Alibaba Group Holding Limited BABA shares are advancing strongly in premarket trading on Tuesday.
Shares of the Chinese e-commerce giant are getting a boost from twin developments. The company said Tuesday it plans to apply for a primary listing in Hong Kong. The stock already has a secondary listing in Hong Kong, which is a special administrative region of China. The primary listing process is expected to be completed by the end of 2022.
The Shenzhen-Hongkong Stock Connect program, which is currently available only for primary listings, could help attract investments into Alibaba stock from mainland China.
Secondly, seven key executives of its Ant Financial affiliate have reportedly vacated an Alibaba partnership they were earlier part of; this is being seen as a sign of the the e-commerce giant striving to put its house in order to steer clear of further regulatory scrutiny.
Price Action: Alibaba stock, which dipped below $99 on Monday, recovered to close 0.45% higher at $101.06. In premarket trading on Tuesday, the stock was seen rallying 4.69% to $105.80, according to Benzinga Pro data.
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