Alibaba Closes $1.53B Bond Offering — But a $433.5M Payout Is Still on the Table

Court: S.D. New York

Case: 1:20-cv-09568

Alibaba BABA just completed a private offering of HK$12.02 billion (~$1.53B USD) in zero-coupon exchangeable bonds. The bonds, due July 2032, can be converted into shares of its healthcare unit, Alibaba Health, at an initial price of HK$6.23 — a 48% premium to the negotiated placement price.

The company expects to list the bonds on the Vienna Multilateral Trading Facility within 60 days. Despite the move, BABA shares dropped over 2% in premarket trading, reflecting ongoing investor caution.

BABA

As Alibaba raises new capital, it’s also settling old legal issues. The company agreed to a $433.5 million payout to investors over claims it misled them about regulatory risks related to the suspended Ant Group IPO.

• July 2020: Ant Group announces record $30B IPO.
• Nov 2, 2020: Executives summoned by Chinese regulators.
• Nov 3, 2020: Ant IPO suspended; BABA drops 8.1%.
• Dec 2020: Antitrust probe launched; BABA falls 13%.
• Apr 22, 2022: Investors file lawsuit.

• Alibaba settled the lawsuit for $433.5M.
• If you held BABA during the affected period, you may still be eligible.
• Late claims are currently being accepted.
• Payouts typically take 8–12 months after court approval.

You can check more information about it and file for a payout HERE.

Are you tracking BABA’s latest bond moves — or checking your eligibility for a payout while the company balances debt and damages?