Alibaba Co-Founders Jack Ma and Joe Tsai Purchase Over $200 Million in Shares, Boosting Stock by 8%

Jack Ma and Joe Tsai, co-founders of Alibaba, acquire shares worth hundreds of millions, contributing to an approximately 8% increase in Alibaba’s stock. The purchases come as the company faces challenges and geopolitical pressures.

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Alibaba co-founders Jack Ma and Joe Tsai have collectively acquired over $200 million worth of shares on the open market, leading to an around 8% surge in Alibaba’s stock. Tsai’s family office entity, Blue Pool, purchased nearly 2 million Alibaba depositary shares worth $152 million in Q4. Additionally, Jack Ma reportedly acquired $50 million worth of Alibaba’s Hong Kong stock during the same period.

Blue Pool Acquisition: Blue Pool, linked to Joe Tsai’s family office, acquired nearly 2 million Alibaba depositary shares valued at $152 million in the fourth quarter. Depositary shares are U.S.-traded versions of foreign stock.

Jack Ma’s Acquisition: Sources familiar with the matter revealed that Jack Ma purchased $50 million worth of Alibaba’s Hong Kong stock during the same period. The co-founders’ substantial share acquisitions contributed to a notable increase in Alibaba’s stock.

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Alibaba’s Recent Challenges: Alibaba, founded in 1999, has faced challenges in recent years. In 2020 and 2021, the company encountered difficulties, including public criticisms from Jack Ma aimed at Chinese officials and regulatory pressure that led to the suspension of Ant Group’s planned IPO.

Geopolitical Pressures: Alibaba’s corporate landscape has been influenced by geopolitical pressures. In March 2023, the company announced plans to spin off its cloud business, but later scrapped the idea due to U.S. semiconductor export controls. Around the same time, Jack Ma disclosed selling 10 million shares, amounting to $870 million.

Stock Performance: Alibaba’s shares have experienced a decline of approximately 21% since the canceled spinoff. The recent share acquisitions by co-founders Jack Ma and Joe Tsai have provided a positive boost to the stock.

Corporate Developments: The company’s challenges have led to corporate reorganization decisions, including the initially planned spinoff of its cloud business, which was later halted. Jack Ma’s decision to sell shares and the subsequent share acquisitions by the co-founders reflect dynamic developments within Alibaba.

Jack Ma and Joe Tsai’s significant share acquisitions have generated positive momentum for Alibaba’s stock, offering a boost amid the company’s recent challenges, geopolitical pressures, and corporate reorganization decisions. The co-founders’ actions indicate their continued commitment to the company’s future.