Alibaba Group Holding Ltd. announced plans on Sunday to raise approximately HK$80 billion ($10.2 billion) through a share placement in Hong Kong. The company will issue 710 million new shares. This transaction marks Alibaba's first share placement since its 2019 listing in the city.
The offering is priced at HK$112.70 per share. This price reflects a 3.6% discount to the most recent closing price.
Alibaba will allocate all net proceeds to develop full-stack artificial intelligence capabilities. Funding will support the entire AI lifecycle, including chips, infrastructure, and model deployment. The strategy aims to bolster Alibaba's position against global rivals following heavy capital expenditures in the sector.