Alibaba stock slumps in Hong Kong after $10.2 billion share placement to fund AI
Alibaba launched a $10.2 billion share placement at HK$112.70 per share, an 8.4% discount, to fund AI development. Following the announcement, its shares dropped nearly 10% in Hong Kong trading, raising investor concerns about the dilution of shareholder value and the timeline for returns on AI investments. The placement is the largest by a Hong Kong-listed company this year.