{"id":149149,"date":"2026-08-24T08:03:10","date_gmt":"2026-08-24T08:03:10","guid":{"rendered":"https:\/\/www.europesays.com\/ai\/149149\/"},"modified":"2026-08-24T08:03:10","modified_gmt":"2026-08-24T08:03:10","slug":"alibaba-slides-as-group-raises-us10-2-billion-for-ai-expansion","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/ai\/149149\/","title":{"rendered":"Alibaba slides as group raises US$10.2 billion for AI expansion"},"content":{"rendered":"

\"Alibaba<\/a> Alibaba slides as group raises US$10.2 billion for AI expansion Proactive uses images sourced from Shutterstock <\/p>\n

Alibaba Group (NYSE:BABA)<\/a> Holding Ltd shares fell sharply in Hong Kong after the Chinese technology group priced a HK$80 billion (US$10.2 billion) equity placement to finance further investment in artificial intelligence. <\/p>\n

The company will issue 710 million new ordinary shares to investors outside the US at HK$112.70 each, an 8.4% discount to Friday’s HK$123 closing price. <\/p>\n

Alibaba shares dropped 8.1% to HK$113 in early trading on Monday, reflecting concerns about shareholder dilution and the mounting cost of competing in AI. The new shares are equivalent to around 3.7% of Alibaba’s existing issued capital. <\/p>\n

Alibaba said it would invest all the net proceeds in its “full-stack” AI capabilities, including expanding and upgrading the computing infrastructure supporting its Qwen models and cloud services. Completion is expected on August 26, subject to customary conditions.\u00a0 <\/p>\n

The fundraising follows a sharp increase in investment during the June quarter. Capital expenditure rose 75% to 67.68 billion yuan, largely because of spending on AI infrastructure and higher chip costs. <\/p>\n

That contributed to a free cash outflow of 44.67 billion yuan, compared with an 18.82 billion yuan outflow a year earlier. Net profit fell 75% to 10.44 billion yuan, although revenue increased 9% to 268.95 billion yuan. <\/p>\n

Alibaba’s AI cloud and computing-services revenue grew 45% to 48.44 billion yuan, while AI-related product revenue recorded triple-digit growth for a 12th consecutive quarter. The group is betting that this demand will ultimately justify its rapidly expanding infrastructure bill. <\/p>\n","protected":false},"excerpt":{"rendered":"Alibaba slides as group raises US$10.2 billion for AI expansion Proactive uses images sourced from Shutterstock Alibaba Group…\n","protected":false},"author":2,"featured_media":149150,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2],"tags":[24,2477,25,73061],"class_list":["post-149149","post","type-post","status-publish","format-standard","has-post-thumbnail","category-ai","tag-ai","tag-alibaba","tag-artificial-intelligence","tag-group-raises"],"_links":{"self":[{"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/posts\/149149","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/comments?post=149149"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/posts\/149149\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/media\/149150"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/media?parent=149149"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/categories?post=149149"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/tags?post=149149"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}