Business /
Banking & Finance
Alibaba jumps 15 per cent to power Hong Kong stocks as reorganisation plan buoys Tencent, JD.com and Chinese tech peers
Alibaba Group logs its best one-day rally since a 21 per cent surge on November 4 on the back of business reorganisation plan
News fuels a rally on tech peers, a day after co-founder Jack Ma returned to mainland China for the first time after more than a year of travel overseas
Mia Castagnone
Mia Castagnone
+ FOLLOW
Published: 10:10am, 29 Mar, 2023
Why you can trust SCMP
TOP PICKS
Coronavirus
Hong Kong to host global advisers for China’s US$1.35 trillion wealth fund
28 Mar 2023
New Beijing Poly Plaza, the location of the headquarters of China Investment Corporation in Beijing. Photo: Shutterstock
Business
Indebted Chinese developer puts Hong Kong hotel on market for US$828 million
27 Mar 2023
The Sheraton and Sheraton Four Points Hong Kong, in Tung Chung. Photo: Handout
Business
Chinese EV maker doubles down on battery-swap model with 1,000 new stations
28 Mar 2023
A view of Nio’s third-generation battery-swap station at its delivery centre in Jiading, Shanghai. Photo: Daniel Ren
Business
Hong Kong stocks gain as China vows to open markets, Tingyi sinks on earnings
28 Mar 2023
A man on a bicycle stands in front of an electronic board showing stock indices in Shanghai, Tokyo and New York. Photo: Reuters
Business
Warren Buffett-backed BYD posts record quarterly profit of US$1.06 billion
28 Mar 2023
Visitors view a BYD Dolphin EV car at the 44th Bangkok International Motor Show in Bangkok, Thailand, on March 23, 2023. Photo: Reuters
Business
China stock bets doubted as empty containers pile up at ports amid export slump
27 Mar 2023
Containers are stacked up at a port in Qingdao, Shandong province. China’s weakening exports could weigh on the shares of shipping companies and port operators, fund managers say. Photo: Reuters
Business
China funds bemoan consumption recovery, housing drag in Goldman meetings
28 Mar 2023
A man sits beneath a statue of a bull in Lujiazui main financial district of Shanghai on March 16, 2023. Photo: EPA-EFE
Business
Sunac China unveils sweetened restructuring offer to holders of offshore debt
29 Mar 2023
Sunac China has unveiled sweetened debt restructuring offer. Photo: Bloomberg
News
Hong Kong-Thai ‘most beautiful’ transgender film star in US$570,000 nuptials
14 Mar 2023
Model Poyd Treechada Petcharat, known to many as “Thailand’s Most Beautiful Transgender”, tied the knot in a lavish ceremony in Phuket this month with her partner Oak. Photo: SCMP composite/handout
News
‘She shows style and charisma’: millions love Chinese student’s celebratory stunt
18 Mar 2023
A young Chinese student has wowed a graduation ceremony in the UK by performing a celebratory “side flip” as she collected her diploma, winning millions of followers on mainland social media. Photo: SCMP composite/handout
Post
Trader works at the post where Alibaba is traded on the floor of the New York Stock Exchange on March 28. Photo: Reuters
Trader works at the post where Alibaba is traded on the floor of the New York Stock Exchange on March 28. Photo: Reuters
Hong Kong stocks jumped as Alibaba Group Holding powered a rally in Chinese technology companies after the e-commerce market leader unveiled a business reorganisation to boost profits and add value to shareholders.
The Hang Seng Index gained 2.2 per cent to 20,224.33 at 10.06am local time. The Tech Index climbed 3.2 per cent, the most in a week, while the Shanghai Composite Index added 0.2 per cent.
Alibaba Group surged 15 per cent to HK$96.85 for the stock’s biggest advance since a 21 per cent surge on November 4. The rally, which added HK$ billion to its market capitalisation, mirrored an overnight surge of 14 per cent in the company’s American depositary shares in New York.
Alibaba Health Information jumped 7.5 per cent to HK$6.45 and JD.com advanced 6.5 per cent to HK$166.20, while Tencent Holdings gained 5 per cent to HK$397. Meituan rallied 4 per cent to HK$140 while Baidu jumped 3.2 per cent to HK$157.10.
Alibaba, the owner of this newspaper, announced on late Tuesday that it would split the US$257 billion tech empire into six independently run units, shortening decision-making process and making them profit and loss centres accountable for their own capital funding.
The stock had fallen 2.3 per cent this year through Tuesday, erasing HK$84 billion of market value from the group, amid worries about China’s post-Covid consumption recovery.
After long absence from China, Jack Ma makes rare appearance to visit school in Hangzhou
The announcement came a day after its co-founder Jack Ma returned to mainland China for the first time after more than a year on travel overseas. Ma, one of China’s richest tycoons, stepped down as the group chairman on his 55th birthday in 2019 as part of a succession plan.
Key Asian markets also advanced. Softback Group, which owns a stake in Alibaba, surged as much as 6.4 per cent, aiding a 0.6 per cent rise in the Nikkei 225 Index. The S&P ASX 200 Index in Australia rose 0.1 per cent, while the Kospi in South Korea was little changed.
CONVERSATIONS
Mia Castagnone
Mia Castagnone
+ FOLLOW
Born in Australia, Mia graduated from the University of Sydney with a Bachelor of Arts in Media and Communications and Chinese Studies. She previously worked at various local media including the Sydney Morning Herald, before joining the Post as a graduate trainee in 2021.
Hong Kong stock market
