Chinese business-to-business platform Alibaba held its IPO on the Hong Kong stock market today, nearly tripling in share price in first-day trading. The company raised $1.5 billion (US) by selling just 17% of its shares. "I think Alibaba's share price is way ahead of its fundamentals; I think the best advice is to get out as soon as possible," said one wary investor.
Alibaba’s IPO price was more than 100 times its expected 2007 revenues, compared to between 40 and 50 for Google this year. There were 256 applications for each available share of stock. Yahoo! owns about 40% of parent company Alibaba Group, and also has a share of the site, which links international businesses to Chinese suppliers.