EL7.AI
StocksMediumUpdated×2•Originally published 24 August 2026•Updated 24 August 2026•
1 min read

Alibaba Shares Extend Slide in New York as $10.2B Placement Details Emerge

Key Facts

1Alibaba shares fell 8% in Hong Kong following a $10.3B equity placement at an 8.4% discount.
2Investor Michael Burry exited his BABA position for JD.com, citing concerns over the share issuance.

Reflecting persistent selling pressure on Chinese tech, Alibaba's New York-listed shares extended their decline to reach $117.77. This downward momentum follows the company's massive $10.2 billion equity placement, which reports now specify was targeted exclusively at non-U.S. investors. The firm intends to deploy the net proceeds toward its full-stack AI capabilities and global infrastructure expansion to maintain its competitive edge.

The share issuance has intensified concerns regarding equity dilution, prompting notable shifts in institutional portfolios, including reports of Michael Burry exiting Alibaba in favor of JD.com. Per market data, Alibaba's Hong Kong shares (9988.HK) closed at 112.5 HKD (as of August 24, 2026), while JD.com (9618.HK) stood at 115.2 HKD (as of August 21, 2026). The placement's discount continues to weigh on short-term sentiment across both listing venues.

Traders are closely monitoring BABA, which traded at $117.77 in New York (as of August 24, 2026) after a 1.3% daily drop. With no major Chinese economic catalysts in the immediate calendar, the focus remains on whether the stock can find a floor above its recent session low of 110.1 HKD in Hong Kong as the market fully digests the implications of the non-U.S. targeted capital raise.