HONG KONG: Alibaba will close its order books early to prospective institutional investors as part of its US$13.4 billion secondary listing in Hong Kong, according to two people with direct knowledge of the matter.
Books will now be shut at 12 p.m. EST Tuesday in New York which is a half day earlier than initially planned by the Chinese e-commerce giant and its investment banking advisers.
The decision was made by the company on Monday, and the final price will still be set by Wednesday evening, Hong Kong time, according to the sources.
The early closure means Monday’s closing price for Alibaba shares in New York will be the benchmark for setting the final price that institutional investors will pay for the Hong Kong stock.
Alibaba’s listing comes amid Hong Kong anti-government protests which turned increasingly violent on the weekend.
(Reporting by Scott Murdoch; editing by Jason Neely)