Alibaba prepares IPO for semiconductor subsidiary in Hong Kong

Alibaba is preparing to list its semiconductor subsidiary T-Head on the Hong Kong Stock Exchange, aiming for a valuation between €1.8 billion and €2.7 billion. The move is intended to allow T-Head to secure independent financing and enhance its visibility among clients and partners. Although specific amounts and dates for the IPO are not yet determined, Alibaba plans to maintain control over T-Head post-IPO. The company, founded in 2018, focuses on developing processors and semiconductors, becoming crucial for Alibaba's cost reduction and supply assurance amid its growing emphasis on artificial intelligence.