Alibaba proposes one-to-eight share split

Chinese tech giant Alibaba has announced a one-to-eight share split plan ahead of its secondary listing in Hong Kong.

The plan, which is subjected to a vote at Alibaba’s annual general meeting in Hong Kong on July 15, will “increase the flexibility” for the company’s future capital market activities, the company said in its statement.

If approved, the share split will come into effective no later than July 2020.

The Hangzhou-base e-commerce giant went public in New York in 2014, raising USD 25 billion in its initial public offering (IPO).

Alibaba filed an IPO application with the Hong Kong bourse last week, which could help the company raise up to USD 20 billion in the market.