The company’s share is expected to begin trading at a price between $80 to $83 per share, thus a bargain price way above the $68 IPO level.
Alibaba is a HangZhou-based Chinese e-commerce company founded in 1999 by Jack Ma.
The company started out as a business-to-business portal to connect Chinese manufacturers with overseas buyers. However, today it has grown into an e-commerce giant covering business-to-business online web portals, online retail and payment services, a shopping search engine and data-centric cloud computing services.
Today, the company is valued at $167.6 billion at the IPO price, making it larger by market value than U.S. e-commerce rival Amazon.com Inc. If its shares rise above $87 — 28 percent over the IPO price — it will be larger than Amazon.com and EBay Inc. combined, the two U.S. companies against which it’s most often compared.
Davy Desmond, Readers Bureau, Senior Fellow
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