anyone buying in on the first day? will this be another facebook or decent long term investment? yahoo price increase even after bad results could indicate this one is a buy.
I think its one of the absolute winners in the long run .I mentioned it months ago & didnt get much response.... but what do i know They take 4 out of 5 e commerce dollars in china. nothing to be sneezed at . Cant see them going anywhere but forward in the future. The chances of then folding is nil as for returns ...who knows
not much chance for us mortals to get in before the release unless you want to buy yahoo directly. i agree this has huge potential and could be the next apple stock for everyone that missed that boat.
From Bloomberg Bank of America Corp., one of the few large banks that isn't working on Alibaba Group Holding Ltd.'s initial public offering, has found another way to make a buck on the deal. The Charlotte, North Carolina-based bank is giving investors a chance to bet on Alibaba's performance by offering them a product that uses the e-commerce company's largest shareholder, SoftBank Corp., as a basis for approximating Alibaba's valuation. It strips out the main listed businesses that SoftBank owns -- Sprint Corp. and Yahoo Japan Corp. -- through short positions. The bank has found takers as investors scramble for ways to profit from the biggest Internet debut since Facebook Inc., and the trades have earned the U.S. bank millions of dollars of commissions, people with knowledge of the matter said. Demand for Alibaba's $21.1 billion IPO is high enough that the company plans to stop taking orders earlier than scheduled. An index Bank of America compiled that represents the synthetic Alibaba trade has tripled since a Mar. 4 low, according to data compiled by Bloomberg. Bank of America typically charges investors as much as 1 percent of the size of each trade for structured products like the Alibaba one, in line with other banks, said one of the people, asking not to be identified discussing a private matter. Bank of America, along with UBS AG and Barclays Plc, worked on the the IPO of JD.com Inc., a Chinese e-commerce rival, creating a conflict that kept them from working on Alibaba's sale, people with knowledge of the matter said. KDDI Short Banks with lead roles on Alibaba's IPO stand to make about $30 million each in fees, a person with knowledge of the matter said. Credit Suisse Group AG, Deutsche Bank AG, Goldman Sachs Group Inc., JPMorgan Chase & Co., Morgan Stanley and Citigroup Inc. have the most senior roles on the offering. Mark Tsang, a spokesman for Bank of America in Hong Kong, declined to comment on fees from the Alibaba product. Justin Dini, a spokesman for Alibaba at Brunswick Group LLC, declined to comment. Bank of America's Alibaba index includes a long position in SoftBank and short positions in Sprint, Yahoo Japan and KDDI Corp., data compiled by Bloomberg show. SoftBank, run by billionaire Masayoshi Son, owns stakes in Alibaba, Sprint and Yahoo Japan, and competes with KDDI in offering mobile-phone services in Japan. The short position in KDDI is a way to "hedge out" SoftBank's unlisted telecommunications operations, according to a Sept. 8 Bank of America note to clients. About $500 million of these synthetic Alibaba securities are outstanding, said people with knowledge of the matter. Biggest Broker People who sell short borrow a security and hope to profit by repurchasing it later at a lower price and returning it to the holder. Bank of America is ranked 7th in managing IPOs globally this year. Goldman Sachs is the top IPO underwriter, followed by Morgan Stanley, according to data compiled by Bloomberg. At the top end of the marketed price range of $60 to $66 a share, Alibaba's IPO would be the largest in U.S. history. Including an overallotment of shares to underwriters, known as a green shoe option, could take it past the sale of Agricultural Bank of China Ltd. as the world's biggest ever.
It may not be too bad of an idea to get into alibaba or yahoo. Yahoo has a stake in Alibaba. What I've learned from my studies is that most of the time IPOs are underpriced and on the day of the IPO the stock goes up by about 22%. There's a lot of hype with this IPO so you could ride the hype after buying on the first day, or you could let the hype die down before you get into Alibaba. Am I going to get into it? No, probably not.
well boom! opened at an impressive $92.70. http://uk.reuters.com/article/2014/09/19/uk-alibaba-ipo-idUKKBN0HD0D520140919
