Alibaba Group Holding LtdAlibaba plans HK$80 billion share sale, diluting earnings and pressuring stock.
Alibaba is tumbling after announcing a plan to raise about HK$80 billion ($10.2 billion) from a share sale, which analysts expect to dilute earnings and hurt stock performance in the near term. The fundraising will help drive AI-led growth, and the impact on earnings will be limited if the company can improve AI payoffs, they added. SoftBank is moving on news it plans a record ¥1 trillion retail bond sale to raise funds for its investment commitments to OpenAI. Bitcoin is continuing its rally, with spot Bitcoin exchange-traded funds seeing their strongest weekly inflow in 10 months last week.
Alibaba Group Holding LtdAlibaba plans HK$80 billion share sale, diluting earnings and pressuring stock.
Astera Labs, Inc.SoftBank plans record ¥1 trillion bond sale to fund OpenAI investments, raising leverage concerns.