12:27 - 17.11.2023
November 17, Fineko/abc.az. Alibaba's shares declined almost by 10% after the company announced that it refuses (because of U.S.’ restrictions on the supply of chips) to separate its cloud business and conduct its IPO, which was estimated at $10 billion.
ABC.AZ reports that the entire tech sector is also traded under pressure.
In a statement, the Chinese online trading giant said that restrictions on the export of chips from the U.S. made it difficult for companies from China to receive critical supplies from American partners.
"We believe complete separation of business Cloud Intelligence Group may not lead to the desired effect of increasing its shareholder value," Alibaba stressed.
During trading in New York, the price of Alibaba securities dropped to $78.23 - this is 10.15% cheaper than at the close of trading on Wednesday. The fall was the strongest in more than a year. At this point, the securities were down 9.9% and were worth $78.5.
