Alibaba's $20 Billion Share Sale to Pressure Hong Kong Rates
- Chinese e-commerce giant said to plan secondary offering
- Demand for cash likely to rise in weeks around the listing
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A planned $20 billion offering by Alibaba Group Holding Ltd. would likely squeeze liquidity in Hong Kong, pushing up borrowing rates in the city and strengthening the local dollar.
China’s largest company is considering a second listing in Hong Kong, people familiar with the matter said, potentially rivaling AIA Group Ltd.’s initial public offering in 2010 as the city’s biggest-ever share sale. Liquidity would tighten in the weeks around a listing due to demand for cash from subscribers. Alibaba raised a record $25 billion in its 2014 debut in New York.