Alibaba

An unique concept raised by Mr. Ma, founder of Alibaba. SGX isn't a choice at all, for this quality IPO, which is understand-able...

Partnership system will help protect business: Alibaba’s Ma

HANGZHOU — The Alibaba Group, China’s biggest e-commerce company, unveiled yesterday the details of its partnership system that founder and Executive Chairman Jack Ma said would help protect the company from the “temptation to seek short-term gains”.

In an e-mail to employees to mark the company’s 14th anniversary, Mr Ma said the current 28 partners are most likely to create value for customers, employees and shareholders. The partnership system “is not a mere profit-sharing mechanism, nor is it a vehicle of power to exert greater control over the company,” he said.

Mr Ma’s message comes as the company prepares for an initial public offering that could rival Facebook’s US$16 billion (S$20.3 billion) debut last year.

Hangzhou-based Alibaba has a value of about US$87 billion, according to analyst estimates. It could raise about HK$100 billion (S$16.4 billion) in the IPO, Ernst & Young said in June.

Alibaba has not decided on where to go public, but people familiar with the plans have said it is inclined to have the IPO in Hong Kong, although New York is also an option.
...
http://www.todayonline.com/business/part...libabas-ma

I reckon Asia exchanges generally doesn't have multi-class shareholding. Only US Exchange has it.

Is the understanding true? Multi-class shareholding is anti-democracy, and un-desirable for OPMI, IMO.

Alibaba slams HK exchange after IPO talks fail

HONG KONG — A senior Alibaba executive yesterday (Sept 26) criticised the Hong Kong stock exchange for not allowing the Chinese e-commerce giant to go public with its unique management structure.

The company dropped plans to hold an Initial Public Offering in the southern Chinese financial centre because the stock market wasn’t willing to make an exception to its listing rules. Instead, it’s looking to New York for an IPO analysts estimate could value the company at more than US$100 billion (S$125.5 billion).

In a column posted late yesterday on Alibaba’s blog, Executive Vice Chairman Joe Tsai said, “Hong Kong must consider what is needed in order to adapt to future trends and changes.”

The company wants to maintain a structure in which top executives, who own 10 per cent of the company, retain control of the board. AP
http://www.todayonline.com/tech/alibaba-...talks-fail

Why should a mere 10 per cent ownership have control of the board?

Kudos to HKSE for not bending their principles to accommodate them. Just becos US exchange allow shenanigans doesn't mean we have to follow. Look at what MBS toxic stuff have brought us. I hope when it comes to F1 IPO, SGX has the guts to walk away from them if they insist on dual share structure.

SPH also has two classes of share - ordinary and management.
Management share carries 200 vote per share on any resolution relating to the appointment or dismissal of a director or any member of
the staff of the Company.

(27-09-2013, 02:41 PM)yeokiwi Wrote: SPH also has two classes of share - ordinary and management.
Management share carries 200 vote per share on any resolution relating to the appointment or dismissal of a director or any member of
the staff of the Company.

The link tells a more complete story.
http://www.businessinsider.com/dual-clas...sgx-2011-9

Excerpt:
Singapore Exchange (SGX) has clarified in a regulatory guidance article that companies are not allowed to list dual-class voting shares in Singapore
...
The only exception is Singapore Press Holdings, which is permitted to issue a management share under Singapore’s Newspaper and Printing Presses Act. And in Hong Kong, where Manchester United had originally planned to list, dual-class shares have been banned since 1991.

I'm not sure even with sing gov granting exception to alibaba will Alibaba still want to come here, our exchange is after all a very small one not sure if there are enough investors money around to help them raise nearly 100 billion.

(27-09-2013, 03:03 PM)CityFarmer Wrote:

(27-09-2013, 02:41 PM)yeokiwi Wrote: SPH also has two classes of share - ordinary and management.
Management share carries 200 vote per share on any resolution relating to the appointment or dismissal of a director or any member of
the staff of the Company.

The link tells a more complete story.
http://www.businessinsider.com/dual-clas...sgx-2011-9

Excerpt:
Singapore Exchange (SGX) has clarified in a regulatory guidance article that companies are not allowed to list dual-class voting shares in Singapore
...
The only exception is Singapore Press Holdings, which is permitted to issue a management share under Singapore’s Newspaper and Printing Presses Act. And in Hong Kong, where Manchester United had originally planned to list, dual-class shares have been banned since 1991.

IIRC in the past it was the golden share system so that the govt can always override the mgt.

(27-09-2013, 05:23 PM)specuvestor Wrote:

(27-09-2013, 03:03 PM)CityFarmer Wrote:

(27-09-2013, 02:41 PM)yeokiwi Wrote: SPH also has two classes of share - ordinary and management.
Management share carries 200 vote per share on any resolution relating to the appointment or dismissal of a director or any member of
the staff of the Company.

The link tells a more complete story.
http://www.businessinsider.com/dual-clas...sgx-2011-9

Excerpt:
Singapore Exchange (SGX) has clarified in a regulatory guidance article that companies are not allowed to list dual-class voting shares in Singapore
...
The only exception is Singapore Press Holdings, which is permitted to issue a management share under Singapore’s Newspaper and Printing Presses Act. And in Hong Kong, where Manchester United had originally planned to list, dual-class shares have been banned since 1991.

IIRC in the past it was the golden share system so that the govt can always override the mgt.

There is such a share in SGX companies... the only 2 companies that have this is SPH (MICA has the golden share) and ST Engineering (Ministry of Finance has the golden share)

then they should list in SGX instead haha
dunno why they have to go to US