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Alibaba To Raise Above $5B Via Dollar Bonds This Month: Reuters

Alibaba To Raise Above $5B Via Dollar Bonds This Month: Reuters

Alibaba Group Holding Ltd. (NYSE: BABA) is planning to raise at least $5 billion through a sale of U.S.-dollar-denominated bonds this month, Reuters reported Tuesday, citing people familiar with the matter.

What Happened: The Jack Ma co-founded company could raise as much as $8 billion from the offering if the investor response is favorable, as per the newswire, and the funds are expected to be used for general corporate purposes.

Why It Matters: The offering would be a gauge of investor interest in Alibaba, Reuters noted. The company has been facing intense scrutiny in China following the comments of Ma at an event in Shanghai late last year that were critical of the regulations in the country.

Alibaba sister company Ant Group’s $37 billion planned initial public offering was said to be personally scuttled by China’s President Xi Jinping. Ma has been absent from public view since the IPO was quashed.

The e-commerce giant received its latest jolt from outgoing U.S. President Donald Trump, who issued an executive order on Tuesday banning transactions with its payments app Alipay.

See Also: Jack Ma's Ant Could Be Forced To Divest Chunk Of $21.6B Equity Portfolio: Reuters

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