smartphone maker Xiaomi Corp. and internet services provider Meituan Dianping.

The listing will enable Alibaba to diversify its funding channels and boost liquidity, according to the Bloomberg report.

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