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Things are turning sour for Alibaba in the US: Its blockbuster listing there in 2014 could now turn into a liability as it struggles to do e-commerce with American businesses.
It was hardly easier for her in China under a technological attack by the government, but today it is reached private investors there, with its board of directors authorizing management to apply for an initial listing on the Hong Kong Stock Exchange. The process is expected to be completed by the end of the year.
Currently, it has a secondary registration, but the move means dual registration, alongside the New York registration. An initial listing in Hong Kong is a requirement for the city’s Stock Connect program, which allows mainland Chinese investors to trade a company’s shares. It would also leave it in a better position if it had to withdraw from US trading because of stricter audit requirements.
“It’s a very smart move. . . . Even if they were delisted in the US, they still have a backup plan,” said Dickie Wong, head of research at Kingston Securities.
says Lex Retail investors on the continent have historically been keen buyers of stocks that are household names. They are a formidable force in Chinese investments, accounting for about 85% of the daily turnover. They should provide a significant basis for Alibaba shares. The stock is down two-thirds from its 2020 peak, trading at just 14 times trailing earnings. That’s less than a fifth of Amazon’s valuation.
Christina Kridel reports today That Alibaba’s push to compete with Amazon by bringing US businesses to its e-commerce platform has struggled to meet its goals.
The group launched Alibaba.com, its e-commerce site for businesses, in the US three years ago with the aim of registering more than a million local businesses and competing globally with Amazon, which has a similar platform for wholesalers.
However, most sellers in the US cancel their subscriptions after a year, according to past and current employees, and that million target is being cut to just 2,000 each year, we understand.
Meanwhile, Amazon’s European users may unsubscribe after him announced an increase to the cost of its free entertainment and delivery service from September 15, following a 17 percent price hike for Prime in the US in February.
In Germany, Amazon’s biggest market outside the US, membership costs will rise by 30%, while Prime members in France will pay 43% more. For UK customers, the price of an annual subscription will rise by 20% from £79 to £95 pounds per year. A spokesman attributed the move to “inflation costs and increased operating costs”.
The internet of (five) things
1. Shopify lays off 1,000 employees
Shares of Shopify fell more than 15% on Tuesday after the Canadian e-commerce platform announced that lay off 10 percent from her labor force. In a blog post explaining the move, the company’s CEO, Tobias Lutke, said his belief that online shopping habits would endure after the pandemic returned: “In the end, this bet was my call to make and a mistake.”
2. PE brokers European software deal
French software group Cegid acquires Spanish rival Grupo Primavera in a deal of 6.8 billion euros which combines two private equity-backed companies, each of which was created through acquisition campaigns. Cegid, backed by Silver Lake, KKR and AltaOne Capital, while London-based Oakley Capital owns Grupo Primavera.
3. Tether loan recovery from Celsius tested
Stablecoin issuer Tether is facing scrutiny A loan of 840 million dollars that she paid back from the Celsius network, as the crypto lender’s bankruptcy examines how insolvency rules apply to digital assets.
4. Former Chinese chip boss arrested
Zhao Weiguo, former head of a sprawling Chinese conglomerate with government backing and deep investments in the global technology sector, was placed under investigation by officials in Beijing, according to local media. The 54-year-old, who ran cash-strapped chipmaking giant Tsinghua Unigroup for a decade, cut ties after being taken from his home by authorities in mid-July.
5. The tech bros thrive in New York
New York’s tech sector is booming, Josh Chapin writes. But while Silicon Valley craves hardcore engineers, New York businesses have capitalized on the application of technology in sectors like protech, fintech and edtech.
Technical tools – Honor MagicBook 16
Honor’s MagicBook 16 is a premium laptop at a practical price (£850). With its solid aluminum body that sticks to the MacBook, I found the backlit keyboard and trackpad to be well suited to experiences on Apple’s offerings as well. The speakers are oddly placed but effectively positioned to shoot upwards from the left and right sides of the keyboard, although bass is lacking. They also contain the fingerprint recognition unit. A wide and impressive 16.1-inch screen. The AMD Ryzen 5000 series processor guarantees excellent performance and the basic model comes with 16GB of memory and a 512GB solid drive. Battery life is average and delivers around eight hours and there is a 720p HD webcam. Overall, the MagicBook is a very good value notebook that should stand the test of time.
Alibaba eyes dual primary as Amazon raises Prime Source link Alibaba eyes dual primary as Amazon raises Prime