What's going on?

Internet behemoth Alibaba � China�s answer to Amazon � completed its share sale in Hong Kong on Wednesday, revealing $11 billion in hidden riches.

What does this mean?

Alibaba is actually already a public company: it raised a record $25 billion by selling shares in 2014. But it did so in New York rather than in the East, because the Hong Kong Stock Exchange�s rules banned companies from going public with �dual-class share structures� � the kind that�s popular among tech companies.


But a recent relaxation of those rules in Hong Kong has lured Alibaba closer to home, which now gives its investors the choice between its US or Hong Kong-listed stock. The company�s share sale was the biggest of 2019 so far, not to mention Hong Kong�s biggest since 2010 � and it may mean the exchange ends the year as the world�s most popular stock listing location.

Why should I care?

For markets: Confidence despite disruptions.

Investors� appetite for Alibaba�s new shares initially pushed their value up, which might�ve surprised those who�ve been distracted by the escalation of local protests. It�s fair to say Alibaba didn�t really need the cash: it�ll now have around $44 billion in its coffers, some of which it�ll spend on growing and better engaging its user base. The bigger win might actually be the diversification of the company�s shareholders away from predominantly American investors and toward local Chinese investors.

Zooming out: Alibaba suddenly looks small.

The world�s biggest initial public offering of the year � nay, ever � is set to be that of Saudi Aramco, and the oil giant said on Wednesday there�s enough demand among Middle Eastern investors for the $25 billion of stock it�s selling. Keep your eyes peeled next week, though: we�ll be publishing a Pack in the Finimize app explaining how Aramco makes money, and whether that makes now a good time to buy.