Ready to give up Hongkong to New York listed Alibaba
NetEase technology news September 9th, according to the Financial Times reported that Alibaba is preparing to give up the scale of $60 billion in Hongkong IPO program, and transferred to the NYSE listing. However, sources said that the premise of this plan is that senior managers can not nominate the majority of directors of the board of directors, that is, Ma team can not get more voting rights.
founder Jack Ma and other senior executives have slightly more than 10% of the shares of Alibaba. But they still want to master the board of directors of China’s largest e-commerce companies, so that they can defend the strategic direction and culture of Alibaba. So they are prepared to take the majority of American Technology Corp, such as Google’s dual class share issue strategy.
but the Listing Rules of Hongkong expressly prohibit dual class shares, so that some shareholders have more voting rights. Local market regulators are expected to stick to the principle that any business should treat all shareholders fairly.
Hongkong and China are losing, the world’s most anticipated listing plan after Facebook. Although Alibaba has been listed for several months in Hongkong planning.
a company insider said, the discussion is ongoing, we would like to go on the market in Hongkong. But if we can not be listed in a comfortable way (board structure), New York is still a viable option."
Hongkong is regarded as the best choice for Alibaba, if the largest e-commerce company in the United States to the United States market, China will be very disappointed.
the company is currently taking partner structure to operate, 20 executives responsible for the daily business together. The partnership system formed in 2010. The rest of the company’s shares held by Japanese Telecommunications Company Softbank, Yahoo Corp in the United States, a handful of private and sovereign wealth funds and other staff.
the partner system by Larry · one of the founders of Google Paige strongly influence. He listed in 2004 before the establishment of quasi shareholders. Page and Brin and co-founder Sergei · the dual class equity structure, giving them more voting power, to ensure the control of Google. But this is not allowed in Hongkong.
Hongkong listing committee, approved by the Hongkong Stock Exchange on behalf of market participants, the Hongkong securities and futures commission. It doesn’t like the dual ownership structure.
Alibaba has not submitted a formal application. But the company’s advisers and members of the Listing Committee of Hongkong, the Commission had an informal exchange, it seems very variable.
, a person familiar with the Alibaba’s Committee consultant said, "a lot of people (Hongkong listing committee) to support the requirements of the Alibaba, but there are still some opposition, this is the problem, (Hongkong stock commission) if they do not make concessions, they will go to other places." (Bing Han)