Alibaba transfers stakes in Chinese companies to new vehicle amid restructuring efforts
- Alibaba (China) Network Technology has transferred its stakes in seven listed companies to Hangzhou Haoyue Enterprise Management
- The move is meant to allow Alibaba (China) Network, established in 1999, to focus on its main businesses, according to filings
Alibaba (China) Network Technology, a major Alibaba Group Holding subsidiary that serves as a holding vehicle for its equity stakes, has transferred shares in at least seven listed companies to a new local venture, according to Chinese corporate announcements.
All of Alibaba’s holdings in those seven companies – which include Focus Media, an advertisement placement services provider, and YTO Express, a courier company – have been transferred to Hangzhou Haoyue Enterprise Management, a new vehicle created in October with the same ownership structure as Alibaba (China) Network, according to filings by those listed firms.
Under China’s A-shares regulations, companies listed on the mainland must disclose shareholder changes involving stakes of 5 per cent or more.
Alibaba, owner of the South China Morning Post, did not immediately respond to a request for comment.
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The deals come as Alibaba pushes through with a sweeping restructuring to break up its sprawling empire, once envisioned by founder Jack Ma as “the world’s fifth largest economy”.